International Marketing Research

Chapter # 3

Darwish Khan Tahiry

Contact info; 0789519900, 0773838366
[email protected] 4-1
Marketing Research
Marketing research is the
systematic design, collection,
analysis, and reporting of
data relevant to a specific
marketing situation facing an
organization.
Market research is the process of
collecting valuable information
to help you find out if there is a
market for your proposed
product or service.

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Marketing Research
Steps in the marketing research process

1. Defining the problem and research objectives

2. Developing the research plan
3. Implementing the plan
4. Interpreting and reporting the findings

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Marketing Research

Defining the Problem and Research Objectives

Types of objectives:
• Exploratory research
• Descriptive research
• Causal research

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 Degree of Problem Definition

Exploratory Research Descriptive Research Causal Research

(Unaware of Problem)(Aware of Problem) (Problem Clearly Defined)

“Our sales are declining and “What kind of people are buying “Will buyers purchase more of
possible situation

we don’t know why.” our product? Who buys our our products in a new package?
competitor’s product?”
“Would people be interested “Which of two advertising
in our new product idea?” “What features do buyers prefer campaigns is more effective?”
in our product?”
Marketing Research

Defining the Problem and Research Objectives

• Exploratory research is the gathering of preliminary
information that will help to define the problem and
suggest hypotheses.
• Descriptive research is to describe things such as
market potential for a product or the demographics
and attitudes of consumers who buy the product.
• Causal research is to test hypotheses about cause-and-
effect relationships.

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Exploratory Research

to gain background information, to define terms, to

clarify problems & hypothesis and to establish research
priorities.
Initial research conducted to clarify and define the nature of a
problem does not provide conclusive evidence

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Descriptive Research

Describes characteristics of a population or

phenomenon
Some understanding of the nature of the problem
provides answers to questions such as;
 who customer, competitor
 what product, brand, design, size
 where places of purchase, wholesale
 when time & frequency of purchase

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Causal Research
Conducted to identify cause-and-effect
relationships
Causation indicates that one event is the result of
the occurrence of the other event
 Stages of the Research Process

Problem Discovery Discovery and

and Definition Definition

Research and so on
Design Conclusions and
Report

Sampling
Data Processing
and Analysis
Data
Gathering

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Problem Discovery Problem Selection of
and Definition discovery exploratory research
technique
Sampling

Selection of
exploratory research
technique Probability Nonprobability

Secondary Collection of
Experience Pilot Case
(historical) Data
data
survey study study Gathering
data (fieldwork)
Data Editing and
Problem definition Processing
coding
(statement of and
Analysis data
research objectives)
Data
Selection of processing
Research Design basic research
method Conclusions Interpretation
and Report
of
findings
Experiment Survey
Secondary
Laboratory Field Interview Questionnaire Observation
Data Study Report
“The formulation of the problem is
often more essential than its
solution

Albert Einstein

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 2. Developing the Research Plan

a. Determining specific information needs

• research objectives must be translated into specific
information needs
b. Plan for gathering secondary information
• information that already exists somewhere, having
been collected for another purpose -
relevant, current, impartial (objectively collected &
reported)

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c. Primary data collection plan
• information collected for the specific purpose at hand -
research approaches : observation, survey, experiment
d. Deciding contact method
• mail, telephone, personal
e. Detailing the sampling plan
• sampling unit, sample size, sampling procedure

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Developing the Research Plan

Developing the Research Plan

The research plan is a written proposal that includes:

• Management problem
• Research objectives
• Information needed
• How the results will help management decisions
• Budget

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Developing the Research Plan

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Developing the Research Plan

Developing Data collection Plan

• Secondary data consists of information that

already exists somewhere, having been collected
for another purpose
• Primary data consists of information gathered for
the special research plan

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Developing the Research Plan
Gathering Secondary Data
+ Advantages: – Disadvantages:
• Speed • Availability
• Cost • Relevance
• Provides data that a • Accuracy
company cannot • Impartial
collect on its own

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Developing the Research Plan

Primary Data Collection

• Research approaches
• Contact methods
• Sampling plan
• Research instruments

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Developing the Research Plan

Research Approaches

• Observational research involves gathering primary

data by observing relevant people, actions, and
situations.
• Ethnographic research involves sending trained
observers to watch and interact with consumers in
their natural environment.

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Developing the Research Plan

Research Approaches

• Survey research is the most widely used method and is

best for descriptive information—knowledge,
attitudes, preferences, and buying behavior.
• Flexible
• People can be unable or unwilling to answer
• Gives misleading or pleasing answers
• Privacy concerns

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Developing the Research Plan
Research Approaches

• Experimental research is best for gathering

causal information
• Tries to explain cause-and-effect relationships.

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Developing the Research Plan
Contact Methods
Mail questionnaires
• Collect large amounts of information
• Low cost
• Less bias with no interviewer present
• Lack of flexibility
• Low response rate
• Lack of control of sample

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Developing the Research Plan
Contact Methods

Telephone interviewing
• Collects information quickly
• More flexible than mail questionnaires
• Interviewers can explain difficult questions
• Higher response rates than mail questionnaires
• Interviewers communicate directly with respondents
• Higher cost than mail questionnaires
• Potential interviewer bias

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Developing the Research Plan

Contact Methods

Mail, telephone, and personal interviewing

• Personal interviewing
• Individual interviewing
• Group interviewing

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Developing the Research Plan

Contact Methods
• Personal interviewing
• Individual interviewing
• Involves talking with people at home or the office, on
the street, or in shopping malls
• Flexible
• More expensive than telephone interviews
• Group interviewing or focus group interviewing
• Involves inviting 6 to 10 people to talk with
a trained moderator

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Developing the Research Plan
Contact Methods

Online marketing research

• Internet surveys
• Online panels
• Online experiments
• Online focus groups

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Developing the Research Plan

Contact Methods
Online marketing research
• Low cost
• Speed to administer
• Fast results
• Good for hard-to-reach groups
• Hard to control who’s in the sample
• Lack of interaction
• Privacy concerns

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Sampling Plan
• A sample is a segment of the population selected for
marketing research to represent the population as a
whole.
• Who is to be surveyed/ Sampled?
• How many people should be surveyed? Or How large a
sample?
• How should the people be chosen? Or How the sample
units should be selected?

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Developing the Research Plan
Sampling Plan
• Probability samples: Each population member has a
known chance of being included in the sample.
• Non-probability samples: Used when probability
sampling costs too much or takes too much time.

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Developing the Research Plan
Research Instruments
• Questionnaires
• Mechanical devices

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Developing the Research Plan
Research Instruments
• Questionnaires
• Most common
• Administered in person, by phone, or online
• Flexible
• Open-end questions
• Closed-end questions

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Developing the Research Plan
Research Instruments
• Closed-end questions include all the possible answers,
and subjects are to make choices among them.
• Provides answers that are easier to interpret and tabulate
• Open-end questions allows respondents to answer in
their own words.
• Useful in exploratory research

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3. Implementing the Research Plan
Implementing the Research Plan
• Collecting data
• Processing the information
• Analyzing the information

Issues to consider:
• What if respondents refuse to cooperate?
• What if respondents give biased answers?
• What if interviewer makes mistakes or takes shortcuts?

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 Step 4: Interpreting and Reporting the
Findings
The research interprets the findings, draws conclusions
and reports to management. Managers and
researchers must work together to
interpret results for useful decision making

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