Fluent Essays

https://www.youtube.com/watch?v=XxZ663MPHtk&t=3s View the Global Brand video above and then create a 300 to 400 word post for the discussion board. Please choose a point made by the video as your focus supported by ideas in Chapter 8. You will need to include ways in which marketing research interfaces strategy. Find one scholarly peer-reviewed journal source as a support for the ideas you write on in the post. Chapter 8 Developing a Global Vision through Marketing Research Copyright © 2016 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. Learning Objectives LO1 The importance of problem definition in international research LO2 The problems of availability and use of secondary data LO3 Sources of secondary data LO4 Quantitative and qualitative research methods LO5 Multicultural sampling and its problems in less-developed countries LO6 Using international marketing research 2 Copyright © 2016 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. Marketing Research Marketing research is the systematic gathering, recording, and analyzing of data to provide information useful to marketing decision making. As an enterprise broadens its scope of operations to include international markets, the need for current, accurate information is magnified. A marketer must find the most accurate and reliable data possible within the limits imposed by time, cost, and the present state of the art. 3 Copyright © 2016 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. International Marketing Research Researchers maintain that entry into a fast developing, new-to-the-firm foreign market is one of the most daunting and ambiguous strategic decisions an executive can face. Complications in international marketing research: Information must be communicated across cultural boundaries. The environments within which the research tools are applied are often different in foreign markets. 4 Copyright © 2016 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. Bill Gates interacts with customers It’s crucial for top executives to get away from their desks and spend time in the marketplace. While detailed marketing research reports are important, decisions at the very top of the largest corporations must still be informed by a sense of the market and customers, obtainable only through direct contact by top executives. © Greg Baker/AP Images 5 Copyright © 2016 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. 5 Breadth and Scope of International Marketing Research Research can be divided into three types on the basis of information needs General information about the country, area, and/or market Information necessary to forecast future marketing requirements by anticipating social, economic, consumer, and industry trends within specific markets or countries Specific market information used to make product, promotion, distribution, and price decisions and to develop marketing plans 6 Copyright © 2016 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. 6 The Research Process 1. Define the research problem and establish research objectives. 2. Determine the sources of information to fulfill the research objectives. 3. Consider the costs and benefits of the research effort. 4. Gather the relevant data from secondary or primary sources, or both. 5. Analyze, interpret, and summarize the results. 6. Effectively communicate the results to decision makers. 7 Copyright © 2016 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. Defining the Problem and Establishing Research Objectives The major difficulty here is converting a series of often ambiguous business problems into tightly drawn and achievable research objectives. Researchers often embark on the research process with only a vague grasp of the tota problem. Other difficulties stem from failures to establish problem limits broad enough to include all relevant variables. Information on a far greater range of factors is necessary to offset the unfamiliar cultural background of the foreign market. 8 Copyright © 2016 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. 8 Problems of Availability and Use of Secondary Data The problem for American marketing researchers is sorting through too much data. Available data may not have the level of reliability necessary for confident decision making for many reasons. Comparability of data can even be a problem when the best commercial research firms collect data across countries, and managers are well advised to query their vendors about this problem. 9 Copyright © 2016 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. 9 Shortcomings Faced by Foreign Markets Availability Authenticity Reliability Comparability 10 Copyright © 2016 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. Validating Secondary Data The following questions should be asked to effectively judge the reliability of secondary data sources: Who collected the data? Would there be any reason for purposely misrepresenting the facts? For what purposes were the data collected? How (by what methodology) were the data collected? Are the data internally consistent and logical in light of known data sources or market factors? 11 Copyright © 2016 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. 11 Gathering Primary Data: Quantitative and Qualitative Research Primary data – Data collected specifically for the particular research project at hand Collected if even after seeking all reasonable secondary data sources, research questions are still not adequately answered Sources Sales representatives Distributors Middlemen Customers 12 Copyright © 2016 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. Types of Marketing Research Quantitative research A large number of respondents are asked to reply either verbally or in writing to structured questions using a specific response format (such as yes/no) or to select a response from a set of choices. Qualitative research Questions are asked––they are almost always open-ended or in-depth––and unstructured responses, including storytelling, that reflect the person’s thoughts and feelings on the subject are sought. 13 Copyright © 2016 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. 13 Lego’s Olivia This “Olivia” figure attempts to reflect the girls’ reported preferences for thinner shapes and pastel colors, rather than the boxy, primary-colored toys for boys. © Studio 101/Alamy 14 Copyright © 2016 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. 14 Qualitative Research: Uses Used in international marketing research to formulate and define a problem more clearly and to determine relevant questions to be examined in subsequent research Used to stimulate ad message ideas and where interest centers on gaining an understanding of a market rather than quantifying relevant aspects Helpful in revealing the impact of socio-cultural factors on behavior patterns Helpful in developing research hypotheses that can be tested in subsequent studies designed to quantify the concepts and relevant relationships uncovered in qualitative data collection 15 Copyright © 2016 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. Problems of Gathering Primary Data Ability to communicate opinions Willingness to respond Sampling in field surveys Language and comprehension 16 Copyright © 2016 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. 16 A call center in New Delhi, India Both customer service and telephone survey research are being outsourced to lower-wage English-speaking countries. © Brian Lee/Corbis 17 Copyright © 2016 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. 17 13 Primary languages listed on a 20-rupee Indian note Marketing researchers in India have to consider the problems of language diversity. © John Graham © John Graham 18 Copyright © 2016 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. 18 Translation Techniques A researcher cannot assume that a translation into one language will suffice in all areas where that language is spoken. Marketers use three different techniques: Back translation Parallel translation Decentering 19 Copyright © 2016 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. 19 Japanese second graders writing characters for shou The Japanese language commonly uses 15,000 kanji characters, which are borrowed from Chinese. The differences in the structure of the language from English make translation of questionnaires a most daunting task. © Cary Wolinsky/Trillium Studios 20 Copyright © 2016 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. 20 Multicultural Research: A Special Problem Involves countries that have different languages, economies, social structures, behavior, and attitude patterns Ensure comparability and equivalency of results Consider varying reliabilities in different countries 21 Copyright © 2016 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. Research on the Internet: A Growing Opportunity Online surveys and buyer panels Online focus groups Web visitor tracking Advertising measurement Customer identification systems E-mail marketing lists Embedded research Observational research (netnography) 22 Copyright © 2016 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. Estimating Market Demand Expert Opinion Experts are polled for their opinions about market size and growth rates. The key in using expert opinion to help forecast demand is triangulation, that is, comparing estimates produced by different sources. Analogy Assumes that demand for a product develops in much the same way in all countries, as comparable economic development occurs in each country. 23 Copyright © 2016 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. The ruins of the Temple of Delphi Everybody wants to see the future—even the ancient Greeks consulted the Oracle of Delphi. Modern forecasters may have better tools, but the hazards of the job are still great. Or, as Yogi Berra eloquently put it, “The future ain’t what it used to be.” © John Graham 24 Copyright © 2016 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. 24 Exhibit 8.1 Mobile Phone Diffusion Rate (per 100 people) 25 Copyright © 2016 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. Source: World Bank, World Development Indicators 2010 (Washington, DC: World Bank, 2012). 25 Problems in Analyzing and Interpreting Research Information Both secondary and primary data collected by the market researcher are subject to many limitations. Accepting information at face value in foreign markets is imprudent. The meanings of words, the consumer’s attitude toward a product, the interviewer’s attitude, or the interview situation can distort research findings. 26 Copyright © 2016 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. Coping with Disparities The researcher must possess a high degree of cultural understanding of the market in which research is being conducted. The social customs, semantics, current attitudes, and business customs of a society or a subsegment of a society A creative talent for adapting research methods is necessary. A skeptical attitude in handling both primary and secondary data is helpful. 27 Copyright © 2016 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. 27 Responsibility for Conducting Marketing Research Decentralization: Local analysts provide information more rapidly and accurately than a staff research department Advantage Control rests in hands closer to the market Disadvantage Possible ineffective communications with home-office executives Potential unwarranted dominance of large-market studies in decisions about global standardization 28 Copyright © 2016 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. 28 Ford and Philips research centers Both Ford and Philips keep track of European technology and consumers and develop products for global markets at their research centers in Aachen, Germany. Some of the best technical universities in Europe are close by in Belgium, the Netherlands, and Germany. © John Graham © John Graham 29 Copyright © 2016 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. 29 Communicating with Decision Makers Decision makers must be provided with analyses and interpretation of information gathered in a timely manner. Decision makers must be involved in the fieldwork of seeing the market and hearing the voice of the customers in the most direct ways when the occasion warrants. Marketing decision makers have questions about how best to serve customers, and those questions are posed and answered often through the media of questionnaires and research agencies. 30 Copyright © 2016 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. Exhibit 8.2 Managing the Cultural Barrier in International Marketing Research There are four kinds of company–agency–customer relationships. Options B and C are better suited for managing the cultural barrier across the chain of communication. That is, in both cases, the cultural barrier is bridged within a company where people have a common corporate culture and work together on an everyday basis. 31 Copyright © 2016 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education. 31 Summary The basic objective of the market research: Providing management with information for more accurate decision making The three keys to successful international marketing research: The inclusion of natives of the foreign culture on research teams The use of multiple methods and triangulation The inclusion of decision makers, even top executives, who must on occasion talk directly to or directly observe customers in foreign markets 32 Copyright © 2016 McGraw-Hill Education. All rights reserved. No reproduction or distribution without the prior written consent of McGraw-Hill Education.