Transcript International marketing Session 3- International Marketing Research

International marketing
Session 4- International
Marketing Research
Ana Colovic
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Marketing research
Different types of studies
Different classifications (typologies of studies):
1- According to objectives: exploratory,
descriptive, causal
2- According to techniques: qualitative,
quantitative
3- According to data used: secondary, primary
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Secondary data
Official and unofficial sources
National statistics
Private statistics
Market studies
Newspaper articles
…
Problem: The reliability of the secondary data
sources
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Primary data
• Two types of techniques:
• Qualitative (answers the question WHY)
Group discussions and individual interviews
Content analysis
• Quantitative (answers the questions WHO,
WHEN, HOW MANY, HOW MUCH)
Questionnaire
Statistics
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Qualitative studies
An exploratory qualitative study is
conducted before a quantitative study 2-stage research
Only a qualitative study is conducted - 1stage research. A decision is taken after
the study.
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Qualitative studies (2)
Interviews:
Interview guide
Duration: from 45 minutes to two hours
Data analysis: Transcription; Coding;
Content analysis
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Qualitative studies (3)
Group techniques:
Focus group
Mini group
Conflict group
Commando group
Brainstorming (Creative group)
…
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Quantitative studies
Surveys
Questionnaire
Different techniques: face to face,
phone, mail, Internet,…
Use of software: SPSS, SAS, STATA,
…
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International marketing
research (IMR)
• As a management tool, international
marketing research can help the firm to
reduce its exposure to risk, avoid errors,
identify opportunities and match the firm’s
capabilities with foreign openings.
• International marketing research is necessary
in order to decide which foreign markets to
enter and the best mode of entry (exporting,
licensing, joint ventures, etc.) to each country.
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IMR (2)
• A distinction might be made between international
marketing intelligence (information about the overall
marketing environment) and functional research
(concerns particular aspects of the firm’s marketing
activities).
• The distinction between marketing intelligence and
functional research is rarely clear.
• They combine to create the firm’s international
marketing information system, which covers market
analysis, competitor analysis and the assessment of
risks and potential returns.
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Secondary information
• Publications of national statistical offices (often available on CD
ROM)
• Directories and data books issued by private publishing
companies (ex. Euromonitor’s International Marketing Data and
Statistics)
• Databases (ex. FT Profile)
• Statistics gathered by international organizations - OECD, UN,
European Commission, IMF
• Chambers of commerce and trade associations, either in the
home country or in the target market
• Market research reports published by market research
companies
• Trade and technical magazines
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Primary research
• All the problems of domestic primary
marketing research are replicated at the
international level, and are more severe.
• The research design has to be modified
in each country according to local
cultural, economic, social and
institutional factors.
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Primary research - Problems
and issues
• A decision is needed regarding whether the research
is to be managed at the head office or local level.
• It is difficult to establish an appropriate unit of
analysis at the multi-country level.
• Qualitative data collection and analysis techniques
are subject to cultural bias on the part of foreign
researchers implementing them.
• Survey methods have to be varied according to
literacy and education levels.
• Field experiments are difficult to replicate.
• It is difficult to compare research results from one
country with those of others.
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Analysis of competitors
• Considering the high costs of IMR and the
uncertainties involved, some companies
choose to rely instead on close observation of
the activities of competitors.
• Competitor analysis includes: strengths and
weaknesses of competitor’s products;
reasons for operating in particular markets;
organization; terms of sale, credit periods,
after-sales service; financial performance,
promotional materials; product development
strategies; prices; campaigns etc.
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Market analysis
Market surveys cover:
-demographics
-market size and structure
-macroeconomic influences
-consumer characteristics
-spending patterns (% of consumer purchase
made in supermarkets, hypermarkets,
independent retailers, department stores, …)
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Organizing research
Firms may conduct foreign research themselves, or use specialist
market research firms for this work. Specialists can be either
home-based firms or local researchers.
Advantages of using a domestic firm:
-can meet all research needs
-wide-ranging experience
-the quality of the work can be evaluated quickly.
Problems with using a foreign company:
-expensive and time-consuming need to visit the firm
-laws of the other country apply (in case of disputes)
-the performance is difficult to assess.
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Marketing research in the
Third World
• Although it is extremely difficult to conduct marketing research in
Third World countries, research is perhaps the most reliable way
to determine the essential characteristics of consumer
environments and behavior in these countries.
• Problems: lack of published information on market
characteristics; absence of local research companies; lack of
common language (in some countries); inability to identify the
nature and size of dwelling units (people live in tents or other
temporary accommodation, on the streets); pour mail and
telecommunications systems, law literacy rates, absence of
trained interviewers, sampling problems…
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