Transcript GLOBAL MARKETING RESEARCH Chapter Six

Global Marketing Management, 4e
Chapter 6
Global Marketing
Research
Chapter 6
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Chapter Overview
1. Research Problem Formulation
2. Secondary Global Marketing Research
3. Primary Global Marketing Research
4. Market Size Assessment
5. New Market Information Technologies
6. Managing Global Marketing Research
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Introduction
 Given the complexity of the global marketplace,
solid marketing research is critical for a host of
global marketing decisions.
 Most of the cultural blunders in global marketing
stem from inadequate marketing research.
 Six steps in conducting global market research:
1. Define the research problem(s)
2. Develop a research design
3. Determine information needs
4. Collect the Data (secondary and primary)
5. Analyze the data and interpret the results
6. Report and present the findings of the study
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Introduction
 Major challenges faced by global marketing
researchers:
1. Complexity of research design due to environmental
differences
2. Lack and inaccuracy of secondary data
3. Time and cost requirements to collect primary data
4. Coordination of multicountry research efforts
5. Difficulty in establishing comparability across multicountry studies
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1. Research Problem Formulation
 Any research starts off with a precise definition of the
research problem(s).
 In an international context, the marketing research
problem formulation is hindered by the self-reference
criterion (SRC).
 A major difficulty in formulating the research problem
is unfamiliarity with the foreign environment.
 Omnibus surveys are regularly conducted by research
agencies.
 Once the research issues have been stated,
management needs to determine the information
needs.
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2. Secondary Global Marketing
Research
 Secondary Data: Data/information which is already
available.
 Primary Data: When the information is not useful,
or simply does not exist.
 Selected Secondary Data Sources: Lexis/Nexis,
FINDEX, National Trade Data Bank, U.S.
Department of Commerce, Japan External Trade
Organization (JETRO), OECD, IMF, The
Economist Intelligence Unit (E.I.U.), ACNielsen
Co, Taylor Nelsen Sofres, etc.
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2. Secondary Global Marketing
Research
 Problems with Secondary Data Research:
– Accuracy of Data
– Age of data
– Reliability over Time
– Comparability of Data
 Triangulate
 Functional or Conceptual Equivalence
– Lumping of Data
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3. Primary Global Marketing Research
 Focus Groups
 Survey Methods for Cross-Cultural Marketing
Research:
– Questionnaire Design
 Conceptual and Functional Equivalence
 Translation and Scalar Equivalence
 Back Translation and Parallel
Translation
 Scalar Equivalence
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3. Primary Global Marketing Research
– Sampling: A sampling plan consists of:
 Sampling unit
 Sample size
 Sampling procedure
– Contact Method (see Exhibit 6-5)
 Mail
 Telephone
 Person-to-person interviews
 Online Survey Methods (see Exhibit 6-6):
– E-mail surveys
– Random Web site surveys
– Panel Web site surveys
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3. Primary Global Marketing Research
– Collecting the Information
 Issues of nonresponse
 Courtesy bias
 Social desirability bias
 Redundancy (asking the same question in
different ways)
 Issues of ethnographic research
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4. Market Size Assessment
 Method of Analogy
– Longitudinal method of analogy
 Trade Audit
 Chain Ratio Method
 Cross-Sectional Regression Analysis
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4. Market Size Assessment
 When using market size estimates, keep the
following rules in mind:
– Use several different methods.
– Don’t be misled by numbers.
– Don’t be misled by fancy methods.
– Do a sensitivity analysis by asking what-if
questions.
– Look for interval estimates with a lower and
upper limit rather than for point estimates.
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5. New Market Information Technologies
 Major developments/innovations:
– Point of sale (POS) store scanner data
– Consumer panel data
– Single source data
– Shift from mass to micro marketing
– Continuous monitoring of brand sales/market
share movements
– Scanning data are used by manufacturers to
support marketing decisions.
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5. New Market Information Technologies
– Scanning data are used to provide merchandising
support to retailers.
– Market research tools being developed to track the
effectiveness of newer marketing mix vehicles such as
the Internet- goal is to establish a “Nielsen rating” for
websites similar to those for TV programming.
– CATI (Computer-Assisted Telephone Interviewing)
– CAPI (Computer-Assisted Personal Interviewing)
- CATI/CAPI benefits include speed, accuracy, and the ability to
steer data collection based on the response.
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6. Management of Global Marketing
Research
 Selecting a Research Agency: The following
considerations should be taken into account while
choosing agency:
– Level of expertise
– Qualifications
– Track record
– Credibility and experience
– Client record
 Coordination of Multi-Country Research:
– Emic versus Etic dilemma
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6. Management of Global Marketing
Research
– The emic school focuses on the peculiarities of
each country.
– The etic approach emphasizes universal
behavioral and attitudinal traits.
– In cross-cultural market research, the need for
comparability favors the etic paradigm with an
emphasis on the cross-border similarities and
parallels.
– Several approaches may be used to balance
these conflicting demands.
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