MARKETING RESEARCH PLAN

Marketing Research Plan

Marketing Research Plan

The term marketing research refers to the gathering, recording, analyzing and presenting information which focus on a previously defined problem and it is closely linked to the firm's decision-making processes concerning new product launch, diversification, advertising and so on. Kotler gives the following definition:

Marketing research is the function linking the consumer, customer and public to the marketer through information - information used: to identify and define marketing opportunities and problems; to generate, refine and evaluate marketing actions; to monitor marketing performance; and to improve understanding of the marketing process (Procter, 2000).

International marketing research is, on the other hand, a more comprehensive and complex area, as it requires the thorough study of the market potential in foreign markets which involves the investigation of cultural, political, legal and macroeconomic factors, as well. International competition also has to be taken into account, and instead of only analyzing each (individual) market's competitive situation, a multinational approach is more sufficient and suitable (Chisnall, 1997)..

Information It Provides

The very first issue to be considered in case of the expansion of a firm is whether to go international at all, or to remain in the domestic market. To answer this question, information is needed not just on the local or domestic future opportunities and competitiveness of the firm, but on the global market demand, and the firms' possible share in it. Furthermore, the commitment of the management to go international has to be observed, as well. Once it has been decided that a firm enters foreign markets, the question of which specific country(ies) or market(s) to target still remains. In order to select the most desirable market, the ranking of the markets „according to market potential, local competition, and the political situation has to be made. The next step in the decision-making process is to elaborate on the different ways of entering the market - exporting or licensing etc. This requires the analysis of the market size and its segments, the nature of the product, the existing trade barriers of the country, the government's regulations and laws and whole attitude towards imports, the political situation and the local competition and industry, as well. Designing the global marketing program is also an essential part of the decision-making process and requires data concerning buyer behavior, competitive practice and the observation of the already available distribution, media and promotional channels. In order to implement and control the program successfully, information related to the differences in the negotiation styles of the cultures, the marketing expenses per market has to be gathered (William, 2000)

Richard Holton suggests three questions to be answered related to foreign market segmentation and entry: „Who are the players - the competitors, customers, suppliers, government officials, and others - who can affect our operation?, „What strategic alternatives or actions is each player likely to consider?, „What are the probabilities attached to each strategic alternative? Besides these aspects, the conventional marketing questions, such as product and pricing decisions, buying behavior, distribution channels or simply „how ...