“AN OVER VIEW OF

BUSINESS RESEARCH”
Submitted to : Ms.Sumitha Achar
Senior Lecturer
AIBA
St. Aloysius College
Mangalore-3
Submitted by: 1ST group
1ST MBA Batch B
AIBA
St. Aloysius College
Mangalore -3

GROUP MEMBERS:-
PRASHANT NAIK
KRUPAKSH GURAV
ALLWYN DIAS
ANUSHLY
RACHITA PINTO
PRAVEEN JACOB

SUBMITTED ON: 11-10-2008

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 INDEX
S L NO. CONTENTS PAGE NO.

1 . Business Research definition

.Basic research and applied research
.Managerial value of business research
2 .Scope of business research
. Need of business research
. Major topics of research
3 .Business research in 21 century
.How might a non-profit business organization
use business research
.Role of research in business decision making
4 .Meaning and introduction of business research
.Objective of research
.Role of research in important areas
5 .Types of research
.Need for marketing research
.Importance of marketing research
6 .Characteristics of a good research
.problems encountered by research in India
.Application of market research

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 Business Research

Definition
The task of business research is to generate accurate information
for use in decision making. The emphasis of business research is on shifting
decision makers from intuitive information gathering to systematic and
objective investigation.
It is defined as the systematic and objective process of gathering, recording,
and analyzing data for aid in making business decisions.
This definition suggests, first, that research information is
neither intuitive nor haphazardly gathered. Literally, research (re-search)
means to “search again”.
It connotes patient study and scientific investigation were in the researcher
takes another, more careful look at data to discovered al that can be known
about the subject of study.
Second, if the information generative or data collected and analyzed are to
be accurate, the business researcher much be objective. The need for
objectivity was clearly stated by the 19th century American humorist atriums
ward, who said, “it ain’t the things we don’t known that gets us in trouble.
It’s the things we know that ain’t so.” Thus, the role of the researchers is to
be detach and impersonal rather than engaging in a biased attempt to prove
preconceived ideas. If bias enters the research process, the value of data s
considerably reduces.
A developer who owned the large area of land on which he
wish to build a high-prestige shopping center wanted a research report to
demonstrate to prospective retailer that there was a large market potential for
such a center. Because he conducted his survey exclusively in an elite
neighborhood, north surprisingly his findings showed that a large percentage
of respondents wanted a “high prestige” shopping center. Results of this kind
are misleading, of course, and should be disregarded. If the user of such
finding discovered how they were obtained, the developer loses creditability.
If the user is ignore and of the bias in the design and unaware that the
researcher were not impartial, his decision may have consequences more
adverse than if he had made strictly on intuition. The importance of
objectivity cannot be over emphasized. Without objectivity research is
valueless.
Third, the above definition of business research points out
that its objective is to facilitate the managerial decision-making process for

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all aspects of a business: finance, marketing, personnel, and so on. The
definition is not restricted to one aspect of business. An essential tool for
management in its problem-solving and decision-making activities, business
research generates and provides the necessary qualitative or quantitative
information upon which to base decisions. By reducing uncertainty of
decisions, research reduces the risk of making wrong decisions. However,
research should be an aid to managerial judgment, not a substitute for it.
There is more to management than research. Applying research remains a
managerial art.

Basic Research and Applied Research with real life examples

One reason for conducting research is to develop and

evaluate concepts and theories, and basic-or pure-research attempts to
expand the limits of knowledge. It does not directly involve the solution to a
particular, pragmatic problem. It as been said that “there is noting so
practical as a good theory.” although this statement is true in long run, basic
research findings generally cannot be immediately implemented. Basic
research is conducted to verify the acceptability of a given theory or to
discover more about a certain concept.
For example, consider this basic research conducted at a university.
Academic researchers investigated whether an individual’s perception that
he or she was ding well on a task would have any influence on future
performance. Two nearly identical groups off adults were give the same set
of ten puzzles to solve. After the subject had given their solution to the
researcher, they were told “how well” they did on the test. All member of the
first groups were told that they had done well: 70% correct (regardless of the
actual percent correct) the member of the other groups were told that they
had done poorly (30 percent correctly) then both groups were given another
set of puzzles. That subject who had been told they had been done well on
the first set of puzzles performed better with the second set of puzzles then
did those who had been told they had been relatively unsuccessful with the
first puzzles solving. The results of this basic research research expand
scientific knowledge about theories of general performance behavior. This
study was conducted because the research thought the theory being tested
was far-reaching and applicable to a broad range of situation and
circumstances.
Applied research is conducted when decision must be made about a specific
real-life problem. Applied research encompasses or to make decisions about
a particular course of action or policy. For example, organization
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contemplation a paperless office and a networking system of the company’s
personal computer may conduct research to learn the amount of time its
employee spends at personal computer in an average week.
The procedures and techniques utilized by basic and applied researches do
not differ substantially. Both employ the scientific method to answer the
question at hand. Broadly characterized, the scientific method refers to
techniques and procedures that help the researcher to know and understand
business phenomena. The scientific method requires systematic analysis and
logical interpretation of empirical evidence (facts from observation and
experimentation to confirm or disprove prior conception. In basis research,
first testing these prior conception or hypotheses and then making inference
and conclusion about the phenomena lead to the establishment of general
laws about the phenomena.
Use of the scientific method in applied research assures objectivity in
gathering facts and testing creative ideas for alternative business strategies.
The essence of research, whether basis or applied, lies in the scientific
method, and much of this book deals with scientific methodology. The
difference in the technique of basic and applied research is largely a matter
of degree rather than substance.

Managerial Value of Business Research

The research facilities effective management. At many

companies research drivers every aspect of major decision making. For
example, at Ford Motor Company, research is so fundamental that
management makes hardly any significant decision without the benefit of
some kind of business research.
The prime managerial value of business research is that it reduces
uncertainty by providing information that improves the decision making
process. The decision making process associated with the development and
implementation of a strategy involves four interrelated stages:

1. Identifying problems or opportunities

2. Diagnosing and assessing problems or opportunities
3. Selecting and implementing a course of action
4. Evaluating the course of action
Business research, by supplying managers with pertinent information, may
play an important role by reducing managerial uncertainty in each of these
stages.

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 Identifying problem or opportunities

Before any strategy can be developed an organization must

determined where it wants to go and how it will get there. Business research
can be help managers plan strategies by determining the nature of situation
or by identifying the existence of problem or opportunities present in the
organization.
Business research can be also used as scanning activity to provide
information about what is occurring within and organization or an
environment. The mere description of some social or economic activity may
familiarize manager with organizational and environmental occurrence and
help them understand a situation. Considered two examples:

• The description of the dividend history of stock in an industry may point to

an attractive investment opportunity supplied by business research may also
indicate problem.
• Employee interview undertaken to characterize the dimension of an airline
reservation clerk’s job may reveal that reservation clerks emphasis
competence in issuing tickets over courtesy and friendliness in customer
contact.

Once business research indicate a problem or opportunity, managers may

feel that the alternative are clears enough to make a decision based on
experience or intuition, or they may decide that more business research is
needed to generate additional information for better understanding of the
situation.

Diagnosing and Assessing Problem Opportunities

After an organization recognized a problem or identities a

potential opportunity, an important aspect of business research is the
provision is the provision of diagnostic information that clarifies the
situation. Manager need to gain insight about the underlying factors causing
the situation. If there is a problem, they need to explore, clarify, and refined
the nature of the opportunities. If multiple opportunities exits, research may
be conducted to set priorities. Quantitative or qualitative investigation may
help manager better understand what alternative courses of action are
practical.
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 Selection and implementing a course of Action

After the alternative course of action have been clearly

identify, business research is often conducts to obtain specific information
that will aid in evaluating the alternative and set in selection the best course
of action. For example, suppose a fax machine manufacturer much decide to
build a factory either in Japan or in South Korea. In such case, business
research can be designed to supply the relevant information necessary to
determine which course of action is best for the organization.
Opportunities may be evaluated through the use of various performances
criteria. For example, estimates of markets potential allow managers to
evaluate the revenue that will be generating by each of the possible
opportunities. A good forecast supplied by business research is among the
most useful pieces of planning information a manager can have. Of course,
complete accuracy in forecasting the future is not possible, because change
is constantly occurring in the business environment. Nevertheless, objective
information generates by business research to forecast environment
occurrence may be the foundation for selection a particular course of action.
Even the best plan is likely to fail if it is not properly implemented. Business
research may be conducted with the people who will be affected by a
pending decision to indicate the specific tactics required to implement that
course of action.

• Scope Of Business Research

The scope of business research is limited by once definition of “business”
certainly research in the production, finance, marketing or management areas
of for Profit Corporation qualifies as a business research. A broader
definition of business, however, includes not-for-profit organization. Such as
American Heart association, the son Diego zoo, and the Boston pop
orchestra. Each of this organization exists to satisfy social needs, and each
requires business skills to produce and distribute the services that people
want.

Following points explain the how the Business Research is used in

the present world contents and its scope in the business.

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 1. For the manager purpose of the research is to fulfill the need for the
knowledge of the organization, the market, the economy, another area of
uncertainty. A financial manager will ask, “Will the environment for the long
term financing be better 2 year from now? A personal manager asks, “What
kind of training is necessary for increasing productivity of the employee”. It
also helps manager to find out the reason for higher employee turnover? So
the research will be the one of the principle tool for answering these
questions.
2. Study of research is helpful for manager in making quick decision. As
manger has to implement plans and policies and all these plans and policies
are depending upon the information. So research regarding marketing plans
and policies are required, that provides accurate information for the business.
So research is required.
3. Business research conducting research within an organization may be
referred to as a marketing research. Although business research is
specialized, the term business research encompasses this entire functional
specialty.
4. While research in different field may investigate different phenomena,
they are comparable to one another because they use similar research
method.
5. The main aim of conducting a research is to develop and evaluate concept
and theories and it help to expand the limited knowledge.
6. Research has its special significance in solving various operational and
planning problems of the business and industry.

• When is business research is needed or need of business

research
A manager faced with two or more possible courses of action faces the initial
decision of whether or not research should be conducted. The determination
of the need for research centers on
1. Time constraints
Conducting research systematically takes time. In many instances
management concludes that, because a decision must be made immediately,
there will be no time for research. As a consequence, decisions are some
time made without adequate information or through understanding of the
situation. Although such rapid decision making is not ideal. Sometimes the
urgency of situation precludes the use of research.

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 2. Availability of data
Often managers already possess enough information to make sound
decisions with no business research. When they lack adequate information,
however, research must be considered. Manager must ask themselves if the
research will provide the information needed to answer the basic question
about a decision. If the data cannot be obtained, research cannot be
conducted. For example many African nations have never conducted a
population census. Organization engaged in international business often
finds that data about business activity population characteristics that are
rapidly available in United States are nonexistent or sparse in developing
countries.
3. Nature of decision
The value of business research will depend on the nature of the
managerial decision to be made. A routine tactical decision that does not
require substantial investment may not seem to warrant substantial
expenditure for research. For example, a computer company must update its
operator’s instruction manual when it makes minor product modification.
The nature of the decision is not totally independent of the next issue to be
considered, the benefit versus the cost of the research. In general, however,
the more strategically or tactically important the business decision, the more
likely it is that research will be conducted.
4. Benefits versus costs
Some of the managerial benefits of the business research have already
been discussed. Of course, conducting research activities to obtain these
benefits require an expenditure; thus, there are both costs and benefit in
conducting business research. In any decision-making situation, manager
must identify alternative course of action, than weigh the value of each
alternative against its cost. It is useful to think of business research as an
investment alternative.
• MAJOR TOPICS FOR RESEARCH IN BUSINESS
Research is expected to improve the quality of business decisions, but
what kind of business decision benefit most from research efforts is
explained with help of the following data.
1.General business condition and corporate research:
Short range forecasting, long range forecasting, business and industry
trends, global environment, inflation and pricing, plant and warehouse
location, acquisition are the major topic in general business condition in
corporate research.

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2. Financial and accounting research
Forecast of financial interest rate trend, stock, bonds, and commodity
value predictions, capital formation alternatives, merger and acquisition, risk
return trade-off, impact of taxes, port folio analysis, research on financial
analysis, expected rate of return, capital assets pricing model, credit risk,
cost analysis.
3. Management & And Organizational Behavior Research
Total quality management, morale and job satisfaction, leadership
style, employee productivity, organizational effectiveness, structural issue,
absenteeism and turn over, organizational climate, organizational
communication, time and motion study, physical environment, labor union
and trends.
4. Sales and marketing research
marketing potential, market share, market segmentation, market
characteristics, sales analysis, establishment of sales quotas, territories,
distribution channel, new product concept, test market, advertising research,
buyer behavior, customer satisfaction, web site visitation rates,
5. Information system research
Knowledge and information need assessment, computer information
system, technical support satisfaction, database analysis, data mining,
enterprise resource planning, and customer relationship management system.
6. Corporate responsibility research
Following are the some of the corporate research areas of the business.
Ecological impact, legal constraints on advertising and promotion, sex, age,
and racial discrimination worker equity social values and ethics. These are
the major topics in research in business.

Business research in the21st century

Business research has been strongly influenced by two major trends

in business increased globalization and the rapid growth of the Internet and
other information technologies. These trends will continue, and likely
accelerate, as the 21st century progress.

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Global Business Research

Business research has become increasingly global and will become

more so in the 21st century. Some companies have extensive international
business research operations.
Upjohn conducts business research in 160 different countries.
A.C Nielsen International, with its television ratings, is the world’s largest
business research company. Two-third of its business comes from out-sides
the United States.
Companies that conduct business in foreign countries must understand the
nature of those particular markets and judge whether they require
customized strategies.
For examples:- Although the 15 nations of the European Union share a
single formal market, business research shows that European do not share
identical tastes for many consumer products. Business researchers have
found no such thing as a typical European consumer; language, religion,
climate, and centuries of tradition divide the nations of the European Union.
Scantel Research, a British firm that advises companies on color
preferences, found inexplicable differences in Europeans’ preferences
concerning medicines.
The French prefer to pop purple pills, but the English and Dutch favor
white ones. Consumers in all three countries dislike bright red capsules,
which are big sellers in the United States. This example illustrates that
companies that do business in European must judge whether they need to
adapt to local customers and buying habits.
Although the nature of business research can differ around the globe, the
need for business research is universal.

Growth of the Internet

The internet is transforming society. Time is collapsing. Distance

is no longer an obstacle. Crossing oceans requires only a mouse click.
People are connected 24 hours a day, 7 days a week. ‘Instantaneous” has a
new meaning.
The internet is a worldwide network of computers that allows users access
to information and documents from distant sources. Many people believe
that the internet is the most important communications medium since
television. It has certainly changed the way millions of people think about
getting and distributing information. And, of course, obtaining and

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communicating information is the essence of business research. Consider
that a researcher seeking facts and figures about a business issue may find
more extensive information on the internet more quickly than by visiting a
library.
In the 21 st century, business research on the internet is moving out
of the introduction stage of its product life cycle into the growth stage.

How might a Non-Profit Organization use Business Research?

A nonprofit organization is any organization that does not aim at making
profits and also is not a public body.
Ex:-education institution, temple management, NGO’s, and hospital
management etc.

Nonprofit organization may use business research as they are unfamiliar

with marketing concept. It’s important that these organizations understand
that marketing is more than just the old sense of making sale or obtaining a
donation.
According to Business Research following are eight steps which could be
used by Non Profit organization for marketing ideas to make a significant
difference in the organization.
1. Define the target, research similar organizations and associations.
2. Determine the desired outcome of your marketing efforts.
3. Using the information gathered in step1 and 2 develop brochures and
marketing materials that describe the benefits, services, donation
opportunities, and values of your organization.
4. Develop your public relations strategy. Be sure to use the media, other
associations that are reaching out to the same target market that you are.
5. Develop and maintain a professional Internet presence by creating a web
site. You can use a website as a great resource to display useful information,
news, monthly newsletters, events, create community, share alternatives to
donating money, and showcase the benefits of your organization.
6. Research and maintain your prospect and customer databases. Do not let
these resources be wasted. Use them for special mailings, follow-up
telephone calls, event invitations, alliance development, research profiling,
and market segmentation.
7. Show and advertise the results and objectives that your organization
achieves. You will find that it is effective to showcase those that are
receiving benefits, inversions activities and projects.

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 8. Always actively search for alliances with other organizations, commerce,
government, advertising media, and business. This step alone often brings
the most benefit to Non Profit organizations.

Role of Business research in decision making stages of decision

making process

An increasing amount of attention is being devoted to the decision –

making process of business managers, customers and employees. Many of
the advances in business management in recent years are the result of
adopting research findings in the behavioral sciences to business situations.
It is important to bear in mind that all the social sciences, law and many
other disciplines many have aspects that relate to business.
Research, being a fact, finding process, profoundly influences
business decisions. The business manager is interested in choosing that
course of action which is most effective in attaining the goals of the
organization. Research not only provides facts and figures in support of such
business decisions, but enables one to choose a measuring rod to judge the
effectiveness of each decision. This may be the reason why executives and
business professionals consider research and research findings a boon in
their problem –solving process. The decision –maker wants the simplest
model that predicts outcomes reasonably well and is consistent with
effective action on his part research has a tremendous potentiality to assist
him in this respect substantially in management problem.
A considerable number of business problems are now given a
quantitative treatment with some degree of success with the help of
operations research. In fact, business decisions are now more quantitatively
dealt with than ever before, irrespective of functional distinctions. There
may not be any reason now to believe that business is more dependent on
research than ever before. Research and development which is to be
welcomed.
Research and analysis of management problems would result in certain
conclusions by means of logical analysis. The decision- maker may base his
action or solution on these conclusions. If the logic in deriving the
conclusions from abstracted variables is correct, and if the relevant variables
have been aptly abstracted, then the solution to the problems arrived at by
research findings would be helpful in solving identical problems.
Research, is the very core of managing a business economically.
Research in management is, broadly, a systematic activity directed towards
investigating managerial or business problems and results in an invention or
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a discovery of management tools for problem-solving and decision- making.
It can be a detailed investigation of the existing problem, practices or
processes.
Research suggests that customers go through a five –stage decision –
making process in any purchase. That is summarized in the diagram below

Need recognition and problem

awareness

Information search

Evaluation of alternatives

Purchase

Post-purchase evaluation

This model is important for any one making marketing decisions. It forces
the marketer to consider the whole buying process rather than just the
purchase decision (when it may be too late for a business to influence the
choice).
The model implies customer pass through all stages in every purchase.

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However, in more routine purchases, customer often skips or reverses some
of the stages.

Meaning of Research
It’s the scientific method of systematically gathering, recording and
analyzing data important to advertisers. Research information is used to
plan, create, and execute more effective advertising and marketing
campaigns.

Market research and marketing research are often confused. 'Market'

research is simply research into a specific market. It is a very narrow
concept. 'Marketing' research is much broader. It not only includes 'market'
research, but also areas such as research into new products, or modes of
distribution such as via the Internet. Here are a couple of definitions:

"Marketing research is the function that links the consumer, customer, and
public to the marketer through information - information used to identify
and define marketing opportunities and problems; generate, refine, and
evaluate marketing actions; monitor marketing performance; and improve
understanding of marketing as a process. Marketing research specifies the
information required to address these issues, designs the methods for
collecting information, manages and implements the data collection process,
analyzes, and communicates the findings and their implications."American
Marketing association - Official Definition of Marketing Research
Obviously, this is a very long and involved definition of marketing research.

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"Marketing research is about researching the whole of a company's
marketing process."

Palmer (2000).

This explanation is far more straightforward i.e. marketing research into the
elements of the marketing mix, competitors, markets, and everything to do
with the customers.

The Marketing research Process.

Marketing research is gathered using a systematic approach. An example of

one follows:

1. Define the problem. Never conduct research for things that you would
'like' to know. Make sure that you really 'need' to know something. The
problem then becomes the focus of the research. For example, why are sales
falling in New Zealand?

2. How will you collect the data that you will analyze to solve your
problem? Do we conduct a telephone survey, or do we arrange a focus
group? The methods of data collection will be discussed in more detail later.

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 3. Select a sampling method. Do we us a random sample, stratified sample,
or cluster sample?

4. How will we analyze any data collected? What software will we use?
What degree of accuracy is required?

5. Decide upon a budget and a timeframe.

6. Go back and speak to the managers or clients requesting the research.

Make sure that you agree on the problem! If you gain approval, then move
on to step seven. 7. Go ahead and collect the data.

8. Conduct the analysis of the data.

9. Check for errors. It is not uncommon to find errors in sampling, data

collection method, or analytic mistakes.

10. Write your final report. This will contain charts, tables, and diagrams that
will communicate the results of the research, and hopefully lead to a solution
to your problem. Watch out for errors in interpretation.

Objectives

Define marketing as both a business function and a process.

• Identify and define all of the major elements of marketing.

• Explain the components of the marketing mix and product mix.
• Define products and services and identify the marketing elements that
differentiate them.

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• Explain the product life cycle.
• Explain the need for marketing advantage and its impact on business
success.
• Explain market segmentation, market positioning, sales forecasting and
market forecasting; their impact on marketing efficiencies; and their
integration into the strategic market planning process.
• Describe the various approaches to product/service pricing and discuss the
development of pricing strategy.
• Explain the relationship between marketing and marketing research in a
typical business.
• Explain the difference between a consumer and an organizational buyer in
terms of behavior and impact on marketing programs.
• Discuss product accessibility, explain marketing channels, name several
typical channels for both consumer products and business products, and
explain what is meant by channel conflict.
• Discuss the various ways to create customer awareness.
• Discuss how customer service and customer satisfaction affect the various
elements of marketing.
• Explain the differences and opportunities associated with domestic and
international marketing.
• Discuss the societal and ethical dimensions of marketing.
• Describe the role of the marketing professional in the corporate
environment.
• Apply marketing concepts and practices in marketing decision-making.

TYPES OF RESEARCH
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 The different types of research are as follows:
1. Exploratory Research:
This type of research is carried out at the very beginning when the
problem is not clear or is vague. In exploratory research, all possible reasons
which are very obvious are eliminated, thereby directing the research to
proceed further with limited options.
Sales decline in a company may be due to:
1. Inefficient service.
2. Improper price.
3. Improper quality.
The research executive must examine such questions to identify the
most useful avenues for further research. Preliminary investigation of this
type is called exploratory research. Expert surveys, focus groups, case
studies and observation methods are used to conduct the exploratory survey.
2. Descriptive Research:
The main purpose of descriptive research is to describe the state of
view as it exists at present. Simply stated, it is a fact finding investigation. In
descriptive research, definite conclusions can be arrived at, but it does not
establish a cause and effect relationship. This type of research tries to
describe the characteristics of the respondent in relation to a particular
product.
 Descriptive research deal with demographic characteristics of the consumer.
 The manufacturer can come out with facilities which will make the
television more user- friendly. Some of the facilities are – (a) Remote
control, (b) Child lock, (c) Different models for different income groups etc.
 Ultimately, the viewers who use the TV must be aware of the

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Programmed appearing in different channels and can plan their viewing
schedule accordingly.
3. Applied Research:
Applied research aimed at finding a solution for an immediate
problem faced by any business organization. This research deals with life
situations. Market research is an example of applied research. Applied
research has a practical problem solving emphasis. It brings out many new
facts.

4. Fundamental Research or basic research:

Gathering knowledge for knowledge’s sake is known as fundamental
research. It is not directly involved with practical problem. It does not have
any commercial potential. There is no intention to apply this research in
practice. Tata Institute of fundamental Research conducts such studies.
Example: Theory of Relativity.
5. Conceptual Research:
This research is generally used by philosophers. It is related to some
abstract idea or theory. In this type of research, the researcher should collect
the data to prove or disapprove his hypothesis. The various ideologies are
example of conceptual research.
6. Casual Research:
Casual research is conducted to determine the cause and effect
relationship between two variables.
Example: Effect of advertisement on sales.
7. Historical Research:
The name itself indicates the meaning of the research. Historical study
is the study of past records and data in order to understand the future trends
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and development of the organization or market. There is no direct
observation. The research has to depend on the conclusions or inferences
drawn in the past.
For example, investors in the share market study the past records or
prices of shares which he/she intends to buy. Studying the share prices of a
particular company enables the investors to take decision whether to invest
in the shares of a company.
The main objective of this study is to derive explanation and
generalization from the past trends in order to understand the present and
anticipate the future.
There are certain shortcomings of Historical Research:
1. Reliability and adequacy information is subjective and open to
question.
2. Accuracy of measurement of events is doubtful.
3. Verification of records is difficult.
8. Ex-post Facto Research:
In this research an examination of relationship that exists between
independent and dependent variable is studied. We may call this empirical
research. In this method, the researcher has no control over an independent
variable.
Ex-post facto literally means “from what is done afterwards”. The
researcher can only report “what has happened” and “what is happening”.
9. Action Research:
This type of research is undertaken by direct action. Action research is
conducted to solve a problem. Test marketing a product is an example of
action research. Initially,

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 the geographical location is identified. A target sample is selected from
among the population. Samples are distributed to selected samples and
feedback is obtained from the respondent. This method is most common for
industrial products, where a trial is a must before regular usage of the
product.
10. Library Research:
This is done to gather secondary data. This includes notes from the
past or review of the reports already conducted. This is a convenient method
whereby manpower and time are saved.

NEED FOR MARKET RESEARCH:

The needs for market research are as follows:
a. Decision-making tool:
Whenever a decision is to be made, marketing research becomes
necessary in the corporate world. The degree of dependence on research is
based on the cost of decisions. If the cost of decision is high, the dependence
on research is high, and vice versa.
b. Facilities large-scale production:
The market research helps large scale enterprises in the areas of
production to determine:
 What to produce?
 How much to produce?
 When to produce?
c. To determine the pattern of consumption:
The consumption patterns vary from place to place and time to time.
The market research helps in identifying the consumption pattern and also

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the availability of consumer credit in that particular place. It identify:
consumption pattern, brand loyalty, consumer behavior, market trends.

d. Complex market:
In a complex and dynamic environment, the role of market research
is very vital. Market research acts as a bridge between the consumer and the
purchaser. This is because market research enables the management to know
the need of the customer, the about demand for the product and helps the
producer to anticipate the changes in the market.
e. Problem solving:
The MR focuses on both short range and long range decisions and
helps in making decisions with respect to the 4p’s of marketing, namely,
product, price, place and promotion
f. Distribution:
The MR helps manufacturer to decide about the channel, media and
logistics planning so that its customers and distributors are benefited.
g. Sales promotion:
The MR helps in effective sales promotion. It enlightens the
manufacturer with regard to the method of sales promotion to be undertaken,
such as advertising, personal selling, publicity etc. It also helps in
understanding the attitude of the customers and helps how to design the
advertisement in line with prevailing attitudes.

IMPORTANCE OF MARKET RESEARCH:

“All progress is born of enquiry. Doubt is often better than
overconfidence, for it leads to inquiry, and inquiry leads to invention” is a
famous Hudson Maxim in context of which the significance of research can
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be understood. The role of research in several fields of applied economics,
whether related to business or to the economy as a whole, has greatly
increased in modern times. The increasingly complex nature of business and
government has focused attention on the use of research in solving
operational problems.
Research provides the basis for nearly all government policies in our
economic system. For instance, government’s budgets rest in part on an
analysis of the needs and desires of the people and on the availability of
revenues to meet these needs. The cost of needs has to be equated to
probable revenues and this is a field where research is most needed. Decision
making may not be a part of research, but research certainly facilitates the
decisions of the policy maker.
Research is considered necessary with regard to the allocation of
nation’s resources and it is necessary in collecting the information on the
economic and social structure of the nation. Such information indicates what
is happening in the economy and what changes are taking place. Thus, in the
context of government, research as a tool to economic policy has three
distinct phases of operation, viz., investigation of economic structure
through continual compilation of facts; diagnosis of events that are taking
place and the analysis of the force underlying them; the prognosis, i.e., the
prediction of future development.
Research has its special significance in solving various operational
and planning problems of business and industry. Operations research and
market research, along with motivational research, are considered crucial
and their result assists, in more than one way, in taking business decisions.
Market research is the investigation of the structure and development of a
market for the purpose of formulating efficient policies for purchasing,
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production and sales. Operations research refers to the application of
mathematical, logical and analytical techniques to the solution of business
problems of cost minimization or what can be termed as optimization
problems. Motivational research of determining why people behave as they
do is mainly concerned with market characteristics.
Research is equally important for social scientists in studying social
relationship and in seeking answers to various social problems .It provides
the intellectual satisfaction of knowing a few things just for the sake of
knowledge and also has practical utility for the social scientist to know for
the sake of being able to do something better or in a more efficient manner.
Research in social sciences is concerned both with knowledge for its own
sake and with knowledge for its own sake and with knowledge for its own
sake and with knowledge for what it can contribute to practical concerns.

Criteria of a Good Scientific Research

Whatever may be the types of research works and studies, one thing that is
important is that they all meet on the common ground of scientific method
employed by them. One expects scientific research to satisfy the following
criteria:

(1) The purpose of the research should be clearly defined and common
concepts be used.

(2) The research procedure used should be described in sufficient detail to

permit another researcher to repeat the research for further advancement,
keeping the continuity of what has already been attained.

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(3) The procedural design of the research should be carefully planned to
yield results that are as objectives as possible.

(4) The researcher should report with complete frankness, flaws in

procedural design and estimate their effects upon the findings.

(5) The analysis of data should be sufficiently adequate to reveal its

significance and the methods of analysis used should be appropriate. The
validity and reliability of the data should be checked carefully.

(6) Conclusions should be confined to those justified by the data of the

research and limited to those for which the data provide an adequate basis.

(7) Greater confidence in research is warranted if the researcher is

experienced, has a good reputation in research and is a person of integrity

Problems encountered by researchers in India.

The lack of a scientific training in the methodology of research is a
great impediment for researchers in our country.
There is paucity of competent researchers. Many researchers take a leap in
the dark without knowing research methods. Most of the work, which goes
in the name of research is not methodologically sound. Research to many
researchers and even to their guides, is mostly a scissor and paste job
without any insight shed on the collated materials. Thus, a systematic study
of research methodology is an urgent necessity. Before undertaking research
projects, researchers should be well equipped with all the methodological
aspects.

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 There is insufficient interaction between the university research
departments on one side and business establishments, government
departments and research institutions on the other side. Great deal of primary
data of non-confidential nature remains untouched/untreated by the
researchers for want of proper contacts. Efforts should be made to develop
satisfactory liaison among all concerned for better and realistic researchers.
There is need for developing some mechanisms of a university –industry
interaction programme so that academics can get ideas from practitioners on
what needs to be researched and practitioners can apply the research done by
the academics.
Most of the business units in our country don’t have that the material
supplied by them to researchers will not be misused and as such they are
often reluctant in supplying the needed information to researcher. The
concept of secrecy seems to be sacrosanct to business organizations in the
country so much so that it proves an impermeable barrier to researchers.
Thus, there is need for generating the confidence that the information/data
obtained from a business unit will not be misused.
Research studies overlapping one another are undertaken quite for
want of adequate information. This results in duplication and fritters away
resources. This problem can be solved by proper compilation and revision, at
regular intervals of a list of subjects on which and places where the research
is going on.
There does not exist a code of conduct for researches and inter
university and inter-departmental rivalries are also quite common. Hence
there is need for developing a code of conduct for researches which if
adhered sincerely can win over this is need for developing a code of conduct
for researches which, if adhered sincerely can win this problem.
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 Many researchers in our country also face the difficulty of adequate
and timely secretarial assistance, including computerial assistance. This
causes unnecessary delays in the competition of researcher studies. All
possible efforts be made in this direction so that efficient secretarial
assistance is made available to researchers and that too well in time.
University grants Commission must play a dynamic role in solving this
difficulty.
Library management and functioning is not satisfactory at many
places and much of the time and energy of researchers are spent in tracing
out the books, journals, reports, etc. rather than in tracing out relevant
material from them.
There is also the problem that many of our libraries are not able to get
copies of old and new Act/Rules, reports and other government publications
in time. This problem is felt more in libraries which are away in places. Thus
efforts should be made for the regular and speedy supply of all governmental
publications to reach our libraries.
There is also the difficulty of timely availability of published data
from various government and other agencies doing this job in our country.
There may, at times, take place the problem of conceptualization and
also the problems relating to the process of data collection ad related things.

Applications of Market Research

Pricing Research

We provide pricing strategy consulting backed by strong pricing

research capabilities. Our perspective is broad when dealing with pricing

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research and pricing strategy decisions, and focus on finding for your
business optimum price-product-feature configurations in the context of
market positioning opportunities. We employ both qualitative and
quantitative pricing research tools.

Product Research
Product market research serves several goals: new product design and
market validation research, or assessing existing product strength and line
extension potential. We follow the product development cycle integrating
research with creative positioning and technical product design efforts.
Concept Testing
Concept testing research evaluates advertising concepts, ad theme
concepts and appeals, new product concepts, pricing, brand concepts, brand
names, and positioning strategy concepts. We select techniques --
qualitative and quantitative -- to both develop concepts, refine, and screen to
assess market potential.

Positioning Research
We offer experienced market positioning and creative branding
research capabilities to define and go-to-market with a high-impact
positioning strategy. First, it requires understanding the market positioning
concept, your current and potential markets, and the process needed to
generate brand name impact.

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Marketing Due Diligence
We support venture investment firms with primary and secondary
marketing research in a stand alone or component marketing due diligence
study.

Customer Satisfaction Research

The buzz and interest around customer satisfaction research
sometimes deflates if the research design does not lead to actionable results.
Also, customer expectations generally rise overtime as advances in
technology in many categories boost the consumer consciousness of what to
expect. We build into our customer satisfaction study design "action
indicators" to point to immediate use of customer satisfaction results.
Branding Research
Branding decisions drive branding marketing research strategy.
Corporate, product and advertising brand development is a mix of creativity
and marketing information to uncover brand positioning opportunities in
cluttered market spaces.

Brand Equity Research

Brand equity research measures the breadth and depth of brand power
in your target markets. We use both standard and custom tailored brand
equity survey measurements. A key to research design is the goal of a brand
equity measurement study.

Advertising Research
Advertising research design is determined by specific advertising
goals and the stage of ad development, or campaign. We use a broad range of
advertising research techniques including ad recall surveys, message and
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theme salience and impact measures, buying motivation and association with
the ad message or positioning theme. We employ both qualitative and
quantitative pricing research tools.

Market Segmentation
Market segmentation research maintains focus and delivers needed
marketing information in today's moving economy where new markets and
new product categories emerge and traditional market segments fade away.
Market segmentation research is a way to keep 'your eye on the ball.' Often
we start the market segmentation process with qualitative research to the
range and breadth of customers. Then we follow with quantitative research
using appropriate multivariate analysis (cluster, k-means factor, etc) to
define meaningful segments.

Sales Analysis
Data mining -- finding gems of insight from sophisticated or basic
analysis of your internal customer and sales and margin trend data -- is a key
first step in product and brand analysis. Simply put, a marketing analysis
data mining effort searches for meaning and insight among the stacks of
sales data and marketing data already within a sales and marketing
organization. Through these tools we can better target your best customers,
find which advertising and promotion methods are most efficient and
effective.

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Bibliography:-

1. Business Research method.

By: - C.R Kothari
2. Business Research method
By: - William G. Zikmund
3. Google Search, Research methods.
4. Wikipidia.com,
5. Mozilla Firefox

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