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International Marketing Research:
Practices and Challenges
International Marketing Research
                   • International marketing
                     managers need to
                     constantly monitor the
                     different forces affecting
                     their international
                     operations
                   • International marketing
                     research is especially
                     complex
International Marketing Research
International marketing research is the systematic
design, collection, recording, analysis, interpretation,
and reporting of information pertinent to a particular
marketing decision facing a company operating
internationally.
Research of Industry, Market
Characteristics, and Trends
•   Acquisition analyses
•   Diversification analyses
•   Market-share analyses
•   Export research
International Buyer Behavior
Research
                   • Brand preferences
                   • Brand attitudes
                   • Brands awareness
                     studies
                   • Purchase behavior
                     studies
                   • Consumer segmentation
                     studies
International Product Research
• Concept development
  and testing studies
• Brand name generation
  and testing
• Product testing               #1
• Competitive product studies
• Packaging design studies
• Test marketing
International Distribution Research
• Import/export analyses
• Channel performance and coverage
• Plant/warehouse location studies
International Promotion Research
•   Studies of premiums, coupons, and deals
•   Advertising effectiveness research
•   Local media research
•   Studies pertaining to personal selling activities
       Sales Force Compensation
       Quota
       Territory
International Pricing Research
•   Studies projecting demand
•   Currency and counter trade studies
•   Studies of inflation rates and pricing
•   Studies of negotiation tactics
The International Marketing Research
Process
• STEP 1 Define the international research problem
  and agree on the research objectives
      Exploratory Research
      Descriptive Research
      Causal Research
• STEP 2 Set specific objectives
The International Marketing Research
Process, continued
• STEP 3 Develop the International Research Plan
• STEP 4 Define Information Sources
      Secondary Data
        - Researchers must determine if the information is available, and,
          if so, how reliable it is
        - Internal data is useful only if company has collected similar info
          from relevant respondents in a country with similar environment
Secondary Data Constraints
• Conceptual Equivalence
     Concepts have different meanings in different cultural
      environments
• Functional Equivalence
     Products themselves may be used for different purposes in
      different country environments
Secondary Data Constraints,
continued
• Availability, Reliability, and Validity
      Accuracy of secondary data can be questionable: Published
       statistics may be unreliable
      Sources of reliable data:
        - World Bank
        - United Nations Development Program
        - Organization of Economic Cooperation and Development
          (OECD)
        - Euromonitor
Primary Data
• Information collected for a specific purpose, to
  address the problem at hand.
      The costs of collecting primary data in foreign markets
       are likely to be much higher given the lack of an
       appropriate marketing research infrastructure
Primary Data Research Approaches
• Qualitative research has been particularly useful
   as a first step in studying international marketing
  phenomena.
      Focus Groups
      Observation
• Constraints: Responses can be affected by culture,
  individuals may act differently if they know they are
  being observed.
Primary Data Research
Approaches, continued
• Quantitative research are more structured, involving
  either descriptive research approaches, such as
  survey research, or causal research approaches,
  such as experiments.
      Content Analysis
      Survey Research
      Experimental Research
• Constraints: Respondent factors, infrastructure factors
Data Collection
• STEP 5 Design Data Collection Instrument
      Emic instruments measure phenomena specific to each
       culture.
      Etic instruments measure the same phenomenon in
       different cultures.
• Constraints: Translation; Instrument Reliability;
  Reluctance to answer certain questions
Data Collection, continued
• STEP 6 Decide on the Sampling Plan
      Sample Unit
      Sample Size
      Sampling Procedure
• STEP 7 Collect, Analyze, and Interpret Data
Decision Support Systems
for Global Marketing
• A coordinated collection of data, systems, tools, and
  techniques, complemented by supporting software
  and hardware designed for the gathering and
  interpretation of business and environmental data

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International marketing research

  • 2. International Marketing Research • International marketing managers need to constantly monitor the different forces affecting their international operations • International marketing research is especially complex
  • 3. International Marketing Research International marketing research is the systematic design, collection, recording, analysis, interpretation, and reporting of information pertinent to a particular marketing decision facing a company operating internationally.
  • 4. Research of Industry, Market Characteristics, and Trends • Acquisition analyses • Diversification analyses • Market-share analyses • Export research
  • 5. International Buyer Behavior Research • Brand preferences • Brand attitudes • Brands awareness studies • Purchase behavior studies • Consumer segmentation studies
  • 6. International Product Research • Concept development and testing studies • Brand name generation and testing • Product testing #1 • Competitive product studies • Packaging design studies • Test marketing
  • 7. International Distribution Research • Import/export analyses • Channel performance and coverage • Plant/warehouse location studies
  • 8. International Promotion Research • Studies of premiums, coupons, and deals • Advertising effectiveness research • Local media research • Studies pertaining to personal selling activities  Sales Force Compensation  Quota  Territory
  • 9. International Pricing Research • Studies projecting demand • Currency and counter trade studies • Studies of inflation rates and pricing • Studies of negotiation tactics
  • 10. The International Marketing Research Process • STEP 1 Define the international research problem and agree on the research objectives  Exploratory Research  Descriptive Research  Causal Research • STEP 2 Set specific objectives
  • 11. The International Marketing Research Process, continued • STEP 3 Develop the International Research Plan • STEP 4 Define Information Sources  Secondary Data - Researchers must determine if the information is available, and, if so, how reliable it is - Internal data is useful only if company has collected similar info from relevant respondents in a country with similar environment
  • 12. Secondary Data Constraints • Conceptual Equivalence  Concepts have different meanings in different cultural environments • Functional Equivalence  Products themselves may be used for different purposes in different country environments
  • 13. Secondary Data Constraints, continued • Availability, Reliability, and Validity  Accuracy of secondary data can be questionable: Published statistics may be unreliable  Sources of reliable data: - World Bank - United Nations Development Program - Organization of Economic Cooperation and Development (OECD) - Euromonitor
  • 14. Primary Data • Information collected for a specific purpose, to address the problem at hand.  The costs of collecting primary data in foreign markets are likely to be much higher given the lack of an appropriate marketing research infrastructure
  • 15. Primary Data Research Approaches • Qualitative research has been particularly useful as a first step in studying international marketing phenomena.  Focus Groups  Observation • Constraints: Responses can be affected by culture, individuals may act differently if they know they are being observed.
  • 16. Primary Data Research Approaches, continued • Quantitative research are more structured, involving either descriptive research approaches, such as survey research, or causal research approaches, such as experiments.  Content Analysis  Survey Research  Experimental Research • Constraints: Respondent factors, infrastructure factors
  • 17. Data Collection • STEP 5 Design Data Collection Instrument  Emic instruments measure phenomena specific to each culture.  Etic instruments measure the same phenomenon in different cultures. • Constraints: Translation; Instrument Reliability; Reluctance to answer certain questions
  • 18. Data Collection, continued • STEP 6 Decide on the Sampling Plan  Sample Unit  Sample Size  Sampling Procedure • STEP 7 Collect, Analyze, and Interpret Data
  • 19. Decision Support Systems for Global Marketing • A coordinated collection of data, systems, tools, and techniques, complemented by supporting software and hardware designed for the gathering and interpretation of business and environmental data