Research Methods

Market Research methods: -
Market research is broad in scope and examines all aspects of a business environment.
There are two forms of marketing research: -
Primary: -Information that has been collected through surveys, interviews, questionnaires, etc.
Secondary: -Information that has been collected previously, such as literature, internet publications and e-journals.

Types of marketing research: -
Test Marketing: -A small-scale product launch used to determine the likely acceptance of the product when it is introduced into a wider market
Demand Estimation: -To determine the approximate level of demand for the product.
Commercial Eye Tracking Research: -Examine advertisements, package designs, websites, etc by analysing visual behavior of the consumer.
Customer Satisfaction Studies: -Exit interviews or surveys that determine a customer’s level of satisfaction with the quality of the transaction.
Price Elasticity Testing: -To determine how sensitive customers are to price changes
Segmentation Research: -To determine the demographic, psychographic and behavioural characteristics of potential buyers.
Consumer Decision Process Research: -To determine what motivates people to buy and what decision-making process they use.
Positioning Research: -How does the target market see the brand relative to competitors? - What does the brand stand for?
Brand Name Testing: -What do consumers feel about the names of the products?
Brand Equity Research: -How favorably do consumers view the brand?
Advertising and Promotion Research: -How effective are ads - do potential customers recall the ad, understand the message and does the ad influence consumer purchasing behaviour?
Market research will answer questions like: -Building models and measuring results to determine the effectiveness of individual marketing activities.
· Whether your products are needed: -
· Who might want to buy your products: -
· If there are changes taking place and how this might affect what you sell: -
· How well your products might sell: -
· How much demand there is for what you hope to sell: -
· Who won’t buy what you hope to sell: -
· What price would people be prepared to pay: -

Information about the market research process: -Web-sites that will help you move forward in the process of conducting market research.
http://www.marketresearchworld.net/index.php?option=com_content&task=view&id=14&Itemid=38
http://www.dobney.com/Research/market_metrics.htm
http://www.dobney.com/market_research.htm
http://www.learndirect-advice.co.uk/helpwithyourcareer/jobprofiles/profiles/profile249/

Analysing Results: -
Ensure the methods are appropriate to the type of data and the research aims.
Analysing information accurately according to the appropriate methodology.
Interpreting and synthesising the results correctly and drawing justifiable conclusions.
Identifying any unexpected results and reviewing reasons for them with relevant people.
Recording the results accurately and clearly in any appropriate format.

Business Location: -In choosing a business location therefore firms need to weigh up the following range of push and pull factors.
1. Closeness to market: -
2. Communications links: -
3. Closeness to raw materials: -
4. Availability of appropriately skilled employees: -
5. Opportunity for waste disposal: -
6. Availability of power supplies: -
7. Availability of land: -
8. Government incentives: -
Information about Business Location: -Below is a helpful web-site that provides you with full information and explanations of what aspects need to be considered forever choosing your right business location.
· http://www.thetimes100.co.uk/theory/theory.php?tID=249
· http://www.bized.co.uk/educators/16-19/business/strategy/activity/location.htm

Competition: -
No business operates in isolation; whatever they are producing, there will be other businesses and organisations that would be looking to provide similar products or services.

You will need to keep an eye on their competitors by looking at the following areas: -
Who is the competition? Which other firms supply the same or similar goods?
Where is the competition based? This will focus on whether the competition is local, regional, national, European or international.
What does the competition look like? This will include looking at market share, how many other competitors there are what the competition has been in the past and what it might be in the future.
What is the business's market position? This will involve looking at the products the firm sells, customer service, branding, reputation and image and what the strengths and weaknesses of the business might be.
How will the business react to its competition? This looks at strategies the business might adopt to respond to competition.

Information about establishing your competition: -The web-site below will provide you with a full and comprehensive guide to how you as a new entrepreneur can establish your competitor.
http://www.bized.co.uk/educators/level2/competition/lesson/knowing.htm
http://www.nlp-pro.com/nicole-on-competition.htm
http://www.startups.co.uk/Understand_your_Competition.YewLonVozQSQAQ.html


Ways of Evaluating the Companies Environment: -
The environmental analysis is an important step for every new entrepreneur who wants to have a deeper understanding of the business environment that you are operating in, you would have to do some external environment analysis.

The Methods of Environmental Analysis: -

PESTLE Analysis: -
· Political: -The current and potential influences from political pressures.
· Economic: -The local, national and world economy impact.
· Sociological: -The ways in which changes in society affect the organisation.
· Technological: -The effect of new and emerging technology.
· Legal: -The effect of national and world legislation.
· Environmental: -The local, national and world environmental issues.

Porter’s Five Forces: -


SWOT Analysis: -SWOT Analysis is a strategic planning tool used to evaluate the Strengths, Weaknesses, Opportunities, and Threats. (Albert Humphrey-Stanford University.)
These elements can be utilised in starting a new business venture requiring a decision in pursuit of an objective. It involves monitoring the marketing environment internal and external to the organisation.


Internal analysis
Strengths
Weaknesses
ExternalAnalyssis
Opportunities
S-O-Strategies: -Develop new methods which are suitable to the company's strength.
W-O-Strategies: -Eliminate weaknesses to enable new opportunities.
Threats
S-T-Strategies: -Use strength to defend threats.
W-T-Strategies: -Develop strategies to avoid weaknesses that could be targeted by threats.

These analysing models cover all the important and key environmental factors which could seriously affect your business.


Information about Environmental Analysis: -
http://www.321books.co.uk/catalog/tesco/pestle-analysis.htm
http://www.themanager.org/Models/PEST_Analysis.htm
http://www.tutor2u.net/business/strategy/porter_five_forces.htm
http://www.themanager.org/Models/p5f.htm
http://www.12manage.com/methods_porter_five_forces.html
http://www.mindtools.com/pages/article/newTMC_05.htm
http://www.mindtools.com/pages/article/newTMC_05.htm
http://www.tutor2u.net/business/strategy/SWOT_analysis.htm