1. Chapter Two Copyright © 2006 John Wiley & Sons, Inc. Problem Definition and the Research Process

2. John Wiley & Son, Inc 2 Problem Definition Process Exhibit 2.1 Recognize the problem or opportunity Found why the information is being sought: Understand the decision-making environment Use the symptoms to help clarify the problem Translate the management problem into a marketing research problem Determine whether the information already exists Determine whether the question really can be answered State the research objectives

3. John Wiley & Son, Inc 3 Recognize the Problem or Opportunity –Opportunity Identification External environment Marketing mix New opportunities Find Out Why the Information Is Being Sought –Use and decisions made with the information –Prioritize the questions –Create sample data—will this answer the questions To understand the problem definition process Critical Importance of Correctly Defining the Problem

4. John Wiley & Son, Inc 4 Understand the Decision-Making Environment –Situation analysis –Exploratory research –Pilot studies –Experience surveys –Secondary data –Case analysis To understand the problem definition process Critical Importance of Correctly Defining the Problem

5. John Wiley & Son, Inc 5 Use the Symptoms to Clarify the Problem –Symptom Iceberg principle –“What caused this to occur?” Translate the Management Problem Into a Marketing Research Problem –Marketing research problem –Marketing research objective –Management decision problem Critical Importance of Correctly Defining the Problem To understand the problem definition process

6. John Wiley & Son, Inc 6 Determine Whether the Information Already Exist –Can save time and money Determine Whether the Question Can Be Answered –Identify the following: You know the information exists or can be obtained Based on similar prior experience the information can be gathered Trying this is new and there is a risk of drawing a blank Critical Importance of Correctly Defining the Problem To understand the problem definition process

7. John Wiley & Son, Inc 7 State the Research Objectives Stated in terms of precise information necessary to address the problem/opportunity Road map –Avoid the Nice-to-Know Syndrome –Management Decisions and Research Objectives Would be a restatement, in research terms, of what management needs to know to make a decision To learn the steps involved in the marketing research process Critical Importance of Correctly Defining the Problem

8. John Wiley & Son, Inc 8 –Research objectives as Hypotheses Hypothesis—statement about a relationship between or or more variables that can be tested with empirical data Should contain clear implications for testing stated relationships Development of the research hypothesis sets the stage for creating the research design Critical Importance of Correctly Defining the Problem To understand the problem definition process

9. John Wiley & Son, Inc 9 The Marketing Research ProcessExhibit 2.2 (2) Creating of the Research Design (3) Choosing the Method of Research (4) Selecting the Sampling Procedure (5) Collecting the Data (6) Analyzing the Data (7) Writing and Presenting the Report (8) Follow-up (1) Identification of the Problem and Statement of Objectives

10. John Wiley & Son, Inc 10 To learn the steps involved in the marketing research process. The Marketing Research Process Creating the Research Design –Research design The plan to be followed to answer the research objectives or hypothesis –Descriptive studies Who, what, when, where, and how Variable- a symbol or concept that can assume any one of a set of values Can shed light on associations or relationships

11. John Wiley & Son, Inc 11 –Causal Studies Investigate whether one variable causes or determines the value of another –Dependent variable—to be predicted or explained –Independent variable—the variable that affects or causes the dependent variable—can be manipulated, changed or altered –Temporal sequence—effect follows closely the hypothesized cause—an appropriate causal order of events –Concomitant variation—the degree to which a presumed cause and a presumed effect occur together or vary together The Marketing Research Process To learn the steps involved in the marketing research process.

12. John Wiley & Son, Inc 12 To learn the advantages and disadvantages of survey, observation, and experimental research Choosing a Basic Method of Research –Survey: an interviewer and questionnaire –Observation: to monitor respondents’ actions without direct interaction –Experiments: to measure causality Selecting a Sampling Procedure –Probability sample –Nonprobability sample The Marketing Research Process

13. John Wiley & Son, Inc 13 Collecting the Data –Marketing research field service Analyzing the Data –To interpret and draw conclusions Writing and Presenting the Report –Judging the quality of a report –Using the Internet to disseminate the reports Follow-up –Determine whether the recommendations were followed The Marketing Research Process To learn the steps involved in the marketing research process.

14. John Wiley & Son, Inc 14 The End Copyright © 2006 John Wiley & Sons, Inc.