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International Marketing 15 th edition Philip R. Cateora, Mary C. Gilly, and John L. Graham.

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Presentation on theme: "International Marketing 15 th edition Philip R. Cateora, Mary C. Gilly, and John L. Graham."— Presentation transcript:

1 International Marketing 15 th edition Philip R. Cateora, Mary C. Gilly, and John L. Graham

2 The Research Process Research process steps 1.Define the research problem and establish research objectives 2.Determine the sources of information to fulfill the research objectives 3.Consider the costs and benefits of the research effort 4.Gather relevant data from secondary or primary sources, or both 5.Analyze, interpret, and summarize the results 6.Effectively communicate the results to decision makers Research steps are similar for all countries – Variations and problems can occur in implementation Differences in cultural and economic development 2Roy Philip

3 Defining the Problem and Establishing Research Objectives The major difficulty is converting a series of often ambiguous business problems into tightly drawn and achievable research objectives The first, most crucial step in research is more critical in foreign markets because an unfamiliar environment tends to could problems definition Other difficulties in foreign research stem from failures to establish problem limits broad enough to include all relevant variables 3Roy Philip

4 Problems of Availability and Use of Secondary Data U.S. government provides comprehensive statistics for United States Marketing data not matched in other countries – Quality – Quantity – Exceptions are Japan and several European countries Continuing efforts to improve data collection – United Nations – Organization for Economic Cooperation and Development (OECD) 4Roy Philip

5 Availability and Reliability of Data Most countries simply do not have governmental agencies that collect on a regular basis the kinds of secondary data readily available in the U.S. Researchers language skills impede access to information – Requires native speaker of language Official statistics are sometimes too optimistic, reflecting national pride rather than practical reality, while tax structures and fear of the tax collector often adversely affect data – Less-developed countries prone to optimism – Willful errors – Adjusted reporting 5Roy Philip

6 Comparability of Data Issues with data (especially in less developed, countries) – Data can be many years out of date – Data collected on an infrequent and unpredictable schedule Too frequently, data are reported in different categories or in categories much too broad to be of specific value 6Roy Philip

7 Validating Secondary Data Questions to judge the reliability of secondary data sources – Who collected the data? – Would there be any reason for purposely misrepresenting the facts? – For what purposes was the data collected? – How was the data collected? – Are the data internally consistent and logical in light of known data sources or market factors? Checking the consistency of one set of secondary data with other data of known validity – An effective and often-used way of judging validity The availability and accuracy of recorded secondary data increase with level of economic development 7Roy Philip

8 Gathering Primary Data – Quantitative and Qualitative Research (1 of 2) Primary data – Data collected specifically for the particular research project Quantitative research – Usually a large number of respondents – Respondents answer structured oral or written questions using a specific response format (such as yes/no) or to select a response from a set of choices – Responses can be summarized in percentages, averages, or other statistics Toto – a Japanese firm with the premiers quantitative research on bathroom and toilet technology 8Roy Philip

9 Qualitative research – If questions are asked, they are almost always open-ended or in-depth – Seeks unstructured responses that reflect the persons thoughts and feelings on the subject Qualitative research interprets people in the sample Qualitative research is helpful in revealing the impact of sociocultural factors on behavior patterns and in developing research hypotheses Gathering Primary Data – Quantitative and Qualitative Research (2 of 2) 9Roy Philip

10 Problems of Gathering Primary Data Hinges on the ability of the researcher to get correct and truthful information that addresses research objectives Problems in international marketing research – Stem from differences among countries – Range from inability or unwillingness of respondents to communicate their opinions – Inadequacies in questionnaire translation 10Roy Philip

11 Ability to Communicate Opinions Formulating opinions about a product or concept – Depends on the respondents ability to recognize the usefulness of such a product of concept – Product or concept must be understood and used in community The more complex the concept, the more difficult it is to design research that will help the respondent communicate meaningful opinions and reactions – Gerber has more experience in trying to understand consumers with limitations Babies can neither answer questions or fill out questionnaires 11Roy Philip

12 Willingness to Respond Cultural differences provide best explanation for unwillingness or inability of many to respond to research surveys The role of the male, the suitability of personal gender-based inquiries, and other gender- related issues can affect willingness to respond Less direct measurement techniques and nontraditional data analysis methods may also be more appropriate 12Roy Philip

13 Sampling in Field surveys Problems in sampling stem from the lack of adequate demographic data and available lists from which to draw meaningful samples Affected by a lack of detailed social and economic information – No officially recognized census information – No other listings that can serve as sampling frames – Incomplete and out-of-date telephone directories – No accurate maps of population centers 13Roy Philip

14 Language and Comprehension The most universal survey research problem in foreign countries is the language barrier Literacy poses yet another problem Marketers use three different techniques to help ferret out translation errors ahead of time – Back translation – Parallel translation – Decentering 14Roy Philip

15 Estimating Market Demand Two methods of forecasting demand – Expert opinion The key in using expert opinion to help in forecasting demand is triangulation – Analogy Assumes that demand for a product develops in much the same way in all countries as comparable economic development occurs in each country 15Roy Philip

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