1. Problem Definition and the Research Process
Chapter Three
Copyright © 2004
John Wiley & Sons, Inc.

2. To understand the problem definition process
Learning Objectives
To understand the problem definition process
To learn the steps involved in the marketing research process
To understand the components of the research request
To learn the advantages and disadvantages of survey, observation, and experimental research techniques
To become familiar with how the research process is initiated
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3. Exhibit 3.1 Problem Definition Process
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
Exhibit 3.1
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4. Critical Importance of Correctly Defining the Problem
To understand the problem definition process
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
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5. Critical Importance of Correctly Defining the Problem
To understand the problem definition process
Understand the Decision-Making Environment
Situation analysis
Exploratory research
Pilot studies
Experience surveys
Secondary data
Case analysis
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6. Critical Importance of Correctly Defining the Problem
To understand the problem definition process
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
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7. Critical Importance of Correctly Defining the Problem
To understand the problem definition process
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
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8. Critical Importance of Correctly Defining the Problem
To understand the problem definition process
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
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9. Critical Importance of Correctly Defining the Problem
To understand the problem definition process
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
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10. The Marketing Research Process
Exhibit 3.2
The Marketing Research Process
(8)
Follow-up
(2)
Creating of the Research Design
(7)
Writing and Presenting the Report
(1)
Identification of the Problem and Statement of Objectives
(3)
Choosing the Method of Research
(6)
Analyzing the Data
(5)
Collecting the Data
(4)
Selecting the Sampling Procedure
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11. The Marketing Research Process
To learn the steps involved in 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
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12. The Marketing Research Process
To learn the steps involved in the marketing research process.
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
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13. The Marketing Research Process
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
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14. The Marketing Research Process
To learn the steps involved in the marketing research process.
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
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15. Managing the Research Process
To become familiar with how the research process is initiated
Research Request
Used as the basis for determine which projects will be funded.
Internal document
Describes the proposed research project
Benefits to the organization
Estimated costs
Must be formally approved before the research project can begin
Components
Action
Origin
Information
Use
Target groups and subgroups
Logistics
comments
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16. Managing the Research Process
To understand the components of the research request
Request for Proposal (RFP)
Solicitation sent to marketing research suppliers inviting them to submit a formal proposal
Include the bid for the job
Information provided by RFP
Background data on why a study is to be conducted
Outlines the research objectives
Describes a methodology
Suggest a time frame
Detailed cost breakdown
Supplier’s experience in relevant areas
references
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17. To become familiar with how the research process is initiated
Managing the
Research Process
To become familiar with how the research process is initiated
What to look for in a Marketing Research Supplier
Maintains client confidentially*
Is honest*
Is punctual
Is flexible
Delivers against project specifications
Provides high-quality output
* Two most important qualities
Is responsive to the client’s needs
Has high quality-control standards
Is customer-oriented in interactions with client
Keeps the client informed throughout a project
Good communications are a necessity
Managers spend at least 80% of every working day in direct communication (48 minutes out of every hour)
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18. To become familiar with how the research process is initiated
Managing the
Research Process
To become familiar with how the research process is initiated
What motivated Decision Makers to Use Research Information?
The determinants of whether or not a manager uses research data are:
Conformity to prior expectations
Clarity of presentation
Research quality
Political acceptability within the firm
Lack of challenge to the status quo
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19. Critical Importance of Correctly Defining the Problem
SUMMARY
Critical Importance of Correctly Defining the Problem
Marketing Research Process
Managing the Research Process
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20. The End
Copyright © 2004 John Wiley & Sons, Inc.
John Wiley & Son, Inc