1. International Marketing Research: Practices and Challenges
Dana-Nicoleta Lascu
Chapter 6

2. Chapter Objectives
Define international marketing research and provide a description of its immense scope; offer examples of each type of research conducted in international marketing
Describe the steps involved in the international marketing research process while addressing, for each step, the international constraints involved
Introduce the concept of decision support systems for international marketing and describe the sales forecasting process

3. International Marketing Research
International marketing managers need to constantly monitor the different forces affecting their international operations
International marketing research is especially complex

4. 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.

5. Research of Industry, Market Characteristics, and Trends
Acquisition analyses
Diversification analyses
Market-share analyses
Export research

6. International Buyer Behavior Research
Brand preferences
Brand attitudes
Brands awareness studies
Purchase behavior studies
Consumer segmentation studies

7. International Product Research
Concept development and testing studies
Brand name generation and testing
Product testing
Competitive product studies
Packaging design studies
Test marketing #1

8. International Distribution Research
Import/export analyses
Channel performance and coverage
Plant/warehouse location studies

9. 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

10. International Pricing Research
Studies projecting demand
Currency and counter trade studies
Studies of inflation rates and pricing
Studies of negotiation tactics

11. 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

12. 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

13. 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

14. 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

15. 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

16. 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.

17. 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

18. 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

19. Data Collection, continued
STEP 6 Decide on the Sampling Plan
Sample Unit
Sample Size
Sampling Procedure
STEP 7 Collect, Analyze, and Interpret Data

20. 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

21. Sales Forecasting Sales Force Composite Estimates
Personal observations and expectations of the local sales force
Jury of Expert Opinion
Opinions of different experts about future demand
The Delphi Method
Experts to estimate market performance; findings are aggregated, and experts are queried again, in light of aggregate responses

22. Sales Forecasting, continued
Time Series and Econometric Models
Use data of past performance to predict future market demand
Analogy Methods
Estimation method that relies on developments and findings in markets
With similar levels of economic development, or
Where the product is in the same market development stage, or
In markets which share similar cultural characteristics

23. Sales Forecasting, continued
Point of Sale Research
Made with the help of store scanners, in markets where they are available
Involve comprehensive store audits

24. Chapter Summary Defined international marketing research
Described steps involved in the international marketing research process and related international constraints
Discussed marketing decision support systems and international sales forecasting