Core Concepts of Marketing by John Burnett - HTML preview

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CHAPTER 3

MARKETING RESEARCH: AN AIDTO DECISION MAKING

3. Fsychodrama. In the psychodramatic type of question, the respondent is asked to

project himself into an artificial marketing situation. The obvious artificiality of

the situation makes the psychodrama a "role-playing" experiment in which the

re:.;pondent provides information based on his p ersonal attitudes through his expla-

nation of the artificial situation.

Perhaps the greatest deficiency of projective techniques is the difficulty of present-

ing the findings. The identification of attitudes, motives, opinions, and :;0 forth is not dif-

ficlllt; however, it is extremely hard to measure the importance of these

Selecting the Sample

In most marketing research, it is

n e c e s s a r y to con-

duct a complete census; i.e. , to talk to 100% of the target segment. To do s o

time-con-

smning and expensive. For this reason most marketing st:rveys make use of smaples. A sample

is a group of elements (persons, stores, financial reports) chosen from among a "total pop-

ulation" or " universe." The value of a research project is directly affected by how well the sample has been conceived and constructed. s

The selection of the sample to be investigated requires a mas ter list, or a framework,

from which they may be selected. The sampling frame is the "population" or statistical "universe" from which the sample units will be selected. The frame for a survey of attitudes of credit customers of a department store would be the company's list of customers using charge

accounts.

Although there are many kinds of sample designs, all of them can be classified as

either probability samples or nonprobability samples. In a probability sa:nple, each unit has a known chance of being selected for inclusion in the sample.

simplest version is the

simple random sample, in which each unit in the sample frame has exactly ' he same chance of selection. Examples of this ii1clude flipping a fair coin, whose sides have a 50% chance

of turning

and throwing an unloaded die, whose sides have a 162/3% chance of turn-

ing up. This same plinciple can be applied to the previous depar:ment

example. A

sample of names could be selected from the company's list of charge customers according

to a random process, such as that of using a table of random digits.

in

probability sample the sampling units have a known chance of being selected,

in a nonprobability sampie the sampling units are selected arbitrarily. To return to our department store example, instead of using a table of random numbers to select a sample of charge

customers, an arbitrary and more convenient method would

to take the first fifty or sixty

names on the list.

Anticipating the ResultslMaking th e Report

The research plan should provide

for: (1) procedures for processing the data; (2) procedures for interpretation and analysis

of the

and (3) an outline of the final report. In reaching these decisions, it is usu-

ally

to work from the form and content of the final report. The report should pres-

ent a summary of findings and recommendations for management action drawn up in the

light of the reasons for the research.

of facts to be presented and the manner of

their presentation dictates the type of analysis to be undertaken. The kinds of analysis will ,

in turn, often suggest the method of data processing. Data processing in general refers to the procedures for sorting, assembling, and reporting data. It can be done manually by the

use of work sheets or by computer programming. The method of data processing has impor-

tan t bearing upon

manner in which

data are collected and reported. Thus, the design

of the project is often expedited by a thorough consideration of the kinds of results that are

expected and how they will be handled in the fin

report.

Anticipating the results of the

and preparing a "dummy" final report has another

advantage. It is often helpful

the results of this step in the research design to demon-

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THE VALUE OF MARKETING RESEARCH

67

strate to management the kind of project that is going to be undertaken. Agreement by the

management group that the kinds of information anticipated will assist in the solving of a

marketing problem is helpful in obtaining approval for the project and in restraining man-

agement expectations as to the scope and purpose of the project.

CONDUCTING THE RESEARCH

The attention devoted in the previous paragraphs to the design of the research plan might

leave the impression that once a marketing research project has

carefully designed,

the job is almost done . Clearly, this is not the case. The implementation of a research plan

is seldom an easy task. Often a research program requires extra effort from already-bu sy

personnel in the company. In

cases,

must be recruited, hired, and trained.

In either situation, carrying

a marketing researcn plan is difficult and requires very close

supervision and control. To the extent that the plan has been well conceived, supervision

and control are restricted to making sure that

research

called for in the plan

are carried out according to schedule and in the

prescribed.

PROCESSING THE DATA

Processing the data obtained in a market survey involves

the information

obtained into a report to be used by management. Four steps are involved: (1) editing the

data; (2) tabulating the data; (3) interpreting tile data; and (4) presenting the report. If, in the anticipation of the results of the survey, the procedures for handling the data have been sent forth and the form of the final report conceived . these final four steps in the research

procedure may be quite mechanical. A good plan for the analysis and interpretation of the

data is of immense assistance in bringing a project to a successful conclusion, but it should

never limit the kinds of interpretations that eventually are made or restrict the content of

the final report.

The final report of a marketing research stUdy should ordinarily be written. Since vast

amounts of data often are involved, the written report is the only appropriate method of

presenting these findings . The written

also has the advantage of being permanent,

thus permitting management to study the findings carefully and to refer to them in the futu re.

Unfortunately, many marketing research projects are never translated into management

action-sometimes because the research conclusions do not directly contribute to the solu-

tion of the problem, sometimes because the

too technical and difficult to under-

stand, and sometimes because the report writer has not offered specific suggestions as to

how the report should be translated into management strategy.

THE VALUE OF MARKETING RESEARCH

It is important to point out that

not always necessary to conduct research before attempt-

ing to solve a

in marketing management. The manager may feel that he already

knows enough to make a good decision. In a few instances, there may be no choice among

alternatives and hence no decision to make. It is rather pointless to study a problem if there

is only one possible solutions. But in

business situations, the manager must make a

choice among two or more courses of action. This is where fact-finding enters in to help

make the choice.

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