a market research

The Market Analysis

The market analysis encompasses the whole method of determining the viability of a new service or good through field research involving prospective clients, helping a future entrepreneur to learn about the risks to be encountered while starting a venture as well as potential geographic advantages. Prior to making business decisions, market analysis is important. My paper would concentrate on market research issues and their impact on marketing decision-making. Indochina will be used as a case study area (Edward, 2015).

Data Collection Methodologies

In new global markets, data collection is essential for market managers to weigh whether new regions are good to invest in or not by looking at possible benefits weighed against possible risks. Data collection methodologies include surveys, interviews, and observations (Don, Jolene & Christian, 2014).

Interviews

Personal interviews include the use of open-ended unstructured questions. Interview results do not represent a large section of populations hence the results are not reliable from a statistical view. Interviews are accurate as they provide firsthand information through direct feedback from potential customers (Don, Jolene & Christian, 2014).

Surveys

Surveys reach quite a large population as compared to interviews hence the information collected has a higher degree of accuracy as compared to interviews. Surveys take a form of ways as highlighted below;

In-person Surveys

In-person surveys take the form of interviews and are conducted in busy highly populated areas where a majority of people can be reached. In-person surveys are most effective as they offer direct feedback. The process is although expensive as it employs traveling costs, free sample costs, and consumes time (Don, Jolene & Christian, 2014).

Telephone Surveys

Telephone surveys are a way of conducting interview surveys through the phone. It is a cheaper method as compared to in-person surveys but slightly more expensive than mail surveys (Don, Jolene & Christian, 2014).

Observation

Observation employs the skill of watching and analyzing consumer behavior. Observation can be made at home and in stores, i.e. trying to find consumer needs not in the market, or factors behind a commonly used product in a given region (Porter, Steven & Paul, 2017).

Barriers in Selecting Data Methodologies in Indochina

Agility

In Indochina and all markets today, opinions change quickly hence waiting weeks for survey results may be obsolete as opinions, tastes, and preferences may have changed. The impact on decision making is evident when a company may invest in a line of business that was marketable at the time of the survey but may not be marketable at the moment. That will lead to losses in the company (Babin, Barry & William, 2015).

Data Protection

In Indochina, consumers hold their data and opinions private hence conducting surveys in a market may not be effective as not all consumers may speak and others may even lie. Data protection slows down the efficiency of collecting data; a company may not gather required information on the market whether beneficial or risky, such doubts may hinder investment (Babin, Barry & William, 2015).

Language Barrier

Market researchers in Indochina are limited by language barriers. Language barriers render data collection methodologies such as interviews and surveys useless. In the event, data collection is limited and required information may not be effectively collected. In the case of employing translators, they may be limited to biases as they may end up misinterpreting information making the company make wrong decisions on investment which may lead to losses (Pieterse & Jan, 2015).

Research Cost Variations

Researching Indochina and all other international markets are expensive as companies have to cater for travel expenses and all other activities encountered. Currency fluctuations are also an impact, i.e. when currency fluctuations go out of favor of the company researching; the company may have to spend more than the initial budget. Cost variations have an impact on decision making as a company may decide to pull out of investing in a region due to currency differences that may lead to losses (Babin, Barry & William, 2015).

Availability and Reliability of Research Sources and Supplies

Since Indochina is still developing, research sources and supplies are minimal such as those that need technological advancement may not be employed, i.e. online surveys cannot be conducted in the region due to low levels of technology among the people. The lack of research sources may hinder effective decision making as required feedbacks efficient for effective decision making may not be collected; this may make a company invest in the region and face losses arising from the lack of research sources which would have otherwise changed wrong decisions to the contrast (Babin, Barry & William, 2015).

Other Factors Affecting International Marketing Research

Communication and Technological Differences

Communication differences in Indochina and other emerging markets may be difficult due to technological differences. In regions who have not embraced technological methods such as social media or passing of information through technological means, they may form prejudices at first and provide less information that is sought leading to poor decision making due to lack of information (Jaumotte, Florence & Chris, 2013).

Political and Legislative Issues

Different countries offer different legislations. A company that enjoys subsidies in the home country may have a problem in investing in another country that offers no subsidies and instead taxes more. Emerging markets such as Indochina employ subsidies to attract industries hence this will impact a company's decision as they will want to enjoy set subsidies hence invest in a region (Lauder, 2017).

Conclusion

With rising instances of globalization, companies should not rush to invest in new regions but instead take time and conduct market research to understand short and long term new market implications to avoid losses and accrue benefits in new investment regions.


References


Dillman, D. A., Smyth, J. D., & Christian, L. M. (2014). Internet, phone, mail, and mixed-mode surveys: the tailored design method. John Wiley & Sons.


Jaumotte, F., Lall, S., & Papageorgiou, C. (2013). Rising income inequality: technology, or trade and financial globalization?. IMF Economic Review, 61(2), 271-309.


Ladeur, K. H. (Ed.). (2017). Public governance in the age of globalization. Routledge.


McQuarrie, E. F. (2015). The market research toolbox: a concise guide for beginners. Sage Publications.


Pieterse, J. N. (2015). Globalization and culture: Global mélange. Rowman & Littlefield.


Porter, S. R., & Umbach, P. D. (2017). The future of college student surveys.

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