Market Research

Reasons for markets research

1. Descriptive Reasons emphasizing on the present situation of the market
2. Predictive Reasons emphasizing on the future situation of the market
3. Explanatory Reasons conducted to explain a practical situation
4. Exploratory Research conducted to find out new groups of customers

Types of Market Research

1. Primary/Field research
2. Secondary/Desk research

Methods of Primary Research

• Questionnaire
• Personal Interview
• Online Survey
• Focus Groups - an interview conducted in order to find information among a panel of experts
• Observation - observing customers purchasing in a superstore

Methods of Secondary Research

• Newspaper 
• Magazine
• Income Statement
• Government Statistics

Population is the entire group of respondents who are subjects of market research

Sample is a part of population who is going to participate in the actual research process

Advantages of Market Research

• Helps focus attention on objectives
• Aids forecasting, planning and strategic development
• May help reduce risk of new product development
• Communicates image, vision, etc.
• Globalization makes market information more valuable

Disadvantages of Market Research

• The information obtained is only as good as the methods used
• Can be inaccurate and unreliable
• Results may not be what the business wants to hear
• Always a problem that we may not know enough to be sure