5. Define the purpose of market research and its main types. What sources of information are available to a market research

Market research try to find the answers to questions a business might have about it’s market. The way of finding the answers it is gaining information and it’s analyze. There are 6 methods(types) of gaining information about the market.

Desk research – involves the use of secondary data. This is information which is already available, both within and outside the business.

Field research involves the collection of primary data- information which no one has yet collected. It is collected specially for the particular piece of research. Primary inf. collecting in 3 ways: observation, survey and experiment.

Observation – looking at and recording what people do and how they behave in different conditions.

Survey involves asking questions of respondents – people or organizations reply to the questions asked. There are different ways of conducting surveys: postal survey, newspaper survey, telephone survey, personal interview and consumer panel.

Sampling. A survey cannot ask every customer for his opinion. Only a fraction or sample of customers can be surveyed. To be useful, the sample chosen must be representative of all consumers.

Random sample – every potential respondent has an equal chance of being chosen.

Systematic sample – every 100^th or 1000^th person on a list is chosen.

Quota sample – sample is broken down.

Experiment. Market researches can use experimental techniques. Exactly testing products on groups of consumers to see whether they are acceptable and likely to sell well.

Magazines, government, statistics…

6. Describe different types of field research(observation, survey, experiment). What are advantages and disadvantages of each of them

Field research involves the collection of primary data- information which no one has yet collected. It is collected specially for the particular piece of research. Primary inf. collecting in 3 ways: observation, survey and experiment. Advantages of using such way are preciously reliability of information you have. On the other hand there are many disadvantages: firstly it is very expensive to gain information and not all can it themselves.

Observation – looking at and recording what people do and how they behave in different conditions. Advantages: it affords to take into account environment, consequently make it possible to have more objectively.

Survey involves asking questions of respondents – people or organizations reply to the questions asked.

Disadvantages: people usually don’t want to tell their real point of view, or don’t take seriously to surveys(joke).

There are different ways of conducting surveys: postal survey, newspaper survey, telephone survey, personal interview and consumer panel: make possible to compare different points of view, to learn how people react on opposite opinion to their own .

Experiment. Market researches can use experimental techniques. Exactly testing products on groups of consumers to see whether they are acceptable and likely to sell well. It afford to see how people will react in changing situations, in order to make decisions and develop the best strategy.