lecture v-a-international marketing research

8/7/2019 Lecture v-A-International Marketing Research

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Marketing Research:

Unit V-A: International Marketing

Research

Dr. Sumeet Gupta536331MarketingResearch

Shri ShankaracharyaInstitute of Management

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Outline

Basic Issues with International Marketing Research

Aframework for International Marketing research

Survey Methods

Questionnaire

Ethics In Marketing Research

STUDY: International marketing research: Aglobalproject management perspective

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Intl. MarketingFramework

Differences in Environment

Cultural Units

Foreign Markets



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1. Problem Definition

2. Developing an Approach

3. Research Design

Formulation

4. Fieldwork/Data Collection

5. Data Preparation and

Analysis

6. Report Preparation and

Presentation

StructuralEnvironment


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Intl. Marketing FrameworkGovernment Environment

Public policy

Regulatory agencies

Government Incentives and penalties

Foreign Investment policies

Tariffs and Quotas



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Parameters Japan India Germany North-America

Type of

governmentCapitalism Democracy Capitalism Capitalism

Political

InstabilityStable Unstable Unstable Stable

Political Risk Low High High Low


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Firms needs to consider the interest of all thepeople

Failure ofEnron Power Project (Dabhol , India)

Type of

Government Indian government considering reservations in

private sector FDI permission in Retail sector

GovernmentPolicies


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Intl. Marketing FrameworkLegal Environment

Product laws: Product quality, packaging, warranty andafter sales services, patents, trademarks, copyright (e.g.,

smoking is injurious to health)

Pricing laws: Price fixing, price discrimination, variablepricing, price controls, and retail price maintenance(e.g., Max. retail price)

Distribution laws: Exclusive territory arrangements, typeof channels, cancellation of distributor or wholesalearrangements (e.g., wine distribution in US)

Promotional laws: Type of promotional methods (e.g.,Billboards in Singapore)



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Intl. Marketing FrameworkLegal Environment



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Legal System Status law

system

Common law

system

Status law

system

Common law

system

Fujitsu copied the software made by the IBM against thecopyright act, for which Fujitsu was forced to pay IBM $8million a month until the year 2002. It is an example of legalconstraint for any company against international patent law..

Legal Env

In India it takes a lot of time for cases to be heard and actedupon.Legal Env


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Intl. Marketing FrameworkEconomic Environment

GDP

Level, source and distribution of income

Growth trends

Sectoral trends

Stage of economic development Size of markets

Degree of modernization of markets Standardization of markets



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Intl. Marketing FrameworkEconomic Environment



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GDP 3.6% 6.5% 1.4% 2.4%

Literacy

Rate99% 52% 99% 97%

Inflation 0.3% 10.3% 1.5% 3%

Developed /

DevelopingDeveloped

Emerging

Market

Emerging

MarketDeveloped


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Intl. Marketing FrameworkEconomic Environment - Examples



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The finance department of Shell- Sekiyu, Japanese-Dutchoil refiner and distributor, lost more than $1 billion bymaking a bad bet in the futures market with thespeculation that the dollar would rise in 1993

Exchange

Rate Germans car manufacturers are coming to India and Chinawith their costly cars such as BMW. However, in India andChina people can procure better cars at a cheaper price,such as the latest Tata Nano with a sticker price of $2500

GDPEffect


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Intl. Marketing FrameworkStructural Environment

Transportation

Communication

Utilities

Infrastructure



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Intl. Marketing FrameworkInformation and Technological Environment

Information and communication systems

Computerization and use of Internet

Use of electronic equipment

Energy

Production Technology

Science

Invention



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Intl. Marketing FrameworkInformation and Technological Environment



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Parameters Japan India Germany USA

Information &communication

system

GoodDeveloping

stageGood Good

Computerization

& use of internetIncreased use

Not so

significantIncreased use

Significantly

large

Use of electronicequipment

Larger in use Less use Medium use High rate

Invention High rate Low rate High rate High rate


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Intl. Marketing FrameworkInformation and Technological Environment Examples



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Dell started its business by direct selling modelwhereby customers could purchase laptops through

Internet. However, Dells business suffered great set-back in India and China because people do not have asfrequent access to Internet as in other countries.Moreover, people in India hardly make any purchasesover Internet then what to speak of a costly product asthat of Dell.

Computerizationand use ofInternet


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Intl. Marketing FrameworkSocio-cultural Environment - Examples



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Yokohama Rubber company failed in Indonesiabecause it placed its logo which resembled

Muslim holy scripts on its tiresReligion ZIT foods in English spoken countries was sold

as Frescha Soda pop in Mexico. However, ZITfoods sales were low in Mexico because the

Frescha is a slang in Mexican language

Language

Friday is holiday in Islamic countries, whichcreates a big problem in international marketwhich is a full working day for rest of the worldsmarket

Culture


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Survey MethodsIn-Home Personal Interviews

Due to high cost, the use of in-home personal interviewshas declined in the United States and Canada, but this is

the dominant mode of collecting survey data in manyparts ofEurope (e.g., Switzerland and Portugal) and thedeveloping world.

The majority of the surveys are done door-to-door, whilesome quick sociopolitical polls are carried out in thestreet using accidental routes.


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Survey MethodsMail Interviews

Because of low cost, mail interviews continue to be used in mostdeveloped countries where literacy is high and the postal system iswell developed.

Mail interviews constitute 6.2% of the interviews in Canada and 7%in the United States. In countries where the educational level of thepopulation is extremely high (Denmark, Finland, Iceland, Norway,Sweden, and the Netherlands), mail interviews are common.

In Africa, Asia, and South America, however, the use of mail surveysand mail panels is low because of illiteracy and the large proportionof population living in rural areas.

Mail surveys are, typically, more effective in industrial internationalmarketing research, although it is difficult to identify theappropriate respondent within each firm and to personalize theaddress.


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Survey MethodsMail andScanner Panels

Mail panels are extensively used in the UK, France, West

Germany, and the Netherlands. Mail and diary panels are also

available in Finland, Sweden, Italy, Spain, and other Europeancountries.

Use of panels may increase with the advent of new

technology. For example, in Germany, two agencies (A. C.

Nielsen andG

fK-Nurnberg) have installed fully electronicscanner test markets, based on the Behavior Scan model from

the United States. Nielsen will use on-the-air television; GfK,

cable.


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Survey MethodsElectronic Surveys

In the U.S. and Canada, the use of e-mail and the Internet insurveys is growing not only with business and institutionalrespondents but also with households.

The popularity of both e-mail and Internet surveys is also growingoverseas. Both these types of surveys are increasingly being usedin Western Europe where the access to the Internet is freelyavailable.

However, in some parts of Eastern Europe and in other developingcountries, e-mail access is restricted and Internet availability is evenpoorer. Hence, these methods are not suitable for surveying thegeneral population in these countries.

Multinational firms are using both e-mail and the Internet to surveytheir employees worldwide.


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Survey Methods

Electronicsurveys



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Questionnaire DesignBack and Parallel Translation



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English Version Korean VersionR1-Korean

R2-Korean

English Version Korean VersionCommittee

ofBilinguals

BackTranslation

Parallel

Translation


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International Marketing ResearchEthics

Stakeholders Client, Researcher, Respondent, and Public

Right to information security and privacy EUs Data protection act



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Summing Up ...

Various issues in International marketing

Experience of different cultures through movie snippets



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lecture v-a-international marketing research

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