1. Global marketing research
Lecture by Ewa Baranowska-Prokop, Ph.D.
Global marketing research

2. What is this?
What term refers to a firm that from its ‘birth’ globalizes rapidly without any preceding long term internationalization period?
Born global

3. Characteristics of born globals
SMEs with less than 500 employees
Annual sales under $100million
Reliance on cutting-edge technology
Managed by entrepreneurial visionaries

4. Figure 3.7 ‘Organic’ versus ‘born global’
Managers’
mindset
External environment
Internal environment
Decision to internationalize
Organic
pathway
Born global
pathway
Home market
Home market
Export market A
Export market A
Export market N
Export market N
Source: Adapted from Âijö et al. (2005), p. 6.

5. Factors supporting born globals
Role of niche markets
Advances in process/technology production
Flexibility of SMEs/born globals
Global networks
Advances and speed in information technology

6. Figure 3.8 Models of economic efficiency

7. Case study – Vermont Teddy Bear
Should Vermont Teddy Bear go abroad?
What kind of difficulties would VTB meet if it were to internationalize its business?
In what part of the world should the company start its internationalization?
How should the company penetrate the foreign markets?
How would the communication mix in the chosen countries differ from the US market?

8. Learning objectives
Explain the importance of having a carefully designed international information system
Link global marketing research to the decision-making process
Discuss the key problems in gathering and using international market data

9. Learning objectives (2)
Distinguish between different research approaches, data sources and data types
Discuss opportunities and problems with qualitative market research methods
Understand how online surveys are carried out
Understand the relevance of the Web as an important data source in global marketing research

10. What is this? Primary data
Information that is collected first-hand, generated by original research tailor-made to answer specific research questions is known as ______.
There follows an explanation of some key terms:
Coordinate its marketing activities: coordinating and integrating marketing strategies and implementing them across global markets, which involves centralization, delegation, standardization and local responsiveness.
Find global customer needs: this involves carrying out international marketing research and analysing market segments, as well as seeking to understand similarities and differences in customer groups across countries.
Satisfy global customers: adapting products, services and elements of the marketing mix to satisfy different customer needs across countries and regions.
Being better than the competition: assessing, monitoring and responding to global competition by offering better value, low prices, high quality, superior distribution, great advertising strategies or superior brand image.
Primary data

11. What is this? Secondary data
Information that has already been collected for other purposes and thus is readily available is known as ______.
There follows an explanation of some key terms:
Coordinate its marketing activities: coordinating and integrating marketing strategies and implementing them across global markets, which involves centralization, delegation, standardization and local responsiveness.
Find global customer needs: this involves carrying out international marketing research and analysing market segments, as well as seeking to understand similarities and differences in customer groups across countries.
Satisfy global customers: adapting products, services and elements of the marketing mix to satisfy different customer needs across countries and regions.
Being better than the competition: assessing, monitoring and responding to global competition by offering better value, low prices, high quality, superior distribution, great advertising strategies or superior brand image.
Secondary data

12. Figure 5.1 Categorization of data for assessment of market potential

13. Secondary research Advantages Less expensive Less time consuming
Low level of commitment
No constraints by overseas customs
Speed
Disadvantages
Non-availability of data
Reliability of data
Data classification
Comparability of data
Data privacy concerns

14. Questions to ask when judging the reliability of data sources
Who collected the data?
Would there be any reason to purposely misrepresent the facts?
For what purpose was the data collected?
How was the data collected?
Are the data internally consistent and logical in the light of known data sources or market factors?

15. What is this? Lead-lag analysis
What term is used to refer to the technique which uses time-series data from one country to project sales in other countries?
There follows an explanation of some key terms:
Coordinate its marketing activities: coordinating and integrating marketing strategies and implementing them across global markets, which involves centralization, delegation, standardization and local responsiveness.
Find global customer needs: this involves carrying out international marketing research and analysing market segments, as well as seeking to understand similarities and differences in customer groups across countries.
Satisfy global customers: adapting products, services and elements of the marketing mix to satisfy different customer needs across countries and regions.
Being better than the competition: assessing, monitoring and responding to global competition by offering better value, low prices, high quality, superior distribution, great advertising strategies or superior brand image.
Lead-lag analysis

16. What is this? Estimation by analogy
What term is used to refer to the technique for estimating demand in another country market based on a single-factor index with a correlation value between a factor and demand for a product that is obtained in one country and applied to a target international market?
There follows an explanation of some key terms:
Coordinate its marketing activities: coordinating and integrating marketing strategies and implementing them across global markets, which involves centralization, delegation, standardization and local responsiveness.
Find global customer needs: this involves carrying out international marketing research and analysing market segments, as well as seeking to understand similarities and differences in customer groups across countries.
Satisfy global customers: adapting products, services and elements of the marketing mix to satisfy different customer needs across countries and regions.
Being better than the competition: assessing, monitoring and responding to global competition by offering better value, low prices, high quality, superior distribution, great advertising strategies or superior brand image.
Estimation by analogy

17. Figure 5.2 Lead-lag analysis of penetration of DVDs

18. Forms of Primary Research
Quantitative research is data analysis based on questionnaires from a large group of respondents
Qualitative research provides a holistic view of a research problem by integrating a larger number of variables, but asking only a few respondents

19. Figure 5.3 The ‘trade-off’ between quantitative and qualitative research

20. Research approaches
Observation
Surveys
Experiments

21. Contact methods
Mail/Internet
Telephone
Personal

22. Table 5.3 Comparison of contact methods

23. What is this? Sampling plan
What term refers to a scheme which outlines the group to be surveyed in a marketing research study, including how many individuals will be chosen, and on what basis this choice is made?
There follows an explanation of some key terms:
Coordinate its marketing activities: coordinating and integrating marketing strategies and implementing them across global markets, which involves centralization, delegation, standardization and local responsiveness.
Find global customer needs: this involves carrying out international marketing research and analysing market segments, as well as seeking to understand similarities and differences in customer groups across countries.
Satisfy global customers: adapting products, services and elements of the marketing mix to satisfy different customer needs across countries and regions.
Being better than the competition: assessing, monitoring and responding to global competition by offering better value, low prices, high quality, superior distribution, great advertising strategies or superior brand image.
Sampling plan

24. Sampling procedures
Probability
sampling
Non-probability
sampling

25. Why use non-probability samples in marketing research?
Less expensive than probability samples
Appropriate when accuracy is not critical
Faster to collect data
Can be reasonably representative

26. Methods for determining sample size
Traditional statistical techniques
Budget available
Rules of thumb
Number of sub-groups

27. Guidelines for formulating questions
The wording must be clear
Select words so as to avoid biasing the respondent
Consider the ability of the respondent to answer the questions
Consider the willingness of the respondent to answer the question

28. Problems with using primary research
Limited ability to draw probability samples
Non-response (and the potential for non-response bias)
Language barriers

29. What is this? Reliability
What term is used to refer to the consistency of results over several measurements?
There follows an explanation of some key terms:
Coordinate its marketing activities: coordinating and integrating marketing strategies and implementing them across global markets, which involves centralization, delegation, standardization and local responsiveness.
Find global customer needs: this involves carrying out international marketing research and analysing market segments, as well as seeking to understand similarities and differences in customer groups across countries.
Satisfy global customers: adapting products, services and elements of the marketing mix to satisfy different customer needs across countries and regions.
Being better than the competition: assessing, monitoring and responding to global competition by offering better value, low prices, high quality, superior distribution, great advertising strategies or superior brand image.
Reliability

30. What is this?
If a measurement method measures what it is supposed to measure, it is said to possess high _____.
There follows an explanation of some key terms:
Coordinate its marketing activities: coordinating and integrating marketing strategies and implementing them across global markets, which involves centralization, delegation, standardization and local responsiveness.
Find global customer needs: this involves carrying out international marketing research and analysing market segments, as well as seeking to understand similarities and differences in customer groups across countries.
Satisfy global customers: adapting products, services and elements of the marketing mix to satisfy different customer needs across countries and regions.
Being better than the competition: assessing, monitoring and responding to global competition by offering better value, low prices, high quality, superior distribution, great advertising strategies or superior brand image.
Validity

31. Figure 5.5 Possible reliability and validity situations

32. Online surveys Advantages Low financial resource implications
Short response time
Saving time with data collection and analysis
Visual stimuli can be evaluated
Disadvantages
Respondents have no physical address
Difficult to guard respondent anonymity
Technical issues like speed of download may arise

33. Figure 5.6 An example of trend forecasting

34. What is this?
Stories about plausible alternative futures are called _____.
There follows an explanation of some key terms:
Coordinate its marketing activities: coordinating and integrating marketing strategies and implementing them across global markets, which involves centralization, delegation, standardization and local responsiveness.
Find global customer needs: this involves carrying out international marketing research and analysing market segments, as well as seeking to understand similarities and differences in customer groups across countries.
Satisfy global customers: adapting products, services and elements of the marketing mix to satisfy different customer needs across countries and regions.
Being better than the competition: assessing, monitoring and responding to global competition by offering better value, low prices, high quality, superior distribution, great advertising strategies or superior brand image.
Scenarios

35. Figure 5.7 Development of scenarios A and B over time

36. What is this? Convergent forces; Divergent forces
Factors that drive developments in the same direction are called ____, while factors which drive developments apart from each other are called _____.
Convergent forces;
Divergent forces
There follows an explanation of some key terms:
Coordinate its marketing activities: coordinating and integrating marketing strategies and implementing them across global markets, which involves centralization, delegation, standardization and local responsiveness.
Find global customer needs: this involves carrying out international marketing research and analysing market segments, as well as seeking to understand similarities and differences in customer groups across countries.
Satisfy global customers: adapting products, services and elements of the marketing mix to satisfy different customer needs across countries and regions.
Being better than the competition: assessing, monitoring and responding to global competition by offering better value, low prices, high quality, superior distribution, great advertising strategies or superior brand image.

37. International MIS
An international marketing information system is an interacting organization of people, systems, and processes devised to create a regular, continuous and orderly flow of information essential to the marketer’s problem- solving and decision-making activities.
There follows an explanation of some key terms:
Coordinate its marketing activities: coordinating and integrating marketing strategies and implementing them across global markets, which involves centralization, delegation, standardization and local responsiveness.
Find global customer needs: this involves carrying out international marketing research and analysing market segments, as well as seeking to understand similarities and differences in customer groups across countries.
Satisfy global customers: adapting products, services and elements of the marketing mix to satisfy different customer needs across countries and regions.
Being better than the competition: assessing, monitoring and responding to global competition by offering better value, low prices, high quality, superior distribution, great advertising strategies or superior brand image.

38. Figure 5.8 International MIS

39. For discussion
What are the dangers of translating questionnaires which have been designed for one country for use in a multicountry study? How would you avoid these dangers?

40. For discussion
A US manufacturer of shoes is interested in estimating the potential attractiveness of China for its products. Identify and discuss the sources and the types of data that the company will need in order to obtain a preliminary estimate.

41. For discussion
Would Tokyo be a good test market for a new brand planned to be marketed worldwide? Why or why not?
If you had a contract to conduct market research in Saudi Arabia, what problems would you expect in obtaining primary data?

42. For discussion
Do demographic variables have universal meanings? Is there a chance that they may be interpreted differently in different cultures?
In forecasting sales in international markets, to what extent can the past be used to predict the future?

43. Tchibo: A case study
Which market analysis should be made in the United Kingdom in order to target the right promotion campaign to the right customer group?
How would you estimate the potential market for coffee shops in Europe?
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