topic 2-Market Research

• What is the purpose of market research?

  To gain customer's views and understand their wants and needs.
• Wants and needs?

  Customers are more loyal when needs are met.
• Spotting the gap in the market?

  Spotting the gap in the market can increase business success. You can charge higher for he gap in the market. Less competition means the business will grow quicker.
• To reduce risk?


  Good market research avoids risk, deciding elements such as price at the start of the business reduces risk too.
• To aid decision making?

  Market research can help you reject or accept a decision, this speeds up decision making and reduces stress on the entrepreneur.
• Understanding the market?


  Understanding how people buy, what pricing and promotion methods work, what hasn't work in the past, competitors, spotting trends.
• To inform product development?

  Minimizes mistakes, identifies add on's for the product, something customers wish they had.
• Types of data?

  Qualitive and Quantitative?
• What is qualitive data?


  Opinions and thoughts, it is more detailed but harder to analyse.
• What is quantitative data?

  Numbers, surveys, questionnaires, easy to analyse, lacks details.
• What is primary market research?

  Original data collected by a business.
• What is secondary market research?

  Data already collected by others for other purposes.
• Benefits or primary research?


  Up to date, specific, only you have access.
• Drawbacks of primary research?

  Time consuming, small samples, expensive.
• Benefits of secondary market research?

  Cheaper than primary, easy to maintain, larger samples.
• Drawbacks of secondary market research?

  Data may be outdated, irrelevant, others have access.