3.2 Market research
Cambridge IGCSE Business Studies 3.2 Market research
3.2.1 The role of market research and methods used
Market research – Research carried out to identify current and future consumer needs and wants
Product-orientated business – Produce a product then try to convince people to buy it.
Market orientated business – Perform market research to discover consumer needs and wants then develop a product that meets their needs and wants.
Businesses use market research to develop and produce products that consumer wants. Market research allows us to find out if
- People would buy the product
- What consumers like and hate about it
- The price consumers would pay for it
- Who would buy the product?
- What their competitors are offering
Types of research
Primary research – Collection of original information by directly contacting with potential or existing customers
Ways of collecting primary research
- Questionnaires +Detailed information and opinions about the product –Expensive and time consuming
- Focus group (Group of consumers give detailed opinion about product) +Very detailed information –Expensive and time consuming
- Interviews
- Observation -Little details
Sample – group of people selected to respond to market research questions such as interviews
Random sample – Samples are chosen randomly without reasons
Quota sample – People are selected based on certain characteristics (e.g. age, income)
Secondary research – Information that has already been collected and is available for use
Examples of where secondary research information can be found from
- Departmental records
- Newspaper
- Internet
- Reports
- Statistics
Market research is not always accurate
- Questions could be biased
- Sample may just give their own opinions
- Size of samples may be too small
- Secondary research information can be outdated or inaccurate e.g. inaccurate info from internet
3.2.2 Presentation and use of market research results
Market research results can be presented in ways such as
- Tables
- Tally charts
- Graphs
- Charts
Thank you so much, this is extremely helpful
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Thank you so much for these notes! They are extremely helpful and we get to revise the whole chapter very quickly. Keep up the good work!
This is great work. Notes are very helpful.
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Hi Thames,I really appreciate your work but can you please add some economics revision notes.
It will be a great help if you do this.
Thanks.
sir can you pls do for economics also..i have exams in 3 weeks
The notes help me a lots, thx