IndexWhy should companies conduct market research?Market Research ProcessImportance of Market ResearchWhen it comes to the marketing system, market research has a very important role to play, especially for companies seeking business expansion and penetration into a new market. Market research provides all the data needed to make effective decisions and helps in exploring new opportunities in the new market. Carl and Gates (2011) defined marketing research as “the primary function that helps connect customers, consumers, and the general public to marketers through the availability of information. Help find answers to new market questions through data collection, analysis, and reporting of findings and implications. Say no to plagiarism. Get a tailor-made essay on "Why Violent Video Games Shouldn't Be Banned"? Get an Original Essay According to Overton and Volkman (2008), when it comes to today's competitive market, market research is a very critical component in carrying out any business. All the data collected through market research helps the company make decisions regarding customer expectations and needs and, in turn, guides the company to develop products that meet those requirements. Market research helps identify opportunities for improvement in terms of services and products. The main purpose of conducting market research is to provide marketers and companies with decision-making information. It's about connecting businesses with customers. Customers have higher expectations from companies due to competition and globalization. Market research helps companies frame the so-called right marketing strategy. Simply put, companies can develop plans based on their target market. They must develop products and services based on the best of the marketing mix and satisfy the needs of customers in the target market (Burns, 2007). Gupta, (2009) highlighted the main objectives of marketing research as: Understanding the reason behind the customer's decision to purchase the product. Determining marketing opportunities Understanding marketing problems Selecting the right course of action Understanding customer perception Understanding the distribution network in the new market Forecasting future sales Expectation of increasing market share Evaluating competition and market policies. Basic and Applied Marketing Research Scott and Gerald, (2012), highlighted that companies can carry out market research by adopting any of 20 different survey methods and these are: Market Description Surveys Market Profile Segmentation Surveys Marketing Surveys monitoring and stages of the purchasing process Customer Intention - Purchase Analysis Surveys Customer Expectations and Attitudes Surveys Customer Loyalty, Trust and Retention Analysis Surveys New Product Concept Analysis Surveys Joint Surveys (new product acceptance surveys and additional demand surveys) Usage and habit surveys Product realization surveys Competitive market and product positioning Brand value surveys Advertising, Media, messaging and effectiveness surveys Product analysis survey advertising value Sales Effectiveness Survey Sales Generation Survey Customer Service Survey CSR Surveys Market Monitoring Surveys Pricing Analysis Survey andof demand elasticityAccording to Hansen's report, (2009), the main objective of pure or basic research is to expand the limits of the company's knowledge. This type of research does not aim to solve any realistic organizational problems. The results of this research method cannot be immediately applied by the organization. The main purpose of this research method is to test the level of acceptance of a particular theory. On the other hand, applied research is conducted by a company when it seeks a solution for a particular problem. Most of the time, companies looking to expand into a new market can take advantage of applied market research. Why should companies conduct market research? According to Conner (2013), there are many reasons to conduct market research. A simple example is the existence of the company in the near future. Market statistics have clearly indicated that almost 25% of businesses fail in the first year, 36% in the second year and 44% in the third year. If a new product is launched on the market, almost 40% of companies are unable to maintain their base and existence. Conducting market research will ensure that the company is successful in any market for any product. If a company is going through a problem or looking for a market extension, it will first conduct market research to identify the main reason for the problem or look for opportunities. Market research helps segment customers in a market based on their behavior, attitude, and demographic attributes. Once the company is aware of the different segments, it can develop targeted marketing strategies towards each of these groups and see the kind of response they are receiving for their products. He also highlighted that marketing research helps the company analyze its competitors in the industry. market. Competition is common in any market, but ensuring the company is aware of existing companies can give them an edge in terms of operational and marketing strategy. Conducting research will enable companies to make their own decisions, ensuring that they do not become biased towards their decisions. The research helps the company to find out the current technological advancements in the market and how these have affected the customers in the market. Market research helps the company test its promotional materials and strategies in new markets. Market research can also help the company search for better products based on customer needs. A research method helps companies track their brands and its performance (Conner, 2013). Marketing Research Process According to Jan and Diggines (2010), every marketing research will include two parts: preliminary and final research investigations. Companies carry out the investigation to verify whether there is a need to carry out a formal search and the type of search that will be required. Then, based on these assumptions, each of these parties involves the following steps: Preliminary investigation Companies must define the scale of opportunities they expect from the new market. Develop a hypothesis based on the nature of the opportunity. Formulation of a broad research plan relevant to the opportunity Defining the objectives of the research Determining the research design and preparing the proposal for the research Secondary data collection For all the above steps companies must carry out an internal and external environmental analysis around the expected opportunities in the new market. If the company believes the opportunity cannot be seized, it proceeds with formal marketing research. But before taking..