Running head: MARKETING RESEARCH

Marketing Research Sandra Graves MKT/421 October 12, 2011 Vanessa Easter - Facilitator University of Phoenix

MARKETING RESEARCH Marketing Research Definition: Marketing research is, the process of defining a market problem and opportunity, systematically collecting and analyzing information, and recommending actions (Kerin & Hartley, 2009 p. 199). Kathy Kudler started a business in 1988, called Kudler Fine Foods, because of her fondness of food preparation, and desire to create gourmet food. The newfound success enabled her to open three locations in La jolla, Del Mar, and Encinitas. Kudler Fine Foods creates gourmet foods, such as baked goods, seafood, meats, fresh produce, cheese, and other dairy products, and fine wine. Achieving success will allow the operation to expand. Kathy plans to expand her business, and doing research to locate the right place to put her new shop. Kudler Fine Foods mission is to provide their customers with the finest selected foodstuff, wines, and related needs in an unparalleled consumer environment (University of Phoenix, 2011). Kathy will use marketing research to develop the best marketing strategy to create a market that will allow business to expand. Importance of Marketing Research Kathy knew that she needed information to produce the product and services that will create a customer base, and become a marketable convenience for its customers. They must keep in mind and consider the competitors, the business, and their customers, when the market research begins. The importance of doing the market research is to obtain the information about the competition and the market Kathy will target. This will help her business to minimize the risk factor.

MARKETING RESEARCH Five steps are used in market research. The first is to define the problem, analyze the situation, find the data that corresponds with the problem, review the data, and find resolutions for the problems. These marketing research steps apply to Kudler Fine Foods idea of expansion. This research will help Kathy use what was learned to make the best decisions that will help Kudler Fine Foods to reach its objective. How to Apply the Five Steps The largest concern for Kudler Fine Foods is the expansion. Sometimes researchers have concerns about plans to open a new store and the possibility the usual customer base may not exist. It may become necessary to create a new customer base in the planned area. Kudlers problem in the first step is that they must research to identify the market that would support their newest store. If they do not do this, their store might not be profitable. The second step is to analyze the situation. A situation analysis is an informal study of what information is already available in the problem area. (Perreault, 2009 p.201). The beginning of situation analysis might be a search on the Internet or a convention. Kudler Fine Foods will start with this informal research to locate a new place for their branch. This involves using the Internet to check out businesses in the area and the kinds of clients they serve, or talking with people who already know something about Kudlers business. Other secondary data might help, like whether or not Kudlers competition has succeeded or failed in the area. In the third stage, Kudler Fine Foods will try to come up with data that is specific to their possible expansion. In this phase of data collection, the researchers will try to discover how consumers feel or what they do about particular topics. As it concerns Kudler Fine Foods, this stage of market research could include a survey that asks questions of possible customers in a potential location for expansion. It would not be a good business option to explore a new

MARKETING RESEARCH location in which may not encourage the influx of customers. Surveys can provide quality research and give a snapshot of what the customers would think about acquiring a gourmet foods outlet in the new location. The survey would list questions about how customers feel about gourmet foods and products in their area. Surveys can be done by using e-mail, in person, by mail, or on the phone, and they could base their decision on the sampling of the population. Step four is very important to Kudlers expansion. It analyzes the information they received from the data that was researched. In this stage, the use of these statistics will help Kathy to analyze and glean the information, and learn from what was gathered in the population sample. The information will let them know what customers think about gourmet foods and a gourmet food store in the targeted area. It will help Kathy to make decisions that can determine is a good location for another shop. Step five is a process of solving problems that are the subject of the process of the market research. In the problem solution step, managers use the research results to make marketing decisions. Some researchers, and some managers, are fascinated by the interesting tidbits of information that come from the research process. They are excited if the research reveals something they didnt know before. But if research doesnt have action implications it has little value and suggests poor planning, by the researcher, and the manager (Perreault, 2009). During this stage Kathy Kudler and her associates will make decisions about expanding to a new location, using the market research analysis conducted about the area. Why Competitive Intelligence and Analysis is Important Competitive intelligence is a process used in researching and analyzing public information about potential marketplace competition. Industrial espionage is illegal and

MARKETING RESEARCH unethical, but competitive intelligence, using public information is commonly done, ethical, and legal. Intelligence, when it is competitive, matters in businesses today. Companies begin to anticipate what the competitors will do, and it allows them to see where opportunities and threats might arise. In competition, intelligence is necessary. It matters when a company has to determine market strategies and potential tactics. Kudler Fine Foods must bear in mind they are not the only company that sells gourmet food. Intelligence will allow Kudler to find out what their competitors are doing. They can provide and focus on a product that is superior. This will keep them to stay ahead of what the competition is doing. Conclusion Kudler has enjoyed success, and they want to continue to grow, by opening a new store. Lf they use their market research and planning strategies, they can have the perfect location. With their established brand and competitive intelligence, they will remain successful.

MARKETING RESEARCH Reference Kotler, P., & Keller, K.L.(2009). Marketing management (13th ed). Upper Saddler, NJ: PrenticeHall. Perreault , W.D., Cannon, J. P., & McCarthy, E.J., Jr. (2009). Basic marketing: A marketing strategy planning approach. New York: McGraw-Hill/Irwin, a business unit of The McGraw-Hill Companies, Inc. University of Phoenix..(2008). Kudler Fine Foods Marketing Simulation. Retrieved October 12, 2011 from University of Phoenix E-Campus: https://ecampus.phoenix.edu/secure/aapd/cist/vop/Business/Kudler/Internet/Index.htm