Question

What are the challenges of conducting marketing research in global markets. Provide examples of companies that failed to conduct adequate research and failed in in their attempt to compete successfully in foreign markets.

Answer 1

Marketing research is the process of understanding and assuming the customers mindset in different products and different market. Market research is working on consumer’s perception and attitudes towards the product and service.

These are the following challenges and obstacles that companies face conducting marketing research in different countries-

1) During the marketing research companies face language issue.

2) Customers attitudes and customers way behaving.

3) Customers are never wanted to involve in such discussion and behaviour.

4) Customers knowledge and sharing attitudes.

5) Demographic difficulties.

6) Customers qualifications and education.

7) Information and awareness.

8) Lack of timeliness.

9) Technological challenges.

10) Methods

These are the following examples of companies that failed to conduct adequate research and failed in their attempt to compete successfully in foreign markets-

Best buy- Best buy store chain may appeal to Americans, but the electronics and entertainment retailer has struggled to make headway in foreign markets. Business Insider reported in 2011 that Best Buy bungled its European efforts through poor marketing strategy and for failing to notice that Europeans prefer smaller shops to large box stores, among other factors. Best Buy also closed its branches in China and Turkey.

E-Bay – e-Bay also struggled in Japan, where it launched in 2000. Both Forbes India and Finance Elements noted that the company did not adjust its strategies and purchasing methods according to local preferences.