Week 1 research in business
Learning Objectives Learning Objectives Understand . . .
• What business research is and how it differs from
business decision support systems and business
intelligence systems.- Trends affecting business research and the emerging hierarchy of business decision makers.
- The distinction between good business research
and research that falls short of professional quality.
- The nature of the research process.
Data Collectors Face Data Collectors Face Responsibilities Responsibilities “This is a fantastic time to be entering the business world, because business is going to change more in the next 10 years than it has in the last 50.”
Bill Gates, entrepreneur and founder Microsoft
PulsePoint: PulsePoint: Research Revelations Research Revelations
The percent of employees who never consider that their bosses, clients, or colleagues think before posting to a blog, discussion forum, or social
34 network.
Why Study Business Research? Why Study Business Research? Business research provides information to guide business decisions
Research Should Help Research Should Help Respond to Change Respond to Change
“ Enterprises have long recognized the need
to better sense and respond to business change.
What’s different today is that ubiquitous access to information and real-time communications have fostered an ‘always on’ business culture where decision making has become a ‘just-in-time process.’” Business Performance Management Forum
Business Research Business Research
- A process of
determining, acquiring, analyzing, synthesizing, and disseminating relevant business data, information, and insights to decision makers in ways that mobilize the organization to take appropriate business actions that, in turn, maximize business performance
Research Should Reduce Research Should Reduce Risk Risk The primary purpose of research is to reduce the level of risk of a marketing decision
Critical Scrutiny of
Economics Shifting
Research Perspectives
Perspectives New
New Research
Technological Connectivity
Technological Connectivity
Government Intervention
Government Intervention
Global Economics
Shifting Global
Business Computing
Information Overload
Factors
Factors
Talent
Battle for Analytical
Analytical Talent
Speed Battle for
Computing Power &
Power & Speed
What’s Changing in Business What’s Changing in Business that Influences Research that Influences Research
Computing Power and Speed Computing Power and Speed
Real-time Access
Real-time Access
Lower-cost Data
Collection Powerful
Computation Powerful
Computation Better
Visualization Tools
Better Visualization
Tools Integration of
Data Integration of
Data
Factors
Factors
Business Planning Drives Business Planning Drives Business Research Business Research Organizational Mission Business Goals Business Strategies Business Tactics
Business Decisions and Business Decisions and Research Research Häagen-Dazs Tactics
- – Super premium
- – Dozens of flavors
- – Small packages
- – Signature colors on packaging
- – Available in franchise and grocery stores
Information Sources Information Sources Decision Support Business Intelligence Systems
Systems Numerous elements of
Ongoing information data organized for collection retrieval and use in
Focused on events, business decision trends in micro and making macro-environments
Stored and retrieved via
- – Intranets – Extranets
Sources of Sources of Business Intelligence Business Intelligence
Business
Intelligence
Government/ Regulatory Economic Competitive DemographicTechnological Cultural/ Social
Hierarchy of Business Decision Hierarchy of Business Decision Makers Makers
Visionaries
Intuitive Decision Makers Standardized
Decision Makers
Visionaries
Minute Main and Business Minute Main and Business Research Research
P&G has a world-class research P&G has a world-class research department department
Research May Not Be Necessary Research May Not Be Necessary Can It Pass These Tests?
- Can information be applied to a critical
decision?
- Will the information improve managerial
decision making?
- Are sufficient resources available?
Information Value Chain Information Value Chain
Characteristics
Data collection/ transmission Data interpretation
Models Decision support systems
Data management
The Research Process The Research Process
Characteristics of Characteristics of
Good Research Good Research
Clearly defined purpose Clearly defined purpose
Detailed research process Detailed research process
Thoroughly planned design Thoroughly planned design
High ethical standards High ethical standards
Limitations addressed Limitations addressed
Adequate analysis Adequate analysis
Unambiguous presentation Unambiguous presentation
Conclusions justified Conclusions justified
Credentials Credentials
Categories of Research Categories of Research
Applied Basic (Pure)
Types of Studies Types of Studies Reporting Explanatory Predictive Descriptive
Key Terms Key Terms
- Management dilemma
- Predictive studies
- Pure research
- Reporting studies
- Return on Investment
- Business intelligence
- Business research
- Control • Decision support
(ROI)
system (BIS)
system
- Scientific method
- Strategy • Tactics • Applied research>Descriptive studies
- Explanatory Studies
Appendix 1a Appendix 1a
How the Research
How the Research
Industry Works
Industry Works
Who Conducts Business Who Conducts Business Research? Research?
Some Organizations Use Some Organizations Use Internal Research Sources Internal Research Sources
Some Organizations Use Some Organizations Use External Research Sources External Research Sources
Business Research Firms Business Research Firms
Proprietary Research Proprietary Research Decision Analyst, Inc. uses Internet- based concept testing called Conceptor to examine new product concepts
Syndicated Services Syndicated Services Nielsen Media Research provides audience data for television programs like Court TV
Some Syndicated Data Providers Some Syndicated Data Providers AC Nielsen Scarborough
Millward Brown Nielsen Media Research Roper ASW CSA TMO
Yahoo! ORC International DoubleClick Nielsen/NetRatings
Taylor Nelson Sofres Intersearch J.D. Power Associates MediaMark
Simmon (SMRB) BRMB Information Resources Inc.
Specialty Business Research Specialty Business Research
Firms Firms Methodology Process
Industry Participant group Geographic Region
Communication Agencies Communication Agencies
Sales Advertising
Promotion Public
Relations Direct
Business
Consultants and Consultants and Trade Associations Trade Associations
Trade Associations Trade Associations
NHRA NHRA CASRO CASRO MRA MRA ESOMAR ESOMAR BRA BRA AMA AMA WAOBRP WAOBRP MPA MPA NAB NAB
Many Firms Conduct Research Many Firms Conduct Research
Key Terms Key Terms
- Custom Researcher •Full-service researcher
- Specialty researcher
•Syndicated data provider
- Omnibus researcher
- Omnibus study
Chapter 1 Chapter 1 Addendum Addendum Research Timeline Research Timeline
Information Revolution Information Revolution 1960 U.S. DOD commissions forerunner of Internet 1964 OCR shows promise 1968 Word processing first demonstrated 1971 First CATI survey conducted 1972 Optical laser disk revealed 1973 UPC bar-code scanning introduced 1975 Microsoft is born 1979 First VisiCalc ships 1964
IBM introduces model 360 1968 SPSS created 1971 Intel introduces first microprocessor Internet created 1973 Basic ideas of 1976 Apple I released 1980 Apple owns 50% of pc market 1980
Information Revolution Information Revolution Internet survey 1987 First WWW experiences Online survey
in service traffic available
3,400X growth software widely 1993 2001 Wal-Mart commits To use RFID 2003 released IBMPC 1981 OCR used for data entry 1990s online focus group introduced Greenfield Online Web-conferencing Introduces Software 1994 2002 1980 WWW 1991 1996 2009 2010 tracking study IRI conducts first scanner 1987 developed Internet World Exposition held 2002 76.3% in US have Internet access chip technology High-speed for servers