Theory question 105
Marketing ResearchA toy shop experiencing declining sales of its product decided to engage a consultant to conduct research to improve its sales. (a) In a logical order, state the stages the consultant would follow to effectively carry out his task. (b) In addition to the declining sales, outline five reasons that could necessitate the consultant's engagement.
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(a) In order: define the problem and research objectives; develop the research plan (sources, methods, sample, instruments); collect the data; analyse and interpret the data; report the findings and recommendations.
(b) Any five: to understand customers' needs and preferences; to study competitors; to test new products; to set suitable prices; to measure advertising effectiveness; to choose better distribution channels; to forecast sales; to find new markets; to measure customer satisfaction.
Give each point as a full sentence, with an example where possible.