CHAPTER 4

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CHAPTER 4
DEFINING THE PROBLEM AND
DETERMINING RESEARCH OBJECTIVES
LEARNING OBJECTIVES

To understand when marketing research is needed

To understand the importance of properly defining the problem

To know the two sources of problems and how to recognize them

To understand the difference between a symptom and a problem

To realize there are different types of problems

To know the role the researcher should play in defining the problem and the
impediments he or she faces

To understand the role of ITB’s and RFP’s

To examine a process of defining the problem and research objectives in a case
situation

To understand the role of research objectives
CHAPTER OUTLINE
ESTABLISHING THE NEED FOR MARKETING RESEARCH
When is Marketing Research Not Needed?
DEFINE THE PROBLEM
The Importance of Properly Defining the Problem
How Can We Beat Burger King?
How Can We Win a Taste Test?
Two Sources of Problems
Recognizing the Problem
The Role of Symptoms in Problem Recognition
Types of Problems
The Role of The Researcher in Problem Definition
Impediments to Problem Definition
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Chapter 4: Defining the Problem and Determining Research Objectives
Failure to Change Behavior for Problem Definition Situations
Differences Between Managers and Researchers
The Role of ITB’s and RFP’s
A PROCESS FOR DEFINING THE PROBLEM AND ESTABLISHING THE
RESEARCH OBJECTIVES
Assess the Background and the Manager’s Situation
Clarify the Symptoms of the Problem
Pinpoint Suspected Causes of the Symptom
University Estates: An Example of the Problem Definition Process
Specify Possible Solutions that May Alleviate the Symptom
Back to University Estates
Speculate on Anticipated Consequences of the Solutions
Back to University Estates
Identify the Manager's Assumptions About the Consequences of the Solutions
The Role of Hypotheses in Defining the Problem
Back to University Estates
Assess the Adequacy of Information on Hand to Specify Research Objectives
Back to University Estates
FORMULATE THE MARKETING RESEARCH PROPOSAL
Problem Statement
Research Objectives
The Role of Constructs
Detail the Proposed Research Method
PUTTING IT ALL TOGETHER USING THE INTEGRATED CASE FOR THIS
TEXTBOOK
KEY TERMS
Problem
Opportunity
Marketing opportunity
Opportunity identification
Symptoms
Situation analysis
ITB’s
RFP’s
Market Opportunity Analysis
Cause
Possible cause
Probable cause
Solutions
Consequences
Assumptions
Hypotheses
Information state
Information gaps
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Chapter 4: Defining the Problem and Determining Research Objectives
Research objectives
Marketing research proposal
Construct
Operational Definition
Research method
TEACHING SUGGESTIONS
1. Students will have some difficulty relating to the differences between managers and
researchers. Instructors may wish to use the table in our earlier editions (e.g., the 4th
edition) as a teaching aid. (We eliminated the table in the 5th edition to conserve
space.)
2. If you have had a recent consulting experience with an interesting problem definition
dialogue, use it as an example in class. Consider “acting out” the roles of the
manager and the researcher in a question and answer format. Alternatively, you can
have the class play the role of the researcher, and you play the manager. Exaggerate
your manager role by giving cryptic answers and going into detail on irrelevant topics
to emphasize that the researcher must be a persistent detective during the problem
definition stage.
3. A slightly more risky variation of the dialogue is to actually have a manager come to
the class with a marketing problem. You and/or the class play the role of the
marketing researcher. You will have to do “stop action” timeouts to explain why
certain questions are asked and to explain how the manager’s answers figure into the
problem definition process. It is important that the manager agree to this approach
beforehand. If students know that a real marketing manager is coming to class, it
may inspire them to study the problem definition material as preparation for the class.
4. We find that students often fail to make the transition from solving marketing
problems (which is the orientation of all of their marketing courses to date) to
thinking about providing information to help a marketing manager solve a problem
(which is the purpose of marketing research). An in-class exercise that can help
alleviate this problem is to pose a topic question such as “Should (insert company
name) cut its prices by 20 percent?”
Some students will immediately rush to the recommendation to cut prices, but others
will want to have more information. Class brainstorming can identify the needed
information. When 10 to12 information topics are noted and agreed upon by the
majority of the class as information needs, the instructor can then point out that
marketing research activities are necessary to gather this information. That is, the
researcher’s task is to gather accurate and timely information, not make the decision.
5. The University Estates example that is continued throughout the chapter is
specifically chosen as one that students can relate to. Most college students live off
campus, so they have had experience with apartment searches, and while they may
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Chapter 4: Defining the Problem and Determining Research Objectives
not live in student-oriented apartment complexes, they should be able to relate to this
concept. Even those who live on campus should have little difficulty relating to the
competition that goes on among apartment complexes that are targeting the students
of the nearby university or college. Instructors are encouraged to use the University
Estates example in class as an example. For instance, go over this example and make
certain that students understand how the list of potential causes was narrowed down
to probable causes.
6. Class discussion can be generated by presenting students with a problem situation and
having them work through the step where they specify actions that may solve the
problem plus identifying the consequences of each action. Here are some scenarios.

Perrier notices that it is losing market share to fruit-flavored sparkling water
competitors

The school newspaper finds it increasingly difficult to sell advertising space

The American Automobile Association thinks that carjacking is the number one
fear of its members
7. The concepts of assumptions, information states, and information gaps are somewhat
abstract. It is useful to provide students with concrete examples. One strategy is to
identify a student who has a management capacity or who has knowledge of a
company, such as a family business. Ask the student what he/she thinks the company
can do to perform better. Then query the student to determine assumptions, certainty
of these assumptions, and where there is uncertainty.
8. The concept of an operational definition is not easy for students to understand this
early in the course. Instructors may wish to use example operational definitions for
commonly used constructs. The point of the discussion is that researchers are
thinking way ahead of the problem definition and about the actual research methods
including how the questions will appear on the questionnaire and how the results will
be reported. It illustrates how much difference exists between the orientation of the
researcher and the manager.
A ‘what-if” exercise that is useful to emphasize these differences is to take two or
three of the constructs and say, for example:

“What if the researcher found that 80 percent of the respondents are unfamiliar
with the manager’s brand?”

“What if the researcher found that most respondents did remember a recent ad for
the product?”
The point is that the researcher would stop at reporting these findings, but the
manager would go to work on them.
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Chapter 4: Defining the Problem and Determining Research Objectives
9. The hierarchy of effects is only an illustration of a model that can be used to structure
constructs into relationships. It is fairly intuitive, and students will grasp it easily.
Other models that might be introduced include the following.
Involvement (high, low, situational, enduring)
Elaboration likelihood model
Importance-performance model
Purchase process model
Adoption model
Service quality model
Satisfaction model
10. The chapter describes generically what is in a research proposal, and it provides a
short proposal example using the University Estates problem case. If you have a
research proposal with which you are familiar, such as a consulting project, consider
using it as an example because students will relate to a specific example.
11. Students will have little appreciation of the amount of work that goes into problem
definition and proposal development by marketing research companies. They will
also underestimate the amount of competition for research business. You may have a
colleague in economics or real estate who has done a lot of grant proposal writing.
This is analogous to responding to an ITB and ties in with the ITB/RFP aspects of the
chapter. Ask your colleague to talk to the class about grant proposals, particularly the
(low) success percentage. If you are lucky, he or she may also note some of the
political aspects of grant awards.
12. The Integrated Case, “The Hobbit’s Choice Restaurant,” is introduced with
considerable detail toward the end of the chapter. References are made to this case
situation with various topics in subsequent chapters, and there is an end-of-chapter
integrated case item for most chapters beginning with this chapter (chapter 4).
Instructors who intend to use the integrated case are advised to go over the integrated
case description to ensure that students have a good grasp of its nuances. The
headings in the integrated case section of chapter 4 can be used as topic questions for
students to respond to in class.
ACTIVE LEARNING EXERCISES
Want to see some actual RFP’s and ITB’s?
Go to advanced search at www.google.com. At “With at least one of the Words” enter
ITB RFP. You will get many hits, and that is ok. Explore and you will find actual ITB’s
and RFP’s. You will also find some sites designed to help you write an effective ITB or
RFP.
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Chapter 4: Defining the Problem and Determining Research Objectives
This search many result in a great many and different types of ITB’s or RFP’s as they are
not constrained to marketing research proposals. As this is a “dynamic” search with the
results changing daily, there is no single example to point out. Instructors may wish to
perform this search ahead of class and/or assigning this exercise to students in order to
anticipate what students might encounter.
ANSWERS TO END-OF-CHAPTER QUESTIONS
1. Name the situations in which marketing research is not needed.
Review question. Students must find the four situations.
Marketing research is not needed when: (1) information is already available, (2) the
timing is wrong, (3) funds are not available, and (4) costs outweigh the value of the
marketing research.
2. Name the situations in which marketing research is needed.
Review question. Students must find the three situations listed under “When will
research more likely have greater value?”
Some guidelines for answering this question are:
 Will the research help clarify problems or opportunities?
 Will research identify changes that are occurring in the marketplace among
consumers and/or competitors?
 Will research clearly identify the best alternative to pursue among a set of
proposed alternatives? Will the research help your brand establish a
competitive advantage?
3. Explain why defining the problem is the most important step in the marketing
research process.
Review question.
If the problem is not defined correctly, all of the following steps in the marketing
research process will be wasted. That is, the wrong problem will be investigated, and
the findings will not be useful to the marketing manager.
4. Give an example of a research project that was conducted with the wrong problem
definition.
Review question. Students should recall the McDonald’s and Coke examples.
The two examples cited are McDonald’s who defined the problem as “How can we
beat Burger King rather than on adult fast food customers preferences and diet
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Chapter 4: Defining the Problem and Determining Research Objectives
preferences and Coke who defined the problem as “beating the competitor in taste
tests” instead of “how can we gain market share against our competitors?”
5. What are the two sources of marketing problems?
Review question. Students should relate the two sources.
A problem exists when a gap exists between what was supposed to happen and what
did happen. This second type of problem, called an opportunity, occurs when there is
a gap between what did happen and what could have happened.
6. Explain how managers should recognize they have a problem.
Review question. This requires understanding of problem recognition.
Unless managers have a control system they will not likely identify problems arising
from failure to meet objectives. Managers must also be aware of opportunities and
unless they have a system for monitoring opportunities they will not likely identify
these problems.
7.
What is the role of symptoms in problem recognition?
Review question. Students must relate the definition and how symptoms figure into
problem recognition.
Symptoms are changes in the level of some key monitor that measures the
achievement of an objective, such as our measure of customer satisfaction has fallen
10 percent in each of the last two months. In this case, the role of the symptom is to
alert management to a problem; there is a gap between what should be happening and
what is happening. A symptom may also be a perceived change in the behavior of
some market factor that implies an emerging opportunity.
8. Explain how problems may vary, and give some examples.
We have already established that the sources of problems may differ: some arise
through recognition of a failure to meet an objective (example: not gaining the
desired market share) and others from the recognition of an opportunity (example:
realizing the Ebay could be used to sell one’s products). We can also characterize
problems in terms of their being specific (example: what price to charge) versus
general (example: what target market strategy to use).
9. What is the role of the researcher in problem definition?
Review question. Students should identify the researcher’s role.
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Chapter 4: Defining the Problem and Determining Research Objectives
The researcher has an obligation to help managers ensure they are defining the
problem correctly.
10. Explain the impediments to problem definition.
Review question. Student must find and relate the two impediments.
Two impediments are described in the chapter:
 Failure to Change Behavior for Problem Definition Situations
 Differences Between Managers and Researchers
11. Discuss the differences between managers and researchers.
Review question. These are found in the section with this name.
Managers possess line positions; researchers are in staff positions. Managers are
responsible for generating profits; researchers are responsible for generating
information. Managers are trained in general decision making, and researchers are
trained in research techniques.
12. What are ITB’s and RFP’s used for?
Review question. Students must define these terms and describe how they figure into
the research process.
ITB’s stands for “invitations to bid.” Alternatively, some firms use RFP’s which
stands for “requests for proposals. Companies use these documents to alert research
firms that they would like to receive bids or proposals to conduct research. In either
case, the role of the researcher and manager is changed in the problem definition
process.
13. Discuss the ethical problem with phony ITB’s or RFP’s.
Review question. Students should understand why bogus or phony ITB’s or RFP’s
are unethical.
This practice is one where the company issuing the ITB/RFP is seeking ideas on how
to do the research, probably so it can do the research itself or otherwise to bargain
down the price. It is unethical because marketing research firms spend time and
money thinking they will gain business, but none comes from their efforts.
14. What is the process for determining the problem and establishing research
objectives?
Review question. The task is for students to list the steps.
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Chapter 4: Defining the Problem and Determining Research Objectives
The process is identified as steps to be taken. These steps are:
 Assess the Background and the Manager’s Situation
 Clarify the Symptoms of the Problem
 Pinpoint Suspected Causes of the Symptoms
 Specify Possible Solutions that May Alleviate the Symptom
 Speculate on Anticipated Consequences of the Solutions
 Identify the Manager's Assumptions About the Consequences of the Solutions
 Assess the Adequacy of Information on Hand to Specify Research Objectives
 Specify research objectives
15. Explain how the process for determining the problem and establishing research
objectives differs when a manager is faced with an opportunity instead of a failure to
reach an objective.
Review question. Differences between these two cases are called for.
The major difference is that, for opportunities, the firm must do research to determine
the attractiveness and probability of success of any opportunity, referred to as market
opportunity analysis (MOA). With failure to reach an objective, the researcher must
determine causes and assess possible solutions (actions).
16. What is the difference in a possible versus a probable cause?
Review question. This question will entice students to think about the difference
between a possible and a probable cause to a problem.
Problems do not arise out of the blue—there always is an underlying cause, or a
factor that underlies and gives rise to the symptom.
A possible cause is any conceivable cause of the problem, while a probable cause is a
small set of possible causes that defines the most likely factors giving rise to the
symptoms.
17. What is the role of a hypothesis in defining the problem?
Review question. This answer is found under “The Role of Hypotheses…”
Hypotheses are statements that are taken for true for the purposes of argument or
investigation. In making assumptions about the consequences of solutions, managers
are making hypotheses. When a manager makes a statement he or she believes to be
true and wants the researcher to determine if there is support for the statement, we
call these statements hypotheses.
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Chapter 4: Defining the Problem and Determining Research Objectives
18. Why is the information state important to resolving a problem?
Review question. The answer to this question points out why it is vital for the
marketing manager and the researcher to work closely in problem definition.
The existing information state is the quantity and quality of evidence a manager possesses for each of his or her assumptions. During this assessment, the researcher
should ask questions about the current information state and determine the desired
information state. Conceptually, the researcher seeks to identify information gaps,
which are discrepancies between the current information level and the desired level of
information at which the manager feels comfortable resolving the problem at hand.
Ultimately, information gaps are the basis for establishing research objectives.
19. What are the components of the marketing research proposal?
Review question. The components must be identified.
The components are:
 Problem statement
 Research objectives
 Constructs (can be subsumed in research objectives)
 Proposed research method
Here is a detailed description.
Function
Defines the marketing management
problem
Description
The problem statement identifies: (1) the
client company and principals, (2)
symptoms, (3) possible causes of these
symptoms, and (4) anticipated uses of the
research.
The proposal itemizes the information
objectives agreed to by the manager and
researcher.
The proposed research method identifies
data collection mode, questionnaire
design, sample plan, and other aspects of
the anticipated marketing research.
Specifies the research objectives
Details the research method proposed
by the researcher to accomplish the
research objectives
20. Sony is contemplating expanding its line of 3-inch and 6-inch portable televisions. It
thinks there are three situations in which this line would fit to be purchased: (1) as a
gift; (2) as a set to be used by children in their own rooms, and (3) for use at
sporting events. How might the information objective be stated if Sony wished to
know what consumers’ preferences are with respect to these three possible uses?
Application question. Here is the information objective.
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Chapter 4: Defining the Problem and Determining Research Objectives
To determine if prospective buyers of either 3-inch or 6-inch color portable
televisions are purchasing their TVs as a gift, a child’s room set, or for use at sporting
events, or if they have no preference.
21. Take the construct of channel (i.e., “brand”) loyalty in the case of teenagers viewing
of MTV. Write at least three different definitions that indicate how a researcher
might form a question in a survey to assess the degree of MTV loyalty. One example
is “Channel loyalty is determined by a stated preference to view a given channel for a
certain type of entertainment.”
Application question. Here are some alternative definitions of the channel loyalty
construct. We have simply taken alternative definitions of brand loyalty and applied
them to television viewing. Here are four examples.
Television channel loyalty is:

The channel the person recalls watching most recently

The channel that was on when the television was last turned off


The channel that the person spends most of his or her time watching
The channel the person considers most entertaining
22. You just started a new firm manufacturing and marketing MP3 players. Since your
design offers more storage and several other features at two-thirds the cost of the
lowest priced competitor, your sales have been very good and it has been difficult to
keep up with production. Describe the systems you need to put into place in order to
detect problems your firm may have now or in the future.
Application question. This question will require students to reflect on what monitors
are appropriate to use in order to reveal possible problems, that is, what symptoms
should be monitored?
The monitors (systems) to put in place are:
a. Total sales – the total number of units sold per quarter, or in relevant time periods,
including the trend of these sales
b. Stockouts (or unfilled orders) – to identify production shortfalls.
c. Brand share - the percent of the MP3 sales accounted for by your firm
d. Market segment (or target market) - subgroups of MP3 buyers who have different
demographic profiles and/or needs with respect to your firm’s MP3 model(s).
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Chapter 4: Defining the Problem and Determining Research Objectives
e. Brand image - the perception of how well a brand performs in satisfying
customers’ needs and wants, or a target market’s desired performance
f. Brand purchase decision influences - any person, event, or factor that affects the
person’s choice of a particular MP3) brand. These include competitors’ actions
such as coupons or a price reduction, family member roles such as children’s or a
spouse’s preferences, or changes in the customer such as need for more storage,
better sound quality, and so forth.
g. Marketing mix - those factors under the control of the brand manager that can
affect the brand’s sales, including any promotion, price, packaging, distribution,
or product performance changes
23. The local Lexus dealer thinks that the 4-door sedan with a list price in excess of
$40,000 should appeal to Cadillac Seville owners who are thinking about buying a
new automobile. He is considering a direct-mail campaign with personalized
packages to be sent to owners of Cadillac Sevilles that are over two years old. Each
package would contain a professional video of all the Lexus sedan’s features and end
with an invitation to visit the Lexus dealership. This tactic has never been tried in
this market. State the marketing management problem and indicate what research
objectives would help the Lexus dealer understand the possible reactions of Cadillac
Seville owners to this campaign.
Application question. This is a test of how well students have learned to differentiate
the marketing management problem from the marketing research problem. The
Lexus dealer has identified targeted direct mail and the video approach that
complements the high income life style that probably accompanies Cadillac Seville
owners.
Here is the marketing management problem. To determine a tactic that will induce
Cadillac Seville owners who are thinking about buying a new automobile to consider
the Lexus 4-door sedan model.
Note that this is a general statement, and that the Lexus dealer appears to have
thought through the various alternatives and narrowed the alternatives down to the
one described.
Here is the marketing research problem. To determine what percent of owners of
Cadillac Sevilles that are two years older will visit a Lexus dealership as a result
of watching the professional video.
It is important that students realize that actual sales cannot be estimated accurately
because there are too many factors impinging on the purchase decision. Also, a
single video is very unlikely to spur a $40,000 purchase decision. Another
problem is that the video must actually be seen. To illustrate this point,
instructors can ask students if they would have still chosen this university to
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Chapter 4: Defining the Problem and Determining Research Objectives
attend if they had received a video on another university. They will respond by
asking what is on the video, just as the Cadillac Seville owners cannot assess their
reaction to the vague idea of a “video.”
CASE SOLUTIONS
Case 4.1 AJResearch
Case Objective
This case provides five mini-cases where students must specify the marketing research
objectives.
Answers to Case Questions
Using the information above, determine the research objectives for each client.
1. Wired, Inc., an electronics firm, has developed a new flat screen television that will
sell for one-third of the price of those currently on the market. Problem: Will there
be enough demand to offset the large fixed costs of retooling to make the new
television sets?
Objective: Estimate the number of these units that will be sold in a year. (We can
assume that the fixed costs are known because it is internal information; also profit
margin for the new unit is assumed to be known for the same reason.)
2. Wacky Znacks, a large snack foods firm, has made a name for itself with wild flavored
snacks like licorice cookies and jalapeno sunflower seeds. Problem: They feel that
customers expect even wilder flavors. Wacky Znacks wants to know what consumer
reactions would be to even more unusual flavored snacks, i.e., watermelon flavored
corn chips and barbeque flavored chewing gum.
Objective: Determine what Wacky Znacks flavors consumers will consider buying.
(This will be a concept test or a taste test situation.)
3. Wild About Toys is a large toy firm that enjoys surprising consumers with innovative
new toys. They have developed an edible clay for children. Problem: Will parents
want to purchase a toy that their children can also eat?
Objective: Determine the reactions of parents to edible clay.
4. Jimmy Roberts wants to start small catalog business that caters to new parents. He
wants to offer a variety of high-quality, higher-price items. Problem: So many
different baby products exist. Roberts needs to start with a limited product line.
Which products should he start his business with?
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Chapter 4: Defining the Problem and Determining Research Objectives
Objective: Identify those baby products that new parents expect to have high quality
and where they are willing to pay premium prices.
5. The Better Butter company has spent many years researching and developing a butter
product that the company believes is truly superior to other butters on the market.
Problem: There are a plethora of butter products”
Objective: Identify those package characteristics or features that customers associate
with a superior brand of butter.
Case 4.2 The Hobbit’s Choice Restaurant
Case Objective
This case will help students to understand how to develop a list of research objectives and
to specify constructs that should be researched based on these objectives.
Answers to Case Questions
1. For each of the management problem items specified in Table 4.6 identify a
corresponding research objective.
Problem Item
Will the
restaurant be
successful?
How to design
the restaurant?
What should be
the average
price of entrees?
What is the
optimum
location?
Description/Research Objectives
Will a sufficient number of people patronize it?
What percent of people want to dine in an upscale
restaurant?
How often will those who want to, do so?
What about décor, atmosphere, specialty entrees and deserts,
wait staff uniforms, reservations, special seating, and so forth.
What are the preferences of those who want to dine in an
upscale restaurant with respect to… (each of the above)?
How much are patrons willing to pay for the “standard” entrees
as well as for the “house specials”?
What do they expect to pay for: (1) standard entrees and (2)
house specials?
How far from patrons homes are they willing to drive, and are
there any special location features (such as waterfront, ample
parking, etc.) to take into consideration?
What is the distance (in miles or minutes) that those who
would patronize an upscale restaurant will drive to patronize
it?
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Chapter 4: Defining the Problem and Determining Research Objectives
What is the
profile of target
market?
What are the
best promotional
media?
Are they willing to drive a greater distance with each special
location feature, and if so, how far?
What are the demographic and/or life style profiles of those who
are going to patronize The Hobbit’s Choice?
What demographic characteristics and/or life style
differences are specific to those who would patronize the
restaurant?
What advertising media should be used to best reach the target
market?
What are the media usage patterns that are specific to those
who would patronize the restaurant?
2. For each of your research objectives, identify relevant constructs and possible ways
to measure each construct.
Research Objectives
What percent of people want to
dine in an upscale restaurant?
How often will those who want
to, do so?
What are the preferences of those
who want to dine in an upscale
restaurant with respect to… (each
of the above)?
What do they expect to pay for:
(1) standard entrees and (2) house
specials?
What is the distance (in miles or
minutes) that those who would
patronize an upscale restaurant
will drive to patronize it?
Construct and Measurement
Likelihood of using – unlikely to very likely
Frequency of patronage – number of times per
month
Desirability scale – undesirable to very
desirable for each item
Dollar amount they expect to pay for standard
entrees and for specials
Estimated driving distance (from home)
Are they willing to drive a greater
distance with each special
location feature, and if so, how
far?
Additional driving distance they would travel
for each special location feature
What demographic characteristics
and/or life style differences are
Use standard demographics from Census –
age, education, income, family size, and so on.
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Chapter 4: Defining the Problem and Determining Research Objectives
specific to those who would
patronize the restaurant?
What are the media usage
patterns that are specific to those
who would patronize the
restaurant?
Use life style inventory (this is the standard
way to measure life style)
Frequency (never to very often) of viewing,
listening, reading (whatever is appropriate) for
each local media option, such as TV station
programs, radio stations, newspaper, and so on
by time of day
3. Go back and reread Marketing Research Insight 4.2. You will see that Ron Tatham
discusses a concept he calls the “action standard.” What is an action standard?
Identify the action standard in the Hobbit’s Choice Case for determining if there will
be adequate demand.
An action standard is a quantitative finding that allows the manager to choose a
particular course of action. The action standard(s) is specified by Cory: “He told Jeff
that if only 4 percent of heads of households in the 12 zip code area claimed they
were “very likely” to patronize the restaurant and if these same people spent an
average of $200 per month in restaurants and were willing to pay an average of $18
for an à la carte entrée, then the model predicted a very successful restaurant
operation.” Thus, if the research finds these numbers or higher, the action will be
“go.”
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