about Environmental-scanning

1. ECONOMIC ENVIRONMENTAL
SCANNING AND MARKETING
RESEARCH
• Economic institutions
• Levels of trade
integration
• Marketing Research
MKTG 376 ENVIRONMENTAL SCANNING Lars Perner, Instructor 1

2. Economic Institutions
• World Trade Organization (WTO)
• World Bank
• International Monetary Fund (IMF)
MKTG 376 ENVIRONMENTAL SCANNING Lars Perner, Instructor 2

3. Levels of International Economic
Integration Text, p. 158
Political Union
Economic Union
Common Market
Free Trade Area
Preferential
Increasing
Trading Agreement
(Tariff concessions on Integration
select items)
(Free trade among members)
(Common External Trading Policy)
(Harmonization of economic policies)
(Complete political and economic integration)
MKTG 376 ENVIRONMENTAL SCANNING Lars Perner, Instructor 3

4. Levels
• Preferential Trading Agreement
• Free Trade Area
• Customs Union
• Common Market
• Economic Union
• Political Union
MKTG 376 ENVIRONMENTAL SCANNING Lars Perner, Instructor 4

5. MARKETING RESEARCH:
COUNTRY AND CONSUMER
• Country research
• Primary vs. secondary marketing research
• Issues in secondary marketing research
– Sources
– “Hard” vs. “soft” data
– Reliability
• currency
• credibility
• comparability
– Cost
• Primary research methods
MKTG 376 ENVIRONMENTAL SCANNING Lars Perner, Instructor 5

6. Country Research Issues
• Political • Sociocultural
– Stability environment
– Terrorism • Economic environment
• Physical Environment • Regulatory
– Climate environment
– Infrastructure
MKTG 376 ENVIRONMENTAL SCANNING Lars Perner, Instructor 6

7. Some Sources of Information
--Books and Indices
• World almanacs
• Statistical Abstracts of
the United States
• Government
publications
• Country-specific books
MKTG 376 ENVIRONMENTAL SCANNING Lars Perner, Instructor 7

8. Useful Periodicals
• Heavily • Some international
internationally coverage
focused – Wall Street Journal, New
– Economist York Times, Washington
Post
– Journal of Commerce
– Business Week, Fortune
– Forbes
– Time, Newsweek
– Business America (U.S.
Dept. of Commerce)
– World Press Review
MKTG 376 ENVIRONMENTAL SCANNING Lars Perner, Instructor 8

9. Other
• Academic country
specialists (e.g.,
anthropologists,
economists)
• Consultants
• Expatriates
• Own experience
MKTG 376 ENVIRONMENTAL SCANNING Lars Perner, Instructor 9

10. “Hard” vs. “Soft” Data
• “Hard” data--usually • “Soft” data
quantitative--examples: – Country history
– Gross national product – Laws and enforcement--
– Per capita expenditure on theoretical vs. reality
food – Culture and tradition
– Average number of years of • “How things are done”
school completed by • Meaning of behaviors--
population why are people late?
– Product penetration levels – Attitudes toward
(e.g., percentage of products/motivations for
households having usage
microwave ovens)
MKTG 376 ENVIRONMENTAL SCANNING Lars Perner, Instructor 10

11. Data Availability and Reliability
• Availability/ ability to collect data
• Motivations for releasing data
– Wishful thinking vs. reality
– The Web--accessible to any fool or
group
• Comparability of data/Arbitrary
differences in measurements
• Recency--is the data up-to-date?
MKTG 376 ENVIRONMENTAL SCANNING Lars Perner, Instructor 11

12. Cost of Data
• Much “raw” data is free
from
– U.S. Gvt.
– United Nations
– Research institutions
• Commercial directories
• Consulting services
MKTG 376 ENVIRONMENTAL SCANNING Lars Perner, Instructor 12

13. Some Cultural Variables Among
Countries
• Religion
• Value system
• Norms
• Aesthetics
• Language
MKTG 376 ENVIRONMENTAL SCANNING Lars Perner, Instructor 13

14. International Marketing Research
Process
Text, p. 200
Problem Preparation of
Identification Research Design
Selection of Primary Data
Research Method(s) Collection
Determination of
Information Requirements Analysis
Info Source Identification Evaluation and
(Primary and Secondary) Interpretation
MKTG 376 ENVIRONMENTAL SCANNING Lars Perner, Instructor 14

15. Equivalences in International
Market Research
• Construct • Measurement
– Functional—how product – Calibration (e.g., number
is used of scale points)
– Conceptual— – Translation (e.g.,
interpretation of objects specificity of family
– Classification/ relationship terms)
categorization – Sampling
• Comparability
• Representativeness
of population
– Data analysis
MKTG 376 ENVIRONMENTAL SCANNING Lars Perner, Instructor 15

16. Issues in Primary Research
• Social desirability/ • New technologies (e.g.,
willingness to “stand out” scanner data) --usually
---> need to adjust data less well developed than
• Willingness to criticize in the U.S.
products • Reachability of
• Familiarity with being respondents
surveyed • Selection of appropriate
• Language/translation respondent
MKTG 376 ENVIRONMENTAL SCANNING Lars Perner, Instructor 16