Tips for Market research

Economic crisis is not the cause of business collapse

Many businesses today have been brought down not only by the global recession but also by mismanagement. It is not in order to assume that the global economic crisis should only be working against your business. Many managers who are failing today are blaming the bad economic conditions for their poor performance. A good business manager should be able to look for effective ways of handling a bad situation and getting the best out of it.

One of the most deceiving business ideas is that by putting your eggs indifferent baskets, you are going to be successful. Most of the managerial trainings include what is commonly called ‘portfolio management’. This theory supports the idea of investment diversification. This is why managers think that during bad financial moments for the business, they need to diversify their investments in order to reduce the risk of losses. This may not be a solution if the management style is wrong. A poor manager will still fail even in a diversified portfolio.

Many are left wondering about what they should do if diversification is not working. The truth is that diversification should only be left for those who are not sure of making it in one line. Instead of diversifying your investments, you should be thinking of specialization.

You should be looking for the best business strategies that can make you a king in your line of operation. Unfortunately, many business managers view success as only retaining some profits for the business. Very few people are endeavoring to be the most outstanding businessmen.

Tuesday, August 25, 2009

Tips for Market research

Market research is aimed at exposing you to the various elements in your business environment. Market research should help you come up with strategies that will accelerate your business towards increased profits. Many people find themselves in a fix because they know the importance of a market research but do not know how or what should be measured.

Whenever you go to the field, you must be ready to relate your products, price, place and promotion. These are the four fundamentals of marketing. Market research therefore helps you to know how these four concepts interact in the real environment. It therefore means that they are the basic areas which your research must cover. You are simply supplementing what you know from theoretical knowledge with practical issues on the ground. This forms the major reason for market research.

The first thing to think about is your product. You must establish what kind of products will do well in the market. It is important to study what your competitors are providing and think of ways to improve on the products. Always remember that your business exists to satisfy your clients’ needs and therefore you must give whatever they want.

As you study price, you must establish how much would be appropriate for your customers. Remember that your products should also sell for a price that brings some returns for your business. This calls for a proper balance that pays for both your business and the customer.

Next, establish the success possibilities of the place you intend to operate in.