Research is an important consideration and aspect of study related to any research problem or concern using some scientific methods. It is a systematic inquiry that is used for describing, predicting, controlling, and explaining the entire observed phenomenon. There are some purposes behind conducting the research which is identifying new and potential customers, setting pragmatic goals, identifying new opportunities for business, addressing challenges of business, developing market strategies, and understanding customers. There are various methods that play an important role in conducting business research and this enables or motivates the researcher to know and understand consumers.
What is Business Research?
It is the process that helps to collect the relevant data or information related to the business activities of the company and uses the data for maximising performance and profit. It is the management activity that helps various companies determine the profitable products for companies that can be produced in the marketplace. It is a process that consists of various aspects related to the business environment of an organisation like the marketplace in which the company is involved, global and local economic trends, new practices of business, its competitors, and some other elements which affect the operational efficiency of the organisation.
Business Research Types and Methods
Two common methods that are included in business research are qualitative research and quantitative research method and these methods consist of various types:
Qualitative method: This research method is used for collecting relevant data or information through using open-ended communication process. This method is used generally by various businesses to show the exact motivation behind the actions of the public and the purpose is to increase their interest in services and goods produced by the company. Example: Conducting an interview by a Manufacturer Company with having group of women to understand the reason behind having female customers in less number. This method consists of some types:
- Interviews: This research type involves subjects in smaller numbers in comparison to focus groups. It receives questions that are open-ended and related to the services and goods of the company. The interview process is more conversational in comparison to others.
- Focus groups: This research type selects people in a specific group and assesses feedback as well as their behaviour regarding certain services or products. Companies choose people who can easily fit into their decided characteristics for their target audiences. These people participate successfully in the focus group process and open questions will be asked of them to determine the way they can enhance or improve the satisfaction of customers.
- Ethnographic research: In this type, researchers try to understand the behaviour and culture of the target audience towards the services and products of the company. It is time-consuming and challenging but helps the stakeholders of the organisation to understand the thought processes of customers.
- Case study: The aim of this type is to assess customers' satisfaction by discovering all challenges faced by customers when using or buying a specific service or product. Their main purpose is to provide help to stakeholders of the company to gain an understanding of all issues to provide the best and most effective solutions.
Quantitative method: This method depends on data in large amounts as well as uses various mathematical and statistical techniques for drawing conclusions relevantly from it. It also involves phase data collection and data analysis. Example: Conduct a survey to understand how much time is taken by doctors to tend to their patients when walk into a clinic or hospital. The survey is conducted to collect data related to patient satisfaction. The questions asked are how much time doctors take to see their patients, whether doctors do treatment well, and some other questions. This method consists of some types:
- Surveys: This business research type asks specific questions set to existing and potential customers presented in large amounts. Surveys are conducted by the company in both offline and online mode as well as use achieved data for improving the processes of making better decisions.
- Experimental: In this type, experimental research will be conducted to disprove or prove any certain theory. This type is used by companies to assess hypotheses for improving profits or performance by conducting experiments as well as obtaining the desired results.
- Correlational: This business research type uses techniques of mathematical analysis to analyse how 2 entities can influence each other. This type is generally used by the company for understanding how the actions can influence the outcomes of business.
Tips for Conducting Business Research
- Identify the main issues, trends, problems, and opportunities that you observe and then write to describe them.
- Keep track or record of frequency through which findings will appear.
- Listing all findings starting from common and ending with the least common point.
- Do a SWOT analysis to evaluate strengths, opportunities, weaknesses, and threats.
- Prepare both conclusions as well as recommendations regarding the research study.
- Act properly on selected strategies.
- Check if there is any information gap and do inquiry additionally if required
- Review the achieved results as well as consider methods for interpreting and analysing results efficiently.
It is important to review all goals before reaching or making the conclusion of your research study. Review how the selected process was completed and gathered data provided the answers to all questions. Check that your analysis facilitates the identification of both conclusions and recommendations.
Advantages of Business Research
- It plays a catalyst role in identifying all issues, potential threats, and opportunities.
- It keeps track and record of competition continuously in the marketplace and gives better scope to businesses to use the best strategies for tackling all their competitors.
- It also keeps the businesses updated with competitor analysis and the latest trends.
- It provides analysis of the target audience and customers in detail as well as helps to build relationships better with audiences.
- It conducts cost analysis thoroughly and helps the company to manage all resources efficiently and allocate them properly.
Disadvantages of Business Research
- The marketplace is ever-evolving and ever-changing as well as captures trends that constitute a process that is complicated for conducting business research.
- This can be time-consuming and expensive.
- Mostly the analysis of the company is done on the basis of assumptions.
Business research is a vital process that enables companies to thrive in today's dynamic marketplace. It encompasses various types and methods, including qualitative and quantitative approaches, which help organizations gather essential data to make informed decisions. Additionally, it provides valuable insights into the target audience, helps manage resources efficiently, and fosters better relationships with customers.
