Many small businesses avoid marketing research because they misunderstand what it is and what it can accomplish. Following are sev eral questions commonly asked by small business managers and entrepreneurs about marketing research. A basic answer is provided after each question. After you read these questions and answers, you should have the necessary information to begin conducting marketing research as part of your own marketing activities. Not enough customers, insufficient revenues and excessive inventories indicate that the customer's needs are not being met.
Marketing research can help find the problem and identify a solution.
It helps managers to look outside of themselves for solutions. First, many think that a small business should only initiate marketing research when it is making a profit. However, the need for information about customers or competitors is often greatest when the business is not profitable. Research can provide the information necessary for the firm to redirect its marketing efforts so as to become profitable. Sometimes managers believe that unless research provides a complete description of a situation it is of no value.