Market research is one aspect of marketing strategy. Doing market research will enable the business to handle competitive forces and intense competition from the rival firms effectively. In doing market research, it is important for the company to do the following:
1. Know the U.S. market share in the target market(s).
2. Understand the import tariffs and mark-up structure and the retail price point the products will sell
3. Know the legal structure of the distribution system
4. Know the useful division of sales through several channels and the end-users of the products
5. Develop a marketing plan that caters to the target market(s)
Market research is an integral part of marketing strategy. Before jumping into the bandwagon, the business must first know what it is up against. Also, globalization is the recent trend now. Marketing means differ from country to country. It is important to consider the practices unique to the country’s culture before putting up adverstisements or introducing new products. What works in the Philippines may not necessarily work in Germany. This is particularly true in the advertisement of the product. One must treat the market separately not uniformly.
Sometimes, product modification is necessary in order to meet the requirements or preferences dictated by a particular culture. Foreign distributors have to cope and follow local regulations on safety and security also import limitations.
Coca Cola makes use of market research to be able to maintain its spot at the top. Knowing the market really well enables it to cater to different needs. Coca Cola for instance has come up with diet coke for the diet conscious ones.