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International Research Survey Methods


Welcome friends. Welcome again to the class of International Business. So, today we
will discuss about the research in the international business right. So, what kind of issues
come in, when you discuss about the you know research in international business.
Because whenever a marketer wants to get into a new place, new country, there are lot of
challenges right.
So, and if by any chance if it cannot forecast the you know nature of the demand or the
size of the demand and it gets into the you know it gets launches the product or
something then, there is a chance that the product might not get acceptance in the market
and the product might fail in the market, which may be a huge loss for many companies
or for any even it is a for a large company it can be a big loss right.
So, in such a condition we discussed about the some of the major issues that marketers
face while going international is that they sometimes the problem of the self reference
criteria. So, a you see whatever may be the company the after all at the end the managers
are the one, who need to understand them.
So, if a manager has a problem and he thinks in his own way and tries to extrapolate or
you know fit in his thoughts into another countries conditions, then it becomes highly
dangerous right. Sometimes the there is a problem of even culture and language so, we
tend to translate, something that we think in our own language and try to translate that
that is also a major difficulty that happens in international business and especially in the
marketing research of international business.
So, similarly there were also market adaptability and adapting your oneself to the
conditions, local conditions. So, there were some kind of issues that was involved that
are they are very important when one needs to discuss about international business and
the research part of it.
Today, we will discuss about the survey methods which are largely used, when you talk
about surveying or researching in the international business scenario. So, we will start
with the first is the survey method, which we talked about is the telephonic interviewing
right.
(Refer Slide Time: 02:42)
So, for example, in countries like, United States and Canada, telephone interviewing is
the dominant mode of questionnaire administration, the survey instrument questionnaire
right, but, if you look at the Asian economies especially in India, right.
Many people would not go for it right. Even in many European countries, such as Great
Britain, Finland and Portugal, telephone interviewing is not a very popular method.
Interestingly, Hong Kong has you know there is a 96 percent presence of phone and
everything you know telephonic connectivity telephone connectivity, but still they do not
prefer to go for you know of telephone interviewing because, it is not a part of their
culture right.
In developing countries, only a few households have telephones in India for that, for you
know after mobile has come in it has slightly it has improved, but then still there are
people who do not have a telephone. Telephone directories tend to be incomplete and
outdated. And in many cultures, face-to-face relationships are predominant right. So,
these factors severely limit the use of telephonic interviewing right.
So, one is to understand what is the right way of interviewing when you go into a new
market. So, to because if you do not get the primary data the right data then your
analysis, your decisions will be entirely risky.
Similarly, in home personal interviews. So, some companies would prefer to go for a
personal interview to understand the psychology of the consumer to understand him
better and so that they can make the products accordingly.
(Refer Slide Time: 04:10)
But due to high cost, the use of in-home personal interviews has declined in countries
like the United States and Canada because, but this is the dominant mode of collecting
survey data in Europe but, on the contrary if you get into Europe it is the most the best
preferred method.
But in USA and Canada, the telephone is considered to be a better method right.
Majority of the surveys are done door-to-door, while some quick socio-political polls are
carried out in the street using accidental routes. In some places it is done well, personal
interviews in home and going door-to-door and approaching and taking their opinion is
preferred. But in some other cases it is not.
Another method of data collection primary data collection largely we are talking about is
the mall intercept. Now what is mall intercept? Basically if you understand to stop
somebody you know outside a mall or in a store and then take their time and approach
them to fulfil full a questionnaire and take their opinion for that right. So, that the data is
collected and then used for by the marketer.
(Refer Slide Time: 05:19)
Mall intercepts constitute about 15 percent of interviews in Canada and 20 percent in the
United States. So, that is a very dominant figure right. While mall intercepts are being
conducted in some European countries, such as Sweden they are not popular in Europe
or developing countries. So, if you do that in India I have seen people doing it, but then
that is not largely taken well.
And another thing is when you do a mall intercept interview in India for example, I have
seen it is very difficult to get the right information because, the frame of mind the person
is in India which is a tropical climate, hot climate and somebody is coming out of the
store with lot of bag and all; he or she would not be in a frame might not be in a frame of
mind to answer you right.
So, and in India such kind of researchers are taken as rather a problem right and such
researchers are taken as a problem and people try to avoid them. And if they give a data
also information they do not bother to I have seen read it well and thoroughly and just
they skip through just ticking something right.
But in contrast, central location street interviews constitute the dominant method of
collecting survey data in France and the Netherlands. So, it varies from country to
country and place to place it varies right. So, the marketer has to know if it is going to a
particular country or place, what kind of interviewing method is the best.
One more interviewing method which is very popular is the mail interviews right.
(Refer Slide Time: 06:46)
So, it is a low cost, mail interviews continue to be used in most developed countries
where literacy is high and the postal system is well developed right. So, according today
[FL] mail you know even mail interviews, I have also been replaced with electronic
surveys also. So, which I have you know you can take it like for example, a email
interview or a email you know sending of questionnaire somebody and so that he can he
or she can fill up.
So, mail interviews are low cost and today email or electronic instruments are still even
more effective cost effective. Mail interviews constitute 6.2 percent of the interviews in
Canada and 7 percent in a United States.
In countries where the educational level of the population is extremely high. But,
otherwise in countries where the you know peoples education level is not high like
maybe in still in India, Pakistan, Bangladesh. So, mail interviews are not very preferred
mode right. In Africa, Asia and South America; however, the use of mail surveys and
mail panels is low because of the literacy and the large portion of population living in
rural area.
They do not have the time and interest to get into to read and you know be and
participate in a research process. Mail surveys are typically effective in industrial
international marketing research, although it is difficult to identify the appropriate
respondent that is a problem, in mail survey’s to find the appropriate respondent within
each firm and to personalize the address.
But after you know the mail interviews today nowadays the electronic surveys have
become very popular. Now, because one it is very easy and the person can you know
whoever can be given some benefits, and more than that a person whose mail id is there
or you can send a mail; he can do it in his free time and then send it and the time
transaction time is very low, all this has made electronic service nowadays very popular
right.
(Refer Slide Time: 08:48)
Now, when you talk about research you need to understand the scale and the
measurement equivalence in international marketing research because, the kind of scale
one uses right, they have to there has to be an equivalence because otherwise if the scales
are interpreted differently in different markets then it becomes a real challenge and the
entire data might become questionable right.
So, we can talk about construct equivalence, operational equivalents, scalar equivalence,
the scale equivalence and the linguistic equivalence right. So, there are different kinds of
equivalences that has to be looked into right. Category equivalence all these things
functional equivalence. So, let us see some of them.
(Refer Slide Time: 09:31)
So, it is what it says is, it is critical to establish the equivalence of scales and measures
used to obtain data from different countries. Now as I said if you do not if one does not
establish an equivalence of scale, suppose Coca-Cola wants to do a research in Africa
and also wants to do a research in let us say Vietnam. Now, if we does not create an
equivalence of scale, there might be a problem and the efficacy of the data might be
questionable right.
Now, what is the construct equivalence? A construct equivalence deals with the question
of whether the marketing constructs have the same meaning and significance in different
countries. Do they mean the same in different countries or they mean differently. So, that
is first has to be checked if they if they mean differently then, you have to take some
action accordingly.
Construct equivalence is comprised of conceptual equivalence, functional equivalence
and category equivalence; now what are they? Let us see. Now for example, conceptual
equivalence it deals with the interpretation how do people interpret a brand, a product, a
consumer behavior and the marketing effort, let us say when you said special sales how
do how does an Indian interpret it?
How does a Italian interpret it? There might be different right. So, the word how is the
concept understood by different cultures, different people is what is called as conceptual
equivalence.
What is functional equivalence? It examines whether a given concept or behavior serves
the same role, does it serve the same role or function in different countries for example,
when you talk about a bicycle, does the bicycle work is important in the same manner in
all the different places?.
In some places bicycles are very important they are given high you know importance, but
in some other countries wherever the government has even tried to give free bicycles; so
that to reduce pollution and all they have not been effective right. So, how is the item
taken? What is the functional value? Right.
Similarly, category equivalence refers to the category in which the stimuli like products,
brands and behaviors are grouped. How are they grouped? What category are the
grouped? For example, a principle shopper group category right. So, now, what is the
category that the products would be kept in? For example, there is a range of products
and the consumers in one country.
Let us say out of 10 products, they are grouping product number 1, 3 and 7 in 1 category,
but in another country maybe group number 1, 3 is goes with group you know the
product number 9. So, how is there a category equivalence? If yes or no if it is no, then
you cannot compare 2 different countries and the data from 2 different countries and you
cannot make a take a decision, a same decision or similar decision for these 2 countries
because, they are thinking differently ok.
(Refer Slide Time: 12:38)
Similarly, what is operational equivalence? Operational equivalence concerns how
theoretical constructs are operationalized to make measurements. For example, what is
the example leisure? Now, how do you define leisure? In different countries leisure can
be defined differently. So, that is an important task.
Item equivalence, which is closely connected to the operational equivalence. It
presupposes that both construct and operational equivalence right. So, it presupposes to
establish item equivalence the construct should be measured by the same instrument in
different countries.
Now, item equivalence means the indicators, we mean the manifests variables, the
indicators which are part of the construct. Are these items same in all suppose you have a
construct called leisure. Now what their leisure is a construct which has got 5 items; now
is the same item which is defined for leisure is it same in India and same in let us say
Germany; if yes, there is an item equivalence. If it is no, then there is not an item
equivalence ok.
Now what is scalar equivalence also called metric equivalence, it is established if the
other types of equivalence have been attained, if all other have been attained like the
conceptual, you know functional and all; then only you can go for this. It involves
demonstrating that 2 individuals from different countries with the same value on some
variable, such as brand loyalty, will score at the same level on the same test. So, example
top-box are the top-two-boxes score.
Now, what it means is, if all these equivalence are checked then, scalar equivalence says
that if people in two individuals in two different countries are checked, they would give
more or less the similar score. What is linguistic equivalence? It refers to the both the
spoken and the written language forms used in scales, questionnaires and interviewing.
The scales and the other verbal, verbal stimuli right should be translated so that they are
understood easily by the respondents in different countries and create the same meaning.
Linguistic equivalence is a challenge for many marketers have found.
In fact, the scale you know problem has been a major problem across all for all marketers
because, creating a scale equivalence in different markets is a big challenge because, a
Britisher is different to an Indian and an Indian is different to a German and a German is
different to a African and they all are different and they all differently they think
differently.
So, getting an equivalence is very difficult, but yes the equivalence can be brought in
may be in terms of the regional categories or you know on special zones that can be may
be done; but otherwise it is a very big challenge. And if you do not do it, if you do not go
for equivalence then the problem is bigger, that at the end whatever the data you are
getting and if you are trying to use it across globally then it is a may be a wrong
interpretation.
Similarly, when you talk about a questionnaire suppose you have a survey instrument a
questionnaire, people go for a back, you should go for a back translation.
(Refer Slide Time: 15:52)
What is the back translation? The questionnaire is translated from the base language by a
bilingual speaker. So, a speaker who knows let us say I have a questionnaire in Hindi,
and I want to show it to a person who knows both Hindi and English right, and whose
native language is the language into which the questionnaire is being translated; suppose,
I am translating this question from Hindi to English. So, that I have to I should take the
opinion of a bilingual speaker who can understand it in both the languages and then
correct it if required.
This version is then retranslated back into the original language that is again from after
collected in Hindi a English sorry, again you convert it back to Hindi. So, it was first
Hindi, then you made it English or Spanish or Latin and then from that again you
translate it back to Hindi.
So, translational a translation errors can then be identified. So, what are the translation
errors that is happening, that can be easily tracked? Several repeat translations and back
translations may be necessary to develop equivalent questionnaires, and this process may
be cumbersome and time consuming, but it is worthwhile. So, when you are doing a
international marketing research or a research for the international business such kind of
back translations are very very vital.
If one although it is difficult cumbersome, but it is worth; if one does not do it then there
is a chance that one might get into trouble. Similarly, what is a parallel translation?
When you talk about parallel translation, a committee of translators, each of whom is
fluent in at least two of the languages right in which the questionnaire will be
administered, let us say Spanish and Hindi right.
(Refer Slide Time: 17:32)
Discusses the alternative versions of the questionnaire and makes modifications until the
consensus is reached. So, what they do is they discuss about the alternative versions of
the question alternative words, alternative sentences. So, that and try to make the
modifications. So, that they both come to a consensus at the end.
In countries, where several languages are spoken, the questionnaire should be translated
into the language of each respondent subgroup ok. And it is important that any nonverbal
stimuli pictures and advertisements also be translated using similar procedures. So, all
these are very important when you go for international business because in because if
you do the research and you do not understand how the person in other countries are
thinking about it or understanding in it.
So, then the question is and you do not suppose you do not want to take the pain of doing
it then, you may the end result is that you may land up in a difficult situation, you may
land up in a situation where you have collected the data; where people have thought it in
a different manner and they have responded to it, now this data can never give a you
know a universal opinion or decision which needs to be taken.
So, that is very important. So, you know I will come to we have come to an end of this
chapter also. So, one needs to be very careful in international business that international
marketing when you do, you need to be careful about all different factors including the
international marketing research right; if you do not do it well, and if you are by any
chance losing some loopholes then there might be a problem that you may face a
miserable or a big problem. So, and your decisions taken might be all wrong right, so or
questionable.
So, I think now you are all clear with what I am trying to say, and how important
research is in terms of international business why we are discussing it? And if you do not
understand it well then it might lead to a problem. So, because of the various changes in
culture, tradition, habits, language everything right. So, this is all we have for the day.
Thank you very much.