Explain and justify the methods you have chosen to use to identify the
target market for the proposed business
To identify the target market for Ideal Tuition Centre I am going to use primary
and secondary market research. I am going to use two methods of primary
research that will be surveys and visits to similar businesses, and two methods
of secondary research that are Internet and regional business listing.
Primary Research
Surveys
Collecting surveys is one of the primary methods of market research. The
advantage of survey is that they are usually easy to obtain and the collected data
is up to date and direct from customers. Information collected will not be
available to my competitors and I can use them to plan the marketing strategy of
my business.
Running surveys have disadvantages as well. It may be hard for participants to
recall information or to tell the truth about the question. Customers can also
finish the questionnaire by answering them randomly to get rid off the survey,
hence it will not be as accurate as it could be. Surveys can also be expensive to
conduct as the business would have to hire someone and other costs add on.
Visiting similar businesses
Another method I am going to use is visiting other similar businesses to see how
strong my competitors are and what they are offering. I might also be able to find
out the weakness of my competitors. The advantage of using this method is that I
may ask questions about the business and this form of collecting information is
not expensive to do. Information I will gather is going to be for my business use
only. Disadvantage of using this method is that It may not be able to ask specific
questions about the competitor`s business or they can refuse to answer as they
do not want to leak their business information.
Interview
Interviewing is another vital primary research method that allows a detailed
discussion with the person. Interviews can be conducted one to one or to a small
group, that allows the sample to reach more people and the results can be used
to help the business in marking further decisions. As it is one to one, the
interviewer can make sure that the interviewee understands the question and
answers correctly. Another benefit is that the answers can go in detail and help
the interviewer to have a look at the business through the interviewee
perspective.
Apart from the benefits, it has disadvantages as well, such as respondents might
be forced to choose between the alternative answers the interviewer will ask
them. To make sure the interview is short and accurate, interviwer has to stick to
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target market for the proposed business
To identify the target market for Ideal Tuition Centre I am going to use primary
and secondary market research. I am going to use two methods of primary
research that will be surveys and visits to similar businesses, and two methods
of secondary research that are Internet and regional business listing.
Primary Research
Surveys
Collecting surveys is one of the primary methods of market research. The
advantage of survey is that they are usually easy to obtain and the collected data
is up to date and direct from customers. Information collected will not be
available to my competitors and I can use them to plan the marketing strategy of
my business.
Running surveys have disadvantages as well. It may be hard for participants to
recall information or to tell the truth about the question. Customers can also
finish the questionnaire by answering them randomly to get rid off the survey,
hence it will not be as accurate as it could be. Surveys can also be expensive to
conduct as the business would have to hire someone and other costs add on.
Visiting similar businesses
Another method I am going to use is visiting other similar businesses to see how
strong my competitors are and what they are offering. I might also be able to find
out the weakness of my competitors. The advantage of using this method is that I
may ask questions about the business and this form of collecting information is
not expensive to do. Information I will gather is going to be for my business use
only. Disadvantage of using this method is that It may not be able to ask specific
questions about the competitor`s business or they can refuse to answer as they
do not want to leak their business information.
Interview
Interviewing is another vital primary research method that allows a detailed
discussion with the person. Interviews can be conducted one to one or to a small
group, that allows the sample to reach more people and the results can be used
to help the business in marking further decisions. As it is one to one, the
interviewer can make sure that the interviewee understands the question and
answers correctly. Another benefit is that the answers can go in detail and help
the interviewer to have a look at the business through the interviewee
perspective.
Apart from the benefits, it has disadvantages as well, such as respondents might
be forced to choose between the alternative answers the interviewer will ask
them. To make sure the interview is short and accurate, interviwer has to stick to
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