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Summary BEM314 Chapter 4: Problem Definition and Research Objectives

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Chapter 4 of BEM314, Problem definition is the starting point of any scientific research process. The marketing problem is the basis of any investigation, and so it is necessary to obtain a clear insight into the nature, scope, and intensity of the problem before formulating the research problem.

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Summarized whole book?
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Chapter 4
Uploaded on
March 19, 2023
Number of pages
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Written in
2022/2023
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Chapter 4: Problem Definition and Research Objectives

1. Introduction
 Problem definition is the most important step in a research project, and often more important than its
solution.
 Two steps of marketing research process:
- Problem definition
- Research objectives
 The first step is to identify and define the nature and scope of the marketing problem – also referred to as the
decision-making problem or marketing opportunity.
 Based on the research problem, the research questions and objectives are developed.



2. The Marketing Problem:
 The initial stage, the decision-maker does not know precisely what the problem is, what the opportunity
involves, or what has to be decided.
 The decision maker is only aware that something is wrong with the marketing activities of the enterprise.
 Decision makers usually become aware of a problem or opportunity when conflicting fragments of information,
reports, opinions and symptoms come to their attention.
 The steps of marketing problem:
a. Identify the decision-making situation
b. Define the marketing problem



a. Identify the decision-making situation:
- A decision-making situation arises when the decision maker has to choose between two alternative
courses of action to achieve a particular objective and is nit sure of the outcome of that decision.
- A decision is required in situations that involve the problem and opportunities.
- A decision-making situation is characterized by a:
 Symptom – a particular condition that indicates the presence of a problem or an opportunity.
- It is a sign to the marketing manager that a problem or opportunity requiring decisions is
about to arise
- The Iceberg principle




The true cause of the “visible” symptom- the underlying problem/ opportunity must be
investigated by analyzing environmental factors and marketing strategy. Enterprise’s
behavioural response & performance standards usually indicate the symptom. Underlying
problem/ opportunity can be found in the marketing mix & situational variables.

 Problem – indicates that something is wrong and needs attention.
- It refers to those independent variables that prevent conformity between the
performance standards and planned objectives of enterprise.

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