T.M.PREMNATH, Assistant Professor, Department of Management Studies, J.J. College of Arts and Science, Pudukkottai.

Cell : 98941 86791 Email:prosem79@gmail.com

S.PALANIAPPAN, M.Phil Scholar, Department of Management Studies, J.J. College of Arts and Science, Pudukkottai. Cell : 98949 61719l Email: splvlcc@gmail.com

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ISSUES AND CHALLENGES IN INTERNATIONAL MARKETING RESEARCH

ABSTRACT: In todays competitive world, marketers have to be selective and careful in designing the marketing strategies of the organisation. They need to analyze the market in-depth. Marketing research is an aid and a guide to the managerial decision-making process. When marketing research is carried out for going global it is called as international marketing research. The scope of international marketing research covers a wide range of marketing and environmental factors that can affect a product's success in a foreign market. Generally, the tools and techniques in foreign and domestic marketing research remain more or less the same but the areas of its application are divergent, creating a variety of operational problems. The present paper throws light on major issues in international marketing research like problem definition, formulating research design, deciding research unit and sampling plan, addressing cultural issues, finding out reliable secondary source of information, solving data collection, language and translation issues, facing evectional challenges like time zone, cost, currency fluctuations and issues related to measurement of data and analysis. INTRODUCTION: In todays competitive world marketers have to be selective and careful in designing the marketing strategies of the organisation. For this they need to analyze the market in-depth. The process of analyzing the marketing opportunities is called as marketing research. Marketing research can be defined as the systematic study and evaluation of all factors bearing on any business operation relative to marketing of goods and service. It is an aid and a guide to the managerial decision-making process. When marketing research is carried out for going global it is called as international marketing research.

Domestic Vs. International Marketing Research: Theoretically there is no difference between the fundamentals of international and domestic marketing research. Generally, the tools and techniques in foreign and domestic marketing research remain more or less the same but the areas of its application are divergent, creating a variety of operational problems. The environmental factors, for example, that are relevant for marketing may vary from country to country or specific information needed in one country may not be required in another. Global market research turnover in 2009 Rank Continet Sales in 2009 (In Million USD) Share

1 Europe 13,299 46% 2 North Americs 9,188 32% 3 Asia Pacific 4,480 15% 4 Latin America 1,486 5% 5 Middle east and Africa 492 2% Source: ESOMAR - Global market research 2010 - ESOMAR Industry Report

SCOPE OF INTERNATIONAL MARKETING RESEARCH: The scope of international marketing research covers a wide range of marketing and environmental factors that can affect a product's success in a foreign market. These factors can be broadly classified as :
Socio-economic, Cultural and Political Profile

Size and Trend of the Market Structure of Competition Rules and Regulations
Consumer Habits and Marketing Practices

INTERNATIONAL MARKETING RESEARCH PROCEDURE

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The following are the basic steps in planning international marketing research Defining Research Objectives Determining Information Required Determining Methodologies Execution Analysis and Interpretation Preparation of the Report

TECHNIQUES OF INTERNATIONAL MARKETING RESEARCH The techniques of conducting international marketing research can be divided into two broad categories, which are complementary in practice. These are: Desk Research and Survey Research. DESK RESEARCH: In international marketing research, desk research plays a significant role. Information on the countries' industrial and economic profile, government policies and regulations, size, composition and destination of foreign trade and host of other general information is often available for desk research. Desk research also provides background information for selection of the most promising foreign markets for in-depth investigation. It can also point out specific factors that should be carefully looked into. Sources of Data There could be numerous specific sources of information but it is neither possible nor necessary to tap all such sources. The principal sources of information can be classified under specific categories like Government sources Semi-government sources

 Private sources, and International sources Selection of secondary source should be made from the point of view of coverage, adequacy, emphasis, timeliness, and accuracy. SURVEY RESEARCH: Most of the desk research on foreign market can be done in the exporter's country itself but survey research has to be carried out with the potential markets abroad through direct contact with people there. Often desk research provides the general background or framework for planning and conducting survey research for collection of primary information specific to exporter's needs.

BASIC ISSUES IN INTERNATIONAL MARKETING RESEARCH: ISSUES IN PROBLEM FORMULATION: The researcher may be unfamiliar with the foreign environment. As a result he may make false assumptions and poorly define research problem. He may also end up in wrong conclusion. To avoid this issues the descriptive research has to be carried out after conducting an exploratory study about the issue. The basic issue in problem formulation is understanding the cultural differences. Cultural challenges: Cultural elements such as social institutions, gender roles, language, religion, education, and time orientation are closely intertwined with national culture (Javalgi & White, 2002), and have a major impact on the acceptability and adoption of new products and services. In addition it will also pose problem in the research process itself. For instance, in many MiddleEastern countries, women would never consent to being interviewed by a man; furthermore, the idea of discussing grooming behavior and personal care products with a stranger (i.e., moderator) would be highly offensive (Zikmund, 2000)

ISSUES IN RESEARCH DESIGN: In international marketing research, finalizing the research unit and choosing the right research methodology and tool for the study are important. The researcher may select a tool which could not be practically useful in the given environment. Sampling plan has added complexity in international research there may be absence of sampling frames and various cultural hurdles, desired sample sizes and the criteria of target population also varies. The researcher has to choose the correct sampling frame and should cautiously select the samples. These are difficult since the researcher may be alien to the population he is studying.

ISSUES IN DATA COLLECTION: The selected sample must be representative of the population. Questions asked must be appropriate to various cultural and social backgrounds of the respondents. Data collection process must be feasible in every international market. Sampling problems arise out of biased respondents, difficulties in reaching to the respondents, non availability of accurate telephone and street directories. . Even if the interviewee is successfully reached, there is no guarantee that he or she will cooperate and furnish the desired information. In the case of focus group which is a loosely structured free-flowing discussion among a small group of target customers, the moderators need to be culturally sensitive and familiar with the local language and social interaction patterns

Issues in secondary data collection: With respect to secondary data, the main issues are ranging from abundance of information in some markets to severe paucity of data in some other markets. Particularly in developed countries there are many Government and Non-Governmental agencies who produce and sell market data. Here the researcher has to be careful in selecting the appropriate source which is reliable, accurate and apt to his study. In some under developed nations, there is severe dearth of reliable secondary data. Here the research has to be carried out to a greater extend with primary data.

Issues in primary data collection: Cultural factors often influence how people respond to research. While Americans are used to market research and tend to find this relatively un-threatening, consumers in other countries may fear that the data will be reported to the government, and may thus not give accurate responses. In some cultures, criticism or confrontation are considered rude, so consumers may not respond honestly when they dislike a product. Language Researchers must take language and cultural factors into account when designing questionnaires. Language represents the most obvious factor that makes international market research so challenging. To make matters even more complicated, variations within the same language may exist. Translation The most common problem in questionnaire design involves translation into other languages. A questionnaire developed in one country may be difficult to translate because equivalent language concepts do not exist, or because of differences in idiom, vernacular, and phrasing (i.e., syntax.) In order to ensure that information is conveyed as intended, international marketing researchers often have questionnaires back translated. Data collection challenges Unreliable mail service in developing countries makes conducting international mail surveys problematic (Malhotra, 2004). Access issues in terms of locating the appropriate person and gaining their cooperation to participate in a market research study are also heightened in the international context (Craig & Douglas, 2005).

ISSUES IN EXECUTION: In execution stage proper controls need to be decided and implemented so that the data collection may be correctly implemented. Information should be cross-checked from various sources for relevance & accuracy. Practical difficulties in execution stage are as follows

Time zones Time zones present difficulties in conducting any type of business in foreign markets, and market research is no exception. During fieldwork, market researchers frequently find it necessary to communicate with the facilities that have been hired to conduct the actual interviews. Even the time of day matters in places like Japan, where business-to-business interviewing is very difficult to conduct during business hours. Foreign holidays Holidays are yet another factor that can add to the total time frame required to complete an international research project. According to Rydholm (1996), prior to starting research, clients should always check the holiday schedule of the country in which they are working. Native interviewers To facilitate the already complicated communication process, using native interviewers for international research projects allows multi-national clients to exert a form of quality control. Moreover, it is a matter of courtesy that the local respondents should be able to speak with interviewers in their own language. Questionnaire length . A key driver of refusal rates is questionnaire length. After approximately 20 minutes, most respondents become fatigued with the process and terminate the interview. This factor is exacerbated in international studies, as different languages can shorten or lengthen the amount of time it takes to get through questionnaire. Incentives The use of incentives in market research has been debated for as long as research has been executed. The common criticism of the practice contends that by paying respondents for their opinions, an inherent bias is introduced. This is more complicated in the international setting, where in some cultures incentives are required to procure participant cooperation. Market research infrastructure Media availability, Internet penetration, quality control, and the overall market research infrastructure significantly impact the success of international research projects. Where little or no media exists, these options are no longer open to international researchers.

Currency fluctuations Doing business around the world always involves the risk of changes in a particular country's currency. Market research firms are also impacted by these fluctuations because of the numerous field services that are usually hired to complete a research assignment. Legal issues Legal and privacy restrictions pose unique challenges in the international research arena. Gaining access to specific respondents can be problematic in certain countries. Furthermore, the Chinese are monitoring questionnaire construction and even the approval of the final data. This is in direct conflict with the American approach of non-disclosure of proprietary client results (Meijer, 1999).

ISSUES IN MEASUREMENT: The best research design and the best sample are useless without proper measurements. A measuring method or instrument that works well in one culture may fail in other country. The Measurement scale should have the following elements Conceptual Equivalence It is concerned with whether a particular concept of interest is interpreted and understood in the same manner by people in various cultures. Eg. Educational level has different meaning for different countries. Functional Equivalence A particular object may perform varying functions or may satisfy different needs in different countries. Eg. Antifreeze is used to prevent freezing of engine coolant in cold countries but prevents overheating in warm countries. Definitional Equivalence It is the way in which an object is defined or categorized either by consumers or officially by law or government agencies. Eg. Age groupings cant be a criteria for comparison in two or more countries.

Instrument Equivalence International Marketing Research involving the use of two instruments: Emic & Etic. Emic instruments are tests conducted to study a phenomenon within one culture only. Etic instruments are culture universal or culture independent. Eg. CETSCALE instrument is used to measure consumer ethnocentrism .Other scales are Likert scale and semantic differential scale. Linguistic Equivalence When cross-cultural studies are conducted in different languages the potential translation problems should be taken care of, translators should pay attention to idiomatic vocabulary, grammatical and syntactical differences in languages. ISSUES IN DATA ANALYSIS: Data analysis technique issues pose many challenges for international market researchers due to their varying levels of presence, acceptance, and utilization across worldwide markets. CONCLUSION: In the era of glocalization, internationalization is not a choice but a necessity for survival. Firms which do not possess the required skill and competency to go global will vanish with the passage of time. On the other hand going global is not as easy as said. Skillful research and well thought-out plans are prerequisite for voyaging out. If the researcher understands the international research environment and the specific issues to be managed while conducting the research it will go long way in enhancing the competitive advantage of the firm.