Essays on Reducing the Risks Associated with Marketing Decision Making in Indonesia Case Study

Download full paperFile format: .doc, available for editing

The paper 'Reducing the Risks Associated with Marketing Decision Making in Indonesia" is a perfect example of a marketing case study. Marketing research methods have expanded dramatically in recent years. No company exist without using market research to enhance their operations in one way or another (Cavusgil, 2009). Nevertheless, in spite of the growing use of marketing research, there are a number of barriers associated with marketing decision making. Some of the challenges include cultural differences, poor infrastructure, political and legislative issues and communication and technological changes. Marketing in Indonesia presents a number of challenges as a result of the fragmented nature of the market that has several ethnic groups.

Doing market research in Indonesia is also challenging as a result of their laid-back culture and different style of communication by market participants (Poynter, Williams and York, 2014). This paper will highlight the market research challenges experienced in Indonesia, such as communication and technology differences, cultural differences and poor infrastructure. It will describe the risks the challenges pose on the decision making process and the methods of solving these challenges. Risks of Research in Indonesia Cultural Difference Culture can have an impact on how people understand and respond to market research questions (Wasserbauer, 2014).

There are values that are different in different cultures that can influence how a society is organized, how organisations work and how people relate to each other. Culture influences behaviour of people. In Indonesia, the culture is different from the west. For instance, in the country, direct questioning does not offer insightful results since people do not like to express their opinions directly (Wasserbauer, 2014). The responses gotten may be inaccurate and may damage the process of decision making. In the culture, people prefer harmony and therefore offer market research responses that they perceive as “ appropriate” .

This may limit the amount of information received and decisions made using such data may be damaging to the marketing operations (Michaelidou et al. , 2015). Indonesia is a laid-back culture with people working over 12-hour a day. Also, the culture in the country is considered a collectivist society with people outside the network considered outsiders. It makes it difficult to access people from their homes and offices.

Researchers must be using references in order to access the people which add costs to the research process (Michaelidou et al. , 2015). In order to ensure effective decision making, it is important to reduce these market research risks (Michaelidou et al. , 2015). It is important for researchers to adapt to cultural differences. In order for market research to be a success in Indonesia, researchers should undergo some cross-cultural training. Without cross-cultural training, researchers will pass judgement on other cultures outside their own. They will not be able to understand why host culture people behave the way they do.

The main role of the expatriate training and development is to create cultural awareness (Michaelidou et al. , 2015). These training assists researchers cope with uncertainties and risks associated with the new culture. As mentioned before, Indonesia people do not speak they are true minds (Wasserbauer, 2014). Therefore, in order to ensure insightful responses from people, there is a need for projective techniques. Projective techniques can help researchers trap into the unconscious thoughts of the respondents and is effective in minimizing resistance to answers as they get people to speak indirectly using metaphors.

In addition, researchers should induce confidence in respondents and emphasize the fact that there are no right or wrong answers to questions (Wasserbauer, 2014). In addition, researchers should be careful not to indicate their opinions either verbally or non-verbally.

References

Asia Research 2007, The Market Research Industry in Indonesia, Asia Research Online. Viewed 31st August 2016 from http://asia-research.net/2007/04/the-market-research-industry-in-indonesia/

Berthon R., Pitt F., Plangger & Shapiro, D 2012, Marketing meets Web 2.0, social media, and creative consumers: Implications for international marketing strategy. Business horizons, vol. 55, no. 3, pp. 261-271.

Cavusgil, S 2009, Conducting market research for international business, New York, Business Expert Press.

Michaelidou N., Reynolds N., Greenacre L & Hassan, M 2015, Cross-cultural and cross- national consumer research: psychology, behavior and beyond. International Marketing Review, vol. 32, no. ¾, DOI http://dx.doi.org/10.1108/IMR-03-2015-0092

Murphy, L 2015, The Top 10 Challenges in the Market Research Industry, Greenbook Charting the Future of Market Research. Viewed 31st August 2016 from http://www.greenbookblog.org/2015/06/26/the-top-10-challenges-in-the-market-research-industry/

OECD 2011, Opportunities, Challenges and Good Practices in International Research Cooperation between Developed and Developing Countries, OECD Global Science Forum, p. 2-20.

Poynter, R., Williams, N & York, S 2014, The handbook of mobile market research : tools and techniques for market researchers, Chichester, West Sussex, United Kingdom, John Wiley and Sons, Ltd.

Sheth, J.N 2011, Impact of emerging markets on marketing: Rethinking existing perspectives and practices. Journal of Marketing; 75 (4): 166-182.

Wasserbauer, M 2014, The cultural issues of doing business in Indonesia, Cekindo.com. Viewed 31st August 016 from http://www.cekindo.com/cultural-problems-of-doing-business-in-indonesia.html

Wright M., Filatotchev I., Hoskisson, E & Peng, W 2005, Strategy Research in Emerging Economies: Challenging the Conventional Wisdom*. Journal of Management Studies, vol. 42, no. 1, pp. 1-33.

Download full paperFile format: .doc, available for editing
Contact Us