Global Market Research Case Study Analysis
Globalization of companies in the global market continues to increase and have major impacts on all areas of business (Aaker, Kumar, & Day, (2007). International marketing research is one of those areas and a major function in organizations in facilitating marketing decisions outside the country the organization is established. Performing effective global market research requires knowledge and expertise in the areas of customer interests, needs, environmental factors, prices, and products of the country of interest. In this paper, the subject to analyze is the firm of Sperry/MacLennan (S/M), a Dartmouth, Nova Scotia, architectural company, focusing on their plans to export the company’s services. The analysis includes an overview of the company’s situation, identifies the key issues, decision-making on the issues, and the value of market research in the global community of interest.
Situation of the Company
The firm of Sperry/MacLennan (S/M), established in 1972, was a thriving architectural firm specializing in recreational facilities in the Canadian markets. In 1981-1982, the firm reduces staff because of the slow-down in the industry resulting in low demand of architectural services. During 1983, S/M received a major project in Canada, leading to increase recognition and its reputation as an architectural firm for creative design in sports facilities. This project and the recognition received from it came at a striking time for S/M because the construction industry rebounded in 1984 remaining strong through 1987. In addition, S/M received several Canadian architect awards for their design of sport complexes in major areas securing their position as a leader in architectural services. Anticipating a slow-down in late 1988 and continuing into 1989, S/M is considering exporting their award winning services into new markets to account for the slow-down in the Canadian economy. The market of choice is the United States. Entering the United States market, S/M will expand their exposure resulting in new customers from a broader landscape.
Key Issues of the Company
In developing a plan to export S/M’s services into the United States market, there are key issues needing consideration. As S/M is very familiar with the Canadian markets, they need to realize the challenges that exist in the United States market. By only catering to the Canadian markets, the firm feels influenced by economic and business conditions of Canada. The successes and failures of S/M closely follow these conditions and S/M misses opportunities that exist in active markets outside of Canada. Another key issue of S/M is a low-level of knowledge and expertise in computer-assisted design and drafting (CADD). The lack of this technology strength of CADD at S/M may lead to heavier competition in the United States that did not exist in Canada. Incorporating the latest technology into the plan of S/M will enhance their position to...