Use The Problem Definition Process Outlined In Chapter Six ✓ Solved

Use The Problem Definition Process Outlined In Chapter Six Of

Use the problem-definition process outlined in chapter six of Zikmund et al. (9th ed.) textbook and begin the relevant research questions for a specific research problem. Remember, the problem statement can be a long process and you will probably need to refine and/or redefine it several times. For now, you will need to focus on Steps One and Two: (a) understand the situation, identify symptoms, and (b) identify key problem(s) from symptoms. Explain the business situation and define the symptoms. What problems can you identify based on the symptoms?

Paper For Above Instructions

Defining a research problem is a crucial step in effective business decision-making and strategy formulation. In this paper, we will utilize the problem-definition process from Chapter Six of Zikmund et al.'s (9th ed.) textbook to address a specific research problem in a practical business context. The steps outlined will include understanding the situation and identifying symptoms, followed by identifying key problems based on those symptoms.

Understanding the Situation

For this exercise, we will consider a hypothetical company, ABC Electronics, which has recently been experiencing a decline in sales despite an increase in marketing expenditure. This situation prompts a more profound inquiry into what may be leading to the observed decline. In order to properly define the problem, it is essential to look beyond the surface symptoms and understand the broader context within which the company operates.

The consumer electronics market is highly competitive, characterized by rapid technological advancements and changing consumer preferences. ABC Electronics, known for its innovative products, has been historically strong in brand loyalty. However, an increase in competitors, particularly those that offer affordable pricing and superior technology, has begun to challenge its position in the market. The management team's initial reaction has been to increase marketing expenditure, aiming to re-engage existing customers while attracting new ones.

Identifying Symptoms

The symptoms of the problem faced by ABC Electronics include:

  • A notable decline in sales performance: Sales have dropped by 20% over the last two quarters.
  • Increased marketing expenses: Marketing spending has surged by 30% without a corresponding increase in sales.
  • Negative customer feedback: Customer satisfaction surveys indicate a growing discontent with product pricing and service quality.
  • Increased competition: New entrants in the market offer similar products at lower prices.

Identifying Key Problems

Based on the symptoms identified, several key problems can be delineated:

  1. Product Pricing Strategy: The current pricing strategy may not be competitive enough. Customers perceive ABC Electronics as being overpriced, particularly when faced with competitors offering similar quality products at lower costs.
  2. Marketing Effectiveness: Despite the increase in marketing expenditure, the effectiveness of the campaigns may be inadequate. It raises questions about the type and channels of marketing employed to reach the right audience.
  3. Customer Satisfaction Issues: The negative feedback suggests that there may be underlying issues with product quality or customer service that need to be addressed. A lack of responsiveness to customer concerns can damage brand loyalty.
  4. Failure to Innovate: The company may be falling behind in innovation compared to competitors who are rapidly introducing new features or products that align with current market demands.

Conclusion

In conclusion, utilizing the problem-definition process from Zikmund et al. allows for a thorough understanding of the business situation faced by ABC Electronics. By identifying symptoms such as declining sales and customer dissatisfaction, we can explore significant underlying problems like product pricing, marketing effectiveness, and innovation gaps. Addressing these identified problems will ultimately facilitate a more strategic approach to reversing the current downward trend in sales and restoring ABC Electronics' competitive edge in the electronics market.

References

  • Zikmund, W. G., Carr, J. C., & Griffin, M. (2019). Business Research Methods (9th ed.). Cengage Learning.
  • Kotler, P., & Keller, K. L. (2016). Marketing Management (15th ed.). Pearson.
  • Rust, R. T., & Huang, M. (2014). The Service Revolution and the Transformation of Marketing Science. Marketing Science, 33(2), 206-221.
  • Porter, M. E. (1985). Competitive Advantage: Creating and Sustaining Superior Performance. Free Press.
  • Grant, R. M. (2016). Contemporary Strategy Analysis (9th ed.). Wiley.
  • Christensen, C. M. (2016). The Innovator's Dilemma: When New Technologies Cause Great Firms to Fail. Harvard Business Review Press.
  • McKinsey & Company. (2020). How to Improve Your Marketing ROI. Retrieved from https://www.mckinsey.com
  • Kumar, V., & Sharma, A. (2018). Marketing Research: Problem Definition and Research Process. Sage Publications.
  • Bloemer, J. M., & Ruyter, K. D. (1998). On the Relationship between Store Image, Store Satisfaction, and Store Loyalty. European Journal of Marketing, 32(5/6), 499-513.
  • Farris, P. W., Neil, B. D., Pfeifer, P. E., & Reibstein, D. J. (2010). Marketing Metrics: The Definitive Guide to Measuring Marketing Performance. Pearson Education.