CHAPTER 10

BUILDING THE KNOWLEDGE BASE

Constrain of time ,resources ,and expertise are the major inhibitors to international research. Nevertheless,firms need carry out planned and organized research in order to explore fereign market opportunities and challenges successfully.Such research must be linked closely to the decision-making process.
International research differs from domestic research in that the environment-whuch determines how well tools,techniques,and consepts apply-is different abroad.In addition,the international manager must deal with duties,exchange rates,and international documentation; a greater number of interacting factors;and a much broader definition of the concept of competition.
When the firm is uninformed about international differences in consumer tastes and preferences or abuut foreign market environments,the need for international research is particularly great.Research objective need to be determined based on the corporate mission ,the level of international expertise ,and the bussines plan.These objectives will enable the research to identify the information requirements.
Given the scarcity of resources,companies beginning their international effort must rely on data that have already been collected.These secondary data are available from sources such as governments,international organization,or electronic information services.It is important to respect privacy laws and preferences when making use of secondary data.
To fulfill specific information requirements,the researcher may need to collect primary data.An appropriate research technique must be selected to collect the information.Sensitivity to different international environments and cultures will aid the researcherin deciding whether to use interviews,focus groups,observation,surveys,or web technology as data-collection techniques.
To provide agoing information to management,an information system is useful.such a system will provide for the continuous gathering,analysis,and reporting of data for decision-making purposes.Data gathered through environmental scanning,Delphi studies,or scenario building enable management to prepare for the future and hone its decision-making abilities.