Business research is relevant in the success of a business in the sense that it helps managers in making wise decisions. And in business, a wise decision is important to acquire higher sales and in turn, higher profits.
Business research entails activities such as testing the business’ new products, ensuring sufficient distribution of products, measuring the effectiveness of advertising, and above all, studying the present competition. Without implementing business research, companies risk in making wrong decisions that could result to their downfall.
Before introducing a product to the market, businesses may conduct a full research as to the product’s present demand and probable sales once distributed. This is very important since no company wants to sell a product that is not preferred by consumers. Example, a company may conduct free sampling or tasting for a new product and ask the respondents for their respective feedbacks in order to know the product’s repute.
On the other hand, ensuring sufficient product distribution is also the contribution of business research. Companies may carry out surveys as to the number of customers who patronize their product and make sure that those areas with large number of customers are well distributed with products.
Another thing that business research complements is the effectiveness of the company’s advertising strategy. This can help them to further increase their TV ads, flyers, brochures, and other marketing strategies.
Most of all, business research can determine the status of the company in the competition of the industry it belongs. This facilitates the company in the steps they need to take in order to constantly compete with its rivals.