Besides other functions, research and development functions should also be done in marketing. Research and development functions of marketing include product planning and development and market information and research activities:
1. Product Planning And Development
Product planning and development is important in selling and distribution by producing goods according to the needs, changing demand, interest and fashion of customers. For this, new products should be developed or necessary changes should be made in existing goods and satisfy the need and demands of the customers.
1. Product Planning And Development
Product planning and development is important in selling and distribution by producing goods according to the needs, changing demand, interest and fashion of customers. For this, new products should be developed or necessary changes should be made in existing goods and satisfy the need and demands of the customers.
Every goods has its own life-cycle with four stages. They are introduction, growth, maturity and decline stages. Every business firm should find out the stage of its product life-cycle in market and take decision for its development. Otherwise, the product cannot be sold out, when they are not according to the needs, wants and interest of the customers. As a result, the concerned firms have to bear a great loss. So needs, wants and interests of consumers, changes in fashion, situation of competition, stage of life-cycle of the product etc. should be clearly identified and new product should be developed or necessary changes or modification should be made in the existing products. For all such purposes, product planning and development function is very important in marketing.
2. Market Information And Research
Collecting market information and conducting research on different subjects of marketing is an important function of marketing. In this business age, necessary as well as adequate information of market should be collected correctly and promptly before distributing any products. The information related with number of consumers, their living place, purchasing power, interest, preference, buying motive, change in fashion etc. are promptly collected and used in taking marketing decision. With the help of such information, correct decision can be taken on - where to sell the product, which channel of distribution should be used, how much amount should be spent on advertisement, how much price should be fixed, how much should be kept in store and so on.
Collecting market information and conducting research on different subjects of marketing is an important function of marketing. In this business age, necessary as well as adequate information of market should be collected correctly and promptly before distributing any products. The information related with number of consumers, their living place, purchasing power, interest, preference, buying motive, change in fashion etc. are promptly collected and used in taking marketing decision. With the help of such information, correct decision can be taken on - where to sell the product, which channel of distribution should be used, how much amount should be spent on advertisement, how much price should be fixed, how much should be kept in store and so on.
Also Read:
One of the important functions of marketing is to carry out market research and collect information. The subjects such as market, product variety, physical distribution, warehousing, advertising, personal selling, consumers' interest, fashion etc. should be carefully as well as objectively studied. This activity is called market research. In short, the function of market research and information collection is an intellectual service to the modern business. Different methods such as survey method, observation method, experimental method etc are used in carrying out market research. Some big business organizations establish separate unit 'planning and research department' under organizational structure.
