Transportation Business



Transportation Business

Introduction

Market research is an objective and systematic collection of data, with its own analysis on the target market about the competitors and the environment, which allows increasing knowledge to make decisions. The information produced guides the business decisions.

It is important to know and compare the position of the business at a particular time and in given intervals for comparison with the estimates. Market research helps in tracking the progress of the business, compares and evaluates it ,giving the clearer picture if we are approaching the objectives or not. Hence it helps in identifying the problems/loopholes.

The main benefits derived from market research are:

-Market research guide communication with the customers and prospects

-Helps in formulating more effective marketing campaigns for the target market

-Market research helps to identify market opportunities -Market research minimizes the risk of doing business

-It helps to give insights about the saturation of market that helps in making alternative decision.

Market research is based on the market segmentation which means: Market allocation within well-defined groups of consumers that differ in their needs, characteristics or behavior and which may require certain products. Market segmentation studies provide information about the characteristics shared by customers, answering questions such as: Who are my customers, size of population, % by gender, age, income, education, occupation, skills, number of children, where they live, and so on. The economic information and buying habits provides information on the financial strength and economic attributes shared by the target market, answering questions such as: Average spent on products similar to mine, financing needs, when and where they buy, how frequency, how much, why choose, own or rent, car type, payment methods etc.. With the psychological aspects of the market we know about the views and values shared by consumers in the target market. It provides answers for: market reaction to my product / service, as compared with others, characteristics considered important, who makes the purchase decision, factors that decide to buy, look for convenience / savings / quality media that consume other. The analysis of competition will get information about other companies that are in the similar business and will tell: who are my main competitors, competing and what not, its strengths and weaknesses, what is your niche market, which is my only business, how to position my competition, how to communicate, who are their customers, how they are perceived, who are the leaders, sales volume and profitability among other elements that will help us to evaluate.

Discussion

Market Research

Now we will discuss the best practices for Redstar which is a transportation firm that provides bus service in Mexico, for conducting market research. The market research will comprehend market needs and ridership potential, based on major trip generators, community demographics, and origin and destination patterns within the community.

The five best practices that Redstar should undertake are:

• Get to know about the major trip generators and also the origin and destination patterns within the community.

•The improvements that are needed for the infrastructure, more precisely the type of improvements ...