Market research in organizations

Market research is extremely important in organizational capacity for decision making. It is a tool that permits a perspective of the environment with which to have a better understanding of the consumers' preferences, motivations and behavior.

Today, many of the largest companies in the world invest millions in research to avoid risks. The market research provides information and the companies have realized that it is vital to stay one step ahead to the competitors. Advertising, price, package, features and other items of the product, are simple results of applied research to decision making; it provides a simulation of the reality, without the need to spend a stratospheric amount of money. However, it is very important that the information obtained has reliability and a correct interpretation, because there isn´t worse enemy for decision making in a company than a wrong or misinterpreted research. You should also take in consideration the time of the study, because it always reflects the time when it was made. Neither can we say that all research is accurate at 100%, there will always be an inherent statistical margin of error. A market research is a photograph of the environment itself, but the quality of it, will depend of variables such as the methodology used, the selected sample, analysis, measurement instrument and other things.

However and despite the risks, it will always be better to make a market research for the companies, because the benefits are very superior to the disadvantages.