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Business Unit 3 M2

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Unit 3 M2 Tesco
M2: Explain the limitations of marketing research used to contribute to the development of a selected organization’s marketing plans.
Tesco marketing team experienced some limitations during this market research. One of the limitations of market research to Tesco is cost. It is expensive to organize primary research. For example, it costs a lot to print out questionnaires and pay people to carry out the research. Also, it is expensive to conduct focus group. This affects the profit of Tesco as they have to pay for everything related to making questionnaires and then analyzing their results. A secondary research is a lot cheaper as they will have to collect data from already existing sources and previous data, so it will cost less and it will be done quicker. Another limitation of market research is validity. Validity is the degree of accuracy of the measurement.

The information collected must always be valid, otherwise Tesco cannot use it and it is pointless to collect the information which is not valid. Some of the ways in which Tesco are limited by validity are, for example using questionnaires, because people might not give the right information; using interviews, because people might feel shy or intimidated to say their true opinion during the interview; using focus groups, because people might not feel comfortable due to fear of discrimination to say what’s on their mind; using internet, because it changes constantly, so information obtained might be outdated just after few days. Also, people might upload wrong information on the internet. All this might make Tesco act on wrong information.
Reliability is another limitation of market research that has impact to Tesco. Marketers must decide how reliable is the information obtained. Would similar results be obtained if another group containing different respondents or a different set of

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