Preparing to Conduct Business Research
Essay Preview: Preparing to Conduct Business Research
Report this essay
Introduction
The business research process is a series of steps that are completed in an order that has been determined as the most highly effective. Although these steps can vary slightly based on the industry and the objective, the overall order typically remains the same. The initial step is determining the issue or opportunity, and establishing the purpose behind the research so that all parties involved are aligned. In the situation chosen for this particular purpose, Starbucks Corporation is presented with the opportunity for capitalization on the single-cup home brewer phenomenon, if only they could figure out how.
Research Questions
In defining the research question necessary for Starbucks situation, the primary step is to determine the dilemma. “During its 2010 fiscal year, Keurig sold more than $330 million worth of brewers, which go for anywhere from $79.95 to $249.95 each. The companys real money, though, comes from its K-Cup coffee capsules – it sold well over $800 million worth of that last year” (McGinn, 2011). As the patent for K-Cup technology prevented Starbucks from creating and releasing a similar at-home brewer, the research questions are:
When does the patent expire?
How can Starbucks insert themselves and reap the benefits of this K-Cup craze until then?
Once the patent does expire, what is Starbucks next step in benefiting from the K-Cup technology?
Hypotheses
A hypothesis is a theory of how the next step is achieved. To answer the research questions, the company must utilize previous information and data to determine whether products are ready for release. Companies conduct business research to learn about the wants and needs of the target audience in an attempt to build a product that meets those needs. In this particular case, Starbucks believed that releasing an at-home single-cup coffee machine called the Verisimo would help them keep some of their customers. One of the main problems with this was waiting until the K-cup patent expired. Until then, Starbucks still managed to benefit by releasing their own brand of K-cup coffees for the Keurig. Starbucks has since released their version of the at-home single-cup brewer, as the K-cup patent has expired, and they will need to continue to monitor the impact of the Verisimo to determine its effectiveness on the market. The company expects the Verisimo to have better sales because it offers a single-cup of brewed coffee in addition to an espresso maker and notifies the customer to know when cleaning is required.
Variables
Variables are described as an event, act, characteristic, trait, or attribute that are measured and to which we assign numerals or values; a synonym for the construct or the property that is studied (Cooper & Schindler, 2011). In the case of Starbucks releasing the Verisimo, quite a few variables were considered. For example, determining an acceptable sale price that appeals to the target audience, but still competitive. Another important variable is the technology used in creating the Verisimo. Although the patent for Keurig has expired, Starbucks wants a unique single-cup brewer. With that in mind, another important variable to consider is the target customer and marketing. Because the Verisimo can brew coffee in addition to making lattes and espresso, these specific features add to the marketing campaign.
Ethical Considerations
Ethics are commonly recognized as the standards of behavior that guide moral choices about ones behavior and relationships with others, with the common goal to ensure that no one is harmed or suffers adverse consequences from research activities (Cooper & Schindler, 2011). In order to keep up with the competitive coffee world Starbucks decided to turn up the heat by releasing the Verisimo, a single serve coffee brewer to compete with the popular Keurig single serve coffee brewer. Although Starbucks has a deal with Green Mountain, owners of the Keurig technology, to sell Starbucks K-cup pods through them they decided that they want to bigger piece of the pie leading for the release of their machine that not only brews coffee, but also uses a high-pressure system that can make lattes and other espresso-based drinks (Choi, 2012). The patent for the Keurig K-cup technology expired in the early fall of 2012 making room for copycat machines and allowing Starbucks the opportunity to release their own version to keep up with the popular machine. On an ethical standpoint to this release, Starbucks had to wait until the patent was up before they could announce and release a machine of their own. They have to make sure that they have their own version of the technology that stands out from the Keurig and that it is not an exact copy. Starbucks is not only aiming to compete with the Keurig but has the ultimate goal of targeting a different customer brand beyond just coffee and tea.
Research Design
The design is the structure of any scientific work, and it gives direction and systematizes the research. Different types of research designs have different advantages and disadvantages (“Research Designs”, 2008-2013). The types of research design that will be used will the survey method, in order to observe and record the success and reactions of consumers of using the new Verisimo machines. The survey research design will be a very valuable tool when it comes to collecting the opinions and trends of the customers that Starbucks is hoping to keep as well as gain back. It has been said that even on a small scale such as small businesses, judging opinions carefully can dramatically change the strategy period. It is important to design the survey so that it is not biased or inaccurate. Although it is, near impossible to be 100% accurate with the opinions surveys are a powerful research tool provided the surveyors are prepared to be self-critical and can still obtain an accurate presentation of opinions.
Descriptive research designs are a scientific method in which it involves observing and describing the behavior of a subject without influencing it in anyway (“Research Designs”, 2008-2013). Descriptive research was not chosen as the research design because the study considered unreliable or unscientific, in addition that there are no variables manipulated leaving no way to analyze the results. It may be a valid method for researching specific subjects, the results are always open to question and different interpretations. The case study research design has been described as a useful tool for investigating