Managing new ventures Essay Example | Topics and Well Written Essays - 500 words - 1

Managing new ventures - Essay Example This research will be carried out by the organization themselves or even by some external agencies. As customer is the â€Å"King† of any business and as the organization manufactures its products or offers its services only to sell it to the customers, they have to be studied as part of market research. That is, customer’s preferences regarding the products’ price, quality, packing, appearance, etc has to be studied and those information can be used while designing the product and also while formulating the marketing campaign. Berman (2007) state customer preferences, buying habits, their demographics, language and other trends of particular markets must be evaluated. Intensive market research can enable an organization to identify the strengths and weakness of its competitors. By understanding those aspects, organization can have good information about the things that were working out well for the competitors, as well as the things that has caused failures. With that information, the organization can design its products and its marketing campaign accordingly, thereby increasing its competitiveness. Moreover, the organization by avoiding the failed strategies can prevent any harm to them at an early stage. The process that can be used to do the market research is market positioning (McMahan 2006). According to McMahan (2006) market positioning process involves 5 steps: an identification of the target market, a understanding of the competitive environment, strategy formulation for improving competitive position, establishing strong brand image, and development of a supply chain program. This process can provide effective results because it focuses on all aspects of external environment and also the management of any organization. Unlike internal forces, external forces are not directly controlled by the management of an organization, so they need to be studied in-depth through this process to get effective