Coffe Time
By: Anna • Research Paper • 1,828 Words • February 10, 2010 • 1,073 Views
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Coffee Time is a chain of coffee bars that is population in North America and Europe. It procures and roasts some of the world’s finest coffee beans and sells a variety of blended coffee beverages and snacks. Recent trends in the global business indicate that South Asia is an emerging market for special flavored coffees and coffee bars. Coffee Time has identified India, among other South Asian economies, as a bright prospect for news chains. Coffee Time is tasked with conducting secondary and primary research to assists it in determining which cities in which to open chains. Analyzing secondary data allows for more comprehensive understanding of the various locations throughout India. Since India is an unexplored market, obtaining firsthand information on people’s acceptance of coffees with a special flavor and their sensitivity to price essential.
Total Access, Coffee Time’s research firm, has provided information on the population of the consuming class in each city. The consuming class is that portion of the population that contributes to the gross domestic product (GDP) through a significant amount of discretionary expenditure; it includes people whose potential for consumption goes beyond bare necessities. The goal of the research is to help ensure that Coffee Time’s brand perception and the profile of the prospective cities are compatible. Coffee Time has opted to procure secondary research from cities of Ahmedabad, Mumbai, Delhi, Bangalore, Pune, and Chennai. Secondary data are important in research because they are cost-effective. Coffee time need to keep in mind that the number of cities that they select for a secondary data will affect the direct to the budget. However, not all the information is useful. Is important select the parameters that are essential for the market research and that facilitate meaningful comparison among cities. According to the perceptual map prepared by Total Access these cities appear to have a modern cultural outlook and high degree of affluence when compared to other cities in India. Coffee Time’s premium and exotic flavors may have a greater acceptance in these Indian metros in lieu of a high density of consuming class (University of Phoenix, 2007 Simulation Managing Research Design). Coffee Time stand to gain substantial knowledge of information by its secondary and primary research with information as demographics, leisure and lifestyle, infrastructure and competition Coffee Time would be able to define the target segment quite clearly.
A good research depends on the data available to the researcher and the reliability of the data. Coffee time wants to enter a new market and has identified India among other South Asian countries for the expansion. The limitations of the data available to the researcher affect the reliability of the report. The researcher doesn’t know the Indian culture and doesn’t know if the Indian people will like and purchase flavored coffee. Not enough data is available to estimate the purchasing power of the Indian people and Coffee Time will have to use guess estimation to validate the data in addition to the information obtained from The Indian Department of Commerce. With the amount of detail provided with the information will be difficult for another researcher to repeat the procedure and the lack of planning in getting the evidence concerning the degree of representativeness of the sample will lead to lack of objectivity. The limitations on the procedures are not revealed and the possibility to know its effects on the findings is impossible to determine. “Some of the imperfections may have little effect on the validity and reliability of the data; others may invalidate them entirely. The validity and reliability of the data should be checked carefully. The data should be classified in ways that assist the researcher in reaching pertinent conclusions and clearly reveal the findings that have led to those conclusions.” (Copper-Schindler, 2003). Brad Collins perceptions regarding coffee drinkers is based on America and Europe’s habits and could not be compatible with the Indian people since Indian people are tea drinkers besides the language barriers will be almost impossible to penetrate due to the many dialects and not all Indian people speak Hindi.
In order to be successful in India or in any other country, the first thing that Coffee Time will need to do is to determine whether or not the product will sell in that particular country or region. First they would need to perhaps test the product at the different stores that are located throughout the country’s most popular and toured cities, such as Delhi and Bombay. They could set up kiosks such as those located in the local malls and offer potential customers a free sampling of their most famous blends. They could also attend craft fairs, swap meets, street fairs and the like and present their