Basic Vs. Applied Marketing Research:
Research can be divided into two classes viz., basic research and applied research.
(1) Basic Research
Often basic research is called ‘theoretical’ ‘pure’ or ‘fundamental’ research. It is not directly concerned with solving marketing problems. Primarily it aims at improving academic knowledge about the subject matter. Basic research does not deal with commercial problems but it relates to fundamental questions concerning the business and allied subjects. Basic research may address itself to issues like economic and political changes in a country or reasons for changes in lifestyles in youth.
(1) Applied Research
Applied research directly deals with commercial problems. It tackles the business problems and attempts to find alternative solutions to the problems. Applied research may relate to locating reasons for fall in sales or to introduce a new brand of product.
Applied research can be of two types (a) problem-solving research and (b) problem-oriented research. As the name indicates problem-solving research relates to a specific problem. This research can be conducted either by the marketing research department of the firm or by an outside research agency. By contrast problem-oriented research deals with problems that may be of interest to many firms. This type of research puts into practice the knowledge obtained through basic research.