Question No-2: Define an appropriate marketing research problem based on the

management decision problem you have identified.

Ans: After gaining an adequate understanding of the environmental context of the problem
that Subaru is specially facing, Joe Barstys has defined the management decision problem and
the marketing research problem regarding customers loyalty and satisfaction issues toward the
brand of Subaru.
Before pointing out the Subarus marketing research problem precisely, we think it is sort of
important to introduce the marketing research problem formally. Marketing research problem
is a problem that entails determining what information is needed and how it can be obtained in
the most feasible way.
Since Joe Barstys has defined management decision problem as what should be done to
improve the Customers Loyalty up to 70 per cent from the existing 40 per cent and that loyal
customers of Subaru will purchase the same car brand again.
Now, in the marketing research problem section, Joe has identified an appropriate marketing
research problem. Here as a marketing research activity, Joe has determined the relative
strengths and weakness of Subaru vis--vis other major competitors with respect to factors that
influence customers loyalty level. Under this broad marketing problem, marketing problems
can be sub-categorized into some other components.
They can be-
- Determine consumer preferences and purchase intentions for the proposed new car
- Determine the effectiveness of the current advertising campaign of Subarus cars
- Determine the price elasticity of demand and the impact on sales and profits of various
levels of price changes of Subarus Cars