Unit 6 Business Decision Making Tools Assignment

Unit 6 Business Decision Making Tools Assignment

Introduction

In this Unit 6 Business Decision Making Tools Assignment Coffex Coffee is a company which deals with the packaging of coffee. It is a quite successful company and earns good revenue. The company manufactures several coffee based drink which has become a recent trend in the market. Currently the management of the company wants to launch a new coffee based drink for the customers of the coffee shop. For this purpose the company wanted to conduct a research which will help them to collect primary and secondary data. The primary and the secondary data will help them to develop a clear idea about the taste, preference and the likings of the consumers. Based on this information the company will launch a new product. In order to collect the primary data then management of the company can conduct a survey on the customers.

Task 1

1.1 Create a plan for the collection of primary and secondary data for a given business problem

The management of Coffex Coffee needs to collect the primary and the secondary data for the purpose of gathering required information that will them in effective decision making.

The data which is collected for the first time through the efficient effort of the researcher can be termed as primary data. The collection of primary data requires time and effort and money. The primary data can be classified as quantitative data as well as qualitative data. The data which can be easily measured with some particular process can be termed as quantitative data. The quantitative data aids in performing accurate and profound analysis. The quantitative data can be gathered by observation, survey, simulation as well as experiment (Groves, 2004). On the other hand, the data which cannot be measured is termed as qualitative data. The qualitative data can be gathered by individual depth, observation and case studies.
In this current scenario the management of the Coffex Coffee can acquire the primary data by conducting a survey. The survey will be conducted on the population of London. In the survey both the quantitative as well as the qualitative data will be collected because both these data will help the management to undertake proper decision.

1.2 Present the survey methodology and sampling frame used

As said earlier a survey will be conducted by the management of Coffex Coffee on the population of London. A comprehensive research conducted on the people in order to gather vital information to help in business decision making can be termed as survey. In this case, the survey will be conducted on 100 people for the purpose of gathering information about their liking, preference and choices in drinking coffee which will help the management in the process of launching a new product in the market (Leeuw, Hox and Dillman, 2008).
The survey has two essential features. These two essential features include questionnaire and sample frame. The questionnaire consists of all the important questions which are sequenced in a proper manner for the purpose of obtaining data. The questionnaire helps the survey to be done in a fair way and prevent any kind of interview bias and general opinion.
The unit of population on which the survey the survey will be conducted is known as sample frame. The sample consists of a numerical identifier for specific individual in conjunction with other informative characteristics for the purpose of helping in more acute analysis. Sample frame should consider the following matters:

• Population Explanation: In order to conduct a survey, it is very important to study the population. This is because the size of sample frame depends on the size and diversity of the population.
• Assessment of Sample Frame: The large size sample frame is much important for gathering accurate, precise and extra information. However, the large size sample will be much expensive and time consuming as compared to the small size sample frame (Leeuw, Hox and Dillman, 2008).
• Types of Sampling: There are several ways in which sampling can be done. These methods include simple random sampling, stratified sampling, quota sampling, cluster sampling and multi sage sampling method.

In the present scenario, the stratified sampling method will be used in which the people aged from 18 will be surveyed. The survey will be done in London on 100 people with the help of well-designed questionnaire in order to gather information about the likings and preference of the consumer that will help the management to undertake proper decision for launching a new product.

Questionnaire

1.3 Design a questionnaire for a given business problem

A questionnaire is the most vital tool that is very helpful for the survey. In order to conduct a survey for the taste and preferences of the customers of the Coffex Coffee it is advisable for the management to design a questionnaire which on turn would help the management to take suitable decisions regarding the introduction of the new type of coffee in the market. The questionnaire must be framed very simply which would be easily understandable by the population that will be selected for the purpose of the interview. On the other hand the questionnaire that is prepared should have the introduction, purpose of the survey, different types of questions, specific number of questions and even cross check (Hammerhead and Bont, 2007). The questionnaire framed must have a proper purpose thereby collecting data from the sample population. The first and foremost objective in designing a questionnaire is to help the management regarding the decisions they have taken thereby executing the same. In this purpose the questionnaire will be having 10 short and brief questions that would probably help the management to gather the required data. The questionnaire is given below:

What is Age group?

• 18- 27
• 28- 37
• 38- 47
• 50 above

How often do you drink coffee?

• Once
• Twice a day
• Very frequent

Which form of coffee you prefer the most? Give reason.

• Hot coffee
• Cold coffee
• Coffee with ice cream

What type of coffee you prefer most?

• Café Crema
• Café Latte
• Espresso
• The flat White

When do drink coffee?

• Morning
• Evening
• Any time

How much you want to spend for your coffee (monthly)?

• £11- 20
• £21- 30
• £31- 40
• £41 and above
• Which brand is more preferable to you?

Nescafe

• Bru
• De Luca Coffee
• Coffee Hit

Why have you chosen the brand?

• Price
• Taste
• Quality
• Health

Would you like to have a new type of coffee?

• Yes
• No

What price would you like spend on the new coffee?

• £6- 10
• £11-15
• £16- 20
• £21- 35

data requires much less time, effort and money. However, they are not of less importance. The secondary data helps to make the primary data more precise and accurate. The secondary data can be collected both from internal as well as external sources. The internal sources include market strategies, customer feedback and sale. The external sources include newspaper, books, magazines and journals.

In the given case, the secondary data can be collected from magazines, journals and internets by the management of the company. They can collect the secondary data for the purpose of gathering information and grasp a clear understanding of the market size for coffee drinks, organizational structure, competitors, customer spending on coffee drinks and the market share of the major coffee producing companies. All these information will be very beneficial for Coffex Coffee and they will take proper decision for the launch of their product (Brace, 2008). Order Now