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example; if you are thinking of starting a bookkeeping service; entering 
that into the search pane produces a snazzy graph showing how interest 
measured by the number of searches is growing (or contracting) since 
January 2004 when they started collecting the data。 You can also see 
that South Africa has the greatest interest and the Netherlands the 
lowest。 You can tweak the graph to show seasonality; thus showing that 
Croydon registers the greatest interest in the UK overall and ‘demand’ 
peaks in September and bo。。oms out in November。 
。 Google News (google); which you can tap into by selecting 
‘News’ on the horizontal menu at the top of the page under the Google 
banner。 Here you will find links to any newspaper article anywhere in 
the world covering a particular topic over the past decade or so listed by 
year。 Asking for information on baby clothes will reveal recent articles 
Marketing 117 
on how much the average family spends on baby clothes; the launch of 
a thri。。 store specializing in second…hand baby clothes and the launch of 
an Organic baby clothes catalogue。 
。 Microso。。 (h。。p://adlab。microso。。) is testing a product that can give 
you masses of data on market demographics (age; sex; ine etc); 
purchase intentions and a search funnel tool that helps you understand 
how your market searches the internet。 Using the demographics tool; 
you can find that 76% of people showing an interest in baby clothes are 
female and surprisingly 24% are male。 The peak age group is the 25–34… 
year…olds and the lowest is the under…18s followed by the over…50s。 
。 Inventory Overture (h。。p://inventory。overture/d/searchinventory/ 
suggestion/) is a search tool showing how many people searched Yahoo 
for a particular item。 So; for example; while 10;837 looked for either 
baby or baby and toddler clothing; only 927 searched for organic baby 
clothing; 167 for used baby clothing and 141 for cheap baby clothing: 
facts that give useful pointers as to the likely price sensitivity in this 
market。 
。 Blogs are sites where people; informed and ignorant; converse about 
a particular topic。 The information on blogs is more straw in the wind 
than fact。 Globe of Blogs (globeo。。logs); launched in 2002; 
claims to be the first prehensive world weblog directory; which 
links up to over 58;100 blogs; searchable by country; topic and just 
about any other criteria you care to name。 Google (h。。p://blogsearch。 
google) is also a search engine to the world’s blogs。 
。 Trade Association Forum (taforum 》 Directories 》 Association 
Directory) is the directory of Trade Associations on whose websites are 
links to industry…relevant online research sources。 For example; you 
will find The Baby Products Association listed; at whose website you 
can find details of the 238 panies operating in the sector; including 
their contact details。 
。 The Internet Public Library (ipl) is run by a consortium of 
US universities whose aim is to provide internet users help with finding 
information online。 There are extensive sections on business; 
puters; education; leisure and health。 
。 Find Articles (findarticles) aims to provide credible; 
freely available information you can trust。 It has over 10 million articles 
from thousands of resources; archived dating back to 1984; on its website。 
You can see a summary of all articles and most are free; though in 
some cases you may need a modest subscription; rarely more than a 
few pounds。 You can restrict your search to those articles that are free 
by selecting ‘free articles only’ from the right…hand pull…down menu。
118 The Thirty…Day MBA 
Field research 
Most fieldwork carried out consists of interviews; with the interviewer 
pu。。ing questions to a respondent。 The more popular forms of interview 
are currently: 
。 personal (face…to…face) interview: 45% (especially for the consumer 
markets); 
。 telephone; e…mail and web surveys: 42% (especially for surveying 
panies); 
。 post: 6% (especially for industrial markets); 
。 test and discussion group: 7%。 
Personal interviews; web surveys and postal surveys are clearly less expensive 
than ge。。ing together panels of interested parties or using expensive 
telephone time。 Telephone interviewing requires a very positive a。。itude; 
courtesy; an ability not to talk too quickly; and listening while sticking to 
a rigid questionnaire。 Low response rates on postal services (less than 10 
per cent is normal) can be improved by acpanying le。。ers explaining 
the questionnaire’s purpose and why respondents should reply; by offering 
rewards for pleted questionnaires (small gi。。); by sending reminder 
le。。ers and; of course; by providing pre…paid reply envelopes。 Personally 
addressed e…mail questionnaires have secured higher response rates – as 
high as 10–15 per cent – as recipients have a greater tendency to read and 
respond to e…mail received in their private e…mail boxes。 However; unsolicited 
e…mails (‘spam’) can cause vehement reactions: the key to success is 
the same as with postal surveys – the mailing should feature an explanatory 
le。。er and incentives for the recipient to ‘open’ the questionnaire。 
There are the basic rules for good questionnaire design; however the 
questions are to be administered: 
1。 Keep the number of questions to a minimum。 
2。 Keep the questions simple! Answers should be either ‘Yes/No/Don’t 
know’ or offer at least four alternatives。 
3。 Avoid ambiguity – make sure the respondent really understands the 
question (avoid ‘generally’; ‘usually’; ‘regularly’)。 
4。 Seek factual answers; avoid opinions。 
5。 Make sure that at the beginning you have a cut…out question to eliminate 
unsuitable respondents (eg those who never use the product/service)。 
6。 At the end; make sure you have an identifying question to show the 
cross…section of respondents。 
Sample size is vital if reliance is to be placed on survey data。 How to calculate 
the appropriate sample size is explained in Chapter 11 in the section 
headed ‘Survey sample size’。
Marketing 119 
Testing the market 
The ultimate form of market research is to find some real customers to 
buy and use your product or service before you spend too much time and 
money in se。。ing up。 The ideal way to do this is to sell into a limited area or 
a small section of your market。 In that way; if things don’t quite work out as 
you expect; you won’t have upset too many people。 
This may involve buying in a small quantity of product; as you need 
to fulfil the order in order to fully test your ideas。 Once you have found a 
small number of people who are happy with your product; price; delivery/ 
execution and have paid up; you can proceed with a bit more confidence 
than if all your ideas are just on paper。 
Pick potential customers whose demand is likely to be small and easy to 
meet。 For example; if you are going to run a bookkeeping business; select 
5 to 10 small businesses from an area reasonably close to home and make 
your pitch。 The same approach would work with a gardening; baby…si。。ing 
or any other service…related venture。 It’s a li。。le more difficult with products; 
but you could buy in a small quantity of similar items from a petitor or 
make up a trial batch yourself。
Organizational 
behaviour 
。 Structural options 
。 Line and staff relationships 
。 Building and leading teams 
。 Understanding motivation 
。 Managing people effectively 
。 Directors’ roles 
。 Handling change 
Organizational behaviour; usually shortened to OB; is the whole rather 
amorphous area that deals with people; why they behave the way they 
do and how to create and manage an organization that can achieve the 
goals set for the business。 As one cynical CEO summarized the task: ‘to get 
people to do what I want them to do because they want to do it’。 
The single most prevalent reason for a strategy failing lies in its implementation; 
the analysis and planning behind a proposed course of action 
are rarely the root of the problem。 That is more likely to lie in the selection 
of the people to implement strategy; their management; motivation; rewards 
and the way in which they are organized and led。 Stated like that; 
it sounds a fairly simple task。 Just work your way through those headings 
and any MBA worth their salt should be able to get the desired results。 
Unfortunately; people both individually and collectively are rarely malleable 
and infinitely variable in their likely responses to situations。 The 
famous German military strategist Moltke’s statement that ‘No campaign 
plan survives first contact with the enemy’ applies here if the word enemy 
is replaced by organization。 
However; by understanding and applying a number of principles and 
concepts on the typical MBA syllabus you can improve an organization’s 
chances of achieving its objectives。 
4
Organizational Behaviour 121 
STRATEGY VS STRUCTURE; PEOPLE AND 
SYSTEMS 
This is the ‘which came first’ question akin to that of the chicken and the 
egg。 Unless you are starting up an organization on a greenfield site with no 
people other than yourself and only a pile of cash; every business situation 
involves some promise between the ideal and the possible when it 
es to people and structures。 
The theory is clear。 An organization’s strategy; itself a product of its 
business environment; determines the shape of the organization’s structure; 
the sort of people it will employ and how they will be managed; controlled 
and rewarded。 But in the real world the business environment is 
constantly changing as the economy fluctuates; petitors e and go; 
and consumer needs; desires and aspirations alter。 In any event a business 
is limited in its freedom of action。 However violent and essential a change 
in strategy; a business will rarely be free to hire and fire staff at will simply 
to change direction。 The exception is in the case of a plete closure or 
withdrawal from an activity such as that of Marks & Spencer’s controversial 
closure of its French outlets in 2001。 This move was considered vital to the 
survival of the whole business and despite May Day protests in France the 
pany’s shares rose 7 per cent on the announcement。 
Figure 4。1 is a useful aid to understanding how to approach OB。 The 
concentric circles are a metaphor to remind us of the circular nature of 
subject。 You can’t just tackle one area without having an impact on others。 
Figure 4。1 A framework for understanding organizational behaviour 
Environment 
Strategy 
People 
Recruit 
Motivate 
Manage 
Lead 
Structure 
Organization 
Teams 
Systems 
Reward 
Appraise 
Develop 
Change
122 The Thirty…Day MBA 
STRUCTURES – THE OPTIONS 
Just as the skeleton is the structure that holds a body together; a business 
too has its framework。 The goal of any framework is to provide some 
boundaries while at the same time allowing the whole ‘body’ flexibility to 
respond in order to go about its business。 While human bodies keep a very 
similar skeleton to the one they start out with; a business has a number of 
very different organizational structures to choose from。 Also; it is unlikely 
that any one stru

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