Definition and content of 1. consumer research

Consumer research, also known as consumer market research, refers to the use of various market research on the basis of the basic characteristics of the market environment (politics, law, society, culture, technology), demographic characteristics, lifestyle, economic level, etc. Technology and methods, research on the realization of their own wishes and needs of consumer groups through the stages of cognition, attitude, motivation, choice, decision-making, purchase, and use. Consumer research is an important part of market research, but also the basis and premise of marketing, it provides enterprises with market segmentation, product positioning, brand management, pricing strategy, new product development, channel construction, advertising, promotional activities, sales forecast and other aspects of theoretical and data support.

The general content of consumer research includes the following aspects:

Analysis of the basic situation of consumers, including demographic characteristics of consumers (such as age, gender, education, occupation, income, family structure, etc.), geographical characteristics (such as residence, place of work, place of consumption, etc.), psychological characteristics (such as personality, values, lifestyle, consumption motivation, etc.) and behavioral characteristics (such as purchase frequency, purchase volume, purchase place, purchase time, purchase method, etc.), and the changing trends and influencing factors of these characteristics.

Consumer behavior analysis, including the purchase process and purchase decisions of consumers, as well as the internal factors (such as cognition, attitude, emotion, learning, memory, etc.) and external factors (such as culture, society, family, reference group, opinion leader, situation, etc.) that affect consumer behavior, as well as the mechanism and interrelationship of these factors.

Consumer satisfaction and loyalty analysis, including consumer expectations, perception, evaluation and feedback of products or services, as well as consumer repeat purchases, recommend, complaints and complaints, as well as factors and strategies that affect consumer satisfaction and loyalty.

Consumer demand and preference analysis, including consumer demand level, demand structure, demand intensity, demand change, etc., as well as consumer preference type, preference degree, preference difference, preference change, etc., as well as factors and strategies that affect consumer demand and preference.

Consumer market segmentation and target market selection analysis, including consumer market segmentation basis, segmentation method, segmentation criteria, segmentation results, etc., as well as the target market selection basis, selection method, selection criteria, selection results, etc., as well as the characteristics and needs of market segments and target markets.

Techniques and methods of 2. consumer research

The techniques and methods of consumer research are mainly divided into two categories: qualitative analysis and quantitative analysis. Qualitative analysis is mainly used to discover and understand the deep-seated psychology and behavior of consumers, while quantitative analysis is mainly used to verify and measure the psychology and behavior of consumers at the table level. Common consumer research techniques and methods are as follows:

(I) qualitative analysis techniques

Focus Group Discussion (FGD): refers to a technology in which a moderator guides 6-12 consumers to discuss a topic freely. It is mainly used to understand consumers' attitudes, opinions, feelings, experiences, needs, motivations, problems, etc., as well as the interaction and influence between consumers. The advantage of focus group discussion is that it can collect rich, in-depth and diverse information, stimulate consumers' thinking and creativity, observe consumers' non-verbal reactions, and improve consumers' participation and enthusiasm. The disadvantage is that it is affected by moderators, discussants, environment and other factors, which may have problems such as subjectivity, bias, inconsistency and uncontrollability.

In-depth interview (In-depth Interview,IDI): refers to a technology in which an interviewer conducts a personalized, flexible and in-depth dialogue with a consumer. It is mainly used to understand the consumer's feelings, experiences, needs, Motivation, problems, etc., as well as the consumer's psychological process and behavior patterns. The advantages of in-depth interviews are that they can collect detailed, true, and personalized information, can explore the deep-seated psychology and behavior of consumers, can adapt to different consumers and themes, and can protect the privacy and dignity of consumers; the disadvantage is Affected by interviewees, interviewees, problems and other factors, there may be problems such as subjectivity, bias, incomparability, and ingeneralizability.

Project method (Projective Technique): refers to a technique that allows consumers to respond to some vague, incomplete and polysemous stimulus materials. It is mainly used to understand consumers' subconsciousness, motivation, attitude, values, beliefs, etc., as well as consumers' psychological defense and psychological projection. The advantages of the project method are that it can collect hidden, sensitive, and complex information, can break through consumer resistance and barriers, can stimulate consumer imagination and creation, and can increase consumer interest and participation; the disadvantage is that it is affected by stimulating materials., Interpretation methods, interpreters and other factors, there may be problems such as subjectivity, bias, unverifiability, and unquantifiability. The common methods of project method include joint idea, gestalt method, story method, role-playing method, third method and so on.

Scenario simulation (Scenario Technique): refers to a technique that allows consumers to react in some hypothetical or real scenarios, mainly used to understand consumer choice, decision-making, purchase, use and other behaviors, as well as consumer behavior factors and behavioral results. The advantage of scenario simulation method is that it can collect dynamic, practical and multi-dimensional information, simulate the real behavior of consumers, examine the changes of consumers' behavior, and improve the experience and satisfaction of consumers. The disadvantage is that it is affected by the situation design, situation implementation, situation evaluation and other factors, which may have some problems such as unreality, unnaturalness, instability and uncontrollability. The common methods of scenario simulation are experimental method, game method, model method, simulation method and so on.

(II) quantitative analysis technique

Questionnaire (Questionnaire Survey): refers to a technique that distributes or sends some pre-designed questions or statements to consumers, mainly used to understand consumers' cognition, attitude, satisfaction, loyalty, needs, preferences, etc., as well as consumers' basic situation and behavioral characteristics. The advantage of questionnaire method is that it can collect standard, objective and quantitative information, can cover a large number of consumers and topics, can easily carry out statistics and analysis, and can save time and cost. The disadvantage is that it is affected by questionnaire design, questionnaire distribution, questionnaire recovery, questionnaire processing and other factors, and there may be problems such as distortion, failure, error and failure. The common methods of questionnaire method include face-to-face interview, telephone interview, mail interview and network interview.

Observation method (Observation): refers to a technique that directly or indirectly observes the behavior or reaction of consumers, mainly used to understand the purchase, use, consumption and other behaviors of consumers, as well as the behavior process and behavior results of consumers. The advantage of the observation method is that it can collect true, direct and objective information, can avoid consumer deviation and misleading, can capture consumer details and changes, and can adapt to different occasions and themes; the disadvantage is that it is affected by the observer, Under the influence of factors such as observers, observation conditions, observation records, etc., there may be problems such as subjectivity, bias, incompleteness, and uninterpretability. The common methods of observation are natural observation, experimental observation, manual observation, mechanical observation and so on.

Experimental method (Experiment): refers to a technique that involves some human intervention or manipulation of consumers under some controlled conditions, mainly used to understand consumers' behavioral reactions, as well as consumers' behavioral influencing factors and behavioral effects. The advantage of experimental method is that it can collect accurate, reliable and verifiable information, can determine the causal relationship of consumer behavior, can control the variables of consumer behavior, and can predict the results of consumer behavior. The disadvantage is that it is affected by experimental design, experimental implementation, experimental evaluation and other factors, and there may be problems such as unauthenticity, unnaturalness, instability, and ungeneralisability. The common methods of experimental method are laboratory experiment method, field experiment method, market test method, simulation experiment method and so on.

(III) Market Analysis Techniques

Factor analysis (Factor Analysis): A technique that reduces and categorizes a set of related variables, mainly used to understand the psychological and behavioral characteristics of consumers, as well as the potential factors and factor structure of consumers. The advantage of factor analysis is that it can simplify and summarize the information of consumers, reveal the inherent laws of consumers, and improve the explanatory power and predictive power of consumers. The disadvantage is that it is affected by factors such as variable selection, variable number, variable nature, variable relationship, etc. There may be problems such as instability, non-uniqueness, non-comparability, and non-interpretability.

Cluster analysis (Cluster Analysis): refers to a technique for grouping and classifying a group of similar individuals, mainly used to understand the group characteristics and group differences of consumers, as well as the market segmentation and target market of consumers. The advantage of cluster analysis is that it can distinguish and divide the information of consumers, form the market structure of consumers, and meet the market needs of consumers. The disadvantage is that it is affected by individual choice, individual quantity, individual nature, individual similarity and other factors. There may be problems such as instability, non-uniqueness, non-comparability, and non-interpretability.

Discriminant analysis (Discriminant Analysis): refers to a technique that predicts and verifies a set of known classifications, mainly used to understand the classification characteristics and classification criteria of consumers, as well as the correct classification rate and classification effect of consumers. The advantage of discriminant analysis is that it can determine and evaluate the consumer's classification variables, establish and test the consumer's classification model, and predict and verify the consumer's classification results. The disadvantage is that it is affected by the classification variables, classification methods, classification assumptions, classification errors and other factors, and there may be unreasonable, inaccurate, unstable, ungeneralizability and other problems.

Multidimensional scaling (Multidimensional Scaling,MDS): A technique that is used to spatially represent a set of similarity or difference data, mainly used to understand the consumer's preference structure and preference dimensions, as well as the consumer's preference similarity and preference difference. The advantage of multidimensional scaling method is that it can display consumer preference information intuitively and vividly, can discover and explain consumer preference factors, and can compare and evaluate consumer preference degree. The disadvantage is that it is affected by data source, data type, data volume, data quality and other factors, which may have problems such as unreliability, incomparability, unexplainability and unquantifiability.

Theoretical model of 3. consumer research

The theoretical model of consumer research refers to a tool that abstracts and generalizes consumer behavior or psychology, which is mainly used to understand consumer behavior laws and behavior mechanisms, as well as consumer behavior influencing factors and behavior effects. There are many theoretical models for consumer research, and this paper selects ten more classic and commonly used models for introduction and analysis, namely:

（一）U&A模型（Usage and Attitude Model）

The U & A model refers to a model that studies consumer usage and attitudes, which is mainly used to understand consumer usage, motivation, satisfaction, loyalty, etc., as well as consumer attitude structure, attitude formation, attitude change, attitude influence, etc. The advantage of U & A model is that it can comprehensively and systematically understand the use and attitude of consumers, can find and meet the use needs of consumers, can improve and enhance the use experience of consumers, and can influence and change the use behavior of consumers. The disadvantage is that it is affected by the complexity, variability, instability, inconsistency and other factors of use and attitude, there may be inaccuracy, unreliability, unpredictability, uncontrollability, etc.

（二）AIDMA模型（Attention, Interest, Desire, Memory, Action Model）

The AIDMA model refers to a model that studies consumers' attention, interests, desires, memories, and actions, and is mainly used to understand the consumer's purchase process and purchase decisions, as well as the consumer's purchase influences and purchase effects. The advantages of AIDMA model are that it can simply and clearly describe consumers' purchasing behavior, determine and evaluate consumers' purchasing stages, formulate and implement consumers' purchasing strategies, and promote and increase consumers' purchasing behavior. The disadvantage is that it is affected by the complexity, diversity, irrationality, nonlinearity and other factors of purchasing behavior, There may be problems such as incompleteness, inapplicability, inflexibility and non-renewal.

（三）AISAS模型（Attention, Interest, Search, Action, Share Model）

The AISAS model refers to a model of research through consumer attention, interest, search, action, and sharing, which is mainly used to understand the consumer's online purchase process and online purchase decisions, as well as the consumer's online purchase influence factors and online purchase effects. The advantage of AISAS model is that it can adapt to and reflect the consumer's online purchase behavior, determine and evaluate the consumer's online purchase stage, formulate and implement the consumer's online purchase strategy, and promote and increase the consumer's online purchase behavior. The disadvantage is that it is affected by the instability, uncontrollability, unpredictability, untrustworthiness and other factors of online purchase behavior, there may be issues of inaccuracy, unreliability, non-assurance, and non-sustainability.

(IV) Fishbein Model

The Fischer-Bing model is a model that studies consumer attitudes and behavior, and is used to understand the structure and formation of consumer attitudes, as well as the relationship between consumer attitudes and behavior. The advantage of Fischer-Bing model is that it can scientifically and systematically analyze the attitude and behavior of consumers, reveal and explain the causal relationship between the attitude and behavior of consumers, predict and evaluate the results of the attitude and behavior of consumers, and influence and change the attitude and behavior of consumers. The disadvantage is that it is affected by the complexity, variability, instability, inconsistency and other factors of attitude and behavior, there may be incompleteness, inapplicability, inflexibility, non-renewal, etc.

(V) Ideal Point Model

The ideal point model refers to a model that studies consumer preferences and choices, mainly used to understand consumer preference structure and preference formation, as well as the relationship between consumer preferences and choices. The advantage of the ideal point model is that it can intuitively and visually represent the preferences and choices of consumers, can discover and explain the laws of consumers' preferences and choices, can predict and evaluate the results of consumers' preferences and choices, and can influence and change consumers' preferences and choices. The disadvantage is that it is affected by the complexity, diversity, irrationality, nonlinearity and other factors of preferences and choices, there may be incompleteness, inapplicability, inflexibility, non-renewal, etc.

(VI) Maslow's Hierarchy of Needs Theory

Maslow's hierarchy of needs theory refers to a theory of layering and sorting consumer needs, which is mainly used to understand the consumer's demand structure and demand motivation, as well as the consumer's demand satisfaction and demand incentive. The advantages of Maslow's hierarchy of needs theory are that it can clearly and logically divide consumer needs, can reveal and explain consumer demand laws, can predict and evaluate consumer demand changes, and can influence and stimulate consumer demand; The disadvantage is that it is affected by the complexity, diversity, nonlinearity, non-unidirectional and other factors of demand, and there may be problems such as incompleteness, inapplicability, inflexibility, and non-renewal. Maslow's hierarchy of needs theory divides the needs of consumers into five levels, from low to high: physiological needs, security needs, social needs, respect needs, self-realization needs.

(VII) Hofstede's Theory of Cultural Dimensions (Hofstede's Cultural Dimensions Theory)

Hofstede's cultural dimension theory refers to a theory that measures and compares the culture of consumers, which is mainly used to understand the cultural characteristics and cultural differences of consumers, as well as the cultural influence factors and cultural effects of consumers. The advantage of Hofstede's cultural dimension theory is that it can scientifically and systematically analyze the culture of consumers, determine and evaluate the cultural dimension of consumers, compare and distinguish the cultural differences of consumers, and adapt to and meet the cultural needs of consumers. The disadvantage is that it is affected by cultural complexity, variability, instability, inconsistency and other factors, There may be problems such as incompleteness, inapplicability, inflexibility and non-renewal. Hofstede's cultural dimension theory divides consumer culture into six dimensions: power distance, individualism/collectivism, masculinity/femininity, uncertainty avoidance, long-term orientation/short-term orientation, hedonism/restraint.

(VIII) Consumer Behavior Process Model (Consumer Behavior Process Model)

The consumer behavior process model refers to a model that describes and analyzes the consumer's behavior process, which is mainly used to understand the consumer's behavior stage and behavior content, as well as the consumer's behavior influence factors and behavior effects. The advantages of the consumer behavior process model are that it can fully and dynamically display consumer behavior, determine and evaluate consumer behavior goals, formulate and implement consumer behavior strategies, and promote and increase consumer behavior; The disadvantage is that it is affected by the complexity, diversity, irrationality, nonlinearity and other factors of behavior, and there may be problems such as incompleteness, inapplicability, inflexibility, and non-renewal. The consumer behavior process model divides the consumer's behavior process into five stages, namely: problem identification, information search, solution evaluation, purchase decision-making, and post-purchase behavior.

(IX) Consumer Behavior Decision Model (Consumer Behavior Decision Model)

Consumer behavior decision-making model refers to a model that describes and analyzes the behavior decision of consumers, which is mainly used to understand the type and content of consumers' decision-making, as well as the factors and effect of consumers' decision-making. The advantage of the consumer behavior decision model is that it can simply and clearly describe the consumer's decision-making, determine and evaluate the consumer's decision-making goal, formulate and implement the consumer's decision-making strategy, and promote and increase the consumer's decision-making. The disadvantage is that it is affected by the complexity, diversity, irrationality, nonlinearity and other factors of decision-making, which may have problems such as incompleteness, inapplicability, inflexibility and non-renewal. The consumer behavior decision-making model divides consumer behavior decision-making into three types, namely: expansive decision-making, limited decision-making, and inertial decision-making.

(X) Consumer Behavior Influence Factor Model (Consumer Behavior Influence Factors Model)

The consumer behavior influencing factor model refers to a model that classifies and analyzes the influencing factors of consumer behavior, which is mainly used to understand the type and content of the influencing factors of consumer behavior, as well as the mechanism and interrelationship of the influencing factors of consumer behavior. The advantage of the model of consumer behavior influencing factors is that it can comprehensively and systematically analyze the influencing factors of consumer behavior, reveal and explain the laws of the influencing factors of consumer behavior, predict and evaluate the results of the influencing factors of consumer behavior, and influence and change the influencing factors of consumer behavior. The disadvantage is that it is affected by the complexity, variability, instability, inconsistency and other factors of the influencing factors of behavior, there may be incompleteness, inapplicability, inflexibility, non-renewal, etc. The consumer behavior influence factor model divides the consumer behavior influence factors into two categories, namely: internal influence factors and external influence factors. Internal influencing factors include: personal characteristics, psychological processes, psychological state, etc.; external influencing factors include: cultural environment, social environment, family environment, market environment, etc.

Application cases of 4. consumer research

The application case of consumer research refers to a way to introduce and analyze the specific practice of consumer research, which is mainly used to understand the actual effect and value of consumer research, as well as the actual problems and solutions of consumer research. There are many application cases of consumer research, and this paper selects three cases related to the actual business of Shangpu Consulting Company for introduction and analysis, namely:

Market Research of (I) FMCG Industry

Background: Champ Consulting is commissioned by an internationally renowned Fast Moving Consumer Goods (FMCG) company to conduct market research on its shampoo products in the Chinese market to understand its current situation, problems, opportunities and strategies in the Chinese market.

Objective: To provide customers with the following information and suggestions through market research:

China shampoo market size, structure, trends, competition, opportunities and threats;

The characteristics, behaviors, needs, preferences, satisfaction and loyalty of Chinese shampoo consumers;

The customer's shampoo product market share, brand image, product quality, price strategy, channel strategy, promotion strategy, etc;

The market potential, market target, market positioning, market strategy, market action and market evaluation of the customer's shampoo products.

Methods: In order to complete the market research, the following methods were used by Champ Consulting:

Literature analysis: By collecting and analyzing the relevant literature on China's shampoo market, such as industry reports, market reports, media reports, expert papers, etc., to understand the basic situation and development trend of China's shampoo market.

Network analysis method: by searching and analyzing the relevant websites of China's shampoo market, such as official websites, e-commerce websites, social networking websites, review websites, etc., to understand the latest developments of China's shampoo market and consumer feedback.

Questionnaire method: By issuing or sending questionnaires to target consumers in the Chinese shampoo market, we can understand consumers' usage and attitudes. The questionnaire includes the following:

Consumer's basic information, such as age, gender, education, income, place of residence, etc;

Consumer usage, such as frequency of use, amount of use, brand of use, place of use, time of use, mode of use, etc;

Consumer motivation, such as cleaning, hair care, hairdressing, comfort, fashion, personality, etc;

Consumer satisfaction, such as satisfaction with the quality, effect, fragrance, packaging, price, etc. of the product;

Consumer loyalty, such as brand awareness, love, trust, recommend, repeat purchase, etc;

Consumer needs, such as the degree of demand for product functions, characteristics, innovation, diversity, etc;

Consumer preferences, such as the degree of preference for product type, composition, efficacy, style, color, etc.

Focus group discussion method: By inviting target consumers in the Chinese shampoo market to participate in focus group discussions, understand consumers' feelings, experiences, needs, problems, etc. Focus group discussions included the following:

Consumer perceptions of the shampoo market, such as market characteristics, trends, opportunities, threats, etc;

Consumer perceptions of shampoo products, such as product quality, differences, competition, choice, etc;

Consumer perceptions of the shampoo brand, such as the brand's image, reputation, value, and loyalty;

Consumer perceptions of shampoo prices, such as price rationality, sensitivity, elasticity, impact, etc;

Consumer perceptions of the shampoo channel, such as channel availability, convenience, trust, impact, etc;

Consumer perceptions of shampoo promotions, such as effectiveness, attractiveness, stimulation, impact, etc.

Results: Through market research, Champ Consulting obtained the following results:

The scale of China's shampoo market is growing, and it is expected to reach 50 billion yuan by 2024. The structure of the market is also changing. The needs and preferences of consumers are becoming more and more diversified and personalized, and the competition in the market is becoming more and more fierce. Opportunities and threats coexist in the market.

The characteristics and behaviors of Chinese shampoo consumers show the following characteristics: younger, feminine, urbanized, high-end, healthy, fashionable, personalized, etc. Consumers are mainly motivated to use cleaning, hair care, hairdressing, etc. Consumers are generally satisfied with the use of consumers, and their loyalty is low. Consumers' needs are mainly functions, characteristics, innovation, etc., and consumers' preferences are mainly Type, composition, efficacy, etc.

The customer's shampoo products in the Chinese market performance is poor, the market share is low, the brand image is weak, the product advantage is not obvious, the price strategy is unreasonable, the channel strategy is not perfect, the promotion strategy is not effective, etc.

The customer's shampoo products have great potential in the Chinese market. The market goal should be to increase market share. The market positioning should be high-end, healthy and fashionable shampoo brands. The market strategy should be to strengthen product advantages, adjust price strategies, expand channel strategies, Innovate promotion strategies, etc., market actions should be to strengthen market research, increase market investment, accelerate market response, and intensify market monitoring, market assessment should be the establishment of a market assessment system, regular market assessment, timely market adjustment, continuous market improvement and so on.

Recommendations: Based on the results of market research, Champ Consulting offers the following recommendations to its clients:

Improve brand awareness and reputation, spread brand ideas, values, stories, etc. through advertising, public relations, word-of-mouth, etc., and enhance brand image, reputation, loyalty, etc.

Highlight product differentiation and innovation, through research and development, design, packaging and other ways to create product functions, characteristics, efficacy, etc., to meet the needs, preferences, expectations of consumers.

Optimize price strategies and pricing methods, and determine the price level, price range, price elasticity, etc. of products through cost, competition, demand, etc., in line with consumers' cognition, feelings, and acceptance.

Expand channel strategy and channel selection, establish product channel network, channel structure, channel management, etc. through online, offline, direct sales, distribution, etc., to increase product channel coverage, channel efficiency, channel cooperation, etc.

Innovate promotion strategies and promotion methods, implement product promotion activities, promotion goals, promotion effects, etc., through discounts, gifts, coupons, points, sweepstakes, trials, etc., to improve product promotion attractiveness, promotion stimulation, promotion influence Wait.

Research on Market Entry of (II) Household Appliance Industry

Background: Shangpu Consulting was commissioned by a European home appliance company to conduct market entry research on its air purifier products in the Chinese market to understand its feasibility, risks, opportunities and strategies in the Chinese market.

Purpose: To provide customers with the following information and advice through market entry research:

Demand, supply, competition, regulation and trend of China air purifier market;

Characteristics, behaviors, needs, preferences, satisfaction and loyalty of Chinese air purifier consumers;

Advantages, disadvantages, opportunities and threats of customers' air purifier products;

The market entry mode, market entry path, market entry resources, market entry barriers, etc. of the customer's air purifier products.

Methodology: To complete the market entry study, the following methodology was adopted by Champ Consulting:

PEST Analysis (Political, Economic, Social, Technological Analysis): By analyzing the political, economic, social, technical and other macro-environment of China's air purifier market, we can understand the external influencing factors and external development conditions of China's air purifier market.

Five Forces Analysis (Five Forces Analysis): Understand the internal competitiveness and internal profitability of China's air purifier market by analyzing the micro-environment of industry competitors, potential entrants, substitutes, suppliers, buyers, etc.

SWOT analysis (Strengths, Weaknesses, Opportunities, Threats Analysis): By analyzing the advantages, disadvantages, opportunities, threats, etc. of the customer's air purifier products, we can understand the internal capabilities and external opportunities of the customer's air purifier products.

Questionnaire method: By issuing or sending questionnaires to the target consumers of China's air purifier market, we can understand the use and attitude of consumers. The questionnaire includes the following:

Consumer's basic information, such as age, gender, education, income, place of residence, etc;

Consumer usage, such as frequency of use, brand of use, use effect, use problem, etc;

Consumer motivation, such as air quality, health awareness, quality of life, social responsibility, etc;

Consumer satisfaction, such as satisfaction with product quality, effectiveness, safety, noise, power consumption, etc;

Consumer loyalty, such as brand awareness, love, trust, recommend, repeat purchase, etc;

Consumer needs, such as the degree of demand for product functions, characteristics, innovation, diversity, etc;

Consumer preferences, such as the degree of preference for product type, price, design, color, etc.

Results: Through the market entry study, Champ Consulting obtained the following results:

The demand for China's air purifier market is growing, and it is expected to reach 30 billion yuan by 2024. The supply of the market is also increasing. The market competition is fierce, and the market regulation is constantly improving. The market trend is to develop in the direction of high-end, intelligence and environmental protection.

The characteristics and behaviors of Chinese air purifier consumers show the following characteristics: youth, high income, urbanization, health, and environmental protection. Consumers' motivation is mainly air quality, health awareness, quality of life, etc. Consumers' satisfaction is high, consumers' loyalty is general, and consumers' needs are mainly functions, characteristics, innovation, etc. Consumers' preferences are mainly type, price, design, etc.

The advantages of customers' air purifier products in the Chinese market are advanced technology, good quality, remarkable effect, safety and reliability, etc., while the disadvantages are high price, low popularity, limited channels, insufficient promotion, etc., and the opportunities are the growth of demand in China's air purifier market, the improvement of consumers' health awareness, the government's environmental protection policy support, etc, the threat is the fierce competition in China's air purifier market, the price sensitivity of consumers, and the regulatory changes in the market.

The market entry mode of customers' air purifier products in the Chinese market can choose joint venture, sole proprietorship, agency, franchise, etc. The market entry path can choose first-tier cities, second-tier cities, third-tier cities, etc., and market entry resources can choose technology, brand, and capital, Talents, etc., market entry barriers can choose policy, competition, culture, consumers, etc.

Recommendations: Based on the results of the market entry study, Champ & Co. provides the following recommendations for its clients:

Choose a joint venture market entry model, cooperate with a well-known air purifier company in China, and use its channels, brands, and experience in the Chinese market to reduce the risk and cost of market entry, and improve the speed and efficiency of market entry.

Choose the market entry path of first-tier cities, focusing on Beijing, Shanghai, Guangzhou, Shenzhen and other cities, aiming at consumers with serious air pollution, strong consumption ability, high health awareness and high environmental awareness in these cities, promote customers' air purifier products, establish market popularity and reputation, and open up the market situation.

Select technology and brand market access resources, give full play to the technical advantages and quality advantages of customers' air purifier products, highlight the advantages of product effect, safety, noise, power consumption, etc., enhance product differentiation and competitiveness, and establish The high-end, intelligent and environmentally friendly brand image of the product increases the added value and profit margin of the product.

Select policies and competitive market entry barriers, pay close attention to policy changes and competitive dynamics in China's air purifier market, timely adjust market entry strategies and actions, abide by market rules and laws, respond to market challenges and threats, and protect market interests and rights.

Evaluation of investment decisions in the (III) pharmaceutical industry

Background: Shangpu Consulting Company was commissioned by an American pharmaceutical company to evaluate the investment decision of a new drug development project in the Chinese market to understand its feasibility, profitability, risk and strategy in the Chinese market.

Purpose: To provide clients with the following information and advice through the evaluation of investment decisions:

Demand, supply, competition, regulation and trend of Chinese pharmaceutical market;

The characteristics, behaviors, needs, preferences, satisfaction and loyalty of Chinese pharmaceutical consumers;

strengths, weaknesses, opportunities, threats, etc. of the customer's new drug development project;

The investment cost, investment income, investment risk, investment return, etc. of the customer's new drug development project.

Methodology: To complete the investment decision assessment, the following methodology was used by Champ Consulting:

PEST analysis: By analyzing the political, economic, social, technical and other macro-environment of China's pharmaceutical market, we can understand the external influencing factors and external development conditions of China's pharmaceutical market.

Five Forces Analysis: Understand the internal competitiveness and internal profitability of the Chinese pharmaceutical market by analyzing the micro-environment of industry competitors, potential entrants, substitutes, suppliers and buyers in the Chinese pharmaceutical market.

SWOT analysis: Understand the internal capabilities and external opportunities of the customer's new drug development project by analyzing the strengths, weaknesses, opportunities, threats, etc. of the customer's new drug development project.

Financial Analysis: By analyzing the investment cost, investment income, investment risk, return on investment, etc. of the customer's new drug development project, we understand the financial situation and financial effect of the customer's new drug development project. Common indicators of financial analysis are Net Present Value (NPV), Internal Rate of Return (IRR), Payback Period (PP), Break-even Point (BEP), etc.

Questionnaire method: By issuing or sending questionnaires to the target consumers in the Chinese pharmaceutical market, we can understand the use and attitude of consumers. The questionnaire includes the following:

Consumer's basic information, such as age, gender, education, income, place of residence, etc;

Consumer usage, such as frequency of use, brand of use, use effect, use problem, etc;

Consumer motivation for use, such as disease, health, prevention, treatment, etc;

Consumer satisfaction, such as satisfaction with product quality, effectiveness, safety, side effects, price, etc;

Consumer loyalty, such as brand awareness, love, trust, recommend, repeat purchase, etc;

Consumer needs, such as the degree of demand for product functions, characteristics, innovation, diversity, etc;

Consumer preferences, such as the degree of preference for product type, composition, efficacy, usage, dosage, etc.

Results: Through the evaluation of investment decisions, Champ Consulting obtained the following results:

The demand of China's pharmaceutical market is growing, and it is expected to reach 2 trillion yuan by 2024. The supply of the market is also increasing. The competition in the market is very fierce, and the regulation of the market is constantly improving. The trend of the market is to develop in the direction of innovation, efficiency and safety.

The characteristics and behavior of Chinese pharmaceutical consumers show the following characteristics: aging, disease, health, health care and so on. Consumer motivation is mainly disease, health, prevention, treatment, etc., consumer satisfaction is general, consumer loyalty is low, consumer demand is mainly function, characteristics, innovation, consumer preferences are mainly type, composition, efficacy and so on.

The advantages of customers' new drug development projects in the Chinese market are advanced technology, remarkable effects, safety and reliability, and market vacancies. The disadvantages are high cost, low visibility, difficult approval, and high risks. The opportunities are the growth of demand in the Chinese pharmaceutical market and the consumer's The health awareness is improved, and the government's medical policy support. The threat is the fierce competition in the Chinese pharmaceutical market, the price sensitivity of consumers, and the changes in market regulations.

The investment cost of the client's new drug development project in the Chinese market is about 1 billion yuan, the investment income is about 3 billion yuan, the investment risk is about 20%, and the investment return is about 3 years. The results of the indicators of the financial analysis are as follows:

Net Present Value (NPV)= Investment Income-Investment Cost = 30-10 = RMB 2 billion, greater than 0, indicating that the investment is feasible;

Internal rate of return (IRR)-investment income/investment cost -30/10, greater than, indicating that the investment is favorable;

Payback period (PP)= cost of investment/return on investment = 10/30=0.33 years, less than 3 years, indicating that the investment is fast;

Breakeven point (BEP)= cost of investment/(return on investment-cost of investment) = 10/(30-10)= 0.5 years, less than 3 years, indicating that the investment is safe.

Recommendations: Based on the results of the investment decision assessment, Champ & Co. provides the following recommendations to clients:

Strengthen the technical research and development and quality control of new drug development projects, ensure the effectiveness, safety and stability of products, and enhance the competitiveness and market recognition of products;

Speed up the market approval and market promotion of new drug development projects, take advantage of government policy support and market demand gaps, and shorten the time to market and market possession of products;

Optimize the price strategy and channel strategy of new drug development projects, determine the price level and price elasticity of products according to the price sensitivity and purchasing power of consumers, and establish the channel network and channel cooperation of products according to the purchasing habits and purchasing channels of consumers;

Innovative new drug development project promotion strategy and promotion means, according to the consumer's purchase motivation and purchase decision, the implementation of product promotion activities and promotion objectives, according to the consumer's purchase feedback and purchase effect, evaluation of product promotion effect and promotion efficiency.