The Knowledge Management Perspective

Since the processing of market research information is a knowledge process, aspects from Knowledge Management Theory are relevant to the observations and deductions made in this study.

For instance, the context of the interaction during the transfer of market research information to the customer/user organization did not receive any attention except for some indirect inference in the works by Moorman et al.(1992); Wills & Williams (2004) and Zaltman & Deshpande (2001). Nonaka, Toyama, & Konno (2001) write on

‘ba’ as the shared context in which knowledge creation and sharing happens, proposing that the specific time and space in which the interaction happens plays a strong role.

They recognize that knowledge is humanistic, “essentially related to human action…

[created after that information is] interpreted in a given context and anchored in the beliefs and commitments of individuals”(ibid:15). And ba is the place where

information is “interpreted, linked to social cultural and historical contexts that are important to individuals” (ibid:22).

In market research information processing, users interact with the market research firm’s resources to interpret research findings and results. The process can happen in different locations and is certainly linked with the organization’s context composed of the firm’s strategies, strategic situation, values, culture, history and the supporting systems and resources employed to make the organization reach its goals.

Organizational context also featured in some of the works reviewed (see Sections 4.3.1.2 to 4.3.1.4), although in none of the cases was it linked to the interaction between the service provider and the user.

On knowledge transfer between organizations, Easterby-Smith, Lyles, & Tsang (2008) propose a framework relying on donor and recipient organization characteristics, the dynamics featuring in the dyad as well as the nature of the knowledge transferred.

Here, absorptive capacity features as one determining characteristic of both donor and receiver organizations, along with the organizations’ capability in managing knowledge transfer as well as motivations to engage in knowledge transfer, ‘teaching’ (donor organizations) and ‘learning’ (receiver organizations).

From a market research information use perspective, only one of the studies reviewed looked at absorptive capacity among user firms (Bierly III et al., 2009), while Sinkula (1994:38) looks at it as ‘congenital’ knowledge resides in the organization since birth.

Equally, Easterby-Smith et al. (2008) propose power relations, trust and risk as well as structures and mechanisms – all considerations that featured in the studies reviewed.

Except for Moorman et al., (1992; 1993), none of the studies in this review related to social ties between the users and researchers (or, user organizations and research firms) – a significant notion that features in the Easterby-Smith et al. (2008) framework that is reproduced below (Figure 5-7).

How do Clients of Market Research Services Construct Value from their Usage of Market Research Information?

5 Discussion

Figure 5-7 Aspects influencing inter-organizational knowledge transfer (Easterby-Smith et al., 2008:679)

More concerning is that while the characteristics of market research information featured in studies as ‘quality’ of information (see the findings in Section 4.3.1.6 page 75) (Leonidou & Theodosiou, 2004; Maltz et al., 2006; Menon & Varadarajan, 1992;

Moorman et al., 1993, 1992; Souchon & Diamantopoulos, 1996; Toften & Olsen, 2004), ambiguity and complexity characteristics of the research information are ignored, with tacitness assumed as unrelated to the use of explicit information as is market research information.

The influences observed in the contributions reviewed were assessed for their location in respect with Easterby-Smith et al. (2008) model above, and summarised in Table 5-10 and Table 5-11. This appraisal shows that little is known about the donor-firm organizational aspects and barriers impacting on the process of market research information use – with significant gaps in knowledge featuring on the acquisition, transformation, diffusion, analysis and interpretation phases of the process (Table 5-11).

Similarly, influences relating to inter-organizational dynamics in respect with

acquisition, transformation, analysis and interpretation phases remain unknown (Table 5-11), while influences relating to the recipient firm seem to be relatively well

researched.

Table 5-10 Aspects influencing market research information use from an inter-organizational knowledge transfer perspective

Level Effect

Individual Organization Barrier Motivator

Donor firm Lack of researcher tact

Researcher capability of "seeing the big picture"

Researcher capability/competence (via trust) Researcher characteristics (integrity, sincerity, willingness to reduce uncertainty..) (via trust) Researcher technical, project oriented capability Researcher's business understanding

Lack of researcher tact Researcher capability of "seeing the big picture"

Researcher capability/competence (via trust) Researcher characteristics (integrity, sincerity, willingness to reduce uncertainty..) (via trust) Researcher technical, project oriented capability Researcher's business understanding

External Environmental uncertainty

Volatile market situations Turbulent environmental conditions Environmental uncertainty

Turbulent environmental conditions Volatile market situations

Inter-Organizational Dynamics

Exclusive interaction with end customer Formality & frequency of communication (MR firm - user) (via trust)

Organization politics Perceived cost of error Perceived cost of research

Perceived importance of research project Reliance on non-domestic markets

Researcher - user interaction quality (via trust) Shared interaction with end customer Trust (MR Firm - User)

User-researcher shared view of business

"immediately exploitable opportunity"

Competing sources (customer involvement)

Exclusive interaction with end customer Organization politics

“psychic” distance from market Shared interaction with end customer Trust (MR Firm - User)

Competing sources (customer

involvement) "immediately exploitable opportunity"

Exclusive interaction with end customer

Formality & frequency of communication (MR firm - user) (via trust)

Organization politics Perceived cost of error Perceived cost of research

Perceived importance of research project

“psychic” distance from market Reliance on non-domestic markets

Researcher - user interaction quality (via trust) Shared interaction with end customer Trust (MR Firm - User)

User-researcher shared view of business Nature of

knowledge Available internal data (complementary) Information overload

Perceived accuracy & reliability Perceived cost of research Perceived inaccuracy & unreliability Perceived quality of research

Quality of information (clear, usable, useful, credible) Recognized "strategic value" of market information

Recognized "strategic value" of market information Research customization

Surprise factor (export markets)

How do Clients of Market Research Services Construct Value from their Usage of Market Research Information?

5 Discussion

Table 5-10 Aspects influencing market research information use from an inter-organizational knowledge transfer perspective (continued)

Level Effect

Individual Organization Barrier Motivator

Recipient Firm Knowledge about use of market research Organizational climate

Perceived future "occasion" for use Previous experience in market research Prior disposition

Recognized need for information Spirit of entrepreneurship

Users' experience, goals, personal preferences

Analyzer strategy Perceived future "occasion" for use Profitability

Prospector strategy Proximity of functions Recognized need for information Senior management ability to lower conflict

Senior management ability to win confidence

Senior management attitude Senior management education Small organizational size

Structural flux (via interfunctional rivalry)

Centralized, formal structure Knowledge about use of market research Large organizational size

Market oriented philosophy Organizational climate Organizational inexperience Perceived future "occasion" for use Previous experience in market research Profitability

Prospector strategy Proximity of functions Recognized need for information Senior management ability to lower conflict Senior management ability to win confidence Senior management attitude

Senior management education Spirit of entrepreneurship

Users' experience, goals, personal preferences

Table 5-11 Aspects influencing the phases of market research information use from an inter-organizational knowledge transfer perspective

Donor Firm External

Inter-organizational dynamics

Nature of

Knowledge Recipient firm

Acquire Availability of market

research

How do Clients of Market Research Services Construct Value from their Usage of Market Research Information?

5 Discussion

Table 5-11 Aspects influencing the phases of market research information use from an inter-organizational knowledge transfer perspective (continued)

Donor Firm External

Inter-organizational dynamics

Nature of

Knowledge Recipient firm Instrumental

Use Lack of researcher tact Researcher

with end customer Perceived cost of research

research Dependence on market

Experience in market