multipurpose tree species research for small farms: strategies ... - part

A Descriptive Research Method to Estimate
Demand and MarketPotential of
Multipurpose Tree Species Products
Soetarso Priasuknana and Hariyatno Dwiprabowo
Three commonly used research methods
include exploratory research, descriptive research
and causal research. The major emphasis in
exploratory research is the discovery of ideas and
insights. Descriptive research determines the
frequency of an event o'the relationship between
two variables. It isguided by an initial hypothesis,
such as the trend in consumption of a product with
respect to a variety of variables. The causal
research method determines the cause and effects
of relationships. It is typically an experimental
approach, since experiments are designed to
determine cause and effect. These three methods
can be considered as stages in a continuous
process. Exploratory research is often the initial
step in this process.
tree Demand species (MPTS) and market can be potential determined of multipurpose through a
mreIng
marketing
eseM
research
a
approach,
prc whmisned
which is considered
through a
descriptive research. The descriptive research
method is applied when the purpose is either to
describe the characteristics descibethecharcteistcs of o agroup a rou of oflevel,
consumers with respect to their consumption of
products, or to estimate the percent of the
population behaving in a specified manner. As
humans, consumers are unpredictable to a certain
degree. Their needs and aspirations are constantly.
changing. Psychology, anthropology, sociology,
economics and statistics have all helped to improve
market research.
The application of market-research to MPTS
products is quite important. The results can be
used for planning, problem solving or as a control.
Market size, location, acceptability of the product,
consumer preferences and reactions, packaging,
product alternatives and competitiveness can be
identified. Informazion obtained through market
research includes (Lazo 1977):
-the competitive advantage of MPTS
products;
- acceptance of a product in the market;
- available supply of products;
- economic factors affecting sales;
Fo-estq Research Institute
Samarinda, Indonesia
38
- specific characteristics of a market by
region;
- potential market by territory;
- market trends;
- evaluation of present sales methods and
policies;
- determining relative market profitability;
- distribution costs;
- price studies;
- determining the source of customers'
dissatisfaction; and
- forecast of market potential and estimated
demand.
The Basic Concept of Demand, Market
and Product
In estimating demand, according to Stanton
I siaigdmnacrigt tno
(1984), three aspects that need to be considered
a ep o u t ,w i hi c u ep o u tv ra t
product class, product line, company sales,
industrial sales, and national sales; geographic
whether at the village, sub-regional,
regional, national, or international level; and
time scale, whether short-term (1-5 years),
medium range (5-10 years), or long range (10
years or more).
To identify the market of a particular
product, five types should be considered: total
market, potetitial market, available market,
served marlet and accessed market. In
calculating the potential market of a particular
product the interest of the buyer, income level
and purchasing power are important
considerations.
In product development, three factors should
be known in order to access the market: the
principal use of the product; features related to
quality, brand, packaging, and size; and after
sales services, guarantees, transportation, and
credit.