Market studies are the map that guides entrepreneurs to understand, analyze and visualize what is unknown in the business world, for a specific sector. Market studies provide a way to reduce the possibility of failure when starting a new business.
It is important to understand that a market study is the process where information is collected on demand (buyers) and supply (competitors) in the sector where a project is being built. In addition, the main financial indicators are calculated to determine the profitability or sustainability of the business idea under review.
Businesses seek to satisfy the needs of a sector of consumers or potential buyers, that sector is our target audience. By doing a market study we get a deep understanding of its needs and strengths and answer questions like:
Who buys? How much do they buy? How do they buy? Where do they buy? What characteristics do they expect from our good or service?
The main purpose of conducting a market study is to know the sector in which a business is developed and, as well, to determine the possibility that it will be viable and profitable while adapting to the different competitive conditions that will be faced in our company.
According to the data obtained in the National Household Microenterprise Survey (ENAMEH) 2022, it is shown that in Costa Rica there are approximately 410,745 microenterprises, a number that represents a decrease of 9.7% compared to 2021, when 454,650 were counted (INEC, 2023 ) .
In addition, it was mentioned that 47.3% of microentrepreneurs started the activity due to necessity. It emphasizes the importance of anticipating buyer consumption behaviors and competitive attitudes. The lack of data and information reduces the chances of success in a business, because it prevents entrepreneurs from knowing the challenges they face and making decisions that favor success, so studies reveal that between 70 % and 80% of microbusinesses last less than a decade.
The world is constantly evolving and market studies must adapt to these changes because they are tied to the socioeconomic context of the time in which they are made, therefore, it is most important that companies determine the frequency in which they must get new data. and analyze the needs to make structural changes to the model.
An example of what was described above was observed during the Covid-19 pandemic. Among the main factors affecting companies are the strict policies during the pandemic and in the following years, as well as the increase in the prices of raw materials that make the final products more expensive. expensive, which leads to a decrease in sales. Companies that continue to change and adapt to new market conditions are able to survive; However, those who did not change their strategies due to lack of information did not sustain themselves.
In conclusion, a market study not only helps in the initial process of developing a business, but also in the process of achieving long-term success. This allows you to get the necessary tools to anticipate behaviors and needs. Market research should be a continuous process during business, allowing entrepreneurs to stay informed to make decisions that will help them achieve success.