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India’s October production growth falls to 22-month low: PMI

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Mumbai: A leading international business survey on Monday showed decline in India’s manufacturing sector growth as it touched a 22-month low in October largely due to a slower increase in new orders.
Revealing the weakest purchasing activity since December 2013, the Nikkei India Manufacturing Purchasing Managers Index (PMI) recorded an eight-month low in October at 50.7, down from 51.2 in September and from 52.3 in August.

According to the PMI report published by financial information services provider Markit, in which a value above 50 in the reading index indicates an overall increase in manufacturing and below 50 an overall decrease, expansion in production and order books were the weakest in their current 24-month growth sequence.

“Rates of expansion in both production and order books were the weakest in their current 24-month sequences of growth, with panellists reporting challenging economic conditions and a reluctance among clients to commit to new projects,” the report said.

“PMI data for October show a further loss of growth momentum across the Indian manufacturing economy, with a slower rise in new business inflows resulting in a weaker expansion of output,” said Pollyanna De Lima, economist at Markit and the report’s author.

Despite the slowdown in new order growth, manufacturers recruited additional workers in October. Employment rose only marginally for the first time since January.

“Undeterred by tough economic conditions overall, firms took extra staff in October. This, combined with a further drop in inventories of finished goods, suggests that production growth may rebound in coming months,” Lima said.

The report said October saw inflationary pressures return to India’s manufacturing economy. Average purchase costs rose, though the rate of increase was “slight”, the survey said.

Part of the additional cost was passed on to clients by raising tariffs.

“A return to inflationary pressures, meanwhile, indicates that RBI may pause its loosening cycle for the rest of the year following a 50 basis points cut of the key repo rate in September,” Lima said.

“Upcoming survey data will show how effective the central bank’s effort to revive the economy has been,” Reserve Bank of India Governor Raghuram Rajan on September 29 cut the RBI’s repo rate, at which it lends to commercial banks, to 6.75 percent making it the third cut in the bank’s short-term lending rate this year.

The RBI has also lowered its GDP growth forecast for the current fiscal to 7.4 percent, from its earlier projection of 7.6 percent.

Under the PMI, the manufacturing sector is divided into 8 broad categories of basic metals, chemicals and plastics, electrical and optical, food and drink, mechanical engineering, textiles and clothing, timber and paper and transport.

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Must-follow Rules If You Wanna Do Reliable Market Research

The aim of the research is to gather new information, thus, it is quite important to devise strategies and plans to collect correct and reliable data

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market research
Talking and getting information from the right people is utmost important in market research. Pixabay

Market research is conducted with the sole purpose of collecting data and information regarding the consumers’ preferences and their likes and dislikes regarding a product or a service. The aim of the research is to gather new information, thus, it is quite important to devise strategies and plans to collect correct and reliable data. The collected data regarding the consumers’ preference and satisfaction need to be tabulated in the correct form.

The information that you collect and have tabulated and analyzed will determine the success or failure of your product or service in the market. Here are a few rules that will help you with reliable market research and guarantee your success and thereby, reduce any expenses that the product failure will incur.

ALSO READ: India’s Best-performing IITs still far behind in research performance of 2 top World Universities: Study

market research
Another important factor that is often overlooked by most research agencies is the language incorporated during the research. Pixabay

The rules of market research

Read on and know how you can ensure your market research will provide accurate results and information.

Talk to the right people:

Talking and getting information from the right people is utmost important in market research. If you are selling a product used by women and the questions are asked to the men, you are sure to fail. Certain products and services are gender-based or age-based. Keep in mind the product and your target audience before you embark on the market research journey.

Use the language the customers understand

Another important factor that is often overlooked by most research agencies is the language incorporated during the research. Make sure to use the language that is generally understood by the consumers. If the respondent is unable to understand what you are asking of him/her, he/she will be unable to answer correctly. Using difficult to understand words and vocabulary, using detailed answer format will surely put the customers off and they will lose interest in answering the questions.

market research
Asking irrelevant and worthless questions just for the sake of asking will prove to be a waste of time and money. Pixabay

Also, it is equally important that the respondents are given importance as to how they like the product or service or their feelings pertaining to the product and such. This will make them feel important and you will be able to yield better results for your product.

Ask the right question

Asking irrelevant and worthless questions just for the sake of asking will prove to be a waste of time and money. Be astute in asking the right questions and in the right tone. Do not assume and create fake choice answers that the respondent will surely answer in order to appear smart and impress the interviewer, but in reality, will be of no use to your purpose. Frame questions in such a way, that the respondents are able to understand and provide answers that serve your purpose.

ALSO READ: Ladies, Here are 10 Famous Flea Markets in India You Should Visit At least Once!

Analyse the data collected

Once the data has been collected and recorded, tabulating it in a correct order and analyzing it is the next important step. Analysing the data and the methods to be employed for the analysis has to be pre-determined even before the start of the interview. The analysis will give you the answer you have been looking for and you will be able to determine if your product or service is going to be a success or a failure.

Click on https://essayshark.com/blog/outstanding-research-paper-topics-to-get-started/ to find amazing and good research topics for your research paper.

2 responses to “Must-follow Rules If You Wanna Do Reliable Market Research”

  1. Market research is the process of collecting, analyzing and providing useful information about consumers. The marketing research also covers a more general market research, which includes, in addition, research on competitors’ activities and issues related to the environment, in particular government activities and economic developments. The first question that a marketing specialist should ask before starting a survey is whether the information collected as a result of the collection costs the cost of collecting it. Market research can become a significant investment in both time and money. In some cases, undoubtedly, it is cheaper to start the project without doing any research at all.

  2. Market research is the process of collecting, analyzing and providing
    useful information about consumers. The marketing research also covers a
    more general market research, which includes, in addition, research on
    competitors’ activities and issues related to the environment, in
    particular government activities and economic developments. The first
    question that a marketing specialist should ask before starting a survey
    is whether the information collected as a result of the collection
    costs the cost of collecting it. Market research can become a
    significant investment in both time and money. In some cases,
    undoubtedly, it is cheaper to start the project without doing any
    research paper at all.