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Why is Research Important in Business?

Ernesto J. Sager by Ernesto J. Sager
September 8, 2023
in Latest Internet News
0

Running a business is a complicated undertaking. Being in a decision-making capacity of any manager, board member, or perhaps a trusted and influential investor who’s close to the CEO – means making decisions every day that could affect the success of a business and, through that, the lives of your customers and the long term future of your job and everyone else who works for you. Not doing your due diligence on an important contract or failing to investigate a potential partner or hire background could result in heavy financial losses, a hit to your business brand or reputation, or getting dragged into costly legal action.

Business

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Making good decisions is, therefore, one of the most important disciplines in business. Good choices require data: objective information (or the closest thing you can get to it) about the question you are facing. Too much attention is given to the literature and culture surrounding business confidence and bullishness. Those two qualities are, of course, important for success. If you don’t feel confident about your abilities, you wouldn’t be able to honestly recommend your service to anyone or stand by the decisions you’ve taken. However, if you’re led entirely by them, you’ll find yourself making decisions by your heart – what you want to be true – rather than a real understanding of the facts. Sometimes the facts aren’t in your favor, and if you’re unable to recognize that and change your plans accordingly, you’ll run into trouble.

The key to success is research: dispassionately framing the right questions to get you the insight you need to make a plan that will work for your business.

For example, if you’re planning to break into a foreign market, you must invest in international research covering all aspects of your proposed expansion. The initial research will help you define what you don’t know and need to find out, with later parts filling in those blanks, from the rules and regulations surrounding importing goods into that market, the trends and forces that animate the customers there, and the tax implications for your business when generating revenue there. It would help if you made your detailed plans after getting the answers from the experts you’ve tasked with the research: let facts lead your planning rather than looking for points to manipulate into your projects.

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Ernesto J. Sager

Ernesto J. Sager

Infuriatingly humble internet advocate. Unable to type with boxing gloves on. Alcohol expert. Twitter scholar. Creator. Spent 2001-2005 consulting about Virgin Mary figurines in Salisbury, MD. Spent 2002-2008 licensing corncob pipes in Phoenix, AZ. Spent 2002-2009 investing in glucose in Gainesville, FL. Spent 2002-2010 deploying Roombas in Suffolk, NY. Spent college summers testing the market for soap scum in the UK. Prior to my current job I was lecturing about birdhouses in Cuba.

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