Usable Information Data Becomes Usable

¶ … Usable Information

Data becomes usable information through the use of methodologies that capture its value relative to decision maker's preferences, needs and requirements. Data can be created through primary and secondary research methodologies, with the former being the most effective in transforming data into valuable information (Chiagouris, Smith,1994).

How Data Becomes Usable Information

The process by which data becomes usable information needs to be based on the objectives of the study, ensuring the study's efforts, strategies and results align to the information needed for making better decisions (Chiagouris, Smith,1994). This link between the objectives and direction of a study and the intended outcomes or uses of the information ensure the research efforts' relevancy, regardless if the scope of the study is primary or secondary. The greater the congruity of a research methodology to the original goals, the more valuable the final research results will be (Chiagouris, Smith,1994). This is really the essence of how data becomes usable information. The ability to design research methodologies that deliver results that are insightful, useful and can be applied across a broad range of decisions are critical if data is going to be transformed into usable information.

An example of this dynamic can be found in the analysis, Speed or Quality? How the Order of Market Entry Influences The Relationship Between Market Orientation and New Product Performance (Rodriguez-Pinto, Carbonell, Rodriguez-Escudero, 2011). This study is based on a quantitative study and assessment of 244 different new product development projects to determine if companies who attain first-mover advantage in new markets generate greater profitability and market share relative to those that concentrate on product quality and launch later. The researchers conclude that first mover advantage in highly competitive markets that rely on price as the primary competitive differentiator experience growth for a maximum of five quarters (Rodriguez-Pinto, Carbonell, Rodriguez-Escudero, 2011). This is invaluable information for practitioners and strategists in companies that need to plan out new product introductions to ensure the highest ROI possible. The implications of an effective new product introduction throughout distribution channels globally is highly dependent on how effectively pricing is used as an incentive and positioning variable in the marketing mix (Rodriguez-Pinto, Carbonell, Rodriguez-Escudero, 2011). The methodology used in the study sought to quantify the price elasticity of components throughout global markets, showing the effects of price reductions in increasing the inelasticity by product area. This type of information is invaluable to practitioners in defining their new product introduction strategies.