What Can and Can’t Be Asked?

By Matthew Harrison, Director of B2B International China

The subject of what can and cannot be researched in China is a contentious one, and – as with data collection methods – there is a tendency for the ‘uniqueness’ of China to be exaggerated in this respect.

In terms of subject matter, the truth is that there is very little difference between what can be researched in China and what can be researched in Western countries. Culturally, there is no great reticence in terms of providing information, and as the Chinese become increasingly aware of market research, obtaining their views is, if anything, becoming easier.

Most of the areas in which it is difficult to obtain information are similar to those that are difficult in the West. Company’s financial data, such as profit and loss information, is an obvious example, and this can be as much to do with lack of knowledge as lack of willing on the part of the respondent. It is true that certain areas of social research are closely monitored, as are attempts to seek details from Government on contentious issues. The Government is, however, seen as more of a help than a hindrance by most agencies, particularly due to its comprehensive documentation of regulations, policies and industry trends, all of which make environmental analysis of a market far easier than in most Western markets.

An area where there is a difference between Chinese and Western respondents is in the types of questions that can be asked. Chinese respondents are particularly honest about what they do and do not know, making them extremely reliable in market assessment projects where hard facts and statements are required. In contrast to respondents in many Western countries, Chinese respondents will not make up answers in order to avoid looking foolish. The flip side of this is when qualitative research is being conducted, and the researcher requires ideas rather than statements of fact. Projective questions such as, “in an ideal world, what would be the qualities of the perfect supplier?” tend to work far less well than in Western markets, as do speculative questions, such as, “by approximately how much do you think the market will grow over the next year?”. Whereas in Western markets these questions may result in the most comprehensive answers in the study, in China they would often be met with a curt “I have not thought about it” and “no-one can tell” respectively.

Recommendations For Research Buyers

This paper has sought to introduce the reader to the main characteristics of the Chinese market for market research, and above all highlight the great potential for any research buyer to consider commissioning market research in this fast growing market. With the right agency, research in China is good quality, detailed, insightful, cost effective, and above all an excellent aid to decision-making. We finish this article by putting forward 5 tips on commissioning research in China:

1. Scoping - The best quality business research will be research that quickly identifies the key regions of China that relate to the study, and then focuses most research effort on these areas. Differences between regions, as well as the sheer size of target audiences, are so vast that industries that are critical to one region are more or less non-existent in another. Research that does not recognise this risks spreading itself too thinly and wasting effort in irrelevant areas.

2. Go national - Choose an agency that is national (or indeed international) rather than local in scope; these are the agencies that have most resources, are most used to dealing with Western clients, and – for end clients – most accustomed to providing insightful analysis rather than simply interview scripts.

3. You get what you pay for - The good quality Chinese agencies are slightly cheaper than Western agencies, but don’t expect to pay a quarter or a third of what you pay your European or American agency. Incentives to respondents, rigorous quality checking and high level of involvement by very senior (often expatriate) staff are all reasons why the better agencies are not ‘cheap and cheerful’. Our advice would be to think of the research cost in terms of the potential benefits to your organisation and its decision-making, which could potentially be huge.

4. What type of researchers are they? – It is important to check not only the client list of a potential supplier, but also the type of work that the company does. In particular, it is essential to differentiate between experience at collecting data, and experience at analysing data and drawing conclusions. Most ‘indigenous’ clients provide almost entirely ‘data only’ work to Western clients.

5. Keep frequent contact – Frequent contact should be kept with the agency you appoint, not only to keep track of the progress of the project, but more importantly to establish a relationship and be seen by the agency as a partner. Chinese business is extremely relationship oriented, and the closer you work alongside your agency, the more proactive you will find them. There is no such thing as pestering!

Matthew Harrison, Director of B2B International and B2B International China. B2B International is a business-to-business agency headquartered in Manchester, UK.  The company has a subsidiary office – B2B International China – in Beijing and an American office in New York.

This is the third part of the B2B international article Business to Business Market Research in China, next week we will publish the third part. Read part one and part two. Here you can find the full article.