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Applied Decision Making

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Statistically speaking, sampling is one of the best techniques to determine the properties of any product that has been or is going to be launched in the market. From the point of view of management, applied decision making can be approached from several perspectives. In the case of marketing, sampling becomes one of the strongest perspectives. Here let us assume one situation. XYZ Company is launching a product, Product MN in the market. This is a cleaning product and this is targeted for the use of middle class households. So, before launching the product to the market the company can use the process of active sampling. It will help the company to gather very important data about the product.

They will have to choose a neighborhood and provide free samples to the families only to get the feedback from them. This will enable the company in two ways. First, they will know that what is the general potential of the product in the market, and secondly and most importantly, what the general customers think about the product. If the response from the sampling is positive then the company can go on with some aggressive marketing strategies, and if it does not get a good response then they can either opt for developing the product or launch the product in rather small way.

In Applied decision making, a very important aspect is having a definite set of alternatives and this is applied here in the case of the XYZ Company. And these alternatives have to be based on some kind of evaluative situations. And in the cases of commercial projects, as there are some kind of financial aspects are involved directly, it is very important to use sampling as an active part of the decision making processes. The tentative decision has to be evaluated in several ways only to prove the results of sampling in the market.

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