1BSBMKG507: Interpreting Market Trends and Developments Report

This report, centered on the interpretation of market trends and developments, delves into various aspects of business analysis. It begins with knowledge-based questions exploring sources of information, legislation, industry bodies, and software used for market analysis. The report then proceeds to Task 1, which uses statistical analysis of market data to interpret trends, assess their impact on the business, and analyze competitors. Furthermore, Task 2 focuses on analyzing performance data, identifying high and low-performing products, and forecasting market requirements using qualitative visionary methods. The report includes a detailed dataset on coffee prices and currency exchange rates from 1980 to 2007, which is used for statistical interpretation. Overall, the report provides a comprehensive overview of market analysis techniques and their application in business development.

1BSBMKG507 Interpret market
trends and developments Core

Table of Contents
Knowledge based questions.............................................................................................................3
Question 1....................................................................................................................................3
Question 2....................................................................................................................................4
Question 3....................................................................................................................................5
Question 4....................................................................................................................................6
Question 5....................................................................................................................................6
Task 1...............................................................................................................................................7
1.1 Using the statistical analysis of the market data for interpreting development and market
trends............................................................................................................................................7
1.2 Assessing development and market trend with respect to their potential effect on the
business......................................................................................................................................21
1.4 Performing data analysis in order to review performance of the business..........................21
1.5 Analysing competitors for determining the potential threats and opportunities..................22
TASK 2..........................................................................................................................................22
2.1 Analysing the performance data in respect of all the areas of business..............................22
2.2 Determining an over-performing and the under-performing products of the firm..............23
2.3 Forecasting market requirements by making use of the qualitative visionary method of
forecasting..................................................................................................................................25
REFERENCES................................................................................................................................1

Knowledge based questions
Question 1
Source of
information
Internal/
External Where can be sourced How it relates to forecasting
Business and
strategic objectives Internal
Business goals
Vision
Mission
By analysing it, company is
easily increase the accuracy
and help to meet the define
goal.
Marketing and
Business
performance
Internal
Regular tracking
Financial documents
Internal strength
Through marketing, company
easily promote the business
product and enhance the
overall business performance,
take a business at further
level of success.
Comparative
market information External
Review other company’s
strategy
Promotional tool used
Analysing the demand of
customers
Help to understand the
potential market opportunity
which in turn assist to meet
the business goal in future.
Changes in
technology External
Rival’s strategy
Market need
Research and
development department
of the company
In the era of digitalization,
company has to meet the
define aim and comply with
the advance technology in
order to smoothing the
business operations.
Demographic
changes External Census
Surveys
Assist to determine the
customer need and also
related to business

Source of
information
Internal/
External Where can be sourced How it relates to forecasting
Administrative records forecasting.
Social and cultural
factors External
Change in climate
Presence of specific group
Systematic factors
Sudden change in the
preference of the user affect
the sales and that is why,
there is a need to manage the
social and cultural factor in
order to enhance the business
growth.
Economic trends External
Increase in GDP
Income
Growth in the size of
workforce
Assist to analyse the country’s
GDP and then set the price
which in turn assist to
enhance the sales.
Government
activities and
legislative changes
External
Case law
Books and Journal articles
National law
Changes in laws means
company has to comply with
the same and that is why,
help in forecasting and make
decision.
Industry trends External
Google
Information from
customers
Competitor analysis
Determining the trend means
providing the same
product/service to customers
which in turn help to enhance
the growth.
Supplier data Internal
Internal recorded
performance
Annual report
distributors
Having this, help to choose
the best suppliers so that
company’s performance is
increases.

Question 2
Legislation Summary of key provision
Trade Practice act Main purpose is to give a fair business and competitive operating
Marketing codes of practice
and conduct
It is a set of standards of conduct for marketers that help to
minimize the risk of breaking laws in order to promote best
practice that do not affect culture.
Health and safety
legislation
Company should deal with all the health and safety requirement
because it is the primary prevention of hazard within a firm.
Privacy Act As per the Australian law, company has to make sure that all the
personal data should not be leaked or shared by the third party
including for marketing purpose.
Australian Direct Marketing
Association
Aim is to help company to attain better marketing results through
direct marketing.
Question 3
Industry body
name
Website Purpose Codes, guidelines
or standards
Australian
Competition and
Consumer
Commission
www.accc.gov.au Purpose is to
dealing with
competitive
matters by
providing fair
trading and
provision for
consumer
protection.
Regulate only
national
infrastructure
industries with set
guidelines
Australian
Communication
and Media
Authority
Acma.gov.au Help to prevent
companies from
fake calls and
misused the data
Set the guidelines
not to entertain
any fake call.
Australian www.oaic.gov.au Help to provide It work on privacy

Information
Commissioner
permission to
collect and use the
information which
is necessary
act
Anti spam
legislation
https://www.acma.gov.au/avoid-
sending-spam
Help to prevent
company from
junk mail, SMS
and MMS
The guidelines
help to express
permission and
prevent from junk
mail.
Advertising
standard regulation
www.adstandards.com.au It monitor all the
advertising self-
regulation system
to prevent
company from
hackers
Free public service
to complaint
resolution.
Question 4
Software Pros Cons
MAXQDA Help to analyse the customer
data through surveys, videos
Every year, licence is renew
and high in cost
Quirkos Assist to find common
keywords and phrases through
text documents
Did not help to determine
exact data related to any field.
Provalis research software Help to generate exact
outcome because of using
formulas
Reliability is different from
understand- ability

Question 5
Statistical concepts, methods,
techniques and reporting
formats
Example
conversion rate of leads to sales It help to increase the sales from visitor to marketing at around 5%
measures of central tendency It help to analyse which product is highly consume by the customer
through mode.
measures of dispersion Under this standard deviation is used which help to detect the
skewness in the firm.
correlation and regression
analysis
Correlation assist to determine the relationship between two
variable i.e. sales and profit which is interrelated to each other.
While regression is look at the combine effect of variable upon
depend variable.
net response rate
It means how many person response. For example if company sent
100 people a survey to fill and only 20 of them replied. Then 20% is
the response rate.
normal distribution probability
curve
Height, blood pressure and measurement that help to determine
the exact consumption of the food
sampling To answer any specific question, some respondents are selected to
determine their views.
speed of response curve It means the frequency at which the answer is come with fastest
response.
frequency grids Through this, company determine the ratio through which the
customer buy the products
lifetime value of customers
If a new customer cost is $50 and the life time value is $60. So
customer is judged as valuable and these customer are acceptable
as well.
net present value of customers If customer is spend $20 extra while purchasing, then it means the
net present value is the extra amount which is paid by the

Statistical concepts, methods,
techniques and reporting
formats
Example
customer.
Task 1
1.1 Using the statistical analysis of the market data for interpreting development and market
trends
‘AUD vs USD’
Global price of Coffee,
Other Mild Arabica
Global price of Coffee,
Robustas
1980-01-01 152.38 146.86

1980-02-01 150.02 147.45
1980-03-01 170.23 156.86
1980-04-01 162.23 146.16
1980-05-01 166.76 152.34
1980-06-01 156.71 146.00
1980-07-01 135.07 128.36
1980-08-01 116.67 113.29
1980-09-01 107.68 106.89
1980-10-01 107.53 107.02
1980-11-01 98.65 99.94
1980-12-01 102.66 100.40
1981-01-01 109.32 104.32
1981-02-01 108.17 99.84
1981-03-01 107.78 97.50
1981-04-01 111.43 98.16
1981-05-01 110.61 95.20
1981-06-01 97.51 74.24
1981-07-01 105.68 77.71
1981-08-01 107.83 78.55
1981-09-01 110.41 77.87
1981-10-01 120.19 86.79
1981-11-01 124.88 92.35
1981-12-01 125.61 92.67
1982-01-01 130.89 96.43
1982-02-01 144.32 107.66
1982-03-01 137.89 107.43
1982-04-01 133.30 100.56
1982-05-01 130.70 98.24
1982-06-01 137.94 100.61
1982-07-01 131.66 99.99
1982-08-01 137.75 107.63
1982-09-01 144.03 117.98
1982-10-01 150.72 126.26
1982-11-01 144.39 128.98
1982-12-01 136.44 131.31
1983-01-01 132.26 128.33
1983-02-01 131.03 127.16
1983-03-01 144.01 139.05
1983-04-01 142.81 138.73
1983-05-01 145.29 139.05
1983-06-01 144.54 137.85

1983-07-01 145.13 137.36
1983-08-01 147.19 137.62
1983-09-01 147.86 136.20
1983-10-01 154.24 142.29
1983-11-01 159.45 142.84
1983-12-01 162.46 148.79
1984-01-01 155.96 146.55
1984-02-01 154.54 145.50
1984-03-01 158.51 148.53
1984-04-01 163.46 149.53
1984-05-01 166.75 162.68
1984-06-01 170.28 166.81
1984-07-01 172.73 166.65
1984-08-01 171.17 165.07
1984-09-01 168.36 170.53
1984-10-01 160.39 159.08
1984-11-01 163.16 157.60
1984-12-01 169.90 155.99
1985-01-01 178.63 156.93
1985-02-01 201.36 174.66
1985-03-01 200.35 175.89
1985-04-01 215.64 188.95
1985-05-01 215.71 184.51
1985-06-01 212.11 181.13
1985-07-01 184.72 147.56
1985-08-01 188.98 151.85
1985-09-01 188.03 148.52
1985-10-01 200.63 160.64
1985-11-01 226.06 186.91
1985-12-01 288.99 225.29
1986-01-01 328.86 240.70
1986-02-01 323.05 232.92
1986-03-01 333.78 238.50
1986-04-01 303.17 213.14
1986-05-01 291.29 198.94
1986-06-01 257.74 185.75
1986-07-01 285.33 211.40
1986-08-01 283.04 222.14
1986-09-01 316.16 261.08
1986-10-01 274.00 231.43
1986-11-01 238.33 229.15

1986-12-01 202.03 189.56
1987-01-01 184.25 172.23
1987-02-01 177.24 163.68
1987-03-01 144.68 139.34
1987-04-01 150.82 143.54
1987-05-01 163.07 148.09
1987-06-01 144.00 136.37
1987-07-01 141.24 132.56
1987-08-01 141.63 133.07
1987-09-01 152.91 138.28
1987-10-01 175.02 153.66
1987-11-01 176.93 149.97
1987-12-01 173.31 144.01
1988-01-01 177.05 144.56
1988-02-01 190.53 144.61
1988-03-01 182.38 135.11
1988-04-01 177.06 127.36
1988-05-01 169.41 117.92
1988-06-01 178.63 118.58
1988-07-01 173.08 106.14
1988-08-01 159.73 101.10
1988-09-01 172.22 114.93
1988-10-01 157.98 115.36
1988-11-01 150.43 107.20
1988-12-01 169.43 119.43
1989-01-01 168.17 115.67
1989-02-01 172.05 120.75
1989-03-01 170.10 116.68
1989-04-01 180.45 115.70
1989-05-01 185.26 122.93
1989-06-01 163.13 111.94
1989-07-01 114.18 87.43
1989-08-01 101.10 77.52
1989-09-01 100.26 78.13
1989-10-01 86.53 68.74
1989-11-01 90.49 68.11
1989-12-01 91.52 65.79
1990-01-01 98.38 65.54
1990-02-01 110.63 67.55
1990-03-01 124.58 76.48
1990-04-01 124.82 76.43

1990-05-01 119.65 71.55
1990-06-01 111.86 66.39
1990-07-01 109.45 65.14
1990-08-01 115.68 67.51
1990-09-01 114.85 69.07
1990-10-01 116.49 73.98
1990-11-01 109.54 73.32
1990-12-01 116.24 73.76
1991-01-01 109.98 68.70
1991-02-01 114.09 66.82
1991-03-01 120.90 67.25
1991-04-01 118.04 67.01
1991-05-01 115.11 63.41
1991-06-01 111.31 61.32
1991-07-01 106.51 59.73
1991-08-01 104.00 59.39
1991-09-01 109.38 60.17
1991-10-01 101.90 60.58
1991-11-01 100.05 65.86
1991-12-01 98.84 67.69
1992-01-01 97.35 65.94
1992-02-01 89.96 57.27
1992-03-01 91.28 56.04
1992-04-01 86.17 55.78
1992-05-01 79.40 51.11
1992-06-01 77.96 50.84
1992-07-01 77.51 53.21
1992-08-01 73.49 55.96
1992-09-01 73.85 59.37
1992-10-01 88.29 65.43
1992-11-01 98.39 71.92
1992-12-01 112.59 75.71
1993-01-01 101.18 70.93
1993-02-01 96.97 69.36
1993-03-01 88.93 66.39
1993-04-01 79.93 63.95
1993-05-01 90.82 69.30
1993-06-01 92.21 70.88
1993-07-01 104.71 73.74
1993-08-01 114.13 88.39
1993-09-01 123.69 98.29