The 11 Steps of the Research Process (Pepsi Case Study – Lahore)
Step 1: Identifying the Problem
Meaning:
The researcher finds the problem that needs to be solved.
In our case:
Pepsi’s sales have dropped in Lahore over the past 6 months. The research problem is:
'What are the main reasons for the decline in Pepsi’s sales in Lahore?'
Step 2: Reviewing the Literature
Meaning:
Study what others have already found about similar problems — like beverage marketing,
brand switching, or consumer taste.
In our case:
Pepsi’s research team studies past reports on soft drink trends in Pakistan, research on why
people prefer Coca-Cola over Pepsi, and articles about youth’s changing drink preferences.
Step 3: Setting Research Objectives / Hypothesis
Meaning:
Set clear goals or expectations (hypotheses).
In our case:
Objective: To find the key reasons for Pepsi’s sales decline in Lahore.
Hypothesis: 'Sales are declining because customers prefer Coca-Cola’s new marketing
campaigns.'
Step 4: Research Design
Meaning:
Plan how the research will be conducted — the methods, tools, and timeline.
In our case:
Pepsi decides to use survey research (questionnaires) and focus groups to ask customers
about their drink preferences, marketing awareness, and price opinions. They choose a
descriptive research design because they want to describe customer behavior, not test in a
lab.
Step 5: Determining Data Sources
Meaning:
Choose between Primary Data (new data you collect) and Secondary Data (already available
data).
In our case:
Primary Data: Pepsi will collect new data through surveys of customers in Lahore.
Secondary Data: Pepsi will use past sales reports and competitor (Coca-Cola) advertising
data.
Step 6: Designing the Sample
Meaning:
Decide who will be part of the research and how many people will be surveyed.
In our case:
Pepsi selects 500 customers from different areas of Lahore (Gulberg, Johar Town, Iqbal
Town, etc.). They make sure to include different age groups to get a fair picture.
Step 7: Data Collection
Meaning:
Gather information using the chosen methods.
In our case:
Pepsi’s marketing team goes to malls and restaurants in Lahore and asks people to fill out
surveys. They also collect online responses through Google Forms.
Step 8: Data Processing and Analysis
Meaning:
Organize and analyze the collected data to find useful patterns.
In our case:
After collecting all the responses, Pepsi uses Excel or SPSS to count how many people prefer
Pepsi vs. Coca-Cola and find what customers dislike. They find that 60% of people switched
to Coca-Cola because of better advertising.
Step 9: Interpretation of Results
Meaning:
Understand what the data means — what message or insight it gives.
In our case:
The result shows that Pepsi’s decline is not due to product quality, but because Coca-Cola’s
new marketing campaigns attract more customers. So, the issue is marketing, not the
product itself.
Step 10: Drawing Conclusions and Recommendations
Meaning:
Based on findings, write the conclusion and suggest actions.
In our case:
Conclusion: Pepsi’s sales are falling because its advertising is less attractive than Coca-
Cola’s.
Recommendations: Launch new TV and social media campaigns, offer promotional
discounts, and partner with influencers to improve brand image.
Step 11: Report Writing and Presentation
Meaning:
Prepare a final report to present all findings, analysis, and recommendations.
In our case:
The marketing research team prepares a PowerPoint presentation for Pepsi’s top
management. They show survey charts, customer feedback summaries, and final
recommendations for action. Based on this, Pepsi decides to launch a new advertising
campaign — 'Pepsi – Bold Taste, Bold Life' — targeting Lahore’s youth.
Summary Table
Step Explanation (Easy) Pepsi Example (Lahore)
1 Identify the problem Pepsi sales are falling
2 Review past studies Study market and brand
preference
3 Set objectives Find reasons for decline
4 Design research Plan surveys & focus groups
5 Choose data source Use surveys + sales records
6 Select sample 500 people from Lahore
7 Collect data Get responses from
customers
8 Analyze data Find trends and causes
9 Interpret results Ads are less attractive
10 Give recommendations Improve marketing and
discounts
11 Report Present findings to
management