3Business Research Methods2

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Business Research Methods

Research Process


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Definition

Business research process involves aseries of steps for conducting BR startingfrom identificationof problem/opportunityto preparation of research report


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Stages of the Research Process

Problem Discoveryand Definition

ResearchDesign

Sampling

DataGathering

Data Processingand Analysis

Conclusions andReport

Discovery andDefinition

and so on


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Stages In The Research Process

Problem Discovery and Problem Definition

Planning Research Design

Selecting Research Method

Sampling Data Gathering

Data Processing and Analysis

Conclusions And Report


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ProblemIdentification

&Definition


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Problem identification Identifying problem is the first step Word problem is used in a broader context

- to define an opportunity(chance to expand operations in a foreign country )-to evaluate a programme(to evaluate professional development programme

for employees)-to clarify a problem( declining profits)

Identification is a statement in general terms .What isto be investigated is not clear

Only symptoms are apparent . profits may be declining but exact nature of problem

may not be known


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Identifying problems and opportunities

BR helps in identifying problems and opportunities through scanninginternal & external business environment & also in monitorong &

evaluation Problems: Loss of market share

: Decline in profits: IR problems: Ad campaign not effective

Opportunities: To tap a new market: To introduce a new product:To seek a new investment opportunity: To take over a new unit

Evaluations: Continuous tracking of sales:Impact of new schemes introduced on sales:Continuous monitoring of a project to ensure that it is

going as envisaged


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Problem definition Indication of a specific business

decision area that will be clarified byanswering some research questions

A problem well defined is a problem

half solved A well defined problem

-gives proper direction for carrying out

investigations & to set researchobjectives

-helps in effective utilisation of resources


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Problem definition

Some research problems can be

clearly defined but some need tobe explored further throughexploratory research

Conducting research in newspaper reading habit can be clearly

defined Problem of declining sales needs

to be explored further


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Problem definitionA company producing cell phone wave

protectors may realise that its newproduct is not selling but it may notknow the reason

Although problem is identified in abroader perspective it needs to bedefined specifically in terms of what is

to be researched


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Exploratory research

It aims at understanding the topic being

researched

It is undertaken in the initial stages ofresearch process.

It is an informal process that helps definingthe identified problem. It involves

-Evaluating existing studies

-Discussing problem with experts

- Analysing the situation


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Exploratory research

Tools of exploratory research include

- Collection & Analysis of Secondary data(Data that have been previously collectedfor some project other than at hand-

Review of literature)-pilot study(A small scale exploratory

research technique that uses sampling but

does not apply rigorous standards)


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Preparing Statement of ResearchObjectives

After identifying & clarifying problem with

or without exploratory research ,a formalstatement of the research objectives is tobe made.

Objectives have to be developed byanalysing purpose of research thoroughly

Objectives must be brief & specific

It is preferable to limit the number ofobjectives

P i S f R h


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Preparing Statement of ResearchObjectives

Research objectives comprise research

questions and the hypothesis- If the objective is to study perception of

the customer a typical research question

could be Do customers perceiveradiations from cell phones hazardous tohealth ?

- Research questions such as To what

extent the new compensation programmeachieve its goal? are used in evaluationresearch


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Developing a hypothesis It is a statement based on some

presumptions that can be tested throughempirical data It makes a research question clearer and

ensures that all relevant aspects of research

are included in the research design The best expression of a research objective

is a well formed testable researchhypothesis

- Male dominated unions discriminateagainst women


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Developing a hypothesis

-If the research question is why are sales ofrefrigerators going up during winter ?-the hypothesis could be Sales of

refrigerators are going up during winter due

to off season discounts- So question on off season discount can be

included in the questionnaire duringresearch design phase

Once hypothesis is developed researchdesign can be selected


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Developing a hypothesis However a hypothesis cannot be

developed for every research question-If a company wants to know whether itssales would increase then ahypothesis Sales will increase v/s

Sales will not increasewill add novalue to research question as they arealmost the same as the researchquestion itself


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Planning A research

Design


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Planning the research design

A research design is a master plan

specifying the methods and proceduresfor collecting and analysing the neededinformation

It Should indicate

- Objectives

-Research method (Survey,Experimentetc)

-Sampling Methodology

-Time Schedule & Cost of research


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Selecting Research Methods Five basic methods of conducting a

research study-Surveys

-Experiments

-Secondary Data studies-Qualitative Techniques

-Observation techniques


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Surveys Research Technique used to gather

primary data from a sample of respondentsby employing a questionnaire Surveys are conducted by-meeting respondents in person

- contacting them through telephone- internet/ e-mail

Each has its own advantages

/disadvantages Any of these methods could be adopteddepending on their requirements


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Experiments In BR experiments are conducted to

study cause effect relationship It helps investigation of changes in one

variable (productivity) while

manipulating one or two other variables(monetary rewards , motivations)

Test marketing conducted by

companies to test viability of their newproduct is a form of businessexperimentation


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Secondary data studies It is concerned with analysis of already existing

data that is related to research topic in question Sales of a product may be related to disposable

personal income data on which can be obtainedfrom government sources and a mathematical

model could be fitted

Cell phone wave protector research secondarydata on TC set up ,mobile networking ,waves

used in wireless telephony& its effects may berequired


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Qualitative Techniques Qualitative methods are used to probe the minds

of respondents to collect factual data Used in brainstorming sessions to generate new

ideas

It involves group dynamics which gives responsesnot possible in one-to-one interview

Depth Interviews, FGDs, Projective techniques

Require behavioural specialists to analyse

findings


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Observation technique It is a process where the respondents

are merely observed without anyinterruption by the observer

Shopping pattern of customers in

supermarket assessed by observers The number of automobiles that pass

the proposed site for a petrol pump

Attitudes, opinions, motivations cannotbe recorded by this technique


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Selecting Research Methods There is no one best research method for all

situations

Selection of most appropriate researchmethod develops with experience

It also depends on type of

research(Exp/Des/Cau) In chicago museum the most popular exhibit

was found out by keeping track of how oftenfloor tiles in front of various exhibits need to

be replaced- an unobtrusive observationaltechnique.

It is not necessary to always use surveys


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SAMPLING


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Sampling

Sampling is generally a part of researchdesign but is considered separately ina research process

Sampling


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Sampling The Process of Obtaining Information About a Whole

by Examining Only a Part

Whole = Population Part = Sample Everyday Life Concept

Example: Physician makes diagnosis on the basisof the findings of a small sample of blood

Auditors use sampling to draw conclusionsabout large volumes of transactions

Market researchers use sample ofcustomers to determine market potential

Sample Inspection is done to accept or

reject a lot?


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Why Sampling

Population too large to be studied in full

Sampling is Cheaper & Quicker ascompared to Census

Necessary in destructive testing-

Census not feasible-testing of medicines


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Purpose of Sampling

To Estimate Value of a PopulationParameter (Mean, Variance, Proportionsetc.) on the basis of Value of the

Corresponding Sample Statistic.

More Representative the Sample, MoreAccurate is the Estimate.

Bigger the Sample, Better the Estimate.

Bigger the Sample, Greater is Cost & Time


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Sample Size

How Big Should Be My Sample?

Sample Size Depends Upon the SamplingTechnique Selected for the Purpose.

Therefore, First We Must Know About theVarious Sampling Techniques.


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Sampling TechniquesA Statistical /Probability Sample Should Be:

Selected Objectively so that InferencesDrawn from it are Reliable,

Free from Personal Biases,

Giving Equal or Known Chance ofSelection to Every Unit of the Population.

A non probability sample selectssample units on the basis of personal

judgment. It does not give equal or known chance of

selection to every unit of population


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DATA COLLECTION

Execution phase of research process begins

with data collection

There are two phases of data collection

-pre-testing for a small sub sample

-the main study Pre testing on a small scale helps

-to test if the data collection plan is appropriate

-to decide on way of tabulating collected data


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Processing &Analysing the data

Data processing starts with editing &

coding

Editing involves checking datacollection forms for omission, legibility,

consistency and other interviewererrors (entry in wrong column )

Coding involves rules for interpreting

,categorising and recording data tofacilitate computer or hand tabulation


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Analysis

It is application of analytical techniques

to understand and interpret the data Analytical techniques are determinedby

-managements information requirement

-characteristics of researchdesign(Ex/Des/Cau)

-nature of data collected

Statistical analysis

-Univariate,Bivariate or Multivariate


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Preparing & Presenting Report This is the last stage of research process

Effective communication of research findings

Research report should contain

- Executive summary

-Table of Contents

-Introduction

- Research objectives

- Research Methodolgy

- Analysis

- Findings

-Limitations

- Recommendations

- Bibliography

P i & P i R


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Preparing & Presenting Report

Research report should not be filled up with

technical details but should portrayresearch findings most effectively as perrequirements of the management

Research report should also be presented inoral form

Written report acts as a historical document


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Research Proposal

A written statement of the researchdesign that includes a statementexplaining the purpose of the study.

Detailed outline of proceduresassociated with a particularmethodology


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Circular presentation

Conclusions from the research studiesusually generates new ideas and problemsthat need to be further investigated

Hence stages are portrayed in a circularform


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Stages of the Research Process

Problem Discoveryand Definition

ResearchDesign

Sampling

DataGathering

Data Processingand Analysis

Conclusions andReport

Discovery andDefinition

and so on

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