BRM Module 3

7/29/2019 BRM Module 3

1/80

Module 3Module 3

Business Research Designs


2/80

Business Research Methods-Research Design 2

Topics to be covered

Business Research DesignBusiness Research Design : Exploratory, Descriptive& Causal Research

Exploratory Research: Meaning, suitability,

collection, hypothesis formulationDescriptive Research: Meaning, Types ofDescriptive studies, data collection methods

Causal Research: Meaning, various types ofexperimental designs, types of errors affectingresearch design


3/80


Business Research Design

A research design is a framework or blueprintA research design is a framework or blueprint

for conducting the marketing research project.for conducting the marketing research project.

It details the procedures necessary for obtaining the

information needed to structure and/or solvemarketing research problems.

A research design lays the foundation for conductingthe project.

A good research design will ensure that the marketingresearch project is conducted effectively andefficiently.


4/80

A research design involves the followingcomponents:

Define the information needed.Design the exploratory, descriptive and/or causal phases ofthe researches.Specify the measurement and scaling procedures.Construct and pretest a questionnaire (interviewing form) oran appropriate form for data collection.Specify the sampling process and sampling size.Develop a plan of data analysis.



5/80


COMPLETELYCERTAIN

ABSOLUTEAMBIGUITY

CAUSAL,COMPARATIVE,ASSOCIATIONAL,OR DESCRIPTIVE

EXPLORATOR

UncertaintyInfluences

The Type OfResearch


6/80


Classification of MarketingResearch Designs

Research Design

ExploratoryResearchDesign

ConclusiveResearch Design

DescriptiveResearch CausalResearch

Cross-Sectional

Design

LongitudinalDesign


7/80

7

Comparison of BasicResearch Designs

Parameters

Exploratory Descriptive Causal

Objective

Discoverideas andinsights.

Describemarketcharacteristicsor functions.

Determinecause andeffectrelationships.

Characteristics

Flexible, VersatileOften the frontend of totalresearch design

Manipulationof one or moreindependentvariables.Control ofothermediatingvariables.

Methods

Uses non-probabilitysampling. Nopreplannedanalysistechniques. Usesmethod of expert

survey, Secondarydata, Case Studies,

Marked by theprior formulationof specifichypothesis.Preplanned and

structureddesign.Probabilitysampling design.Data collected

through Surveys,Panels and

Secondary data

Well-definedsampling plan anddata is collectedthroughexperiments under

controlled ornatural conditions.


8/80


Exploratory Research

Say it backwards:research thatexplores

Initial research

conducted to explore(clarify and define)the nature of aproblem

Does not provideconclusive evidence

so subsequentresearch is expected Helps to diagnose

a situation Screen

alternatives

Discover newideas


9/80


ExploratoryExploratory

Research: Pilot StudyResearch: Pilot Study The Effects of Assignment

Timelines on StudentProcrastination

22 individuals took part in thestudy; 7 turned the assignment inearly, 15 turned in theassignment on or after the duedate. The findings using a ChiSquare were significant (p=.033)

indicating procrastination isindicative of student behavior.

0

2

4

6

8

10

12

14

16

Early Due date


10/80


Exploratory Research

The major emphasis in exploratory research is on convertingbroad, vague problem statements into small, precise sub-problem statements, which is done in order to formulatespecific hypothesis.

Characteristics of Exploratory Research:Exploratory research is flexible and very versatile.For data collection, structured forms are not used.Experimentation is not a requirement.Cost incurred to conduct study is low.This type of research allows very wide exploration of views.Research is interactive in nature and also it is open ended.


11/80


Purpose of ExploratoryResearch

Formulate a problem or define a problem more precisely. Identify alternative courses of action. Develop hypothesis. Isolate key variables and relationships for further

examination. Gain insights for developing an approach to the problem. Establish priorities for further research. Appropriate to any problem about which very little is known. The research is the foundation for any future study.


12/80


Exploratory ResearchMethods

Literature Search This refers to referring to a literature todevelop a new hypothesis. The literature referred are:trade journals, professional journals, market researchfinding publications, statistical publications, etc.

Example: Suppose a problem is Why are sales down? Thiscan quickly be analyzed with the help of published datawhich should indicate whether the problem is an industryproblem or a firm problem. Three possibilities exist toformulate the hypothesis.

The companys market share has declined but industrysfigures are normal.

The industry is declining and hence the companysmarket share is also declining. The industrys share is going up but the companys share

is declining.If we accept the situation that our companys sales are down

despite the market showing an upward trend, then we

need to analyze the marketing mix variables.


13/80

Expert Surveys In expert surveys, it is desirable to talk to

persons who are well informed in the area being investigated.These people may be company executives or persons outsidethe organization. Here, no questionnaire is required. Theapproach adopted in an experience survey should be highlyunstructured, so that the respondent can give divergent views.Example :1. A group of housewives may be approached for

their choice for a Ready to Eat product.2. A publisher might want to find out the reason for poorcirculation of newspaper introduced recently. He might meet a)Newspaper sellers b) Public reading room c) General Public d)Business community etc.



14/80

Secondary Data Analysis Secondary data refers to

literature, published or unpublished, available as a result ofstudies made by others for their own purposes. A researchermay review the literature with the purpose of framing ahypothesis, or he may review hypothesis already developed forfurther study by others to see their applicability. The sourcesof data can be bibliographies available on the topic, journals,

magazines, newspapers, reports and books, special catalogues,subject guides, online on the Internet, digital libraries, e-databases maintained by the organization, guides, directories,indexes, Statistical data, Census data and other governmentpublications.



15/80

Case- Study Analysis Analyzing a selected case sometimes

gives an insight into the problem which is being researched.Case histories of companies which have undergone a similarsituation may be available. These case are well suited to carryout exploratory research. For e.g., Case Study on MumbaiDabbawalas gives an insight into the problem of Supply Chain.A company implementing the practice of Supply Chain can

take useful inputs from the case.



16/80

A Case in Point

A company manufacturing electric shavers, known for itsbrand, wanted to introduce the product in Japan. Before thelaunch, the company made sure that all the 4Ps are acceptableto customers. When the product was launched, it met withfailure. The company wondered what went wrong. Laterinvestigations revealed that Japanese palms were very small

and hence the product was not convenient for use. All possiblecauses were not listed and examined. This shows theimportance of listing all factors during an exploratory research.



17/80


Qualitative & QuantitativeResearch

Qualitative Research An unstructured, exploratoryresearch methodology based on small samples that providesinsights and understanding of the problem setting.

Quantitative Research A research methodology that seeksto quantify the data and typically applies some form ofstatistical analysis.


18/80


Qualitative Vs. QuantitativeResearch

QuantitativeResearch

Objective

Parameters

QualitativeResearch

To gain aqualitativeunderstanding ofthe underlying

reasons andmotivations

To quantify the dataand generalize theresults from thesample to the

population ofinterest.Sample Small number of

non representativecases

Large number ofrepresentativecases

Datacollection

UnstructuredStructured

Dataanalysis

Non statistical Statistical

Outcom

e

Develop an initial

understanding

Recommend a final

course of action


19/80

Qualitative Research Methods

DepthInterview

DelphiTechnique

Focus GroupProjective

Technique

WordAssociation

Test

CompletionTechnique

ThematicApperceptio

n Test

Expressive

TechniqueBusiness Research Methods-Research Design 19


20/80

Depth Interview An unstructured, direct, personal interview

in which a single respondent is probed by a highly skilledinterviewer to uncover underlying motivations, beliefs,attitudes and feelings on a topic. The interview may beconducted in a casual and informal manner in which the flow ofthe conversation determines what questions are to be askedand the order in which they should be asked.



21/80

Depth Interview Techniques: Laddering

In laddering, the line of questioning proceeds fromproduct characteristics to user characteristics. Thistechnique allows the researcher to tap into theconsumer's network of meanings.

Wide body aircrafts (product characteristic)

I can get more work done

I accomplish more

I feel good about myself (user characteristic)

Advertising theme: You will feel good about yourself when

flyingour airline. You're The Boss.


22/80

Depth Interview Techniques: Hidden IssueQuestioning

In hidden issue questioning, the focus is noton socially shared values but rather onpersonal sore spots; not on general lifestyles

but on deeply felt personal concerns.

fantasies, work lives, and social lives

historic, elite, masculine, competitiveactivities

Advertising theme: communicate

aggressiveness, high status, and competitive


23/80

Delphi Technique This is a process where a group ofexperts in the field gather together. They may have to reach aconsensus on forecasts. In the Delphi approach, the groupmembers are asked to make individual judgments about aparticular subject, say sales forecast. These judgments arecompiled and returned to the group members, so that they can

compare their previous judgment with those of others. Thenthey are given an opportunity to revise their judgments,especially if it differs from the others. After 5 to 6 rounds ofinteraction, the group members reach conclusion.



24/80

Focus Group Another widely used technique in exploratory

research is the focus group. In a focus group, a small numberof individuals are brought together to study and talk aboutsome topic of interest. The discussion is coordinated by amoderator. The group usually is of 8-12 persons. Whileselecting these persons, care has to be taken to see that theyshould have a common background and have similar

experiences in buying. This is required because there shouldnot be a conflict among the group members on the commonissues that are being discussed.



25/80

Projective Techniques These are indirect method of

gathering information/ indirect interview and areunstructured and involve indirect form of questioning.

1. Word Association Test This test consists of presentinga series of stimulus words to the respondent, who isasked to answer quickly with the first word that comes to

his mind. The respondent, by answering quickly, gives theword that he or she associates most closely with thestimulus word.

Eg. 1. Shopping, Location, parking, brand, price, quality2. What brand of detergent comes to your mind first, whenI mention washing of an expensive cloth?

Surf, Tide, Ariel.3. GSSS.............4. VTU..............5. MBA



26/80

Word Association

EXAMPLESTIMULUS MRS. M MRS. Cwashday everyday ironingfresh flowers cleanpure air waterscrub don't; husband does cleanfilth this neighborhood dirtbubbles bath soap and waterouting shopping holiday

family squabbles childrentowels dirty wash


27/80

2. Completion Techniques Sentence completion Here the

respondents have to finish a set of incomplete sentences. E.g..For providing a basis for developing advertising appeal for abrand of cooking oil, the following sentence may be used:People use cooking oil ..Costliest cooking oil ..Most of the new cooking oil

A person who shops in Shoppers Stop is ..........When I think of shopping in departmental store, I........When I think of holidays...............Story Completion A situation is described to a respondentwho is asked to complete the story based on his opinion andattitude.



28/80

3. Thematic Apperception Test(TAT) It is used tomeasure the attitude and perception of the individual. Some

picture cards are shown to respondents. The respondent isrequired to tell the story by looking at the picture. When thesubjects start telling the story, the researcher notices therespondents expression, pauses and emotions to draw theinference.

4. Expressive Technique Respondents are presented witha verbal or visual situation and asked to relate the feelings andattitudes of other people to the situation. The techniques arerole playing (Respondents are asked to play the role ofsomeone else.) and Third-Person (Respondent is presentedwith a verbal or visual situation and asked to relate the beliefs

and attitudes of a third person.)



29/80

TAT


30/80

Inkblot Test


31/80

Comparison of Focus Groups, Depth Interviews,and Projective Techniques

1. Degree of Structure2. Probing of individual

respondents3. Moderator bias4. Interpretation bias

5. Uncoveringsubconsciousinformation

6. Discoveringinnovativeinformation

7. Obtaining sensitiveinformation8. Involve unusual

behavior orquestioning

9. Overall usefulness

Relatively highLow

RelativelymediumRelatively lowLow

High

Low

No

Highly useful

RelativelymediumHigh

Relatively high

Relativelymedium Mediumto high

Medium

Medium

To a limitedextent

Useful

Relatively lowMedium

Low to highRelatively highHigh

Low

High

Yes

Somewhatuseful

FocusGroups

DepthInterviews

ProjectiveTechniques

Criteria


32/80


Hypothesis Formulation

Hypothesis is an unproven statement or proposition about afactor or phenomenon that is of interest to the researcher. Itmay be a tentative statement about relationships between twoor more variables as stipulated by the theoretical framework orthe analytical model.


33/80

Components of theMARKETING Research

Problem

Research Questions

Hypothesis

Objective/TheoreticalFramework

AnalyticalModel



34/80

At exploratory stage: Sometimes, it may not be possible to develop any

hypothesis at all, if the situation is being investigated forthe first time. This is because no previous data isavailable.

Sometimes, some information may be available and itmay be possible to formulate a tentative hypothesis.

In other cases, most of the data is available and it may bepossible to provide answers to the problem.



35/80

Examples

Sl. No. Research Purpose ResearchQuestion

Hypothesis

1. What productfeature, if stated,will be mosteffective in the

advertisement?

What benefitdo peoplederive fromthis Ad

appeal?

No hypothesisformulation ispossible.

2. What newpackaging is to bedeveloped by thecompany?

Whatalternativesexist toprovide acontainer forsoft drink?

Paper cup isbetter thanany otherforms, such asa bottle.

3. How can ourinsurance servicebe improved?

What is thenature ofcustomerdissatisfactio

n?

Impersonalization is theproblem.



36/80

Uses of Exploratory Research

Formulate a problem or define a problemmore precisely

Identify alternative courses of action

Develop hypotheses

Isolate key variables and relationships forfurther examination

Gain insights for developing an approachto the problem

Establish priorities for further research


37/80

Conclusive Research

Provide specific information that aids the decisionmaker in evaluating alternative courses of action

Sound statistical methods & formal researchmethodologies are used to increase the reliability of theinformation

Data sought tends to be specific & decisive

Also more structured & formal than exploratory data


38/80


Descriptive

Research Research that describesResearch that describes

Describes attitudes,Describes attitudes,

perceptions,perceptions,characteristics, activitiescharacteristics, activitiesand situations.and situations.

Some understanding of theSome understanding of thenature of the problemnature of the problem

Deals with theDeals with the who, what,who, what,where, when, howwhere, when, howbutbutnot the why?not the why?


39/80


Descriptive Research

Descriptive Research is to describe something usuallymarket characteristics or functions.

It can describe the characteristics of a group such as,customers, organizations, markets etc. It provides associationbetween two variables, like income and place of shopping,

age and preferences. Inform us about the proportions of high and low income

customers in a particular territory Requires a clear specification of Who, what, when, where,why and how of the research.


40/80


Hypothesis Study at theDescriptive Research Stage

Managementproblem

Research problem Hypothesis

How should a newproduct be

distributed?

Where docustomers buy a

similar productright now?

Upper class buyersuse Shoppers Stop

and middle classbuyers buy fromlocal departmentalstores.

What will be thetarget segment?

What kind of peoplebuy our product

now?

Senior citizens buyour products. Young

and married buyour competitorsproducts.


41/80

Reasons for conducting Research:

To describe the characteristics of relevant groups, such asconsumers, salespeople, organizations or market areas.To estimate the percentage of units in a specified populationexhibiting a certain behavior.To determine the perceptions of product characteristics.To determine the degree to which marketing variables areassociated.To make specific predictions.



42/80

Descriptive research is marked by a clear statement of

the problem, specific hypotheses and detailedinformation needs.

Examples of descriptive research are:1. Market studies, which describe the size of the market,buying power of the consumers, availability of distributors and

consumer profiles.2. Market share studies, which determine the proportion oftotal sales received by a company and its competitors.3. Sales analysis studies, which describe sales by geographicregion, product line, type and size of the account.



43/80

Examples Cont.

4. Image studies, which determine consumer perceptions ofthe firm and its products.

5. Product usage studies, which describe consumptionpatterns.

6. Distribution studies, which determine traffic flow patternsand the number and location of distributors.

7. Pricing studies, which describe the range and frequency ofprice changes and probable consumer response toproposed price changes.

8. Advertising studies, which describe media consumption

habits and audience profiles for specific televisionprograms and magazines.



44/80


Types of Descriptive Studies

Cross-Sectional Designs A type of research designinvolving the collection of information from any given sampleof population elements only once.

Longitudinal Designs A type of research design involving afixed sample of population elements that is measured

repeatedly. The sample remains the same over time, thusproviding a series of pictures which, when viewed together,portray a vivid illustration of the situation and the changes thatare taking place over time.

For e.g.., How did the Indian people rate the character ofministers immediately after CWG games? would be addressedusing a cross-sectional design. However, a longitudinal designwould be used to address the question, How did the Indianpeople change their view of ministers character during CWGGames?

M th d f D t


45/80


Methods of DataCollection

There are mainly two methods of data collection In DescriptiveResearch:

Survey Method A structured questionnaire given torespondents and designed to elicit specific information.

Observation Method The recording of behavioral patternsof people, objects and events in a systematic manner to obtaininformation about the phenomenon of interest.


46/80


TYPES OF SURVEY

True Survey This involves repeat measurement of the samevariables. E.g.. Perception towards frozen peas . Each memberof the panel is examined at a different time to arrive at aconclusion on the above subject.Omnibus Survey A sample of elements is being selected

and maintained, but the information collected from themember varies. At a certain point of time, the attitude of panelmembers towards an advertisement may be measured. Atsome other point of time the same panel member may bequestioned about the product performance.

Cl ifi i f S


47/80

Research Methods-Research Design 47

Classification of SurveyMethods

Survey Methods

TelephoneInterviewin

g

PersonalInterviewing

MailInterviewin

g

ElectronicInterviewi

ng

Traditional

Computer-

Assisted

In-Hom

e

MallInterce

pt

Computer-

Assisted

Mail

MailPanel

E-mail

Internet


48/80


Survey Methods

Traditional Telephone Interviews Phoning a sample ofrespondents and asking them a series of questions.

Computer-Assisted Telephonic Interviewing Uses acomputerized questionnaire administered to respondentsover the telephone. The interviewer sits in front of acomputer terminal and wears a mini headset. When contactis made, the interviewer reads questions posed on thecomputer screen and records the respondents answersdirectly into the computer memory bank.


49/80

Personal In-Home Interviews Respondents areinterviewed face-to-face in their home.

Mall Intercept Personal Interviews Respondents areintercepted while they are shopping in malls and brought totest facilities in the malls.Computer-Assisted Personal Interviewing Therespondent sits in front of a computer terminal and answers aquestionnaire on the computer screen by using the keyboard

or a mouse.



50/80

Mail Interviews Questionnaires are mailed topreselected potential respondents. A typical mailinterview package consists of the outgoing envelope,cover letter, questionnaire, return envelope and possiblyan incentive. The respondents complete and return thequestionnaires.

Mail Panels A mail panel consists of a large, nationallyrepresentative sample of households that have agreed toparticipate in periodic mail questionnaires and producttests.



51/80

E-mail Interviews To conduct an e-mail survey, a list of e-mail addresses is obtained. The survey is written within thebody of the e-mail message. The e-mails are sent out over the

internet. Respondents type the answers to either closed-endedor open-ended questions at designated places, and click onreply.Internet Interviews Internet or Web surveys use hypertextmarkup language and are posted on a Website. Respondentsare asked to go to a particular Web location to complete thesurvey.



52/80

ess Research Methods-Research Design 52

Classification of ObservationMethods

ObservationMethods

PersonalObservati

on

MechanicalObservation

AuditContentAnalysis

TraceAnalysis


53/80


Observation Methods

Personal Observation A researcher observes actualbehavior as it occurs. The observer does not attempt to controlor manipulate the phenomenon being observed.Mechanical Observation Mechanical devices, rather thanhuman observers, record the phenomenon being observed.

Devices are:Audiometer Attached to a television set to continuallyrecord what channel the set is tuned to.People Meters Attempt to measure not only the channels towhich a set is tuned but also who is watching.Turnstiles Record the number of people entering or leaving

a building.


54/80

On-site cameras Used by retailers to assess packagedesigns, counter space, floor displays and traffic flow patterns.UPC Allows for mechanized information collection regardingconsumer purchases by product category, brand, store type,price and quantity.

Eye-tracking monitors Records the gaze movements of theeye. Used to determine how a respondent reads anadvertisement and views a TV commercial.Pupilometer Measures changes in the diameter of the pupilsof the respondents eye.



55/80

Psycho-galvanometer Measures changes in the electricalresistance of the skin.

Voice pitch analysis Measures emotional reactions throughchanges in the respondents voice.Response latency Time a respondent takes beforeanswering a question.

Audit The researcher collects data by examining physical

records or performing inventory analysis of inventory ofbrands, quantities and package sizes in a consumers home orat a retail store.



56/80

Content Analysis Objective, systematic and quantitativedescription of the manifest content of a communication. Theunit of analysis may be words, characters, themes, space andtime measures or topics.

Trace Analysis Data collection is based on physical tracesor evidence of past behavior. E.g.. No. of different fingerprints

on a page was used to find out the readership of variousadvertisements in a magazine.



57/80

Use of Descriptive Research

To describe the characteristics of relevantgroups, such as consumers, salespeople,organizations, or market areas

To estimate the percentage of units in aspecified population exhibiting a certainbehavior

To determine the perceptions of productcharacteristics

To determine the degree to which marketingvariables are associated

To make specific predictions


58/80


Causal Research

Causal research is used to obtain evidence of cause and effectrelationships. It is appropriate for the following purposes:

1. To understand which variables are the cause(independent variables) and which variables are the effect( dependent variables) of a phenomenon.

2. To determine the nature of the relationship between thecausal variables and the effect to be predicted.


59/80


Causal ResearchCausal Research Research thatlooks at cause& effect

Conducted toidentify cause

and effectrelationships

Statistics:Correlations,

regression, t-test, ANOVA,etc.


60/80


CausalCausalResearchResearch

CausalCausalResearchResearch

ComparativeComparativeResearchResearchLooks fordifferences

ComparativeComparative

ResearchResearchLooks fordifferences

AssociationalAssociationalResearchResearchLooks for

relationships

Designs:Experimental

Quasi-experimentalEx post factoTime series

PredictiveCorrelationalComparative

SurveysMultivariateLongitudinal

Stats:T-testANOVA

CorrelationMultiple

regression

Chi SquareSpearman

RhoPhi

Cramer's VEtc., etc.,

etc.


61/80


Causal Study

In this study the effects of a trainingprogram administered with 360 feedbackare evaluated using pre- and post-observations of the participants'managerial skills. A pre-test- and post-test

control group design was chosen for thisfield study because it is classified as anexperimental designThe control groupreceived no management training. Theexperimental group received feedback andmanagement trainingThe results of the

study indicate partially that trainingenhanced the effectiveness of the 360feedback in the development of managerialskills.


62/80

For e.g.. In the context of department store project, a

researcher wishes to determine whether the presence andhelpfulness of salespeople(causal variable) will influence thesales of housewares (effect variable). A causal design could beformulated in which two groups of otherwise comparablehousewares departments of a particular chain are selected. Forfour weeks, trained salespeople are stationed in one group of

housewares departments but not in the other. Sales aremonitored for both groups, while controlling for othervariables. A comparison of sales for the two groups will revealthe effect of salespeople on housewares sales in departmentstores.


Classification of


63/80

earch Methods-Research Design 63

Classification ofExperimental Designs

ExperimentalDesigns

Preexperimental

TrueExperimental

Quasi-Experimental

Statistical

One- ShotCase Study

One GroupPretest-Posttest

Static Group

Pretest-Posttest

Control Group

Posttest-OnlyControl Group

Time Series

Multiple TimeSeries

Latin Square

Factorial

Various Types of Errors


64/80

iness Research Methods-Research Design 64

Various Types of Errors

Total Error

RandomSampling Error

Non samplingError

ResponseError

Nonresponse Error

Researcher

Errors

Surrogate InformationErrorMeasurement ErrorPopulation Definition

ErrorSampling Frame Error

Interviewer

Error

RespondentSelection ErrorQuestioningError

Recording Error

Respondent

error

Inability ErrorUnwillingnessError


65/80

Total erroris the variation between the true value in thepopulation of the variable of interest and the observed value

obtained in the research project.Random Sampling Erroroccurs because the particularsample selected is an imperfect representation of thepopulation of interest.Non sampling errorcan be attributed to sources other thansampling like error in problem definition, approach, scales,

questionnaire design, interviewing methods etc.Nonresponse errorarises when some of the respondentsincluded in the sample do not respond.



66/80

Response Errorarises when respondents give inaccurateanswers or their answers are mis-recorded or mis-analyzed.

Surrogate Information Errormay be defined as thevariation between the information needed for the marketingresearch problem and the information sought by theresearcher.Measurement Errormay be defined as the variation betweenthe information sought and information generated by the

measurement process employed by the researcher. Seeking tomeasure consumer preferences, the researcher employs ascale that measures perceptions rather than preferences.Population Definition Errormay be defined as the variationbetween the actual population relevant to the problem at handand the population as defined by the researcher.



67/80

Sampling Frame Errormay be defined as the variationbetween the population defined by the researcher and the

population as implied by the sampling frame used. For e.g..The telephone directory used to generate a list of telephonenumbers does not accurately represent the population due todisconnected and new numbers.Data analysis errorencompasses errors that occur when rawdata from questionnaires are transformed into research

findings due improper statistical analysis.Respondent selection erroroccurs when interviewers selectrespondents other than those specified by the samplingdesign.



68/80

Questioning Errordenotes errors made in asking questionsof the respondents or in not probing when more information is

needed.Recording errorarises due to errors in hearing, interpretingand recording the answers given by the respondents.Cheating errorarises when the interviewer himself fills theanswers to a part or all of the interview.Inability Errorresults from the respondents inability toprovide accurate answers due to unfamiliarity, fatigue orboredom.Unwillingness errorarises from the respondentsunwillingness to provide accurate information because of adesire to provide socially acceptable answers, avoidembarrassment or please the interviewer.



69/80


Deduction and Induction

DeductionThe basic concept in deduction is fromMany to One

orPopulation to Sample

In this type of logic, we are given information about a

population, and we deduce the information about a sample orjust one unit.Deduction reasoning works from the General to the Specific. Itmay also be termed as top-down approach. It is analogous toBrand Image wherein conclusions are drawn just by the nameof the brand.


70/80

InductionThe basic concept of induction is from:

One to Manyor

Sample to PopulationInduction could also refer to Generalization, from what weobserve or know. Induction involves reasoning about the futurefrom the past, but in a broad sense, it involves reaching

conclusions about unobserved things on the basis of what isactually observed.Induction starts from Specific observations or set ofobservations to Generalized Theory or Law. It could be termedas bottom-up approach. It can also be considered asdivergent thinking. It is used when nothing or little is known,

and we wish to expand our knowledge.



71/80


Deduction Vs. Induction

Inductive research is a model in which theories are developedfrom specific observations. In deductive research, the specificexpectations of a hypothesis are developed on the basis ofgeneral principle: we start from existing theory and find itsproof.

Inductive reasoning is open-ended and exploratory especiallyin the beginning. Deductive reasoning is specific in nature andis concerned with testing or confirming hypothesis.


72/80

For example, in Chennai, a social researcher observes that in arestaurant people from north India prefer to take tea over

coffee. He extrapolates or uses inductive logic to conclude thatall north Indians prefer tea over coffee.In deductive logic, a researcher starts from the hypothesisthat north Indians prefer tea over coffee, and then startscollecting observations to prove or disprove this hypothesis.



73/80


Variables

A business research study involves study of characteristics ofan individual/ item/ unit/ entity etc. These characteristics arerepresented by variables. A variable changes values fordifferent individual/ item at the same time. E.g.. Income ofindividuals for the year 2009-2010, prices of stocks on a day or

for the same individual/ item at different time. E.g.. Income ofan individual, sales of a company.The income of an individual is a quantitative variable, gender isa qualitative variable.


74/80


Categories of Variables

Independent Variable Variable which influences orexplains the variation in the other variables, underconsideration, in the study. The value of this variable can bedecided or controlled by the researcher. For e.g.. If a companyincreases the number of its branches, it will also increase thebusiness as well as manpower in the company. The number ofbranches in this study is termed as independent variable.


75/80

Dependent Variable A dependent variable is one whichdepends on an independent variable defined in a study. For

e.g.. Expenditure on R&D could be taken as independentvariable , in pharmaceutical firms and sales could be termed asdependent variable. The value of dependent variable is notmanipulated or controlled in a research study, it changes dueto the change in the independent variable.



76/80

Moderating Variable In a study, involving an independentvariable and a dependent variable, a relationship could be

established through a variable. However, we may come acrossa third variable, which is not an independent variable butforms strong contingent effect on the relationship of theindependent and dependent variables.

Training(Independent

Variable)

Performance(Dependent

Variable)

Willingness to

learn(Moderating

Variable)



77/80

Intervening Variables In a study involving independentand dependent variables, there could be a variable/ factorwhich might affect the dependent variable, but it cannot bedirectly observed or measured. For e.g.. The sales of a retailstore might increase with increasing discounts and arelationship could be established. Suppose, a scheme isintroduced that monthly prizes will be given to randomlyselected customers, this might increase the sales of a store butit cannot be measured, only its impact can be observed. Thus,monthly prizes scheme is an intervening factor.



78/80

Extraneous Variables Extraneous variable is one that isoutside or external to the situation under study, and its impacton dependent variable is beyond the scope of the study. For

e.g. the family income of students could be taken asextraneous variable while studying performance of MBAstudents. The value of extraneous variable may be controlledto neutralize its impact.


Categories of Extraneous


79/80


Categories of ExtraneousVariable

History Refers to specific events that are external to theexperiment but occur at the same time as the experiment.eg.Downfall in sales can not only be due to poor advertisementbut also due to economic downturn.Maturation Refers to changes in the test units themselves

like the people become older, experienced, tired or bored.Testing Effects Caused by the process of experimentation.Instrumentation Refers to changes in the measuringinstrument(questionnaire), observer or the interviewer.Control Variable This variable is held constant in order toassess or clarify the relationship between two other variables.


80/80

BRM Module 3

Documents

Transcript of BRM Module 3