Business research measurement and scaling

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Business Research Measurement and Scaling

Transcript of Business research measurement and scaling

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Business ResearchMeasurement and Scaling

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Measurement and Scaling

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• Measurement in simple words is theassignment of numbers or signs to objectsor their characteristics.

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Uni and Multi Dimesional Scale

• If there is single dimension underlying aset of observations then it is called aunidimensional scale.

• Multidimensional scales allow more than asingle dimension that underlies a set ofobservations

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Classification

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Nominal ScaleGender Religious Affiliation Favorite Season

Male = 1 Hindu= 1 Summers=1

Female = 2 Muslim= 2 Spring= 2

Christian= 3 Winter= 3

Sikh=4 Autumn=4

Others= 5 Rainy= 5

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Ordinal

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Interval ScaleIn a company, if employees are asked to rate job satisfaction on a scale on 1 to 5 where 1 means

completely unsatisfied and 5 means completely satisfied as shown below:

Completely Satisfied 1 2 3 4 5 Completely Unsatisfied

This will be an example of Interval Scale. Since the distance between each point from 1 to 5 is

assumed to be the same, it would be appropriate to compute differences between scores on this

scale. A result like the difference in job satisfaction among morning and evening shift employees

was 2 can be concluded.

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Ratio ScaleIf for each of the students, their scores in a test are assigned out of a total maximum score of 50.

Students Score

(Ratio Scale) Ratio

Ramesh 30 60%

Sam 20 40%

Vineet 25 50%

Jaspreet 40 80%

Here the difference of 10 marks between score of 30 and 20 is the same as the difference of 10 marks between score of 40 and 30.Also, a score of 40 can be interpreted as twice the score of 20. Ratios of the score values can be calculated.

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Summary

Scales Nominal Ordinal Interval Ratio

Characteristics Order 1. � 1. 1. 1.

1.� 1. � 1. 1.

Differences

Origin� � �

Mathematical = & ≠

Operations < & >�

+ & -� �

X & ÷ � � �

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SCALINGTECHNIQUES

COMPARATIVESCALING

NON-COMPARATIVE

SCALING

PAIREDCOMPARISON

SCALE

CONSTANTSUM SCALE

RANK ORDERSCALE Q- SORT SCALE CONTINUOUS

RATING SCALEITEMIZED

RATING SCALE

SEMANTICLIKERT SCALE DIFFERENTIAL STAPEL SCALE

SCALE

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Paired Comparison

Cola Orange Lemon # of times

preferred

Orange 1 - 1 2

Lemon 0 0 - 0

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Constant sum

Flavor Sweetness Fizz

Drink 1 25 20 45

Drink 2 30 40 30

Drink 3 35 15 15

Drink 4 10 25 10

100 100 100

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Rank order

Flavor Sweetness Fizz

Drink 1 3 3 1

Drink 2 2 1 2

Drink 3 1 4 3

Drink 4 4 2 4

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Continuous scaleA human resource manager wants to measure the job satisfaction for employees using a continuous rating scale.. The scale can bedeveloped in following ways:

Option 1Very Satisfied

Very unsatisfied

Option 2Very Satisfied

Very unsatisfied0 10 20 30 40 50 60 70

80 90 100

Option 3Very Satisfied

Very unsatisfied

Somewhat Satisfied Somewhat Unsatisfied

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Itemized rating scale

1. I like to receive salary bonus on a quarterly basis

2. I like to receive salary bonus on an annual basis

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Semantic differential

1. You find your supervisor to be:

Very Powerful Very Weak

Reliable Unreliable

Organized Unorganized

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Staple Scale

1. You find your supervisor to be:

+1 +1 +1

+2 +2 +2

+3 +3 +3

Powerful Reliable Organized

-1 -1 -1

-2 -2 -2

-3 -3 -3

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Physical Form of Scales

Do you like the orange flavor of this drink?

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True Score Model

Xo = Xt + Es + Er

Xo = Observed measurement ScoreXt = True Score of the characteristicEs = Systematic ErrorEr = Random Error

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Scale evaluation

Generalizability

Validity Applicability

ScaleReliability Sensitivity Evaluation

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Class activity

• “A brand could receive the highest medianrank yet it sales are poor”

• Discuss