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    Chapter Eleven

    Sampling:

    Design and Procedures

    2007 Prentice Hall 11-1

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    2007 Prentice Hall 11-2

    Chapter Outline

    1) Overview

    2) Sample or Census

    3) The Sampling Design Process

    i. Define the Target Population

    ii. Determine the Sampling Frame

    iii. Select a Sampling Technique

    iv. Determine the Sample Size

    v. Execute the Sampling Process

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    Chapter Outline

    4) A Classification of Sampling Techniques

    i. Nonprobability Sampling Techniques

    a. Convenience Sampling

    b. Judgmental Sampling

    c. Quota Samplingd. Snowball Sampling

    ii. Probability Sampling Techniques

    a. Simple Random Sampling

    b. Systematic Sampling

    c. Stratified Sampling

    d. Cluster Sampling

    e. Other Probability Sampling Techniques

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    Chapter Outline

    5. Choosing Nonprobability Versus ProbabilitySampling

    6. Uses of Nonprobability Versus ProbabilitySampling

    7. Internet Sampling

    8. International Marketing Research

    9. Ethics in Marketing Research

    10. Summary

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    Sample Vs. CensusTable 11.1

    Conditions Favoring the Use ofType of Study Sample Census

    1. Budget Small Large

    2. Time available Short Long

    3. Population size Large Small

    4. Variance in the characteristic Small Large

    5. Cost of sampling errors Low High

    6. Cost of nonsampling errors High Low

    7. Nature of measurement Destructive Nondestructive

    8. Attention to individual cases Yes No

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    The Sampling Design Process

    Fig. 11.1

    Define the Population

    Determine the Sampling Frame

    Select Sampling Technique(s)

    Determine the Sample Size

    Execute the Sampling Process

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    Define the Target Population

    The target population is the collection of elements orobjects that possess the information sought by theresearcher and about which inferences are to be made.The target population should be defined in terms ofelements, sampling units, extent, and time.

    An element is the object about which or from whichthe information is desired, e.g., the respondent.

    Asampling unit is an element, or a unit containing

    the element, that is available for selection at somestage of the sampling process.

    Extent refers to the geographical boundaries.

    Time is the time period under consideration.

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    Define the Target Population

    Important qualitative factors in determining thesample size are:

    the importance of the decision

    the nature of the research

    the number of variables

    the nature of the analysis

    sample sizes used in similar studies incidence rates

    completion rates

    resource constraints

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    Sample Sizes Used in MarketingResearch Studies

    Table 11.2

    Type of Study Minimum Size Typical Range

    Problem identification research(e.g. market potential)

    500 1,000-2,500

    Problem-solving research (e.g.pricing)

    200 300-500

    Product tests 200 300-500

    Test marketing studies 200 300-500

    TV, radio, or print advertising (percommercial or ad tested)

    150 200-300

    Test-market audits 10 stores 10-20 stores

    Focus groups 2 groups 6-15 groups

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    Classification of Sampling Techniques

    Sampling Techniques

    Nonprobability

    Sampling Techniques

    Probability

    Sampling Techniques

    ConvenienceSampling

    JudgmentalSampling

    QuotaSampling

    SnowballSampling

    SystematicSampling

    StratifiedSampling

    ClusterSampling

    Other SamplingTechniques

    Simple RandomSampling

    Fig. 11.2

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    Convenience Sampling

    Convenience samplingattempts to obtain asample of convenient elements. Often, respondentsare selected because they happen to be in the rightplace at the right time.

    use of students, and members of socialorganizations

    mall intercept interviews without qualifying therespondents

    department stores using charge account lists

    people on the street interviews

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    A Graphical Illustration ofConvenience SamplingFig. 11.3

    A B C D E

    1 6 11 16 21

    2 7 12 17 22

    3 8 13 18 23

    4 9 14 19 24

    5 10 15 20 25

    Group D happens to

    assemble at a

    convenient time and

    place. So all theelements in this

    Group are selected.

    The resulting sample

    consists of elements

    16, 17, 18, 19 and 20.

    Note, no elements are

    selected from group

    A, B, C and E.

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    Judgmental Sampling

    Judgmental samplingis a form of conveniencesampling in which the population elements areselected based on the judgment of the researcher.

    test markets

    purchase engineers selected in industrialmarketing research

    bellwether precincts selected in voting behaviorresearch

    expert witnesses used in court

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    Graphical Illustration of JudgmentalSampling

    Fig. 11.3

    A B C D E

    1 6 11 16 21

    2 7 12 17 22

    3 8 13 18 23

    4 9 14 19 24

    5 10 15 20 25

    The researcher considers

    groups B, C and Eto betypical and convenient.

    Within each of thesegroups one or two

    elements are selectedbased on typicality and

    convenience. The

    resulting sampleconsists of elements 8,

    10, 11,13, and 24. Note,no elements are selected

    from groups A and D.

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    Quota Sampling

    Quota samplingmay be viewed as two-stage restricted judgmentalsampling.

    The first stage consists of developing control categories, or quotas,of population elements.

    In the second stage, sample elements are selected based onconvenience or judgment.

    Population Samplecomposition composition

    Control

    Characteristic Percentage Percentage NumberSexMale 48 48 480Female 52 52 520

    ____ ____ ____100 100 1000

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    A Graphical Illustration ofQuota Sampling

    Fig. 11.3

    A B C D E

    1 6 11 16 21

    2 7 12 17 22

    3 8 13 18 23

    4 9 14 19 24

    5 10 15 20 25

    A quota of one

    element from each

    group, A to E, is

    imposed. Within each

    group, oneelement isselected based on

    judgment or

    convenience. The

    resulting sample

    consistsof elements3, 6, 13, 20 and 22.

    Note, one element is

    selected from each

    column or group.

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    Snowball Sampling

    In snowball sampling, an initial group ofrespondents is selected, usually at random.

    After being interviewed, these respondents areasked to identify others who belong to the targetpopulation of interest.

    Subsequent respondents are selected based onthe referrals.

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    A Graphical Illustration ofSnowball Sampling

    A B C D E

    1 6 11 16 21

    2 7 12 17 22

    3 8 13 18 23

    4 9 14 19 24

    5 10 15 20 25

    Elements 2 and 9 are

    selected randomly

    from groups A and B.

    Element 2 referselements 12 and 13.

    Element 9 refers

    element 18. The

    resulting sample

    consistsof elements2, 9, 12, 13, and 18.

    Note, there are no

    element from group E.

    Random

    Selection Referrals

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    Simple Random Sampling

    Each element in the population has a known andequal probability of selection.

    Each possible sample of a given size (n) has aknown and equal probability of being the sampleactually selected.

    This implies that every element is selectedindependently of every other element.

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    A Graphical Illustration ofSimple Random Sampling

    Fig. 11.4

    A B C D E

    1 6 11 16 21

    2 7 12 17 22

    3 8 13 18 23

    4 9 14 19 24

    5 10 15 20 25

    Select five

    random numbers

    from 1 to 25. Theresulting sample

    consists of

    population

    elements 3, 7, 9,

    16, and 24. Note,there is no

    element from

    Group C.

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    Systematic Sampling

    The sample is chosen by selecting a random startingpoint and then picking every ith element insuccession from the sampling frame.

    The sampling interval, i, is determined by dividing thepopulation size N by the sample size n and roundingto the nearest integer.

    When the ordering of the elements is related to thecharacteristic of interest, systematic samplingincreases the representativeness of the sample.

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    Systematic Sampling

    If the ordering of the elements produces a cyclicalpattern, systematic sampling may decrease therepresentativeness of the sample.

    For example, there are 100,000 elements in thepopulation and a sample of 1,000 is desired. In thiscase the sampling interval, i, is 100. A randomnumber between 1 and 100 is selected. If, for

    example, this number is 23, the sample consists of

    elements 23, 123, 223, 323, 423, 523, and so on.

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    A Graphical Illustration ofSystematic SamplingFig. 11.4

    A B C D E

    1 6 11 16 21

    2 7 12 17 22

    3 8 13 18 23

    4 9 14 19 24

    5 10 15 20 25

    Select a random

    number between 1 to

    5, say 2.The resulting sample

    consists of

    population 2,

    (2+5=) 7, (2+5x2=) 12,

    (2+5x3=)17, and

    (2+5x4=) 22.Note, allthe elements are

    selected from a

    single row.

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    Stratified Sampling

    A two-step process in which the population ispartitioned into subpopulations, or strata.

    The strata should be mutually exclusive and collectively

    exhaustive in that every population element should beassigned to one and only one stratum and no populationelements should be omitted.

    Next, elements are selected from each stratum by arandom procedure, usually SRS.

    A major objective of stratified sampling is to increaseprecision without increasing cost.

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    Stratified Sampling

    The elements within a stratum should be ashomogeneous as possible, but the elements indifferent strata should be as heterogeneous aspossible.

    The stratification variables should also be closelyrelated to the characteristic of interest.

    Finally, the variables should decrease the cost ofthe stratification process by being easy to measureand apply.

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    Stratified Sampling

    In proportionate stratified sampling, the size ofthe sample drawn from each stratum is proportionateto the relative size of that stratum in the total

    population.

    In disproportionate stratified sampling, the sizeof the sample from each stratum is proportionate to

    the relative size of that stratum and to the standarddeviation of the distribution of the characteristic ofinterest among all the elements in that stratum.

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    A Graphical Illustration ofStratified SamplingFig. 11.4

    A B C D E

    1 6 11 16 21

    2 7 12 17 22

    3 8 13 18 23

    4 9 14 19 24

    5 10 15 20 25

    Randomly select a

    number from 1 to 5

    for each stratum, A toE. The resultingsample consists of

    population elements4, 7, 13, 19 and 21.

    Note, one elementis selected from each

    column.

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    Cluster Sampling

    The target population is first divided into mutuallyexclusive and collectively exhaustive subpopulations,or clusters.

    Then a random sample of clusters is selected, basedon a probability sampling technique such as SRS.

    For each selected cluster, either all the elements areincluded in the sample (one-stage) or a sample ofelements is drawn probabilistically (two-stage).

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    Cluster Sampling

    Elements within a cluster should be asheterogeneous as possible, but clusters themselvesshould be as homogeneous as possible. Ideally,

    each cluster should be a small-scale representationof the population.

    In probability proportionate to sizesampling,the clusters are sampled with probability

    proportional to size. In the second stage, theprobability of selecting a sampling unit in a selectedcluster varies inversely with the size of the cluster.

    G hi l ll i f

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    A Graphical Illustration ofCluster Sampling (2-Stage)Fig. 11.4

    A B C D E

    1 6 11 16 21

    2 7 12 17 22

    3 8 13 18 23

    4 9 14 19 24

    5 10 15 20 25

    Randomly select 3

    clusters, B, D and E.

    Within each cluster,

    randomly select oneor two elements. The

    resulting sample

    consists of

    population elements

    7, 18, 20,21, and 23.Note, no elements

    are selected from

    clusters A and C.

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    Types of Cluster Sampling

    Fig 11.5

    Cluster Sampling

    One-StageSampling

    MultistageSampling

    Two-StageSampling

    Simple ClusterSampling

    ProbabilityProportionate

    to Size Sampling

    Strengths and Weaknesses of

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    Technique Strengths WeaknessesNonprobability SamplingConvenience sampling

    Least expensive, leasttime-consuming, mostconvenient

    Selection bias, sample notrepresentative, not recommended fordescriptive or causal research

    Judgmental sampling Low cost, convenient,not time-consuming

    Does not allow generalization,subjective

    Quota sampling Sample can be controlledfor certain characteristics

    Selection bias, no assurance ofrepresentativeness

    Snowball sampling Can estimate rarecharacteristics

    Time-consuming

    Probability samplingSimple random sampling(SRS)

    Easily understood,results projectable

    Difficult to construct samplingframe, expensive, lower precision,no assurance of representativeness.

    Systematic sampling Can increaserepresentativeness,easier to implement thanSRS, sampling frame notnecessary

    Can decrease representativeness

    Stratified sampling Include all importantsubpopulations,

    precision

    Difficult to select relevantstratification variables, not feasible tostratify on many variables, expensive

    Cluster sampling Easy to implement, costeffective

    Imprecise, difficult to compute andinterpret results

    Table 11.3

    Strengths and Weaknesses ofBasic Sampling Techniques

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    A Classification of Internet Sampling

    Fig. 11.6

    Internet Sampling

    Online InterceptSampling Recruited OnlineSampling Other Techniques

    Nonrandom Random Panel Nonpanel

    RecruitedPanels

    Opt-inPanels

    Opt-in ListRentals

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    Procedures for DrawingProbability Samples

    Exhibit 11.1

    Simple Random

    Sampling

    1. Select a suitable sampling frame

    2. Each element is assigned a number from 1 to N(pop. size)

    3. Generate n (sample size) different random numbersbetween 1 and N

    4. The numbers generated denote the elements thatshould be included in the sample

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    Procedures for DrawingProbability Samples

    Exhibit 11.1, cont.Systematic

    Sampling

    1.Select a suitable sampling frame

    2. Each element is assigned a number from 1 to N (pop. size)3. Determine the sampling interval i:i=N/n. If i is a fraction,

    round to the nearest integer

    4. Select a random number, r, between 1 and i, as explained in

    simple random sampling

    5. The elements with the following numbers will comprise thesystematic random sample: r, r+i,r+2i,r+3i,r+4i,...,r+(n-1)i

    Procedures for Drawing

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    Procedures for DrawingProbability Samples

    1. Select a suitable frame

    2. Select the stratification variable(s) and the number of strata, H

    3. Divide the entire population into H strata. Based on theclassification variable, each element of the population is assignedto one of the H strata

    4. In each stratum, number the elements from 1 to Nh (the pop.size of stratum h)

    5. Determine the sample size of each stratum, nh, based onproportionate or disproportionate stratified sampling, where

    6. In each stratum, select a simple random sample of size nh

    Exhibit 11.1, cont.

    nh = nh=1

    H

    Stratified

    Sampling

    P oced es fo D a ing

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    Procedures for DrawingProbability Samples

    Exhibit 11.1, cont.

    Cluster

    Sampling

    1. Assign a number from 1 to N to each element in the population

    2. Divide the population into C clusters of which c will be included inthe sample

    3. Calculate the sampling interval i, i=N/c (round to nearest integer)

    4. Select a random number r between 1 and i, as explained in simplerandom sampling

    5. Identify elements with the following numbers:r,r+i,r+2i,... r+(c-1)i

    6. Select the clusters that contain the identified elements7. Select sampling units within each selected cluster based on SRS

    or systematic sampling

    8. Remove clusters exceeding sampling interval i. Calculate newpopulation size N*, number of clusters to be selected C*= C-1,and new sampling interval i*.

    Procedures for Drawing

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    Procedures for DrawingProbability Samples

    Repeat the process until each of the remaining

    clusters has a population less than the sampling

    interval. If b clusters have been selected withcertainty, select the remaining c-b clusters

    according to steps 1 through 7. The fraction of units

    to be sampled with certainty is the overall sampling

    fraction = n/N. Thus, for clusters selected with

    certainty, we would select ns=(n/N)(N1+N2+...+Nb)

    units. The units selected from clusters selected

    under two-stage sampling will therefore be n*=n- ns.

    Cluster

    SamplingExhibit 11.1,cont.

    Choosing Nonprobability Vs

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    Choosing Nonprobability Vs.Probability Sampling

    Conditions Favoring the Use ofFactors Nonprobability

    samplingProbabilitysampling

    Nature of research Exploratory Conclusive

    Relative magnitude of samplingand nonsampling errors

    Nonsamplingerrors arelarger

    Samplingerrors arelarger

    Variability in the population Homogeneous(low)

    Heterogeneous (high)

    Statistical considerations Unfavorable Favorable

    Operational considerations Favorable Unfavorable

    Table 11.4

    Tennis' Systematic Sampling

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    Tennis Systematic SamplingReturns a Smash

    Tennis magazine conducted a mail survey of its subscribers togain a better understanding of its market. Systematic samplingwas employed to select a sample of 1,472 subscribers from thepublication's domestic circulation list. If we assume that thesubscriber list had 1,472,000 names, the sampling intervalwould be 1,000 (1,472,000/1,472). A number from 1 to 1,000

    was drawn at random. Beginning with that number, every1,000th subscriber was selected.

    A brand-new dollar bill was included with the questionnaire asan incentive to respondents. An alert postcard was mailed oneweek before the survey. A second, follow-up, questionnaire

    was sent to the whole sample ten days after the initialquestionnaire. There were 76 post office returns, so the neteffective mailing was 1,396. Six weeks after the first mailing,778 completed questionnaires were returned, yielding aresponse rate of 56%.