RESEARCH METHODOLOGY

Rahul Pratap Singh Kaurav, Ph.D. Asst. Professor, Marketing

Unit I

MBA 203

The DO‘s and DONT‘s Catalogue for Course Participants

listen attentively

be inquisitive, analytical and critical in your approach to learning research methodology

mention if you do not understand something and seek clarification

read the prescribed course literature. It is the basic requirement for comprehending research methodology and succeeding in this course

start reading from the beginning of the course and not towards the end!

be late to class. We start at 11:30 AM sharp!

distract the attention of other course participants

use mobile phones or send SMS messages in the class

feel afraid to bring up any relevant point for discussion

hesitate to visit me at my office, individually or as a group, if you have a course-related problem and seek counseling in this regard

Introducing Research

A systematized effort to gain new knowledge. L.V. Redman and A.V.H. Mory in their book on “The Romance of Research”

Research is a scientific and systematic search for pertinent information on a specific topic.

C.R. Kothari, Research Methodology - Methods and Techniques

A careful investigation or inquiry specially through search for new facts in any branch of knowledge.

Advanced learners Dictionary of current English

Business Research may be defined as the “systematic and objective process of gathering, recording and analyzing data for aid in making business decisions”

Zikmund, Business Research Methods, 2002, p. 6

Business Research

A process of determining, acquiring, analyzing, synthesizing, and disseminating relevant business data, information, and insights to decision makers in ways that mobilize the organization to take appropriate business actions that, in turn, maximize business performance

Cooper and Schindler, Business Research Methods, 9th ed.

When Business Research Used?

Typically, business research methods are used in

situations of uncertainty, that is, when decision-makers

face two or more courses of action and seek to select

the best possible alternative under the circumstances.

Business Research is hence aimed at improving the

quality of decision-making which, in turn, benefits the

organization and helps ensure its continuity and

efficiency.

Who Does Research?

Businesses and Corporations (Manufacturing or Services)

Public-Sector Agencies/ Govt. Departments

Market Research or Consulting Firms

Research Institutes

Non-Governmental Organizations

Non-Profit Organizations

Independent Researchers and Consultants

Academicians

Suggestive areas for Business Research (1)

General Business Conditions and

Corporate Research

Short- & Long-Range Forecasting,

Business and Industry Trends

Global Environments

Inflation and Pricing

Plant and Warehouse Location

Acquisitions

Management and Organizational

Behaviour Research

Total Quality Management

Morale and Job Satisfaction

Leadership Style

Employee Productivity

Organizational Effectiveness

Structural ssues

Absenteeism and turnover

Organizational Climate

Suggestive areas for Business Research (2)

Financial and Accounting Research

Forecasts of financial interest rate trends,

capital formation alternatives

mergers and acquisitions

risk-return trade-offs

portfolio analysis

impact of taxes

research on financial institutions

expected rate of return

Sales and Marketing Research

Market Potentials

Market Share

Market segmentation

Market characteristics

Sales Analysis

Establishment of sales quotas

Distribution channels

New product concepts

Advertising research

Buyer behaviour

Customer satisfaction

Suggestive areas for Business Research (3)

Information Systems Research

Knowledge and information needs assessment

Computer information system use and evaluation

Technical suppot satisfaction

Database analysis

Data mining

Enterprise resource planning systems

Customer relationship management systems

Corporate Responsibility Research

Ecological Impact

Legal Constraints on advertising and promotion

Sex, age and racial discrimination/ worker equity

Social values and ethics

Why is Research Conducted?

To gain a competitive advantage.

To test new product and services.

To solve a management/organizational/business problem.

To forecast future sales.

To provide information which may help to avoid future business problem.

To better understand shifts in consumer attitudes and tastes.

To enhance profitability.

To reduce operational costs.

To enable management to priorities strategic options for the future.

Research Methods Vs. Research Methodology

A research method is a way of conducting and implementing research.

Research methodology is the science and philosophy behind all research.

When Should Business Research be Undertaken?

Is sufficient time

available?

Is information

inadequate?

High importance

of decision?

Research benefits

greater than costs?

Yes

Yes

Yes

Undertake Business Research

NO Do not

undertake Business Research

Types of Research

Quantitative Research

Basic Research

Applied Research

Longitudinal Research

Qualitative Research

Descriptive Research

Classification Research

Comparative Research

Explorative Research

Explanatory Research

Causal Research

Theory-testing Research

Theory-Building Research

Action Research

Quantitative Research It is based on methodological principals of positivism and neo-positivism

It adheres to standards of strict research design.

Statistical analysis is used in it.

Qualitative Research It is based on methodological principals of phenomenology, symbolic interactionism, hermeneutics.

It aims at exploration of social world.

following elements are there….exploration, relationship discovery, establishing construct, testing hypothesis.

Basic Research Purpose of gaining knowledge

It advanced understanding about social world

Help in supporting & rejecting existing hypothesis & theories

Applied Research Aims at solving specific problems

Aims at establishing policy programs that will help to improve social life

Types of applied research are action research, social impact studies, cost-benefit analysis, evaluation research

Longitudinal Research

It involves study of sample at more than one point in time or occasion

Cross sectional Research

It involves study of many cases at one point in time or occasion

Descriptive Research Usually it forms preliminary study of a research project.

It aims at describe social events, relations and events.

It provides background information about an event in question.

Exploratory Research It aims at gaining information about an issue in hand.

Classification research It aims at categorization of units into groups

To demonstrate differences

To explain relationships

Comparative Research To identify similarities and differences between units at all levels.

Explanatory Research It aims at explaining social relations and events.

To build, test or revise a theory.

Causal Research It aims at establishing cause and effect relationship among variables.

Theory Building Research To establish and formulate theory

Theory Testing Research It aims at testing validity of a theory

Action Research

It is application of fact findings to practical problem solving in a social situation with a view to improve quality of action within it, involving collaboration and cooperation of researchers, practitioners and laymen.

It can be situational (diagnose a problem and attempts to solve it), collaborative, participatory (researcher take part in implementation of findings) and self-evaluation (it involves constant evaluation and adjustment of research and practice)

Stages in the Research Process

Process stages:1. Defining the research objectives

2. Planning a research design

3. Planning a sample

4. Collecting the data

5. Analyzing the data

6. Formulating the conclusions and preparing the report

Forward linkage—earlier stages influence later stages.

Backward linkage—later stages influence earlier stages.

Flowchart of the Business Research Process

Note: Diamond-shaped boxes indicate stages in the research process in which a choice of one or more techniques must be made. The dotted line indicates an alternative path that skips exploratory research.

Defining the Research Objectives

Research objectives The goals to be achieved by conducting research.

Deliverables The consulting term used to describe research objectives to a research client.

HERO PLEASURE

Exploratory Research Techniques

Previous Research

Literature review

A directed search of published works, including periodicals and books, that discusses theory and presents empirical results that are relevant to the topic at hand.

Pilot Studies

A small-scale research project that collects data from respondents similar to those to be used in the full study.

Pretest

A small-scale study in which the results are only preliminary and intended only to assist in design of a subsequent study.

Focus Group

A small group discussion about some research topic led by a moderator who guides discussion among the participants.

Planning the Research Design

Research DesignA master plan that specifies the methods and procedures for collecting and analyzing the needed information.

Basic design techniques for descriptive and causal research: Surveys

Experiments

Secondary data

Observation

Selection of the Basic Research Method

SurveyA research technique in which a sample is interviewed in some form or the behavior of respondents is observed and described.

Telephone

Mail

Internet

In person

Sampling

Sampling Involves any procedure that draws conclusions based on measurements of a portion of the population.

Sampling decisions Who to sample?—target population

What size should the sample be?

How to select the sampling units? Random sample

Cluster-sample

Gathering Data

Unobtrusive Methods Methods in which research respondents do not have to be disturbed for data to be gathered.

Processing and Analyzing Data

Editing Involves checking the data collection forms for omissions, legibility, and consistency in classification.

Codes Rules for interpreting, categorizing, recording, and transferring the data to the data storage media.

Data analysis The application of reasoning to understand the data that have been gathered.

Drawing Conclusions and Preparing a Report

Steps in communicating the research findings: Interpreting the research results

Describing the implications

Drawing the appropriate conclusions for managerial decisions

Reporting requirements Conclusions fulfill the deliverables promised in the research proposal

Consider the varying abilities of people to understand the research results

A clearly-written, understandable summary of the research findings

Types of Business Research Design

Exploratory

Descriptive

Causal

Exploratory Research

Exploratory Research Conducted to clarify ambiguous situations or discover ideas that may be potential business opportunities.

Initial research conducted to clarify and define the nature of a problem. Does not provide conclusive evidence

Subsequent research expected

Descriptive Research

Describes characteristics of objects, people, groups, organizations, or environments. Addresses who, what, when, where, why, and how questions.

Considerable understanding of the nature of the problem exists.

Does not provide direct evidence of causality.

Diagnostic analysis Seeks to diagnose reasons for market outcomes and focuses specifically on the beliefs and feelings consumers have about and toward competing products.

Descriptive Research (cont’d)

Examples The average Weight Watchers’ customer

Is a female about 40 years old

Has a household income of about ` 1,00,000/-

Has at least some college education

Is trying to juggle children and a job

Characteristics of leaders

Empathetic

Resourceful

Ability to delegate

Causal Research

Research conducted to identify cause and effect relationships (inferences).

Evidence of causality: Temporal sequence—the appropriate causal order of events.

Concomitant variation—two phenomena vary together.

Non-spurious association—an absence of alternative plausible explanations.

The Spurious Effect of Ice Cream

Degrees of Causality

Absolute Causality The cause is necessary and sufficient to bring about the effect.

Conditional Causality A cause is necessary but not sufficient to bring about an effect.

Contributory Causality A cause need be neither necessary nor sufficient to bring about an effect.

Weakest form of causality.

Experiments

Experiment A carefully controlled study in which the researcher manipulates a proposed cause and observes any corresponding change in the proposed effect.

Experimental variable Represents the proposed cause and is controlled by the researcher by manipulating it.

Manipulation The researcher alters the level of the variable in specific increments.

Test-market An experiment that is conducted within actual market conditions.