Business Research Methods

William G. Zikmund

Chapter 4: The Business Research Process

InformationReduces uncertaintyHelps focus decision making

Types Of ResearchExploratoryDescriptiveCausal

COMPLETELYCERTAINABSOLUTEAMBIGUITYCAUSAL ORDESCRIPTIVEEXPLORATORYUncertainty Influences The Type Of Research

Exploratory ResearchDescriptive ResearchCausal Research(Unaware of Problem)(Aware of Problem)(Problem Clearly Defined)

Our sales are declining and What kind of people are buyingWill buyers purchase more of we dont know why.our product? Who buys ourour products in a new package?competitors product? Would people be interested Which of two advertising in our new product idea?What features do buyers prefercampaigns is more effective?in our product?

possible situationDegree of Problem Definition

Defining Problem Results inClear Cut Research ObjectivesExploratoryResearch(Optional)Symptom Detection

Exploratory ResearchInitial research conducted to clarify and define the nature of a problemDoes not provide conclusive evidenceSubsequent research expected

*Exploratory ResearchSecondary data

Experience survey

Pilot studies

Exploratory Research Techniques Two ExamplesSecondary data (historical data)Previously collectedCensus of populationLiterature surveyPilot studyA number of diverse techniques

Focus Group Interview

Descriptive ResearchDescribes characteristics of a population or phenomenonSome understanding of the nature of the problem

Descriptive Research ExampleWeight Watchers average customerWoman about 40 years oldHousehold income of about $50,000At least some college educationTrying to juggle children and a job

Descriptive Research ExampleMens fragrance market1/3 size of womens fragrance marketBut growing at a faster paceWomen buy 80 % of mens fragrances

Causal ResearchConducted to identify cause and effect relationships

Identifying CausalityA causal relationship is impossible to prove. Evidence of causality:1. The appropriate causal order of events2. Concomitant variation--two phenomena vary together3. An absence of alternative plausible explanations

Stages of the Research ProcessProblem Discoveryand DefinitionResearchDesignSamplingDataGatheringData Processingand AnalysisConclusions andReportDiscovery andDefinitionand so on

Research StagesCyclical process - conclusions generate new ideasStages can overlap chronologicallyStages are functionally interrelatedForward linkagesBackward linkages

ProblemdiscoveryProblem definition(statement ofresearch objectives)Secondary(historical)dataExperiencesurveyPilotstudyCasestudySelection ofexploratory researchtechniqueSelection ofbasic researchmethodExperiment

Survey

ObservationSecondaryData StudyLaboratoryFieldInterviewQuestionnaireSelection ofexploratory researchtechniqueSamplingProbabilityNonprobabilityCollection ofdata(fieldwork)Editing andcodingdataDataprocessingInterpretationoffindingsReportDataGatheringDataProcessingandAnalysisConclusionsand ReportResearch DesignProblem Discoveryand Definition

The Business Research Process

The Research Process (cont.)

Stages In The Research ProcessProblem Discovery and Problem DefinitionResearch DesignSamplingData GatheringData Processing and AnalysisConclusions And Report

Problem Discovery And DefinitionFirst stepProblem, opportunity, or monitor operationsDiscovery before definitionProblem means management problem

*State the research questions and research objectives

HypothesisA hypothesis is a proposition that is empirically testable. It is a statement /assumption concerned with the relationship among variables, at the empirical level.

Research DesignMaster planFramework for actionSpecifies methods and procedures

Research ProposalA written statement of the research design that includes a statement explaining the purpose of the study.Detailed outline of procedures associated with a particular methodology

Basic Research MethodsSurveysExperimentsSecondary dataObservation

POPULATIONSAMPLE

Sample: subsetof a larger population.Selecting a Sample

SamplingWho is to be sampled?How large a sample?How will sample units be selected?

Data Gathering Stage

Data Processing and Analysis

Conclusions And Report WritingEffective communication of the research findings

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