The Research Process

Sequence of steps in busieness research

Formulate Problem Decision Problem Research problem

Dermine Research Design Explorative research Descriptive research Cusal research

Dermine data Collection Method Secondary Data Primary data

Design data Collection Forms Quantitative Data Qualitative Data

Design Sample and Collect data Sample Frame and sample Probability versus nonprobability sample

Analyze and Interpret Data Editing/Quality assurance of data Coding Tabulation Data Analysis

Prepare the Research Report (proposal) Structure Scientific Reqirements/Theory/Models Literature

Confer Exhibit 3.1, page 50

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Decision Problem and Research Problem

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Drivers for problem formulation:

1. Unaticipated change, basically in the environment of the

focal firm (suppliers,competitors, customers)

2. Planned change (estimation, effects, outcome)

3. Serendipity (random ideas or information)

Differetn Problem Levels:

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1) Individual orientation, PSYCHOLOGY

2) Individual-individual, SOSIAL PSYCHOLOGY

3) Individual and group, ORGANIZATION THEORY,

ORGANIZATION PSYCHOLOGY

4) Group/department, ORGANIZATION SOCIOLOGY

5) Inter-group, ORGANIZATION THEORY

6) Group/department and organization, ECONOMIC

THEORY, PRINCIPAL-AGENT THEORY,

ORGANIZATION THEORY

7) Organization/firm, ECONOMIC THEORY, BUSINESS

ADMINISTRATION

8) Firm-firm, ECONOMICS OF ORGANIZATION,

ECONOMIC THEORY, GAME THEORY

9) Firm and environment

ECONOMIC THEORY, CONTRACT LAW,

INDUSTRIAL ECONOMICS

7)

Decision Problem:

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The problem facing the decision maker (organization) for which

the research is intended to provide answers or information

Research Problem:

A statement of the decision problem into research terms

A practical example:

Introduction of a new product because sales are below the target

Revision of the target?

Withdraw the product?

Revise some elements in the marketing mix?

Further investigation:

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Assumption about ineffective advertising

Lack of awareness among potential users?

Lack of interest among potential users?

The decision problem should focus on what needs to be done?

Bad performance in one specific supplier firm:

The ability/skills in the supplier firm?

The motivation in the supplier firm to carry out satisfactory

services for the purchasing organization

The research problem should aim at providing information

which enable the decision maker to take relevant decisions or

carry out relevant actions in order to solve the problem

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Examples of failures:

Taste of food and drinks

Image of food and drinks

Instant coffee

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How can you avoid to make wrong specification of the research

problem?

Wait until you have explored the decision problem sufficiently

before you state your research problem

The typical research failure is to start the research process by

making a proposal stating the methods which is to be used to

complete the research

A more fruitful way of doing research is to examine the decision

maker’s situation carefully in the first place with focus on:

1. The decision maker (organization) and its environment

2. Alternative courses of action

3. The objective of the decision maker

4. The consequences of alternative actions

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Start by making a research request step:

1. Action: The actions that are contemplated on the basis of the

research

2. Origin: The events that led to a need for action give a deeper

understanding of the decision problem

3. Information: The questions which need to be answered in order

to take relevant decision

4. Use: The way each piece of information will be used to help

make the proper decisions

5. Target and subgroups: Localize the groups from whom relevant

information can be gathered

6. Economy: Estimate the time and money that are available for

Conducting the research

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Example:

Decision problem:

Sales reductions for a specific product group

1. Action:

Drop the product?

Improve marketing mix?

Improve distribution and logistics?

2. Origin:

Increased competition?

Recession in the economy?

The product life cycle is in the ending stage?

Turn over and problems in the sales force of the company

Sales development over time?

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3. Information:

The information need is determined by the origin of the problem

which might narrow your research agenda when you look at the

correspondence between action and origin

Suppose that we know that the competitors are winning market

shares, that the market size is maintained for the product, and

that we are loosing sales volume in specific distribution channels

A marketing and/or logistic problem

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4. Use:

What kind of information is relevant now?

Our firm has to pay attention to the actors in a specific

distribution channel, e.g. industrial distributors in international

markets

Find sales figures for different distribution actors in this channel

Quality rating (bench marking) of the product

Sales promotion support

Prices and margin for the distribution actors

Currency development

Logistic performance, delivery time and lead time and order

costs

Integration or long term relationships between dominant actors

in the distribution channel

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5: Targets and subgroups

Relevant information and informants:

Within the firm:

Statistics providing sales development figures for product groups

and customers/distribution actors

Interviews or focus groups:

Top manager

Marketing manager

Sales manager

Logistic manager

Outside the firm:

Competitors/marketing intelligence

Interviews:

Distributors

Final customers

Consultancy firms

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6. Economy:

Start with most available dataMake priorities among the different information sources

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Research Proposal:

1. Tentative project title

2. Statement of the research problem

Describe the general problem under consideration

Why is this problem of any relevance?

Literature, new papers, journals, statement from the case

firm/decision maker, some verification is necessary

3. Purpose and limits of the project

Focus and purpose of the project should be elaborated in more

details

Scope and limitations, what is left out and what is the main focus

Research questions or hypotheses

4. Outline

Tentative framework for the entire project

Literature review

Research model

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5. Data sources and research methodology

Setting for the study

Primary/secondary data

Specification of informants

Data collection

6. Estimated time and scheduling

Time schedule for the different stages of the project

7. Cost estimates (research consulting firms)

Specification of costs for carrying out the project

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