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BRM Unit 3 PDF
BRM Unit 3 PDF
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Types of data:
The task of data collection begins after a research problem has been defined
and research design/plan chalked out. While deciding about the method of data Data collection is
any process of
collection to be used for the study, the researcher should keep in mind two types of preparing and
data viz, primary and secondary. collecting data,
The primary data are those, which are collected afresh and for the first time, and thus
happen to be original in character.
The secondary data, on the other hand, are those which have already been collected
by someone else and which have already been passed through the statistical process.
For the purpose of collection data, a number of research instruments are used such as
questionnaire, schedules etc., for adequacy and validity in research it is required that Teaching Aid:
these instruments are designed properly. CB
Any statistical data can be classified under two categories depending upon the sources
utilized. These categories are,
1) Secondary data
2) Primary data
Secondary data:
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Secondary data are those data which have been already collected and analyzed
by some earlier agency for its own use; and later the same data are used by a different
agency.
According to W.A.Neiswanger, “A primary source is a publication in which the data
are published by the same authority which gathered and analyzed them. A secondary
source is a publication, reporting the data which have been gathered by other
authorities and for which others are responsible”.
Books Referred with
page number:
Characteristics for selecting secondary data: C.R.Kothari,
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1) Reliability of data: Veera Karoli,
The reliability can be tested by finding out such things about the said Supriya Singh
data:
i) Who collected the data?
ii) What were the sources of data
iii) Were the data collected by using proper methods?
iv) At what time were they collected?
v) Was there any bias of the compiler?
vi) What level of accuracy was desired? Was it achieved?
2) Suitability of data:
The data that are suitable for one enquiry may not necessarily be found
suitable in another enquiry. Hence, if the available data are found to be
unsuitable, they should not be used by the researcher.
3) Adequacy of data:
If the level of accuracy achieved in data is found inadequate for the
purpose of the present enquiry, they will be considered as inadequate
and should not be used by the researcher.
Evaluating Secondary Data:
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1) Pertinence: To be usable, the data must use the same units of measurement
specified in the project, must be applicable to the period of time in question,
and must be derived from the universe of interest. Classes of data must be
constructed in the same way as in the project.
2) Who Collected and Published the Data-and Why: In evaluating secondary
data, the researcher must examine the organization that collected the data and
the purposes for which they were published. An organization that makes the
collection and publication of data its chief functions is apt to furnish accurate
data. Obviously, the success of such a firm depends on the long-run
satisfaction of its clients that the information supplied is accurate.
3) Data Collection Methods: If a source fails to give a detailed description of its
methods of data collection, researchers should be hesitant about using the
information provided. Most primary sources, however, describe their methods,
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even if only briefly.
4) General Evidences of Careful Work: An indispensable point of evaluation
is the general evidence that the data have been collected and processed
carefully.
5) Conflicting Data: If several sources of data relating to a researcher’s problem
are available, the data can be submitted to a quality-control analysis of the sort
applied in production. After dividing the data into “good” and “poor” on the
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basis of criteria like those mentioned above, correlations on points of interest
can be run between the two groups, and statistical tests can be made. In
projects that rely heavily on secondary data, this technique is particularly
valuable.
Advantages of Secondary Data:
1) Economy: Such data are cheaper. The amount of money spent in
acquiring secondary data is generally a great deal less than that needed
to obtain primary data.
2) Quickness: Most of these data are ‘instant’ since they already exist
and merely need to be discovered.
3) Quality: An individual investigator cannot match the quality or size of
the firms that obtained much of the existing secondary data.
4) No Need of Measuring Instruments: When information is to be
by someone else.
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gathered from secondary sources, there is no problem to design
information gathering instruments as information is already collected
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region are classified and are put in comparable form
to have a bird’s eye view of the total sale. Sales vary
from region to region and time to time. The causes of
such variations can be revealed by investigation and
survey of retailers of the region.
b) Customer Analysis: Sales data according to different
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nature of customers are classified and compared.
They provide the useful purpose of understanding the
nature of customers and their behaviors to the sale.
c) Product Analysis: Sales data product-wise can be
significant source of marketing research. The sales
may vary from product to product. Understanding of
their behavior will be useful for framing product
policy.
d) Time Analysis: Sales data classified as per different
segments of time, viz., monthly, six monthly and
yearly may be useful source of analysis of sales.
ii) Invoice Analysis: company invoices have been provided a very
useful source of information. A copy of an invoice is preserved and
information from it may be punched, tabulated, processed and
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summarized to provide suitable information to the researcher. The
invoice data may be classified according to customer, nature of
product, region and area. The invoice record may be of immense
use provided it has been used with precaution and scientifically.
Accounting Records: The basis for accounting records concerned
with sales is the sales invoice. The usual sales invoice has a sizable
amount of information on it, which generally includes name of
customer, location of customer, items ordered, quantities ordered,
quantities shipped, dollar extensions, back orders, discounts
allowed, and date.
In addition, the invoice often contains information on sales territory,
sales representative, and warehouse of shipment. This information, when
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supplemented by data on costs and industry and product classification, as well as
from sales calls, provides the basis for a comprehensive analysis of sales by product,
customer, industry, geographic area, sales territory, and sales representative, as well
as the profitability of each sales category. Unfortunately, most firms accounting
systems are designed primarily for tax reasons rather than for decision support.
2) External Secondary Data: The second forms of secondary data are external
sources which are generally published and are available in different forms and
form different sources.
i) Libraries: Researchers first attend libraries to find out relevant
data pertaining to research. The provide many sources where
suitable data may be obtained. Public libraries and college and
university libraries contain a large amount of business information,
which provides sources of other data.
ii) Literature: A great amount of secondary data is available from
literature, particularly literature on marketing subjects. With the
development of marketing researches in different countries, new
and interesting facts are coming into the picture, which are
available in various publications. Consultations of this literature
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the census of 1901, 1911, and so on. The census of the
population reveals many interesting characteristics of the
population.
b) Census of Agriculture: The census of agriculture is of
recent origin. It has been commonly undertaken in
western countries. The census includes information and
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data pertaining to the number of farms, size, acreage
value, farm expenditure, crops and value added, facilities
and equipment, cattle and their uses. The National
Sample Survey is an important agricultural data
collection agency. The Ministry of Agriculture conducts
some sample surveys to find out the problems and
potentials of agriculture in some selected areas of the
country.
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d) Census of Trade: The census of retail trade, wholesale
trade and selected service industries has yielded statistics
pertaining to total sales, number of employees and
number of establishment for each type of business. The
census may be conducted state-wise and area-wise. The
import and export registered with the Ministry of
Commerce has become a very good source of data for
foreign trade.
e) Census of Transport: The census of transport is
conducted periodically. This has been undertaken by the
Ministry of Transport to find out the existing transport
facilities and also possibilities for the future expansion of
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the business.
f) Census of Industry: The census industry, mining and
manufacturing is conducted from time to time. The
sample surveys of industry, mining and manufacturing
have become very good source for deciding the level of
industries, mining and manufacturing in India.
g) Census of Banking and Finance: The Reserve Bank of
India has prepared detailed statistics on various
performances of banking and the positions of financial
institutions. The financial and banking positions decide
the potentials of market expansion.
h) Registration Data: Registration data are the outcome of
legal requirements of the submission of final accounts
and reports to the Registrar of Companies and to the
ministry concerned for securing licenses and other
requirements. Data pertaining to trade, industry and
business are available from the Ministry of Commerce.
Similarly, the Ministry of Transport and Communication
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vi) Government Departments: Different government departments
have different data, which are not available in libraries. But these
are very useful for understanding various aspects of the economy.
The researchers can utilize them for the purpose of their
researchers. Information and data pertaining to agriculture,
industry, trade, transport, banking and finance can be obtained
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from the respective ministries of the Government of India.
vii) Private Sources: Private sources include varied sources available
in the form of books, monographs, bulletins, journals, commercial
reports and so on. They are priced and publicly circulated. Some of
the sources include extensive original research, and some
summarize the research findings of other person. Many of them are
statements of facts and opinions. The All India Management
Association, the Indian Marketing Association, Commerce Ltd.;
Capital, the Economic Times and Financial Express etc. are
important private institutions which supply suitable information
and data to the public in the form of journals, books and
newspapers.
viii) Commercial Data: There are several institutions and companies,
which purchase and sell marketing information and data. Some of
ix)
x)
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the companies are solely engaged in marketing research. They
collect information and data directly from field surveys. Some such
companies collect and process the secondary data and supply them
to their subscribers.
Financial Data: The financial data of reputed concerns are
available in several magazines, newspapers, journals and in
summary of statistics. The Directorate of Income Tax publishes
information pertaining to taxes and income rages. Such
information and data are useful to forecast the market potential of a
particular product.
International Organization: International Organizations such as
the International Monetary Fund, the World Bank, the United
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Nations Organizations, the Asian Bank, the African Bank, Foreign
embassies etc. publish several useful statistics, which can be used
by researchers.
xi) References and Bibliography: In every publication, the
researcher can find references and a bibliography which can be
very good sources of information of marketing research. The
researcher can consult them for further information and data.
xii) Volumes of Statistics: There are several private and public
organizations, which prepare a summary of statistics. In India, the
Indian Statistical Institute publishes the Statistical Abstract.
xiii) Advertising Agencies: Advertising agencies have proved to be
very useful sources of marketing research.
xiv) Other Sources: There are several other sources of marketing
researches. Individuals conduct their own researches, which may
be purchased by other institutions. Marketing Associations,
Management Associations and individual business houses have
been conducting marketing researches for other researches.
PRIMARY DATA:
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Primary data is the one, which is collected by the investigator himself for the
purpose of a specific inquiry or study. Such data is original in character and is
generated by survey conducted by individuals or research institutions or any
organization.
Classification of Primary Data:
1) Data Classified by their Nature: The nature of data may be classified
according to various categories: Facts, Knowledge, opinions, intentions,
motivation and behavior.
i. Facts: Facts refer to actuality but they not necessarily are
material. The measurable facts can be measured precisely and
definitely. The descriptive facts relating to people may be
demographic and sociological. These characteristics represent
the attributes of people, e.g., age, sex, income, and level of
education.
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think or what is in their minds are called opinions. Their
perceptions may or may not be true. Thus, they may be well
defined as attitudes. These are products of mental sets and may
be referred to as images.
iv. Intentions: Intentions are acts that are in the minds of people.
These are expectations of behavior, or intentions to indulge in
particular marketing behavior.
v. Motivation: Motivation is how to steer and direct people’s
actions. It is known as the inner state of mind that energizes
activities and moves or directs the behavior of people.
2) Data Classified According to Function: Data are also classified according to
their functions. While planning data, the researchers anticipate the future
analysis and synthesis according to their function. They try to avoid redundant
i.
ii.
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data and collect necessary data. Data according to function may be causal,
payoff, descriptive and classification.
Causal Data: Causal data reveal the cause and effect
relationship. One hypothesis is measure in terms of effects.
Data required to measure the hypothesis are termed causal data.
Such types of causal data are required in the marketing mix.
Payoff Data: The payoffs are resultant data. They are the
outcome of certain causal data, i.e., results of certain
phenomenon. The causal variables are measured in terms of
payoff or effects. This means that payoff data are required to
measure the causal variables.
iii. Descriptive Data: There is need of such types of data, which
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may describe the situation, statement and facts. Even in the
case of experimental data, one variable requires to be
controlled for which descriptive data are used. In such cases, a
description of the samples is needed when drawing
conclusions.
iv. Classification Data: In sophistication experimental design the
compound data have been classified to arrive at simple analysis
and conclusions. The classification data, i.e., the data classified
in relevant categories are conceivable and may be easily
described. The classification data in complex and multiple
groups, i.e., more than one causal variable or rotation of
treatments in sub-groups have functional utility. The sample
survey also provides classification data, e.g., according to age,
sex, income, location etc.
Significance of Primary Data:
1) Reliability
2) Availability of a Wide Range of Techniques
3) Addresses Specific Research Issues
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4) Greater Control
5) Efficient Spending for Information
6) Proprietary Information
Limitations of Primary Data:
1) Cost: Compared to secondary research, primary data may be very expensive
since there is a great deal of marketer involvement, and the expense in
preparing and carrying-out research can be high.
2) Time Consuming: To be done correctly primary data collection requires the
development and execution of a research plan.
3) Not Always Feasible: Some research projects, while potentially offering
information that could prove quite valuable, are not within the reach of a
marketer.
4) Large Volume of Data: Since the data collected by primary methods remains
in a very large amount so it becomes very complicated to handle and maintain
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all the data. Large volumes of data also create difficulty in the data processing.
5) Reluctancy of Respondents: In many cases, the respondents remain
reluctant to give the answers of the researchers’ questions. Sometimes they
give such answers which create biasness in the research.
Primary Data Vs Secondary Data
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Basis of Primary Data Secondary Data
Comparison
Object Originate with the Gathered for some other
specific research purpose but are applicable to
undertaking. present investigation.
Cost Involved Collection is Collection is cheaper.
expensive.
Time Collection can Collection time usually
Consumption take weeks or even involves hours or days.
months.
Nature of Errors can be there There may be inaccuracies
Errors due to interviewer due to errors in recording or
and respondent transferring of the original
biases. data.
Accuracy and
Validity
Mode of
Collection
The information is
more valid,
reliable and
relevant.
Information is to
be generated either
by questioning the
people or by
observing selected
activities.
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The validity of information
should be judged/ evaluated
before using secondary data.
Survey Method
Observation method
Other methods
Survey Method
It includes direct interaction with respondents and it includes survey method.
In research, surveys are most commonly used and most abused means of collecting
primary data. These methods are mostly used as these are less time consuming,
economic and extremely flexible methods of obtaining information about attitudes
and actions of people.
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completed by the respondent does not allow a dialogue or an exchange of
information for immediate feedback.
Choice of Respondents:
This direct approach is the essence of reliable collection of primary data. In
any such situation, it is essential to identify the appropriate respondent, usually the
actual user.
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1) As far as possible, the respondent must be an individual, and not a group.
2) The respondent’s capacity to answer questions must be kept in mind.
Potential Sources of Error in Gathering Data from Respondents:
1) Non – Sampling Error: This is an error occurring for reasons other than
sampling. This error could be due to factors such as interviewing method,
design of questionnaire, etc.
i) Non – Response Error: This happens when chosen respondents do not
respond. This may be due to:
a. Non – availability of the respondent,
b. Refusal to answer.
ii) Response Error: It occurs due to any of the eventualities:
a. Misrecording,
b. Inaccurate answer, and
c. Wrong analysis errors made by the researcher include:
i. Surrogate Information
ii. Measurement Error
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iii. Population Definition Error
iv. Sampling Frame Error
v. Data Analysis Error
2) Respondent Selection Error: This occurs when the interviewer selects a
respondent other than the individual is specified as a sample.
3) Questioning Error: This occurs during the process of interviewing a
respondent. This may occur out of not using the same word or context with
respect to the questionnaire. It could be also due to ambiguity in question.
4) Recording Error: Errors in interpreting or failing to concentrate when the
respondents replies.
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5) Cheating Error: This is because the interviewer fills the questionnaire
without interviewing anybody.
Survey Techniques:
Interview method
Questionnaire method
Schedule
1.Interview Method:
Interview is a conversation between two or more people where question are
asked by the interviewer to obtain information from the interviewee. Interviewing is
one of the prominent methods of data collection. It may be defined as a two-way
systematic conversation between an investigator and an informant, initiated for
obtaining information relevant to a specific study.
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be conducted with a group of persons, such as family members, or a group of
children or a group of customers, depending on the requirements of the study.
7) Interactional Process: Interview is an interactional process. The interaction
between the interviewer and the respondent depends upon how they perceive
each other. The respondent reacts to the interviewer’s apperarance, behavior,
gestures, facial expression and intonation, his perception of the thrust of the
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questions and his own personal needs.
8) Simultaneous Recording: Information furnished by the respondent in the
interview is recorded by the investigator. This poses a problem of seeing that
recording does not interfere with the tempo of conversation.
9) Flexible and Psychological Process: Interviewing is not a standardized
process like that of a chemical technician; it is rather a flexible psychological
process.
Types of Interview
1) Personal Interview: Personal or face-to-face interviewing is a core function
of marketing research; much of the quality of the entire research process rests
on its effectiveness. Despite the growth in popularity of telephone and mail
surveys, personal interviewing retains its long-held dominance across a wide
spectrum of surveys—market, social, political.
A personal interview is face-to-face communication with the respondent.
ii.
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Thus, there may be four types of personal interview:
i. Structured and Direct Interviews: The usual type of interview
is structured direct interview. A formal questionnaire consisting
of non-disguised questions are used for this interview. This main
purpose is to get the facts.
Unstructured and Direct Interviews: To overcome these
difficulties, marketing researchers have adapted psychoanalysis.
Instead of approaching the respondents with a fixed list of
questions, the interviewer is given the freedom to talk openly
about the subject. The interviewer is given only general
instructions about the type of information desired. The purpose
of the interview is clear, but the response to the question is open
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ended.
iii. Structured and Indirect Interview: The structured and indirect
interview has become a technique of unbiased research because
the biases of the interviewer and of the interpreter are avoided. It
has advantages over all the structured interviews and probes of
the respondents.
iv. Unstructured and Indirect Interview: The unstructured and
indirect is very well-known as a projective technique. In this
technique, all individuals in describing a situation interpret the
situation to a degree. Various projective techniques are used, but
the most common methods are word association, sentence
completion and story telling.
2) Telephone Interview: The telephone interview is used when the information
to be collected is limited. The telephone interview is used in lieu of personal
interviews. It is most frequently used when the information has to be collected
quickly and inexpensively.
3) Mail Interview: The mail interview places a great deal of importance on the
construction of the questionnaire, because there is no interviewer in mail
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i. Fax: Surveys through fax have also increased in past decade.
Distributing and receiving results via facsimile machines is much
faster than mail. Despite improved technology the quality of print
reproduction by fax is not as good as is available in mail surveys.
ii. Internet Surveys: can be e-mail or web based approach. E-mail
surveys are simple to compose and send but are limited to simple text
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(flat text format), allow for limited visual presentations (no photo or
visual based stimuli) and interactive capabilities and cannot permit
complex skip patterns.
Significance of Interview Method
1) Means of Securing Detailed Information
2) Encourages Inputs by Interviewer
3) Assists in Availing Supplementary Information
4) Incorporates the Use of Devices
5) Cross Checking of Accuracy
6) Flexible Exercise
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2) Subject to Bias and Personal Traits: The interview results are often
adversely affected by interviewer’s mode of asking questions and interactions,
and incorrect recording and also are the respondent’s faulty perception, faulty
memory, inability to articulate etc.
3) Ineffective in Some areas: Certain types of personal and financial
information may be refused in face-to-face interviews. Such information
might be supplied more willingly on mail questionnaires, especially if they are
to be unsigned.
4) Recording Complexities: Interview poses the problem of recording
information obtained from the respondents. No foolproof system is available.
Note taking is invariably distracting to both the respondent and the interviewer
and affects the thread of the conversation.
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5) Demands Skilled Interviewers: Interview calls for highly skilled
interviewers. The availability of such persons is limited and the training of
interviewers is often a long and costly process.
6) Subjective: Interviewer’s bias, i.e., it can stress on one object and neglect
others.
Questionnaire Method
The questionnaire is a list of questions to be asked from the respondents. It
also contains a suitable space where the answers can be recorded. The term
questionnaire usually refers to a self-administered process where by the respondent
himself reads the question and records his answers without the assistance of an
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canned soup
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1) Structured, Non- Disguised Questionnaire: Most questionnaire studies
made in marketing research are of the first type- they are structured and are
not disguised. If the sales manager for a musical instrument company wants to
find out how many and what type of people play various types of instruments,
a formal list of questions may be set up that asks directly about the ownership
and playing of various instruments. Each of a selected group of persons is then
asked this set of questions in the given sequence. Answers are frequently
limited to a list of alternatives, which is stated or implied. Several questions
taken from an actual survey of this type are given below.
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Upright_______ Spinet_________ Grand_________ Other________
4) Which members of your family, if any, can now play the piano?
objective of the study is. Such disguised methods may also be non-structured.
Projective techniques are an example of this type.
The theory of projective techniques is that all individuals, in describing
a situation, interpret that situation to a degree. The description they
give is a mixture of their own attitudes, beliefs, and motivations.
Various projective techniques are used, but the most common are word
association, sentence completion, and storytelling.
4) Structured, Disguised Questionnaire: Questioning of the structured,
disguised type has the advantages of disguise that were pointed out above-
primarily that respondents do not know what is being measured and, hence,
are not biased in their answers. The advantages of structure lie in the reduction
of interviewer and interpreter bias, in quicker and less costly interviewing, and
in easier tabulation of results. Some structured, disguised tests of attitudes are
based on the theory that individual’s knowledge, perception, and memory are
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conditioned by their attitudes.
Construction of Questionnaire and Instrument:
1) Determine the Purpose: What do you really want to learn? Why are you
administering a questionnaire? To what end are you asking these questions?
How questionnaires are used and the type of information
sought will vary from purpose-to-purpose. There are no limits
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as to what can be measured with questionnaires setting when
one sets-out to continuously improve all aspects of the system.
The uses for the results would be to provide information to
know how to improve.
2) Determine Content: What content is desired? What are you trying to assess?
Can you get this information without doing a questionnaire?
Once everyone has agreed on the purpose of the questionnaire
and how the results will be used, you will need to decide on
concepts to measure, and who will be able to give you the most
information about those concepts. You might need to do a
literature search to learn more about the specific concepts you
want to study, and you might need to interview others to
determine how to best get the information you want.
i) Identify whom you want survey
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iv. Jumping around content-wise
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of response options.
6) Write effective open – Ended questions: effective open-ended questions
provide texure and deeper insight into the scaled questions that make up the
main body of the questionnaire. Placed at the end of a questionnaire open-
ended questions gives respondents a chance to provide additional information
that might not have been included in the selected items.
7) Create the Form
8) Review and revise instrument
9) Pilot the questionnaire
10) Analyze pilot results
11) Revise, review again and finalize.
Validation of Questionnaire:
1. Content validation
2. Sampling validity
3. Empirical validity
Precautions in designing questionnaire:
➢ Questionnaire should be brief
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➢ Simple, clear and unambiguous questions
➢ Nature of questions
1. Simple alternative questions
2. Multiple choice questions
3. Specific information questions
4. Open questions
➢ Use of proper words in the questions
➢ Questions should be such as the answers of which are known to
informants
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➢ Questions capable of objective answers
➢ Should not affect pride or sentiments
➢ Some kind of questions should be avoided
➢ Sequence of the questions
➢ Instructions for filling in the questionnaire
➢ Setting the questionnaire
➢ To test the reliability
Significance of questionnaire method:
Economical
Time saving
Accessibility to diverse respondents
Free from bias
Greater anonymity
Respondents convenience
Standardized wordings
No variations
Limitations of questionnaire method:
Unwillingness Of respondent to provide information
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3. Sequential order of questions
4. Pilot survey
Form and content of a schedule:
Form of a schedule – forms of a schedule depends upon the following:
• Paper and printing
• Size of schedule
• Use of pictures
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Content of a schedule - along with form we have to keep in mind certain
essential facts concerning contents of a schedule. Generally we divide it into three
parts which are as follows:
• Introductory part
• Main schedule
• Instructions to research worker
Types of questions in a schedule:
1. Structured questions
• Dichotomous questions (yes/no)
• Multiple Choice Questions
• Ranking item questions
• Leading questions
2. Unstructured questions
Significance of schedule:
Higher response
Saving of time
Personal contact
Human touch
Deeper probe(Investigate)
Defects in sampling are detected
Removal of doubts
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Human elements make the study more reliable and dependable
Limitations of the schedule method:
Costly and time- consuming
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Need of trained field workers
Adverse effect of personal presence
Organizational difficulties
OBSERVATION METHODS
This is another type of method used when the researcher feels
that survey type of methods may not be so relevant in data collection. In subjective
issues, respondents need to be observed rather than asked lest biases and prejudices
happen in their response.
Observation method may be either structured or unstructured.
Structured observation method involves having a set of items to be observed and how
the measurements are to be recorded. In unstructured observation, the observer
monitors all aspects of the phenomena that seem relevant to the problem at hand. In
this Context, the observer may have an open mind to study the persons or object.
Methods
Methods of observation
1. Structured or unstructured observation
2. Disguised observation
3. Direct – Indirect observation
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1. If the researcher observes and record events, it is not necessary to rely on the
willingness and ability of respondents to report accurately.
2. The biasing effect of interviewers is either eliminated or reduced. Data
collected by observation are, thus, more objective and generally more
accurate.
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BA5202 :: BRM - UNIT 3 - NOTES PREPARED BY Dr.E.DEEPA, PROFESSOR / MBA
Disadvantages of Observation Method
1. The most limiting factor in the use of observation method is the inability to
observe such things such as attitudes, motivations, customers/consumers state
of mind, their buying motives and their images.
2. It also takes time for the investigator to wait for a particular action to take
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place.
3. Personal and intimate activities, such as watching television late at night, are
more easily discussed with questionnaires than they are observed.
4. Cost is the final disadvantage of observation method. Under most
circumstances, observational data are more expensive to obtain than other
survey data. The observer has to wait doing nothing, between events to be
observed. The unproductive time is an increased cost.
Survey Vs Observation
Basis of comparison Survey method Observation method
Objective This method of collecting Mostly used in behaviour
data is useful when research.
population size is very
large. Mostly used in
Response
Sample size
EXPERIMENT:
social research
Response
questions
in
EEsurvey
method based on verbal
answers to limited set of
Observational studies
tend to use a smaller
sample
Experiments are the only means by which cause and effect can be
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established. It has already been noted that an experiment differs from non-
experimental methods in that it enables us to study cause and effect because it
involves the deliberate manipulation of one variable, while trying to keep all
other variables constant. Sometimes the independent variable (IV) is thought
of as the cause and the dependent variable (DV) as the effect.
2. It allows for precise control of variables. The purpose of control is to
enable the experimenter to isolate the one key variable which has been
selected (the IV), in order to observe its effect on some other variable (the
DV); control is intended to allow us to conclude that it is the IV, and nothing
else, which is influencing the DV.
Experiments can be replicated. We cannot generalise from the results
of a single experiment. The more often an experiment is repeated, with the
same results obtained, the more confident we can be that the theory being
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BA5202 :: BRM - UNIT 3 - NOTES PREPARED BY Dr.E.DEEPA, PROFESSOR / MBA
tested is valid. The experimental method consists of standardised procedures
and measures which allow it to be easily repeated.
It is also worth noting that an experiment yields quantitative data (numerical
amounts of something) which can be analysed using inferential statistical
tests. These tests permit statements to be made about how likely the results
are to have occurred through chance.
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Limitations of experiments:
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experiment stem from the fact that a psychology experiment is a social
situation in which neither the Subjects or the Experimenters are passive,
inanimate objects but are active, thinking human beings. Imagine you’ve been
asked to take part in a psychology experiment. Even if you didn’t study
psychology, you would be trying to work out what the experimenter expected
to find out. Experimenters too have expectations about what their results are
likely to be. Demand characteristics are all the cues which convey to the
participant the purpose of the experiment.
The experimental method as used in psychology has a history of using biased
or unrepresentative sampling. George Miller (1962) estimated that 90% of
U.S. experiments have used college students (who are accessible and 'cheap')
and yet the results still tend to be generalised to the U.S. population as a
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whole, and often beyond that to Britain, Western Europe, etc. But there is no
reason to believe that U.S. college students are typical of any other group in
terms of gender, age, personality, social class background or any other subject
variable which can influence how subjects will perform in any experimental
situation. What's more, these students are often psychology students who are
required to participate in research as a course requirement!
It has already been noted that a strength of the experimental method is the
amount of control which experimenters have over variables. However it must
also be noted that it is not possible to completely control all variables. There
may be other variables at work which the experimenter is unaware of. In
particular, it is impossible to completely control the mental world of people
taking part in a study.
A very major problem with the experimental method concerns ethics. For
example, experiments nearly always involve deceiving participants to some
extent and the very term 'subject' implies that the participant is being treated
as something less than a person. Recently the use of the experimental method
has come under considerable criticism for the way that researchers often break
ethical guidelines. It is also important to recognise that there are very many
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areas of human life which cannot be studied using the experimental method
because it would be simply too unethical to do so.
Another issue is to do with normative data. Some researchers consider that
an important advantage which experiments have over, say, observational
techniques is the random assignment of research participants to experimental
conditions. This helps to reduce the problems of analysis caused by
systematic differences between people. Other psychologists, however, argue
that grouping people together in this way, and trying to cancel out individual
differences so that we only look at a group norm, is limited in how much it
can tell us because it ignores what is special about people.
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BA5202 :: BRM - UNIT 3 - NOTESTopic : Sampling
PREPARED BY Dr.E.DEEPA, PROFESSOR / MBA
Sampling:
Sampling may be defined as the selection of some part of an aggregate Dictionary Meaning:
or totality on the basis of which a judgement or inference about the aggregate or
totality is made. In other words it is process of obtaining information about an entire Sampling is the
population by examining only a part of it. process of selecting
units from a
Sampling is the process of selecting units from a population of population of interest
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interest so that by studying the sample we may fairly generalise our results back to the so that by studying the
population from which they were chosen sample we may fairly
generalise our results
Reason for sampling; back to the population
The sample can save money. from which they were
The sample can save time. chosen
For given resources the sample can broaden the scope of the study.
Because the research process is sometimes destructive, the sample
can save product.
If accessing the population is impossible the sample is the only
option.
Objectives of Sampling: Teaching Aid:
1. Producing estimates of parameters: to examine representative sub sets CB
computing requirements
EE
of the data with the purpose of producing estimates of parameters , such
as prices ,etc. that are as close as possible to the “true” values that would
be obtained through complete enumeration.
2. Reduction of cost : to reduce operational costs.
3. Reduce analytical & computing requirements: to reduce analytical and
1. Objectives: the first task is to lay down in concrete terms the basic objectives
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of the survey. Failure to define the objectives will clearly undermine the
purpose of carrying out the survey itself.
2. Population to be covered : based on the objectives of the survey , the
population should be well defined. The charecteristics concerning the
population under study should also be clearly defined.
3. Sampling frame : in order to cover the population decided upon, there should
be some list , map or other acceptable material(called the frame) which servea
as a guide to the population to be covered. The list or map must be examined
to be sure that it is reasonably free from defects. The sampling frame will help
us in the selection of sample.
4. Sampling unit : for the purpose of sample selection, the population should be
cabable of being divided up into sampling units. The division of the
population into sampling units should be unambiguous. Every element of the
population should belong to just one sampling units.
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BA5202 :: BRM - UNIT 3 - NOTES PREPARED BY Dr.E.DEEPA, PROFESSOR / MBA
5. Sample selection : the size of the sample and manner of selecting the sample
should be defined based on the objectives of the statistical investigation. The
estimation of population parameter long with their margin of uncertainty are
some of the important aspects to be followed in sample selection.
6. Collection of data : the method of collecting the information has to
bedecided, keeping in view the costs involved and the accuracy aimed at.
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Physical observation, interviewing respondents and collecting data through
mail are some of the methods that can be followed in collection of data.
7. Analysis of data: the collected data should be properly classified and
subjected to an appropriate analysis. The conclusions are drawn based on the
results of the analysis.
Prerequisites of sampling:
The essential that the sample must posses are:
1. Representation : a sample must represent the proper universe
otherwise it must interpret a wrong result. For the purpose a sample
method is used.
2. Adequacy : the size of the sample used must be adequate.
3. Independence : every item of the sample must be independent so that
each get same chance of being of selected.
4. Homogeneity
Advantages of sampling :
➢ Economical
➢ Speedy operations
➢ Lesser manpower
4. Using the wrong sampling frame : Remember that the sampling frame is the
list of the population units from which the sample is drawn. Sometimes a
sampling frame either will include unwanted units or exclude desired units.
5. Not reaching the individuals selected: Even if a proper sample of units is
selected the units may not be reached
6. Having a low response rate: even the best surveys are not able to contact on
their list and not everyone contacted will respond.
Page 18 of 24.
BA5202 :: BRM - UNIT 3 - NOTES Topic : SamplingBYplan
PREPARED Dr.E.DEEPA, PROFESSOR / MBA
Sampling Plan:
A sampling plan is a detailed outline of which measurements will be taken at what Dictionary Meaning:
times, on which material, in what manner, and by whom. Sampling plans should be
designed in such a way that the resulting data will contain a representative sample of A sampling plan is a
the parameters of interest and allow for all questions, as stated in the goals, to be detailed outline of
answered. which measurements
Elements of sampling plan/ steps in sample planning : will be taken at what
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times, on which
Objectives: the first task is to lay down in concrete terms the basic objectives of material, in what
the survey. Failure to define the objectives will clearly undermine the purpose of manner, and by
carrying out the survey itself. whom.
Population to be covered : based on the objectives of the survey , the population
should be well defined. The charecteristics concerning the population under study
should also be clearly defined.
Sampling frame : in order to cover the population decided upon, there should be Teaching Aid:
some list , map or other acceptable material(called the frame) which servea as a CB
guide to the population to be covered. The list or map must be examined to be
sure that it is reasonably free from defects. The sampling frame will help us in the
selection of sample.
Sampling unit : for the purpose of sample selection, the population should be
EE
cabable of being divided up into sampling units. The division of the population
into sampling units should be unambiguous. Every element of the population Books Referred with
page
Sample selection : the size of the sample and manner of selecting the sample C.R.Kothari,
should be defined based on the objectives of the statistical investigation. The Veera Karoli,
estimation of population parameter long with their margin of uncertainty are some Supriya Singh
of the important aspects to be followed in sample selection.
Collection of data : the method of collecting the information has to bedecided,
keeping in view the costs involved and the accuracy aimed at. Physical
observation, interviewing respondents and collecting data through mail are some
of the methods that can be followed in collection of data.
number:
Analysis of data: the collected data should be properly classified and subjected
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to an appropriate analysis. The conclusions are drawn based on the results of the
analysis.
Sample size determination is the act of choosing the number of observations or replicates to
include in a statistical sample. The sample size is an important feature of any empirical study in
which the goal is to make inferences about a population from a sample. In practice, the sample
size used in a study is determined based on the expense of data collection, and the need to have
sufficient statistical power. In complicated studies there may be several different sample sizes
involved in the study: for example, in a survey sampling involving stratified sampling there
would be different sample sizes for each population. In a census, data are collected on the entire
population, hence the sample size is equal to the population size. In experimental design, where a
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study may be divided into different treatment groups, there may be different sample sizes for
each group.
Sample sizes may be chosen in several different ways:
• Expedience - For example, include those items readily available or convenient to collect. A
choice of small sample sizes, though sometimes necessary, can result in wide confidence
intervals or risks of errors in statistical hypothesis testing.
• using a target variance for an estimate to be derived from the sample eventually obtained
• using a target for the power of a statistical test to be applied once the sample is collected.
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Topic : Sample Size & Determinants of sample size
BA5202 :: BRM - UNIT 3 - NOTES PREPARED BY Dr.E.DEEPA, PROFESSOR / MBA
Sample Size determination: Dictionary Meaning:
Sample size
Sample size determination is the act of choosing the number of observations determination is the
or replicates to include in a statistical sample. The sample size is an important feature act of choosing the
of any empirical study in which the goal is to make inferences about number of
a population from a sample. In practice, the sample size used in a study is determined observations
or replicates to
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based on the expense of data collection, and the need to have sufficient statistical include in a statistical
power. In complicated studies there may be several different sample sizes involved in sample
the study: for example, in a survey sampling involving stratified sampling there
would be different sample sizes for each population. In a census, data are collected on
the entire population, hence the sample size is equal to the population size.
In experimental design, where a study may be divided into different treatment groups, Teaching Aid:
there may be different sample sizes for each group. CB
Sample sizes may be chosen in several different ways:
•
obtained
using a target for the power of a statistical test to be applied once the sample is
collected.
will form a 95% confidence interval for the true proportion. If this interval needs to
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can be solved for n, yielding[2][3] n = 4/W2 = 1/B2 where B is the error bound on the
estimate, i.e., the estimate is usually given as within ± B. So, for B = 10% one
requires n = 100, for B = 5% one needs n = 400, for B = 3% the requirement
approximates to n = 1000, while for B = 1% a sample size of n = 10000 is required.
These numbers are quoted often in news reports of opinion polls and other sample
surveys.
Estimation of means
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BA5202 :: BRM - UNIT 3 - NOTES PREPARED BY Dr.E.DEEPA, PROFESSOR / MBA
A proportion is a special case of a mean. When estimating the population mean using
an independent and identically distributed (iid) sample of size n, where each data
value has variance σ2, the standard error of the sample mean is:
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This expression describes quantitatively how the estimate becomes more precise as
the sample size increases. Using the central limit theorem to justify approximating the
sample mean with a normal distribution yields an approximate 95% confidence
interval of the form
Sampling Techniques:
EE
Topic : Sampling Techniques
Teaching Aid:
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Non-probability Sampling Techniques CB
knowledge of a population and the purpose of the study. For example, if a researcher
is studying the nature of school spirit as exhibited at a school pep rally, he or she
might interview people who did not appear to be caught up in the emotions of the
crowd or students who did not attend the rally at all. In this case, the researcher is
using a purposive sample because those being interviewed fit a specific purpose or
description.
Snowball Sample.
A snowball sample is appropriate to use in research when the members of a
population are difficult to locate, such as homeless individuals, migrant workers, or
undocumented immigrants. A snowball sample is one in which the researcher collects
data on the few members of the target population he or she can locate, then asks those
individuals to provide information needed to locate other members of that population
whom they know. For example, if a researcher wishes to interview undocumented
immigrants from Mexico, he or she might interview a few undocumented individuals
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BA5202 :: BRM - UNIT 3 - NOTES PREPARED BY Dr.E.DEEPA, PROFESSOR / MBA
that he or she knows or can locate and would then rely on those subjects to help locate
more undocumented individuals. This process continues until the researcher has all
the interviews he or she needs or until all contacts have been exhausted.
Quota Sample.
A quota sample is one in which units are selected into a sample on the
basis of pre-specified characteristics so that the total sample has the same distribution
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of characteristics assumed to exist in the population being studied. For example, if
you a researcher conducting a national quota sample, you might need to know what
proportion of the population is male and what proportion is female as well as what
proportions of each gender fall into different age categories, race or ethnic categories,
educational categories, etc. The researcher would then collect a sample with the same
proportions as the national population.
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The simple random sample is the basic sampling method assumed in
statistical methods and computations. To collect a simple random sample, each unit of
the target population is assigned a number. A set of random numbers is then
generated and the units having those numbers are included in the sample. For
example, let’s say you have a population of 1,000 people and you wish to choose a
simple random sample of 50 people. First, each person is numbered 1 through 1,000.
Then, you generate a list of 50 random numbers (typically with a computer program)
and those individuals assigned those numbers are the ones you include in the sample.
Systematic Sample.
In a systematic sample, the elements of the population are put into a list
and then every kth element in the list is chosen (systematically) for inclusion in the
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sample. For example, if the population of study contained 2,000 students at a high
school and the researcher wanted a sample of 100 students, the students would be put
into list form and then every 20th student would be selected for inclusion in the
sample. To ensure against any possible human bias in this method, the researcher
should select the first individual at random. This is technically called a systematic
sample with a random start.
Stratified Sample.
A stratified sample is a sampling technique in which the researcher
divided the entire target population into different subgroups, or strata, and then
randomly selects the final subjects proportionally from the different strata. This type
of sampling is used when the researcher wants to highlight specific subgroups within
the population. For example, to obtain a stratified sample of university students, the
researcher would first organize the population by college class and then select
appropriate numbers of freshmen, sophomores, juniors, and seniors. This ensures that
the researcher has adequate amounts of subjects from each class in the final sample.
Cluster Sample.
Cluster sampling may be used when it is either impossible or impractical
to compile an exhaustive list of the elements that make up the target population.
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Usually, however, the population elements are already grouped into subpopulations
and lists of those subpopulations already exist or can be created. For example, let’s
say the target population in a study was church members in the United States. There
is no list of all church members in the country. The researcher could, however, create
a list of churches in the United States, choose a sample of churches, and then obtain
lists of members from those churches
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random whole population representative if all complete list of
subjects participate; population members;
the ideal potentially
uneconomical to
achieve; can be
disruptive to isolate
members from a group;
time-scale may be too
long, data/sample could
change
Stratified Random sample from Can ensure that More complex, requires
random
Cluster
identifiable groups
(strata), subgroups,
etc.
Random samples of
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specific groups are
represented, even
proportionally, in
the sample(s) (e.g.,
by gender), by
selecting
individuals from
strata list
Possible to select
greater effort than
simple random; strata
must be carefully
defined
Page 23 of 24.
BA5202 :: BRM - UNIT 3 - NOTES PREPARED BY Dr.E.DEEPA, PROFESSOR / MBA
appropriate subjects even exist (e.g.,
drug abusers,
criminals)
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convenien consequence of not numbers of a study
ce all those selected
finally participating,
or a set of subjects
who just happen to
be available
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.E.D
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