Research Methodology PDF

Business Research Method
Dr. Ganesh Pathak

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Dr.Ganesh Pathak - 9730765316
Research

Definition of Research
“A scientific and systematic search for pertinent information on a specific

topic. In fact, research is an art of scientific investigation.” – C.R.Kothari
1 Redman and Mory define research as a

“Systematized effort to gain new knowledge.”
A broad definition of research is given by Martyn Shuttleworth –

"In the broadest sense of the word, the definition of research includes any
gathering of data, information and facts for the advancement of knowledge."

Definition of Research
“A scientific and systematic search for pertinent information on a specific

topic. In fact, research is an art of scientific investigation.” – C.R.Kothari
The Advanced Learner’s Dictionary of Current English lays down the

meaning of research as
“a careful investigation or inquiry specially through search for new facts in
any branch of knowledge.”
1 Redman and Mory define research as a

“Systematized effort to gain new knowledge.”
A broad definition of research is given by Martyn Shuttleworth –

"In the broadest sense of the word, the definition of research includes any
gathering of data, information and facts for the advancement of knowledge."
Another definition of research is given by Creswell who states - "Research is a

process of steps used to collect and analyze information to increase our
understanding of a topic or issue".
It consists of three steps: Pose a question, collect data to answer the question,
and present an answer to the question. Dr.Ganesh Pathak - 9730765316
Objectives of Research
 Research Extends knowledge
 Research unravels the mysteries
 Research verifies and tests
 Research analyse Inter relationships
 Applied research aims at finding solution
 It aims to develop tools concepts

What is Good Research
Characteristics of research What a Manager should look for in Research Done by others or include
in Self Directed Research
Purpose clearly defined Researcher distinguishes between symptoms of organizations problem.
Research Process detailed Researcher provides complete research proposal
High ethical thoroughly planned Exploratory procedures are outlined with construct defined
Sample unit is clearly described along sampling methodology
Data collection procedures are selected and designed.
High ethical standards applied Safeguards are in place to protect study participants, organizations
client and researchers.
Recommendations do not exceed the scope of the study.
Limitations frankly revealed Desired procedure is compared with actual procedure in report.
Desired sample compared with actual sample in the report.
Impact findings and conclusions is detailed.
Adequate analysis for decision Sufficiently detailed findings are tied to collection instruments.
makers needs
Findings presented clearly Findings are clearly presented in words, tables and graphs
Findings are logically organized to facilitate reaching a decision about
the managers problem.
Executive summary of conclusions is outlined.
Detailed table of contents is tied to the conclusions and findings
presentation
Conclusions justified Decision based conclusions are matched with detailed findings
Researchers experienced Researcher provides experience/ credentials with report.
reflected
Types of Research
On the basis of application
 Basic research- How did the universe begin
 Applied Research – Improve agriculture crop production
On the basis of Objectives
 Exploratory
 Descriptive
 Causal
On the basis of theory
 Theoretical
 Empirical
On the basis of time dimension
 Cross Sectional
 Longitudinal
Steps of Research Process
Review the literature

Design research
Review concepts (including
Define Analyse data
and theories Formulate sampleIIdesign) (Test Interpret
research review previous Collect Data
hypotheses Collect data hypotheses and report
problem research finding (Execution)
F F F if any)
I II III IV V VI VII
Where F = feed back (Helps in controlling the sub-system

to which it is transmitted)

Research Application in Functional areas of Management:
• General management
• Marketing Management
• Human Resource Management
• Financial Management
• Operations
• Supply Chain management
• Information Technology
• International Business

Significance
 Making future forecast
 Understanding marketplace
 Improving the quality of decision making
 Solving operational and planning problem
 Expanding existing business
 Exploring new ideas

Content of Research Proposal
1. Introduction
2. Management Problem
3. Research Problem
4. Review of Literature
5. Objectives of the Study
6. Hypothesis (if any)
7. Scope of the Study: (Geographical Scope, Conceptual Scope)
8. Importance/ Significance of the Study : (Importance to Organization, Society,
Researcher)
9. Research Methodology
Type of Research: (Exploratory, Descriptive, Diagnostic, Experimental)
Data Required:
Primary Data: (e.g. Demographic Profile, Investment avenues )
Secondary Data: (e.g. Concept of Investment and Saving,
different avenues available in market)
Data Source
Primary Data: (e.g. Interviews, Discussion with sample)
Secondary Data: (e.g. Books, Journals, News Paper)
Instrument: (e.g. Schedule, Observation, questionnaire)
Sampling: (Basis of Population size)
10. Data analysis: (e.g. Various Statistical tools)
11. Budget
Data Collection, Data analysis, Meetings with client, Travel, Mail and
telephonic cost, Internet, Report Preparation, Manpower cost, Printing
Cost etc.
Evaluating a Research Proposal
The formal review process varies but typically includes:
1. Development of review criteria, using RFP(Request for Proposal)
guidelines.
2. Assignment of points to each criterion, using a universal scale.
3. Assignment of a weight for each criterion, based on importance of
each criterion.
4. Generation of a score for each proposal, representing the sum of all
weighted criterion scores.
Other Factor:
1. Neatness
2. Organization, in terms of being both logical and easily understood.
3. Completeness in fulfilling the RFPs specifications, including budget
and schedule
4. Appropriateness of writing style.
5. Submission within the RFP’s timeline.

Research Design

Research Design
Decisions regarding what, where, when, how much, by what means

concerning an inquiry
Design decisions happen to be in respect of:

(i) What is the study about?
(ii) Why is the study being made?
(iii) Where will the study be carried out?
(iv) What type of data is required?
(v) Where can the required data be found?
(vi) What periods of time will the study include?
(vii) What will be the sample design?
(viii) What techniques of data collection will be used?
(ix) How will the data be analysed?
(x) In what style will the report be prepared?

A research design appropriate for a particular research problem,
usually involves the consideration of the following factors:
(i) The means of obtaining information;
(ii) The availability and skills of the researcher and his staff, if any;
(iii) The objective of the problem to be studied;
(iv) The nature of the problem to be studied; and
(v) The availability of time and money for the research work.

FEATURES OF A GOOD DESIGN
A good design is often characterized by adjectives like
• Objectivity
• Reliability
• Validity
• Generalization
• Adequate Information
• Flexible,
• Appropriate,
• Efficient,
• Economical and so on.
Generally, the design which minimises bias and maximises the

reliability of the data collected and analysed is considered a good
design.
One single design cannot serve the purpose of all types of research
problems.

USE OF A GOOD DESIGN
A good design is often characterized by adjectives like
• Accurate Results
• Control of Variance
• Provides Blueprint
• Facilitates Systematic Investigation
• Visualizes and Forecasts Potential Problem

Factors affecting on Research Design
• Nature of the Research Questions
• Secondary Data
• Availability of Sufficient Primary Data
• Social and Cultural Factors
• Resources and time Constraints
• Availability of Money
• Usefulness

Types of Research Design
• Exploratory Research Design
 Literature Research Design
 Depth Interview
 Case Study
 Focus Group

• Descriptive and Diagnostic Research Design
 Observational
 Case Study
 Survey Method

• Experimental Research Design
 Pre Experimental
 True Experimental
 Statistical

Qualitative Research Approach
 Use for studying human behavior and habits
 E.g Useful for Product design
 Designer generating some ideas for a new product development
Characteristics:
 Effort to understand situation
 Researcher is the primary instrument for data collection and analysis
 Fieldwork is majorly use for data collection
 Used for development of concepts, hypothesis and therioes

Classification
 Ethnographic Approach:
Study of entire Culture depends on Ethnography
Observations are used in fieldwork
 Phenomenological Approach
Used to establish ‘meaning’
In-depth Interview- Phylosophy
 Field Research
 Grounded Theory: Glaser and Strauss – 1960
Coding
Memoing
Integrating Diagrams
Techniques
 Depth Interview
 Focus Group
 Projective Technique

Pros
 Simplify Complex Subject
 Easy to plan and carry
 Generation of Useful Data
 Independent
Cons
 Require careful thought and Planning
 Cannot mathematically analysed
 Doesn't Give Results
 Cannot be reviewed

Quantitative Research Approach
 Standard Experimental method
 Referred as true science
 Use traditional mathematical and statistical means for measurement
 Used by Physical Scientists, Social Sciences, Education and economics
Characteristics:
 Based on numerical measurements
 Associated with analysis
 Associated with large scale studies with a specific focus
 Validity and reliability can be measured numerically using statistical tests

Classification
 Inferential Approach:
Relationships of population is inferred
 Using descriptive and inferential statistics for analysis
 Experimental Approach:
Variables are manipulated to observe their effect on other variables
Used in hard sciences like Physics.
 Simulation approach:
Artificial environment within which relevant information and data can be
generated.
Helpful for understanding future conditions

Techniques
 Observations:
Recording data using instruments. e.g. following traffic rules
 Survey:
Planned effort to collect desire information
Systematic gathering of data from respondents through questionnaires.
e.g Census
 Experiments :
Manupuliting the independent variable to determine how it affects the
dependent variables e.g. Test Marketing

Pros
 Helps in finalizing results
 Obtaining legitimate Results
 Real and unbiased results
Cons
 Difficult and Expensive
 Extensive statistical analysis

Exploratory Research Design
 Explore the hidden things, which are not clearly visible.
 Conducted for a problem that has not clearly defined
Objectives of Exploratory Research Design
Precise formulation of the problem
Establish priorities for further research
Design appropriate information collection procedure
Determine nature of relationship between various factors
Gather information on the problems

Types
Projective Technique
 Unstructured, indirect form of questioing that encourages respondents
to project their underlying motivation, beliefs, attitude or feelings.
 Respondents are asked to interpret the behaviour of others rather than
their own.
Types of Projective Techniques
 Sentence Completion
 Word Association
 Story completion
 Tests and examinations

Types
Depth Interview
 Used for collection of qualitative data
Steps of Depth Interview
1. Set Research Objectives
2. Select Interviewees
3. Write Interviewer Outline
4. Conduct Interviews
5. Transcribe and Edit Interviews
6. Analyze findings, write report

Types
Experience Surveys
 Gathering information from those thought to be knowledgeable on the
issues relevant to the research problem
Significance:
 Gaining additional knowledge
 Collecting vital information
 Obtained from Experienced People
Limitation:
Diificult in obtaining secondary Data
Inflexible Questionnaire
Possibility of Altering Perception

Focus Group
Interaction between the moderator and the group.
E.g. New product or concept Development, New employee motivation
programme
Significance:
• Cost and Speed
• Observation
• Group Interaction
• Creativity is enhanced
• Limitation:
• Non Representative sample
• Effect of Moderator Dr.Ganesh Pathak - 9730765316

Observation
used to study Behavioural Science
E.g. buying Behavior in retail outlet
Significance:
• Superior in Data Collection on non verbal behaviour
• Natural Environment
Limitation:
• Lack of Control
• Small Sample Size

Use of Exploratory Research
Investigation of an Issue
• Gaining Information
• Establishing Priorities
• Clarifying Concepts
• Formulating Problems
• To know trends in the market
Significance
• New Discoveries can be made
• Increasing Understanding
• Flexibility of Sources
• Better Conclusion
Descriptive Research Design
• Characteristics of user of a given product
• Degree to which product varies with income, age, sex
Diagnostic Research Design
• Accurately classifying the condition
• Fact finding aspect of clinical practice
Objectives
• To describe the characteristics of relevent groups such as consumer,
sales people
• To determine the perceptions of product characteristics
• To make specific prediction.

Descriptive Research Design
• Undertaken to obtain answer to questions of who, where, when and
how.
• Researcher wish to know
• Who is the customer
• What brands they buy an in what quantities
• Where they buy the brands
• When they shop
• How they found out about various products

Types
• Cross Sectional Research
• Concerned with a sample of elements from a given population
• Involves the collection of information from any given sample of population
elements only once.
• Single Cross Sectional Design
• Only one sample of respondents is drawn from the target population.
• Single Cross Sectional Design
• Toe or more samples of respondents and information from each sample is
obtained only once
• Information obtained at different times over long intervals.

Types
• Longitudinal Research
• Samples are interviewed and then re interviewed from time to time.
• E.g. record purchase of a number of product at regular intervals. (weekly,
monthly, quarterly)
• Multiple measurements

Experimental Research Design
• Causal Relationship
• Direct Causal
• Indirect Causal
• Moderated causal
• Unanalyzed
• Treatment and Control Group
• Group A and Group B

Use of Experimental Research Design
• Understanding Consumer Behaviour
• In the field of Sales
• Searching for facts
• Testing validity
• Business Communication
• Significance
• Cause and effect
• Reliable result
• Provide helpful insight
• Control over variables

Contents
Hypothesis Formulation
 Basics of Hypothesis
 Errors in Research
Hypothesis Testing
 Five Step Method of Hypothesis Testing
 Non Statistical & Statistical Hypothesis Testing
o Parametric Test
o Non parametric Test
Concepts of Hypothesis Testing- Three ways

 Unstandardized Test Statistics
 Standardized Test Statistics
 P-value Approach
From the Dictionary
Meaning of hypothesis is,
Tentative assumptions.
Unproved theory,
Educated guess,
Basis for discussion..

Concept of Hypothesis
Hypotheses are the alternative answers to the research question, the

research determines which of these alternative answers is correct.
Hypothesis is a preposition that the researcher wants to verify.
Hypothesis are generally concerned with

 the causes of certain phenomenon or
 relationship between two or more variables under investigation..

Defining Hypothesis
“Hypothesis is proposition not known to be definitely true
or false, examined for the sake of determining the
consequences which would follow from its truth”. - Max
Black
Hypothesis as a possible explanation of the phenomenon

under observation…
Prof. C.T.Curien…….

Hypothesis
• Qualities of Good Hypothesis
• Clear and Precise
• Ability to test
• State Relationship
• Limited scope
• Simple
• Consistent
• Logical

In few cases especially exploratory research the most reasonable
hypothesis statement is simply a trivial restatement for the research
question.
eg. Question: will the advertisement attract attention?

Hypothesis: advertisement attracts attention.
In such case the hypothesis will not add anything to the research
and should simply be omitted..

The Functions of Hypothesis
 A hypothesis gives a definite point to the investigation and it guides
the direction on the study. Without hypothesis, research becomes
unfocussed.
 A hypothesis specifies the sources of data, which shall be studied
and in what context they shall be studied.
 It determines the data need: it prevents blind search. It defines
which facts are relevant and which are not.
 A hypothesis suggests which type of research is likely to be most
appropriate.
 It determines the most appropriate technique of analysis.
 A hypothesis contributes to the development of theory. It links
theory and investigation..
eg. There is no significant difference in the skills possessed before

perusing MBA and skills possessed after MBA course.

Characteristics of a Good Hypothesis
eg. There is no significant difference in the skills possessed before perusing

MBA and skills possessed after MBA course.
 Conceptual clarity
 Specificity
 Testability
 Availability of techniques
 Theoretical relevance
 Consistency –Two or more propositions logically derived from the same
theory must not be mutually contradictory. .

Types of Hypothesis
Working hypothesis :
eg. Demographic factors and investment avenues are related.
A 'working hypothesis' is a hypothesis that is provisionally accepted as a

basis for further research in the hope that a tenable theory will be
produced, even if the hypothesis ultimately fails.
Descriptive Hypothesis:
eg. People working in government sector prefer to invest in tax savings

investment avenues.
A descriptive hypothesis can be defined as a hypothesis that cautiously

describes a behavior in terms of its particular characteristics, and/or the
situation in which it occurs (Heiman, 2002). .

Relational Hypothesis:
Describes the relationship between two or more variables.
• The greater the stress experienced in the job the lower the job-satisfaction.(
directional)
• Women are better than men. There is a relationship between gender and job-
satisfaction. (Non-directional)
Correlation Hypotheses
• Only shows the correlation between two or more variables but no claims are
made that one causes the other.
eg. There is positive correlation between income and savings percentage.
Explanatory Hypotheses.
• Claims are made that one variable causes other to occur.
eg. Young age group prefers to invest in risky investment avenues as compare to
elderly investors prefer safer investment avenues..

Null Hypothesis
The null hypothesis typically corresponds to a general or default position. The

null hypothesis might be that there is no relationship between two measured
phenomena.
The null hypothesis attempts to show that no variation exists between

variables, or that a single variable is no different than zero. It is presumed to be
true until statistical evidence nullifies it for an alternative hypothesis.
Null hypothesis is a statement in which no difference or effect is expected. .

Statistical Hypothesis
A statistical hypothesis is
A statement about the value of a population parameter (e.g., mean, median,

mode, variance, standard deviation, proportion, total).
Eg. The mean age of all MBA students is 23.4 years with a standard deviation of
0.8 years.
Ho: μ = 23.4
H1: μ ≠ 23.4

Data ?

Secondary and Primary Data Collection
 Secondary:
Published information available from other sources that has
already been gathered. This information is relevant to the
problem at hand. Either internal or external to an
organisation
 Primary:
Data collected for the first time, by a method other than
secondary research, to answer specific questions. Primary
data comes from the researcher for the purpose of the
specific purpose it hand.

Advantages and Disadvantages of Secondary Research
 Advantages
1. Inexpensive
2. Easily accessible
3. Immediately available
4. Will provide essential background and help to clarify
or refine research problem – essential for literature
review
5. Secondary data sources will provide research
method alternatives.
6. Will also alert the researcher to any potential
difficulties.

Advantages and Disadvantages of Secondary Research
 Disadvantages
1. Frequently outdated – e.g. census data
2. Potentially unreliable – not always sure where
information has come from
3. May not be applicable – may not totally answer your
research questions
4. Lack of availability – i.e. no data available or very
difficult to obtain
Advantages and Disadvantages of Primary
Research
 Advantages
1. Applicable and usable – if done right
2. Accurate and reliable – can answer your direct
research questions
3. Up-to-date – as you have collected the data
Advantages and Disadvantages of Primary
Research
 Disadvantages
1. Expensive
2. Not immediately available – takes time to define
problem, sampling frame, method and analysis.
3. Not as readily accessible
Primary Research Methods &
Techniques
Primary Research
Quantitative Data Qualitative Data
Surveys Experiments Focus groups
 Personal interview
(intercepts) Individual depth
 Mail
Mechanical
interviews
 In-house, self- observation
administered Human
 Telephone, fax, e- observation
mail, Web Simulation
Case studies
Primary Research Methods
1. Experimental (e.g. test marketing)
2. Observational (human and mechanical)
3. Survey (mail, telephone, personal interview,
in-house self-administered, online)
4. Focus groups (groups of 8 to 12 people with
moderator trying to reach a consensus of
opinions)
Personal Interviews (including focus groups)
 Advantages
1. High response rate
2. Great flexibility (ability to adapt/explain
questions)
3. Can show or demonstrate items
4. Fuller explanations can be given
5. Very timely data
6. Body language can emphasize responses
Personal Interviews
 Disadvantages
1. Relatively expensive
2. Possibility of interviewer and interviewee bias
3. Personal nature of questions (e.g., age or income)
4. Respondents not relaxed (put on the spot)
5. Time may not be convenient for respondents
Mail Surveys
 Advantages
1. Relatively inexpensive
2. No interviewer bias
3. Consistent questions (for all respondents)
4. Large number of respondents can be included
5. Respondents can choose the most convenient time
to answer
Mail Surveys
 Disadvantages
1. Low response rates (relative to other survey
types)
2. Impersonal nature
Telephone Surveys
 Advantages
1. More flexibility compared to mail surveys
2. Quicker but will cost you some money (telephone bill)
3. High response rates
 Disadvantages
1. Greater difficulties in rapport building - Researchers cannot
study behaviour or body language
2. Long-distance calls are expensive
Online Surveys
 Advantages
1. Relative speed and flexibility
2. Large and growing audience
3. Relatively inexpensive
4. Uses graphics and visual aids
 Disadvantages
1. Technical skills and time required to develop and analyse
questionnaires
2. May deter visitors from your website.
Sources of Secondary Research Information
 Library – books, journals, newspapers, CD-roms,

directories.
 Internet – on-line computer searches e.g. Data bases,
periodicals (Emerald) and newsletters, demographic
data (GIS). (URLs and Search engines)
 Trade associations and societies (also available on
internet).
 Census – also government data on internet
 Published company accounts
Sources of Secondary Research Information
 Sales invoices – e.g. memberships or flights sold

 Usage figures – e.g. leisure centre
 Personnel records – e.g. staff turnover
 Sales people – e.g. expense accounts, call
reports
Measurement
Concept of measurement:
• “Measurement is the mapping of the values on a set of
numbers”. – Johan Galtung
• “Measurement is the assignment of numerals to objects or
events according to rules”. - Kerlinger

Functions of Measurement
Facilitates Description of Social and psychological Phenomena- empirical
description. E.g. Cultural based research
Provides Data for Statistical Operations- Measuring the relationship between
variables
Facilitates testing of theories – testing of hypothesis- Researcher derive
hypothesis from these theories and subject them to empirical test.
Enables Researchers in differentiation- differentiate between objects or people
e.g. Do girls perform better then boys in college examination

Difficulties in Measurement
Irrelevant Data
Inaccurate Responses
Training in measurement is rare
Criteria for Good Measurement
• Reliability
• Validity
• Practical
• Sensitivity: e.g. Agree
• Economy
• Convenience
Develop Questionnaire
To study Customer Satisfaction on Mobile handset

Primary Scales of Measurement
Nominal Scale
 The numbers serve only as labels or tags for identifying
and classifying objects.
 When used for identification, there is a strict one-to-
one correspondence between the numbers and the
objects.
 The numbers do not reflect the amount of the
characteristic possessed by the objects.
 The only permissible operation on the numbers in a
nominal scale is counting.
 Only a limited number of statistics, all of which are
based on frequency counts, are allowed, e.g.,
percentages, and mode.
Ordinal Scale
 A ranking scale in which numbers are assigned to
objects to indicate the relative extent to which the
objects possess some characteristic.
 Can determine whether an object has more or less of a
characteristic than some other object, but not how
much more or less.
 Any series of numbers can be assigned that preserves
the ordered relationships between the objects.
 In addition to the counting operation allowable for
nominal scale data, ordinal scales permit the use of
statistics based on centiles, e.g., percentile, quartile,
median.

Interval Scale
 Numerically equal distances on the scale represent
equal values in the characteristic being measured.
 It permits comparison of the differences between
objects.
 The location of the zero point is not fixed. Both the zero
point and the units of measurement are arbitrary.
 Any positive linear transformation of the form y = a + bx
will preserve the properties of the scale.
 It is meaningful to take ratios of scale values.
 Statistical techniques that may be used include all of
those that can be applied to nominal and ordinal data,
and in addition the arithmetic mean, standard
deviation, and other statistics commonly used in
marketing research.
Ratio Scale
 Possesses all the properties of the nominal, ordinal, and
interval scales.
 It has an absolute zero point.
 It is meaningful to compute ratios of scale values.
 Only proportionate transformations of the form y = bx,
where b is a positive constant, are allowed.
 All statistical techniques can be applied to ratio data.

Scale Basic Common Marketing Permissible Statistics
Characteristics Examples Examples Descriptive Inferential
Nominal Numbers Social Security Brand nos., Percentages, Chi-square,
identify & nos., numbering store types mode binomial
classify objects of football test
players
Ordinal Nos. indicate the Quality Preference Percentile, Rank-order
relative rankings, rankings, median correlation,
positions of rankings of market Friedman
objects but not teams in a position, social ANOVA
the magnitude tournament class
of differences
between them
Interval Differences Temperature Attitudes, Range, mean, Product-
between objects (Fahrenheit) opinions, index standard moment
Ratio Zero point is Length, weight Age, sales, Geometric Coefficient
fixed, ratios of income, costs mean, of variation
scale values can harmonic
be compared mean

Sampling
LEARNING OBJECTIVES
 Learn the reasons for sampling
 Develop an understanding about different

sampling methods
 Distinguish between probability & non

probability sampling
 Discuss the relative advantages & disadvantages

of each sampling methods
83
SAMPLING
 A sample is “a smaller (but hopefully representative)

collection of units from a population used to determine
truths about that population” (Field, 2005)
 Why sample?
◦ Resources (time, money) and workload
◦ Gives results with known accuracy that can be
calculated mathematically
 The sampling frame is the list from which the potential
respondents are drawn
◦ Registrar’s office
◦ Class rosters
8
4
SAMPLING……
 What is your population of interest?
 To whom do you want to generalize your
results?
 All doctors
 School children
 Indians
 Women aged 15-45 years
 Other
 Can you sample the entire population?
85
SAMPLING…….
 3 factors that influence sample

representative-ness
 Sampling procedure
 Sample size
 Participation (response)
 When might you sample the entire

population?
 When your population is very small
 When you have extensive resources
 When you don’t expect a very high response
86
SAMPLING BREAKDOWN 87
SAMPLING…….
STUDY POPULATION
SAMPLE
TARGET POPULATION
88
Types of Samples
 Probability (Random) Samples
 Simple random sample
 Systematic random sample
◦ Stratified random sample
◦ Multistage sample
◦ Multiphase sample
◦ Cluster sample
 Non-Probability Samples
◦ Convenience sample
◦ Purposive sample
◦ Quota
89
Process
 The sampling process comprises several stages:
Defining the population of concern
Specifying a sampling frame, a set of items or
events possible to measure
Specifying a sampling method for selecting
items or events from the frame
Determining the sample size
Implementing the sampling plan
Sampling and data collecting
Reviewing the sampling process
90
Population definition
 A population can be defined as including all people
or items with the characteristic one wishes to
understand.
 Because there is very rarely enough time or money
to gather information from everyone or everything
in a population, the goal becomes finding a
representative sample (or subset) of that
population.
91
Population definition…….
 Note also that the population from which the
sample is drawn may not be the same as the
population about which we actually want
information. Often there is large but not complete
overlap between these two groups due to frame
issues etc .
 Sometimes they may be entirely separate - for
instance, we might study rats in order to get a
better understanding of human health, or we might
study records from people born in 2008 in order to
make predictions about people born in 2009.
92
SAMPLING FRAME
 In the most straightforward case, such as the
sentencing of a batch of material from production
(acceptance sampling by lots), it is possible to
identify and measure every single item in the
population and to include any one of them in our
sample. However, in the more general case this is not
possible. There is no way to identify all rats in the
set of all rats. Where voting is not compulsory,
there is no way to identify which people will actually
vote at a forthcoming election (in advance of the
election)
 As a remedy, we seek a sampling frame which has
the property that we can identify every single
element and include any in our sample .
 The sampling frame must be representative of the
population
93
PROBABILITY SAMPLING
 A probability sampling scheme is one in which

every unit in the population has a chance
(greater than zero) of being selected in the
sample, and this probability can be accurately
determined.
 . When every element in the population does

have the same probability of selection, this is
known as an 'equal probability of selection'
(EPS) design. Such designs are also referred to
as 'self-weighting' because all sampled units are
given the same weight.
94
PROBABILITY SAMPLING…….
 Probability sampling includes:

 Simple Random Sampling,
 Systematic Sampling,
 Stratified Random Sampling,
 Cluster Sampling
 Multistage Sampling.
 Multiphase sampling
95
NON PROBABILITY SAMPLING
 Any sampling method where some elements of population
have no chance of selection (these are sometimes
referred to as 'out of coverage'/'undercovered'), or
where the probability of selection can't be accurately
determined. It involves the selection of elements based
on assumptions regarding the population of interest,
which forms the criteria for selection. Hence, because
the selection of elements is nonrandom, nonprobability
sampling not allows the estimation of sampling errors..
 Example: We visit every household in a given street, and

interview the first person to answer the door. In any
household with more than one occupant, this is a
nonprobability sample, because some people are more
likely to answer the door (e.g. an unemployed person who
spends most of their time at home is more likely to
answer than an employed housemate who might be at
work when the interviewer calls) and it's not practical to
calculate these probabilities.
96
NONPROBABILITY
SAMPLING…….
• Nonprobability Sampling includes:
Accidental Sampling, Quota Sampling and
Purposive Sampling. In addition,
nonresponse effects may turn any
probability design into a nonprobability
design if the characteristics of
nonresponse are not well understood,
since nonresponse effectively modifies
each element's probability of being
sampled.
97
SIMPLE RANDOM SAMPLING
• Applicable when population is small, homogeneous
& readily available
• All subsets of the frame are given an equal
probability. Each element of the frame thus has
an equal probability of selection.
• It provides for greatest number of possible
samples. This is done by assigning a number to
each unit in the sampling frame.
• A table of random number or lottery system is
used to determine which units are to be selected.
98
SIMPLE RANDOM SAMPLING……..
 Estimates are easy to calculate.

 Simple random sampling is always an EPS design, but
not all EPS designs are simple random sampling.
 Disadvantages
 If sampling frame large, this method impracticable.
 Minority subgroups of interest in population may not
be present in sample in sufficient numbers for study.
99
REPLACEMENT OF SELECTED UNITS
 Sampling schemes may be without

replacement ('WOR' - no element can be
selected more than once in the same
sample) or with replacement ('WR' - an
element may appear multiple times in the
one sample).
 For example, if we catch fish, measure
them, and immediately return them to the
water before continuing with the sample,
this is a WR design, because we might end
100
SYSTEMATIC SAMPLING
 Systematic sampling relies on arranging the target
population according to some ordering scheme and then
selecting elements at regular intervals through that
ordered list.
 Systematic sampling involves a random start and then
proceeds with the selection of every kth element from
then onwards. In this case, k=(population size/sample size).
 It is important that the starting point is not automatically
the first in the list, but is instead randomly chosen from
within the first to the kth element in the list.
 A simple example would be to select every 10th name from
the telephone directory (an 'every 10th' sample, also
referred to as 'sampling with a skip of 10').
101
SYSTEMATIC SAMPLING……
As described above, systematic sampling is an EPS method, because all
elements have the same probability of selection (in the example
given, one in ten). It is not 'simple random sampling' because
different subsets of the same size have different selection
probabilities - e.g. the set {4,14,24,...,994} has a one-in-ten
probability of selection, but the set {4,13,24,34,...} has zero
probability of selection.
102
SYSTEMATIC SAMPLING……
 ADVANTAGES:
 Sample easy to select
 Suitable sampling frame can be identified easily
 Sample evenly spread over entire reference population
 DISADVANTAGES:
 Sample may be biased if hidden periodicity in population
coincides with that of selection.
 Difficult to assess precision of estimate from one survey.
103
STRATIFIED SAMPLING
Where population embraces a number of distinct categories,

the frame can be organized into separate "strata." Each
stratum is then sampled as an independent sub-population,
out of which individual elements can be randomly selected.
 Every unit in a stratum has same chance of being selected.
 Using same sampling fraction for all strata ensures
proportionate representation in the sample.
 Adequate representation of minority subgroups of interest
can be ensured by stratification & varying sampling fraction
between strata as required.
104
STRATIFIED SAMPLING……
 Finally, since each stratum is treated as an
independent population, different sampling
approaches can be applied to different strata.
 Drawbacks to using stratified sampling.

 First, sampling frame of entire population has to be
prepared separately for each stratum
 Second, when examining multiple criteria, stratifying
variables may be related to some, but not to others,
further complicating the design, and potentially
reducing the utility of the strata.
 Finally, in some cases (such as designs with a large
number of strata, or those with a specified minimum
sample size per group), stratified sampling can
potentially require a larger sample than would other
methods
105
STRATIFIED SAMPLING…….
Draw a sample from each stratum
106
CLUSTER SAMPLING
 Cluster sampling is an example of 'two-stage
sampling' .
 First stage a sample of areas is chosen;
 Second stage a sample of respondents within
those areas is selected.
 Population divided into clusters of homogeneous
units, usually based on geographical contiguity.
 Sampling units are groups rather than individuals.
 A sample of such clusters is then selected.
 All units from the selected clusters are studied.
107
CLUSTER SAMPLING…….
 Advantages :
 Cuts down on the cost of preparing a
sampling frame.
 This can reduce travel and other
administrative costs.
 Disadvantages: sampling error is higher
for a simple random sample of same size.
 Often used to evaluate vaccination
coverage in EPI
108
• Identification of clusters
– List all cities, towns, villages & wards of cities with their
population falling in target area under study.
– Calculate cumulative population & divide by 30, this gives sampli
interval.
– Select a random no. less than or equal to sampling interval havin
same no. of digits. This forms 1st cluster.
– Random no.+ sampling interval = population of 2nd cluster.
– Second cluster + sampling interval = 4th cluster.
– Last or 30th cluster = 29th cluster + sampling interval
109
Two types of cluster sampling
methods.
One-stage sampling. All of the
elements within selected clusters
are included in the sample.
Two-stage sampling. A subset of
elements within selected clusters
are randomly selected for inclusion
in the sample.
110
Difference Between Strata and Clusters
 Although strata and clusters are both non-

overlapping subsets of the population, they
differ in several ways.
 All strata are represented in the sample; but
only a subset of clusters are in the sample.
 With stratified sampling, the best survey
results occur when elements within strata are
internally homogeneous. However, with cluster
sampling, the best results occur when elements
within clusters are internally heterogeneous
111
MULTISTAGE SAMPLING
 Complex form of cluster sampling in which two or
more levels of units are embedded one in the other.
 First stage, random number of districts chosen in

all
states.
 Followed by random number of talukas, villages.
 Then third stage units will be houses.
 All ultimate units (houses, for instance) selected at

last step are surveyed.
112
MULTISTAGE SAMPLING……..
 This technique, is essentially the process of taking
random samples of preceding random samples.
 Not as effective as true random sampling, but probably
solves more of the problems inherent to random
sampling.
 An effective strategy because it banks on multiple
randomizations. As such, extremely useful.
 Multistage sampling used frequently when a complete
list of all members of the population not exists and is
inappropriate.
 Moreover, by avoiding the use of all sample units in all
selected clusters, multistage sampling avoids the large,
and perhaps unnecessary, costs associated with
traditional cluster sampling.
113
MULTI PHASE SAMPLING
 Part of the information collected from whole sample & part from
subsample.
 In Tb survey MT in all cases – Phase I

 X –Ray chest in MT +ve cases – Phase II
 Sputum examination in X – Ray +ve cases - Phase III
 Survey by such procedure is less costly, less laborious & more

purposeful
114
MATCHED RANDOM SAMPLING
A method of assigning participants to groups in which
pairs of participants are first matched on some
characteristic and then individually assigned randomly to
groups.
 The Procedure for Matched random sampling can be
briefed with the following contexts,
 Two samples in which the members are clearly paired, or
are matched explicitly by the researcher. For example,
IQ measurements or pairs of identical twins.
 Those samples in which the same attribute, or variable,
is measured twice on each subject, under different
circumstances. Commonly called repeated measures.
 Examples include the times of a group of athletes for
1500m before and after a week of special training; the
milk yields of cows before and after being fed a
particular diet.
115
QUOTA SAMPLING
 The population is first segmented into mutually

exclusive sub-groups, just as in stratified sampling.
 Then judgment used to select subjects or units from
each segment based on a specified proportion.
 For example, an interviewer may be told to sample 200
females and 300 males between the age of 45 and 60.
 It is this second step which makes the technique one of
non-probability sampling.
 In quota sampling the selection of the sample is non-
random.
 For example interviewers might be tempted to interview
those who look most helpful. The problem is that these
samples may be biased because not everyone gets a
chance of selection. This random element is its greatest
weakness and quota versus probability has been a matter
of controversy for many years
116
CONVENIENCE SAMPLING
 Sometimes known as grab or opportunity sampling or accidental
or haphazard sampling.
 A type of nonprobability sampling which involves the sample being
drawn from that part of the population which is close to hand.
That is, readily available and convenient.
 The researcher using such a sample cannot scientifically make
generalizations about the total population from this sample
because it would not be representative enough.
 For example, if the interviewer was to conduct a survey at a
shopping center early in the morning on a given day, the people
that he/she could interview would be limited to those given there
at that given time, which would not represent the views of other
members of society in such an area, if the survey was to be
conducted at different times of day and several times per week.
 This type of sampling is most useful for pilot testing.
 In social science research, snowball sampling is a similar
technique, where existing study subjects are used to recruit more
subjects into the sample.
117
CONVENIENCE SAMPLING…….
◦ Use results that are easy to get
118
118
Judgmental sampling or
Purposive sampling
 - The researcher chooses the
sample based on who they think
would be appropriate for the study.
This is used primarily when there is
a limited number of people that
have expertise in the area being
researched
119
PANEL SAMPLING
 Method of first selecting a group of participants through a

random sampling method and then asking that group for the same
information again several times over a period of time.
 Therefore, each participant is given same survey or interview at
two or more time points; each period of data collection called a
"wave".
 This sampling methodology often chosen for large scale or
nation-wide studies in order to gauge changes in the population
with regard to any number of variables from chronic illness to job
stress to weekly food expenditures.
 Panel sampling can also be used to inform researchers about
within-person health changes due to age or help explain changes
in continuous dependent variables such as spousal interaction.
 There have been several proposed methods of analyzing panel
sample data, including growth curves.
120
Data Analysis
Univariate Analysis
Sr.No. Type of Bank Frequency Percentage

1 Public 205 47.90
2 Private 62 14.49
3 Cooperative 161 37.62
Total 428 100
Bivariate Analysis
Sr. No. Age Group Public Private Cooperative

Freq. % Freq. % Freq. %
1 Up to 20 0 0 0 0 0 0
2 20-30 55 26.83 20 32.26 42 26.08
3 30-40 49 23.90 16 25.81 37 22.98
4 40-50 49 23.90 22 35.48 41 25.47
5 50-60 52 25.37 4 6.45 41 25.47
6 Above 60 0 0 0 0 0 0
Total 205 100 62 100 161 100

Mean and S.D.
Workplace Stress due to Physical Demand
Sr.
Parameters Mean SD
No.
1 Ineffectively planned office 3.96 0.64
2 Less social interaction 3.66 0.55
3 Noise 3.73 0.53
4 Poor lightening 3.58 0.56
5 Dirtied drinking water 2.86 0.45
6 Deficient work surface 3.76 0.54

Graphical Representation
Bar Chart
Pie Chart

Histogram
Leaf and Steam

Candle Stick
Box Plot

Basic concepts of Hypothesis Testing
• Null Hypothesis
A null hypothesis is a statistical hypothesis that is tested for possible rejection
under the assumption that it is true (usually that observations are the result of
chance). The concept was introduced by R. A. Fisher.
The null hypothesis is often the reverse of what the experimenter actually
believes; it is put forward to allow the data to contradict it. In the experiment on
the effect of alcohol, the experimenter probably expects alcohol to have a
harmful effect. If the experimental data show a sufficiently large effect of
alcohol, then the null hypothesis that alcohol has no effect can be rejected.
• Alternative hypothesis
The hypothesis contrary to the null hypothesis, usually that the observations are
the result of a real effect, is known as the alternative hypothesis.

Hypothesis Testing Process
1. Formulate a hypothesis.
2. Set up a suitable significance level.
3. Choose a test.
4. Compute.
5. Make decisions.

Five Step Method - Neave (1976)
1. Formulate the Practical Problem in Terms of

Hypothesis.
2. Calculate Statistics.
3. Choose a Critical Region.
4. Decide the Size of Critical Region.
5. Conclusion: Comparison of Statistics with
Significance Level.

Step1 - Formulate the Practical Problem in Terms of Hypothesis.
 Formulating the practical problem in terms of hypothesis. This can

be difficult in some cases.
 Alternative Hypothesis, H1 is more important from the practical
point of view.
 H1 should express the range of situation to test & able to diagnose.
 Null Hypothesis, H0 should be very simple and represent the status
quo, or default situation i.e. there is no difference between the
processes being tested.
 H0 is basically a standard or control with which the evidence pointing
to the alternative hypothesis can be compared.

Step 2 - Calculate Statistics
Calculate a statistics (t / X2), a function purely of the data. It is a

statistical tool that has been chosen by researcher
Properties of good test statistics:

1. Statistics should tend to behave differently when H0 is true from
when H1 is true and
2. Probability distribution should be calculable under the assumption

that H0 is true.
It is also desirable that tables of this probability distribution should exist.

Step 3 - Choose a Critical Region
• Critical regions can be of three types
• Right sided, so that we reject H0 if the test statistics is greater than
or equal to some (right) critical value.,
• Left sided, so that we reject H0 if the test statistics is less than or
equal to some (left) critical value
• Both-sided so that we reject H0 if the test statistics is either greater
than or equal to right critical value or less than or equal to left
critical value.
A value of ‘t’ lying in suitably defined critical region will lead us to reject
H0 in favour of H1 if ‘t’ lies outside the critical region we do not reject
H0.

Step 3 – Example – Right and Left Tailed Test
Left-tailed Test
H0: =
H1: <
0
Points Left
Right-tailed
Test
H0: =
H1: >
Points Right
0

Two Tailed Test
H0: =
H1: 

Hypothesis and Choosing One Tailed Two Tailed Test
Test Particulars Example H0 & H1
Left Tailed H1: parameter < value Smokers need less sleeping H0: µ = 8
Test Notice the inequality points to the hours than normal population H : µ < 8
1
left
H1: parameter > value Average Level of Cholesterol is H0: µ = 190

Right Notice the inequality points to the higher in children than Ha: µ > 190
Tailed Test right average population
Two Tailed H1: parameter not equal value Average life of CFL tube is H0:
Test Another way to write not equal is < 10000 Hrs. µ = 10000
or > H1 :
Notice the inequality points to both µ≠ 10000
sides

Step 4 - Decide the Size of Critical Region
This involves specifying how great a risk we are prepared to run of

coming to an incorrect conclusion.
We define the significance level or size of the test which we denote by

 (Alpha) ,as the risk we are prepared to take in rejecting H0 when it
is in fact true.
The Critical region is usually set between 1% and 10 %, depending on

the severity of the consequences of making Type I Error and Type II
Error.

Step 4 – Example
 The confidence with which a null hypothesis is accepted or
rejected depends upon the significance level used for the same.
 A significance level of 5% means that the risk of making a wrong
decision is 5%.
 The researcher is likely to be wrong in accepting a false hypothesis
or rejecting a true hypothesis in 5 out of 100 occasions.
 A significance level of 1% provides 99% confidence.
 A significance level of 10% provides 90% confidence

Two Tailed Test
1% level of
significance
Critical value –
2.58
5% level of
significance
Critical value =
1.96
10% level of
significance
Critical value =
1.645

One Tailed Test
1% level of
significance
Critical value –
2.33
5% level of
significance
Critical value –
1.645
10% level of
significance
Critical value –
1.28

Step 5 - Conclusion: Comparison of Statistics with
Significance Level
 It needs to be considered at which point in critical region the
calculated value of ‘t’ lies.
 If it lies close to the boundary of critical region we may say that
there is some evidence that H0 should be rejected,
 Whereas if it is at the other end of region we conclude there was
considerable evidence to reject H0.
 In other words the actual significance level of ‘t’ can provide
useful information beyond the fact that ‘t’ lies in the critical
region..

Statistical Hypothesis Testing
Criterion Parametric Tests Non-parametric Tests

Assumed Distribution Normal Distribution Non-Normal Distribution
Typical Data Ratio or Interval Ordinal or Nominal

Usual Central
Mean Median
Measure
Benefits Can draw more conclusions Simplicity; Less affected by outliers
Specific Difference in Means of General Test whether or not
Specificity
Population populations are same
Power Efficiency Considered as Higher Considered as Lower
Lower Sample size can also Larger Sample size is desirable for
Sample Size
provide robust results accuracy.
Assumed Variance Homogeneous Any

Concepts of Hypothesis Testing- Three Ways
Unstandardized Test Statistics

Finding out whether the sample mean lies in acceptance region or rejection region for
sampling distribution
Determine ,UCV and LCV with Sample Data. Find out the location of in sample
distribution to accept or reject Null Hypothesis
Standardized Test Statistics
Calculation of Test Value with sample data and its comparison with Critical Value of z/t
.
Calculate Test statistics with the help of formula. Locate test value in sample
distribution to accept or reject Null Hypothesis
P-value
Increasing the Rejection region until it captures sample mean.
P Value tells us about the degree to which the result is "true" (in the sense of being
"representative of the population")
Sample Mean and its corresponding z / t value is to be calculated. The calculated value
is to be converted into P Value with the help of Statistical Software.. P Value is
compared with α to accept or reject Null Hypothesis..

Hypothesis Testing – At a Glance..
Define H0 and H1
Two Tailed, Left or Right Tailed Test, Value of  ,Critical value z/t
Hypothesis Testing
Unstandardised Test Standardized Test P-Value Approach

Statistics Statistics
Calculate Sample Mean- its

Calculate z/t for corresponding z or t value.
sample data i.e. Convert it into P Value. P Value is
Test Value to e doubled in case of two tailed
test
Determine location of
Compare P Value with  to
test value in
accept or reject Null
acceptance or
Hypothesis
rejection region

Type of Errors
In testing any statistical hypothesis ,there are four possible situations which
determine whether our decision is correct or in error.
These situations are illustrated as follows:
Conclusion of Population Condition

Study Ho is True Ho is False
( µ ≤ µ0 ) ( µ > µ0 )
Reject Ho Type I Error () No Error
Do not Reject Ho No Error Type II Error ()
Type I Error (a) - Observing a difference when in truth there is none.

Type II Error (b) - Failing to observe a difference when there is one.
  P(Type I Error)   P(Type II Error)

Goal: Keep a, b reasonably small..
Research Report
?
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Business Research Method

Dr. Ganesh Pathak

Dr.Ganesh Pathak - 9730765316

“A scientific and systematic search for pertinent information on a specific

1 Redman and Mory define research as a

A broad definition of research is given by Martyn Shuttleworth –

Dr.Ganesh Pathak - 9730765316

“A scientific and systematic search for pertinent information on a specific

The Advanced Learner’s Dictionary of Current English lays down the

1 Redman and Mory define research as a

A broad definition of research is given by Martyn Shuttleworth –

Another definition of research is given by Creswell who states - "Research is a

Dr.Ganesh Pathak - 9730765316

Review the literature

Where F = feed back (Helps in controlling the sub-system

Dr.Ganesh Pathak - 9730765316

Dr.Ganesh Pathak - 9730765316

Dr.Ganesh Pathak - 9730765316

Dr.Ganesh Pathak - 9730765316

Dr.Ganesh Pathak - 9730765316

Decisions regarding what, where, when, how much, by what means

Design decisions happen to be in respect of:

Dr.Ganesh Pathak - 9730765316

usually involves the consideration of the following factors:

(i) The means of obtaining information;

(iii) The objective of the problem to be studied;

(iv) The nature of the problem to be studied; and

Dr.Ganesh Pathak - 9730765316

Generally, the design which minimises bias and maximises the

Dr.Ganesh Pathak - 9730765316

A good design is often characterized by adjectives like

• Facilitates Systematic Investigation

• Visualizes and Forecasts Potential Problem

Dr.Ganesh Pathak - 9730765316

• Nature of the Research Questions

• Availability of Sufficient Primary Data

• Social and Cultural Factors

• Resources and time Constraints

Dr.Ganesh Pathak - 9730765316

• Exploratory Research Design

 Literature Research Design

Dr.Ganesh Pathak - 9730765316

• Descriptive and Diagnostic Research Design

Dr.Ganesh Pathak - 9730765316

• Experimental Research Design

Dr.Ganesh Pathak - 9730765316

 Use for studying human behavior and habits

 E.g Useful for Product design

 Designer generating some ideas for a new product development

 Effort to understand situation

 Researcher is the primary instrument for data collection and analysis

 Fieldwork is majorly use for data collection

 Used for development of concepts, hypothesis and therioes

Dr.Ganesh Pathak - 9730765316

Study of entire Culture depends on Ethnography

Observations are used in fieldwork

Used to establish ‘meaning’

In-depth Interview- Phylosophy