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BUSINESS RESEARCH & STATISTICAL ANALYSIS (P18MBT11)

UNIT I: Foundations of Research


Definition, Nature and Importance of business research, ethical issues in business research, Research
applications in functional areas of Business, Emerging trends in Business research, Research & the
Scientific Method: Characteristics of scientific method. Steps in Research Process, Types of Research,
and Concept of Scientific Enquiry: – Formulation of Research Problem, Research design: Concept,
Features of a good research design.

UNIT II: Measurement and Data Collection


Concept of Measurement: Need of Measurement; Problems in measurement in management research –
Validity and Reliability. Levels of measurement . Attitude Scaling Techniques. Discussion on primary
data and secondary data, tools and techniques of collecting data. Methods of collecting data.

UNIT III: Sampling and Data analysis


Basic Concepts: Defining the Universe, Concepts of Statistical Population, Sample, Characteristics of a
good sample. Sampling Frame, Sampling errors, Random Vs. Non- random sampling techniques,
Determining size of the sample – Practical considerations in sampling and sample size, sample size
determination. Editing, Coding, Tabular representation of data, frequency tables, Construction of
frequency distributions, Graphical Representation of Data.

UNIT IV: Statistical Inference & quality control


Meaning of statistical inference, Parameter and Statistic, Concept of Point estimation and Interval
estimation, Standard error of a statistic, Testing of Hypothesis, Critical Region, Type-I and Type-II errors,
One tailed and two tailed tests, Properties of Normal distribution and their applications in hypothesis
testing, Large sample Tests and Small sample tests for a single mean, single proportion, difference of two
means and proportions (including paired t-test for small samples), Chi square (ᵪ2) Test, F- Test, ANOVA
for one way and two way analysis.

UNIT V: Report Writing


Meaning and significance of report writing, types of report, steps in writing report, layout of the research
report, precaution in writing research report, developing thesis report, formatting, inside citations,
references and bibliography, knowledge of computer, statistical software and their application, application
of statistical tests/techniques through the use of statistical software like SPSS.
BUSINESS RESEARCH & STATISTICAL ANALYSIS (P18MBT11)

UNIT I
Foundations of Research
Definition, Nature and Importance of business research, ethical issues in business research,
Research applications in functional areas of Business, Emerging trends in Business research,
Research & the Scientific Method: Characteristics of scientific method. Steps in Research
Process, Types of Research, and Concept of Scientific Enquiry: – Formulation of Research
Problem, Research design: Concept, Features of a good research design.

Research: The word research is composed of two syllables “Re” and “Search”.

 “Re” is the prefix meaning ‘Again or over again or a new’

 “Search” is the latter meaning ‘to examine closely and carefully’ or ‘to test and try’.

Together they form, a careful, systematic, patient study and investigation in some field of

knowledge undertaken to establish principles / policies. Research in common parlance refers to a

search for knowledge Every letter of the word ‘research’ emphasizes a special and dignified

Meaning as given below.

R – Rational (way of thinking)


E – Expert/Exhaustive (Treatment)
S – Search (for solution)
E – Exactness
A – Analytical Analysis (of adequate data)
R – Relationship (of facts)
C – Careful (recording)/ critical (observation) / constructive (attitude)
H – Honesty/Hard work

Definition of business research


The application of the scientific method in searching for the truth about business phenomena,
These activities include defining business opportunities and problems, generating and
evaluating ideas, monitoring performance, and understanding the business process.

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BUSINESS RESEARCH & STATISTICAL ANALYSIS (P18MBT11)

‘Research is a structured inquiry that utilizes acceptable scientific methodologies to solve


problems and creates new knowledge that is generally acceptable’.
Grinnel further
Research as a systematic investigation to find answer to a problem
Burns
‘Scientific research is a systematic, controlled empirical and critical investigation of
propositions about the presumed relationships about various phenomena.
Kerlinger
Nature and Importance of Business Research
Business research covers a wide range of phenomena. For managers, the purpose of research
is providing knowledge regarding the organization. The market, the economy, or another
area of uncertainty.
 A financial manager may ask “Will the environment for long term financing be
better two years from now?”
 A personal manager may ask “what kind of training is necessary for production
employees?”
 A marketing manager may ask “how can I monitor my retail sales and retail trade
activities?”
Each of these questions requires information about how the environment, employees,
customers, or the economy will respond to executive’s decisions. Research is one principle
tool for answering these practical questions. Business research helps decision maker’s shift
form intuitive information gathering to systematic and objective investigation.
1. Quick and objective decisions
2. Providing facts and figures which enable in decision making and choosing the
right alternative
3. Enabling logical decision making
4. Identifying new project, Project feasibility and project implementation
5. POSDCORB
6. Framing business policy and strategy by evaluating environmental factors
7. Product/ market/ process/ production (new or existing) development
8. Structuring functional areas
9. Making purchase decisions
10. Job design, job analysis, job assignment, scheduling work breaks

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BUSINESS RESEARCH & STATISTICAL ANALYSIS (P18MBT11)

Ethical issues in Business Research


All human interactions, ethical issues exist in research. Ethical questions are philosophical
questions. Everyone involved in business or in fact involved in any human behavior.
a) Business ethics
Business ethics is the application of morals to behavior related to business
environment. Generally good ethics are notation of “right” and lack of ethics
conforms to the notation of:”wrong” ethical values can be highly influenced by one’s
moral standards.
b) Moral standards
Moral standards are principles that reflect beliefs about what is ethical and what is
unethical. The golden rule “Do unto others as you would have them do unto do” is
one such ethical principle.
c) Ethical dilemma
Ethical dilemma simply refers to a situation in which one chooses from alternative
courses of action, each with different ethical implications. Each individual develops a
philosophy or way of thinking that is applied to resolve the dilemmas they face. Many
people use moral standards to guide their actions when confronted with an ethical
dilemma.
d) Relativism
Relativism is a term that reflects the degree to which one rejects moral standards in
favor of the acceptability of some action. This way of thinking rejects absolute
principle in favor of situation - based evaluations.
e) Idealism
A term reflects the degree to which one bases one’s morality on moral standards.
Someone who is an ethical idealist will try to apply ethical principle like the golden
rule in all ethical dilemmas.
Research Applications in Functional areas of Business
Business Research has special importance in relation to solving various problems of business
and industries. Market research, operation research and motivation research are conducted in
the business for various requirements. Business researches All development and progress in
the society is an outcome of a research

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BUSINESS RESEARCH & STATISTICAL ANALYSIS (P18MBT11)

1. Decision – Making Tool


Research is useful for taking marketing management decision s. it provides necessary
information and data in analyzed and processed for making marketing decisions

2. Management Planning
Research is used for management planning. It deals with marketing opportunities, i.e.,
those opportunities which are visible to be exploited by management.
3. Problem solving
Starting from problem identification to formulation of alternative solutions, and
evaluating the alternatives in every area of management is the problem – solving
action of research.

4. Control Technique
Research is used as a control technique of management to find out the weaknesses and
shortcoming of the management decisions to re-orient the planning and performance
techniques.

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BUSINESS RESEARCH & STATISTICAL ANALYSIS (P18MBT11)

5. Large-Scale Production
Research helps large-scale production by providing suitable decisions to be
undertaken by procedures to exploit the existing production resources to meet the
growing markets.
6. Complex Market
The advancement of science and technology and the standard of living of consumers
necessitate closer touch with the growing markets.
7. Pattern of Consumption
The pattern of consumption is to be assessed by the management. The study of
buyer’s behavior, attitudes and capacity to purchase is very important in research.
8. Market complex
The marketing activities are influenced by several internal and external environments.
Internal environments include price, promotion, and production and place
(distribution) where as the external environments include economic, sociological,
political, legal and government motives.
9. Suitable marketing operations
Marketing operations decide production functions, and marketing operations can be
better decided by findings of marketing research.
10. Pricing
Pricing is not arbitrary for follow – up action of competitors. It has to be judiciously
fixed which is done effectively with the study of various marketing variables.
11. Marketing strategy
Marketing management has to lay down appropriate marketing strategies to meet
competition to pursue growth in the market and to attain organizational objectives.
12. Distribution
Research helps the members of the channel of distribution to formulate suitable
policies and programmes to solve their problems
13. Sales promotion
Research can decide suitable media of sales promotion after a study of the various
channel of promotion
14. Helps discharge managerial functions
Research helps the management to discharge its managerial functions of planning,
forecasting, coordinating, motivating, controlling, and evaluation.
15. Production
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BUSINESS RESEARCH & STATISTICAL ANALYSIS (P18MBT11)

Research is a must in the Production area. Research and development helps invention,
developing new products and modifying existing products. Research plays a
significant role in the identification of a new products

Steps in Research Process


Business Research, like other forms of scientific inquiry, involves a sequence of highly
interrelated activities as follows.

i. Defining research problem


ii. Planning a research problem
iii. Planning a sample
iv. Collecting the data
v. Analyzing the data
vi. Formulating the conclusions and preparing the report.

These six stages as a cyclical of circular –flow process. The circular – flow concept is used
because conclusions form research studies can generate new ideas and knowledge that can
lead to further investigation.

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BUSINESS RESEARCH & STATISTICAL ANALYSIS (P18MBT11)

1) Defining the Research Objectives


Business research process objectives start with research objectives. Research
objectives are the goals to be achieved by conducting research. The objectives may be
involved exploring the possibilities of entering new market. Different types of
objectives leads to different types of research design.
2) Planning the research design
After the researcher has formulated the research problem, must develop the research
design as part of the research design stage. A research design is a master plan that
specifies the methods and procedures for collecting and analyzing the need
information. A research design provides a framework or plan of action for the
research.
3) Sampling
Although the sampling plan is outlined in the research design, the sampling stage is a
distinct phase of the research process. Sampling involves any procedure that draws
conclusions based on measurements of a portion of the population. In other words, a
sample is a subset from a larger population.
4) Gathering data
The data gathering stage begins once the sampling plan has been formalized. Data
gathering is the process of gathering or collecting information. Data may be gathered
human observations or interviewers, or other may be recorded by machines as in the
case of scanner data and web-based surveys.
5) Processing and analyzing data
After the fieldwork has been completed the data must be converted into a format that
will answer the manager questions. Data processing generally begins with editing and
coding the data. The editing process corrects problems such as interviewer errors
before the data are transferred to the computer. The coding process facilities computer
or hand tabulation. Data Analysis is the application of reasoning to understand the
data that have been data gathered.
6) Drawing conclusions and preparing a report
One of the most important jobs that a researcher performs is communicating the
research results. This is the final stage of research project, but it is far from the least
important. The conclusions and report preparation stage consist of interpreting the
research results, describing the implications and drawing the appropriate conclusions
for managerial decisions.

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BUSINESS RESEARCH & STATISTICAL ANALYSIS (P18MBT11)

Types of Research
The systematic, rigorous investigation of a situation or problem in order to generate new
knowledge or validate existing knowledge

1. Pure Research / Basic Research / Theoretical / Fundamental Research

Pure business research is conducted without a specific decision in mind. It usually


does not address the needs of a specific organization. It attempts to expand the limits
of knowledge in general; as such it is not aimed at solving a particular pragmatic
problem.

Basic (aka fundamental or pure) research is driven by a scientist's curiosity or interest


in a scientific question. The main motivation is to expand man's knowledge, not to
create or invent something.

2. Applied Research

Applied research refers to scientific study and research that seeks to solve practical
problems. Applied research is used to find solutions to everyday problems. Applied
business research is conducted to address a specific decision for specific firm or
organization. Therefore, the basic purpose of an applied research is to find solutions to
examine an established theory and restate it, if necessary, for a practical problem.

The scientific method

All research, whether basic or applied, involve the scientific method. The
scientific method is the way researcher go about using knowledge and
evidence to reach objectives conclusions about the real world. The scientific
method is the same way we come to understand business phenomena.

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BUSINESS RESEARCH & STATISTICAL ANALYSIS (P18MBT11)

3. Qualitative research vs. Quantitative research

Qualitative business research is research that address business objectives through


technique that allows the researcher to provide elaborate interpretations of market
phenomena without depending on numerical measurements. Its focus is on
discovering true inner meanings and new insights. Qualitative research is very widely
applied in practice.

4. Quantitative business research


Quantitative business research can be defined as business research that addresses
research objective through empirical assessments that involve numerical measurement
and analysis approaches.
5. Exploratory research

Exploratory research is a type of research conducted for a problem that has not been
clearly defined. Exploratory research helps determine the best research design, data
collection method and selection of subjects.

Exploratory research is conducted to clarify ambiguous situations or discover


potential business opportunities. In exploratory research, the basic is to explore the
behavior of the variable and/or to explore the problem. Therefore, exploration could
be about the behavior of the variables or the causes responsible for a problem.
Exploratory research is primarily a type of research where a researcher tries to explore
the behavior of variable and their relationship in the physical and social sciences.

6. Descriptive research

Descriptive research is to describe characteristics of objectives, people, groups,


organization, or environments. In others words, descriptive research tires to
“paint a Picture” of a given situations by addressing who, what, when, where,
and how questions. Descriptive research refers to research that provides an
accurate portrayal of characteristics of a particular individual, situation, or
group. Descriptive research, also known as statistical research

7. Correlational research

Correlational research refers to the systematic investigation or statistical study of


relationships among two or more variables, without necessarily determining cause and

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BUSINESS RESEARCH & STATISTICAL ANALYSIS (P18MBT11)

effect. It eeks to establish a relation/association/correlation between two or more


variables that do not readily lend themselves to experimental manipulation.

For example, to test the hypothesis “Listening to music lowers blood pressure levels”
there are 2 ways of conducting research.
8. Diagnostic Research / analysis

Diagnostic analysis see.ks to diagnose reasons for business outcome and focuses
specifically on the beliefs and feelings respondents have about and toward specific
issues. Diagnostic study is a type of research study that can be said to be exploratory,
descriptive, or causal. In this type of research, aspects and characteristics from both
are found.

9. Causal Research

Causal Research seeks to identify cause – and – effect relationship. When something
causes an effect, it means it brings it about or makes it happen. The effect is the
outcome. Rain causes grass to get wet. Rain is the cause and wet grass is the effect.

10. Previous Research

As a general rule, researchers should first investigate previous research to see whether
or not others may have already addressed similar research problem. The first place
researcher will likely look today is online search engines available through most
universities libraries have made literature reviews simpler and faster t conduct.

A literature reviews is a directed search of published works, including periodicals and


books, that discuss theory and presents empirical results that are relevant to the topic
at hand. While a literature survey is common in applied research studies, it is a
fundamental requirement of a basic research report.

11. Pilot studies

Almost all consumers take a test drive before buying a car. a pilot study serves a
similar purpose for the researcher. A pilot study is a small – scale research project that
collects data from respondents similar to those to be used in full study.

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BUSINESS RESEARCH & STATISTICAL ANALYSIS (P18MBT11)

12. Survey research

In business research, it is important to understand consumer loyalty in the context of


the competitive environment where a product or brad operates. The purpose of survey
research is to collect primary data – data gathered and assembled specifically for the
project in hand. An effective survey should have following properties.

 Clarity: Goal and objective of the survey should be clearly defined.


 Completability: Survey questions must be easy to understand and follow.
 Processability: The data must be clean and valid for further processing
 Analyzability: Data must be properly analyzed.
 Timeliness: the time gap between planning and implementation should be
short for effective decision making.
13. Action Research
It is usually conducted to study a particular problem and to address and solve it with
concrete action or intervention. Often, action research is conducted to solve problems
faced by the people in an area, may be geographical or political. This type of research
is usually conducted by a team or one or more organization or institutions and is
largely related to social action.

14. Ethnographic research


Ethnographic research refers to the investigation of a culture through an in-depth
study of the members of the culture; it involves the systematic collection, description,
and analysis of data for development of theories of cultural behavior.

It studies people, ethnic groups and other ethnic formations, their ethno genesis,
composition, resettlement, social welfare characteristics, as well as their material and
spiritual culture.

15. Experimental research

Experimental research is an objective, systematic, controlled investigation for the


purpose of predicting and controlling phenomena and examining probability and
causality among selected variables.
Advantages Disadvantages
 Best establishes cause-and-effect  Artificiality
relationships  Feasibility
 Unethica

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BUSINESS RESEARCH & STATISTICAL ANALYSIS (P18MBT11)

16. Analytical research


Analytical research used to find a solution for an immediate problem faced by a
society (People), industry ect e.g. Marketing problem

17. Conceptual research


Conceptual research based on some existing theory. It generally used by philosophers
/ thinkers to develop new concepts or interpret existing ones.

18. Empirical research


Empirical research based on observations / experiment where the conclusions are
verified by comparing with previously done observations or experiments.

19. Multidisciplinary Research

Multidisciplinary research or inter disciplinary research is one where the researcher


uses the theories and applications of these theories relating to different disciplines to
address an issue or a problem.

This type of research has relevance, particularly in solving problems faced by the
society in general, a group of people, an industry, a firm, an organization a country,
etc. for example, the environmental problem faced by humans at present. for
improvement of the environment, it may be necessary to have research in various
disciplines.

20. Historical research

Historical research is research involving analysis of events that occurred in the remote
or recent past

Application

a) Historical research can show patterns that occurred in the past and over time
which can help us to see where we came from and what kinds of solutions we
have used in the past.
b) Understanding this can add perspective on how we examine current events and
educational practices.

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BUSINESS RESEARCH & STATISTICAL ANALYSIS (P18MBT11)

21. Mode of Operations

The different types of research discussed earlier could be carried out with different
modes. Each mode or the method of operations has a few distinct characteristics. The
following are a few important modes of operations.

a) Laboratory experiments
b) Filed experiments
c) Fields study
a) Laboratory experiments
Consider a case when a researcher is trying to examine a theory in physics or
in chemistry. The researcher conducts the experiments in a laboratory.
Therefore, when he conducts the experiment, he can control the extraneous
influence of any other factor outside his experiment to a large extent. In other
words, the researcher is able to control nearly all possible influential variables
not pertinent to the immediate problem of the experiment or investigation.
b) Field Experiments
A field experiments is one of the important modes of conducting research in
different disciplines. These types of experiments can be conducted in physical
sciences such as production engineering and agricultural sciences, and social
sciences such as psychology, education, sociology, economics, and
management.
c) Field studies
Field studies are another mode and can be defined as the ex post facto
scientific inquires in any discipline. Its basic objective is to discover the
existing relationships and interaction among variables. Field studies are mostly
conducted in social sciences such as sociology, psychology economics,
anthropology, political science, history, management, and education. These
studies explore the existing behavior or relationship or interrelationships
between or amongst variables in real socio economic structures.
These types of studies are conducted by individual researchers, research
organizations, corporate bodies, firms, government, or non-government
organizations. Fields studies may be of different types that related to their
objectives. They may include the following types of study
1. Ethnographic study
2. Socio-economic study (survey research)
3. Evaluation study
4. Case study

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BUSINESS RESEARCH & STATISTICAL ANALYSIS (P18MBT11)

i. Ethnographic study
Ethnography study is a type of field study that aims at exploring socio-
cultural phenomena of people, especially an ethnic group. The
resulting field study or a case report reflects the knowledge on the
way of lives, traditions, and social institutions of cultural group or an
ethnic group or of particular society.
ii. Socio-economic study (survey research)
Socio-economic study is a type of field study where the basic objective
is just to report the existing state of affairs relating to the socio-
economic condition of the target group or people. The study simply
reports the fact on the socio-economic condition of the area and
analyses the findings. Are a few studies are conducted with the help
of tools to collect data or information.
iii. Evaluation studies
Evaluation studies are a form of field study. It is primarily used for
assessing or evaluating the effectiveness of some intervention made
through a particular program.
iv. Case studies
Case study is an in depth, descriptive, or explanatory study of a person,
group, event, organization, industry, firm, community, etc. a case
study can also be used as an explanatory study to explore cause effect
relation amongst the phenomena under study.

Formulation of Research Problem


A problem occurs when there is a difference between the current conditions and a more
preferable set of conditions. In other words a gap exit between the way things are now and
a way that thing could be better. The gap can came about in a number of ways.
 Business performance is worse than expected business performance.
 Actual business performance is less than possible business performance.
 Expected business performance is greater than possible business performance.

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BUSINESS RESEARCH & STATISTICAL ANALYSIS (P18MBT11)

The problems – Definition process steps


The problem – definition process involves several interrelated steps, as shown

Research design
The most important step after defining the research problem is preparing the design of the
research project, which is popularly known as the ‘research design’. Research design is simply a
plan for a study. This is used as a guide in collecting and analyzing the data. It can be called a
blue print to carry out the study. It is like a plan made by an architect to build the house, if a
research is conducted without a blue print, the result is likely to be different from what is
expected at the start.
CLASSIFICATION OF RESEARCH DESIGN
Research design may be broadly classified as exploratory or conclusive. The primary
objective of exploratory research is to provide insights into, and an understanding of, the
problem confronting the researcher.

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BUSINESS RESEARCH & STATISTICAL ANALYSIS (P18MBT11)

1. Exploratory Research Design

The primary objective of exploratory research is to provide insights into, and an


understanding of, the problem confronting the researcher. Exploratory research is used
in cases when you must define the problem more precisely, identify relevant courses
of action, or gain additional insights before an approach can be developed. It is
appropriate when the research objective is to provide insights into
a) Identifying the problems or opportunities
b) Defining the problem more precisely
c) Gaining deeper insights into the variables operating in a situation
d) Identifying relevant courses of action
e) Establishing priorities regarding the potential significance of a problems or
opportunities
f) Gaining additional insights before an approach can be developed
g) Gathering information on the problems associated with doing conclusive research.
The exploratory research design is best characterized by its flexibility and versatility.
This is so, because of the absence of the non-imperativeness of a structure in its
design. It predominantly involves imagination, creativity, and ingenuity of the
researcher. Examples of exploratory research are:
I. Survey of experts to validate an instrument;
II. Pilot studies conducted to perform reliability check on a questionnaire
III. Use of secondary data in order to analyze it in a qualitative way
IV. Qualitative research

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BUSINESS RESEARCH & STATISTICAL ANALYSIS (P18MBT11)

2. Conclusive Research Design

It involves providing information on evaluation of alternative courses of action and


selecting one from among a number available to the researcher. Conclusive research is
again classified as:
A. Descriptive research
B. Causal research.
A. Descriptive Research
It is simple to understand as the name itself suggests that it involves
describing something, for example
(a) Market conditions
(b) Characteristics or functions
(c) Estimate the percentage of customers in a particular group exhibiting
the same purchase behaviour
(d) Perceptions of product characteristics
(e) To predict the pattern of behaviour of characteristic versus the other
Majority of research studies are descriptive studies.
As research studies involve investigating the customers/consumers,
collection of data includes interrogating the respondents in the market and
data available from secondary data sources. The results of description
studies are directly used for marketing decisions. Descriptive studies are
again classified into two types:
(a) Longitudinal
(b) Cross sectional
(a) Longitudinal research
In longitudinal designs, a fixed sample (or samples) of population elements
is measured repeatedly. A longitudinal design differs from a cross sectional
design in that the sample or samples remain the same over time. In other
words, the same respondents are studied over time.
(b) Cross sectional
The cross-sectional study is the most frequently used descriptive design in
marketing research. Cross-sectional designs involve the collection of
information from any given sample of population elements only once. They
may be either single cross-sectional or multiple cross-sectional.

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BUSINESS RESEARCH & STATISTICAL ANALYSIS (P18MBT11)

I. Single cross-sectional designs In single cross-sectional designs


only one sample of respondents is drawn from the target
population, and information is obtained from this sample only
once. These designs are also called sample survey research
designs.
II. Multiple cross sectional designs In multiple cross sectional
designs, there are two or more samples of respondents, and
information from each sample is obtained only once. Often,
information from different samples is obtained at different times.

B. Causal research
Causal research is used to obtain evidence of cause-and-effect (causal
relationships Managers continually make decisions based on assumed
causal relationships. These assumptions may not be justified, and the
validity of the causal relationships should be examined via formal research.
Features of a good research design
A good research design will ensure that the business research project is conducted effectively.
Typically a research design involves the following components, or tasks.
a) Define the information needed.
b) Design the exploratory, descriptive, and/or causal phases of the research.
c) Specify the measurement and scaling procedures.
d) Construct and pretest a questionnaire (interviewing form) or an appropriate form for
data collection.
e) Specify the sampling process and sample size.
f) Develop a plan of data analysis.

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BUSINESS RESEARCH & STATISTICAL ANALYSIS (P18MBT11)

UNIT II
Measurement and Data Collection
Concept of Measurement Need of Measurement; Problems in measurement in management
research – Validity and Reliability Levels of measurement Attitude Scaling Techniques
Discussion on primary data and secondary data, tools and techniques of collecting data Methods
of collecting data

Concept of Measurement
A manager of an organization has to take many management related decisions in his day-to-day
life. The decisions may relate to the manufacturing or marketing of products, hiring or firing of
employees, and so on. Some of these decisions depend on the’ quantitative data for which the
units of measurement can be subjected to a statistical analysis. However, there are decisions,
which depend on behavioural data, which is not suitable for direct statistical analysis. Thus, for
management purposes the manager has to measure physical objects as well as abstract concepts.
Measurement is defined as the assignment of numbers to characteristics of objects or events
according to rules. The definition of measurement clearly states that the researcher should know
that the measurement scale measures the characteristics of the objects or event and not the
objects or events.
Need of Measurement
Research is a continuous process. Thousands of researchers collecting the data every day for
specific purpose all the data collected for this purpose cannot be analyzed in the same statistical
way because the entities represented by the numbers are different. For this purpose, a researcher
has to have proper knowledge in the levels of data measurements represented by the numbers
that are to be analyzed.

For example, take two numbers 2 and 4. These two numbers can be the weights of two particular
commodities. Obtaining an average of these two numbers is always possible. However, if these
two numbers are the class ranks of two individuals, then the average of these two numbers will
have no statistical value. Hence, the same statistical procedure cannot be applied to analyze these
two numbers. There is a need to understand the concept of scale of measurement to use an
appropriate statistical tool and technique, based on the different scales of measurement.

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BUSINESS RESEARCH & STATISTICAL ANALYSIS (P18MBT11)

Problems / Errors in Measurement

Measurement should be precise and unambiguous in an ideal research study. This objective,
however, is often not met with in entirety. As such the researcher must be aware about the
sources of error in measurement. The following are the possible sources of error in measurement.
a) Respondent
At times the respondent may be reluctant to express strong negative feelings or it is just
possible that he may have very little knowledge but may not admit his ignorance. All this
reluctance is likely to result in an interview of ‘guesses.‘ Transient factors like fatigue,
boredom, anxiety, etc. may limit the ability of the respondent to respond accurately and
fully.
b) Situation
Situational factors may also come in the way of correct measurement. Any condition
which places a strain on interview can have serious effects on the interviewer respondent
rapport. For instance, if someone else is present, he can distort responses by joining in or
merely by being present. If the respondent feels that anonymity is not assured, he may be
reluctant to express certain feelings.
c) Measurer
The interviewer can distort responses by rewording or reordering questions. His
behaviour, style and looks may encourage or discourage certain replies from respondents.
Careless mechanical processing may distort the findings. Errors may also creep in
because of incorrect coding, faulty tabulation and/or statistical calculations, particularly
in the data analysis stage.
d) Instrument
Error may arise because of the defective measuring instrument. The use of complex
words, beyond the comprehension of the respondent, ambiguous meanings, poor printing,
inadequate space for replies, response choice omissions, etc. are a few things that make
the measuring instrument defective and may result in measurement errors.

Another type of instrument deficiency is the poor sampling of the universe of items of
concern. Researcher must know that correct measurement depends on successfully
meeting all of the problems listed above. He must, to the extent possible, try to eliminate,

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neutralize or otherwise deal with all the possible sources of error so that the final results
may not be contaminated.

TESTS OF SOUND MEASUREMENT

Sound measurement must meet the tests of validity, reliability and practicality. In fact, these are
the three major considerations one should use in evaluating a measurement tool.

 Validity refers to the extent to which a test measures what we actually wish to measure.
Reliability has to do with the accuracy and precision of a measurement procedure
 Practicality is concerned with a wide range of factors of economy, convenience, and
interpretability.
1) Test of Validity

Validity is the most critical criterion and indicates the degree to which an instrument
measures what it is supposed to measure. Validity can also be thought of as utility. In
other words, validity is the extent to which differences found with a measuring
instrument reflect true differences among those being tested. But the question arises: how
can one determine validity without direct confirming knowledge? The answer may be
that we seek other relevant evidence that confirms the answers we have found with our
measuring tool. What is relevant, evidence often depends upon the nature of the research
problem and the judgment of the researcher. But one can certainly consider three types of
validity in this connection:
(i) Content validity
(ii) Criterion-related validity
(iii) Construct validity

a) Content validity is the extent to which a measuring instrument provides adequate


coverage of the topic under study. If the instrument contains a representative sample
of the universe, the content validity is good. Its determination is primarily
judgemental and intuitive. It can also be determined by using a panel of persons who
shall judge how well the measuring instrument meets the standards, but there is no
numerical way to express it.

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b) Criterion-related validity relates to our ability to predict some outcome or estimate


the existence of some current condition. This form of validity reflects the success of
measures used for some empirical estimating purpose. The concerned criterion must
possess the following qualities:
i. Relevance: (A criterion is relevant if it is defined in terms we judge to be
the proper measure.) Freedom from bias: (Freedom from bias is attained
when the criterion gives each subject an equal opportunity to score well.)
ii. Reliability: (A reliable criterion is stable or reproducible.)

iii. Availability: (The information specified by the criterion must be


available.) In fact, a Criterion-related validity is a broad term that actually
refers to
Predictive validity
Concurrent validity
The former refers to the usefulness of a test in predicting some future
performance whereas the latter refers to the usefulness of a test in closely
relating to other measures of known validity. Criterion-related validity is
expressed as the coefficient of correlation between test scores and some
measure of future performance or between test scores and scores on
another measur e of known validity.
c) Construct validity is the most complex and abstract. A measure is said to possess
construct validity to the degree that it confirms to predicted correlations with other
theoretical propositions. Construct validity is the degree to which scores on a test can
be accounted for by the explanatory constructs of a sound theory.

2) Test of Reliability

The test of reliability is another important test of sound measurement. A measuring


instrument is reliable if it provides consistent results. Reliable measuring instrument does
contribute to validity, but a reliable instrument need not be a valid instrument. For
instance, a scale that consistently overweighs objects by five kgs., is a reliable scale, but
it does not give a valid measure of weight. But the other way is not true i.e., a valid
instrument is always reliable.

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3) Test of Practicality

The practicality characteristic of a measuring instrument can be judged in terms of


economy, convenience and interpretability. From the operational point of view, the
measuring instrument ought to be practical i.e., it should be economical, convenient and
interpretable. Economy consideration suggests that some trade-off is needed between the
ideal research project and that which the budget can afford. The measuring instrument, in
order to be interpretable, must be supplemented by
(a) Detailed instructions for administering the test;
(b) Scoring keys
(c) Evidence about the reliability and
(d) Guides for using the test and for interpreting results.

Levels of measurement

The following are the four common data measurement levels used.

1. Nominal scale
2. Ordinal scale
3. Interval scale
4. Ratio scale

Nominal scale

Nominal scale represents the most elementary level of measurement. A nominal scale assigns a
value to an object for identification or classification purpose only.

For example assume that a market research company wants to conduct a survey in three towns
of India: Amravati, Hyderabad, and Ongole. While compiling the data, the company assigns the
numeric code “1” to Amravati, “2” to Hyderabad and “3” to Ongole. In this case 1, 2, and 3 are
the labels used to identify the three different towns. Data show the numeric value, but the scale
of measurement is nominal.

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Or
Which is your favorite brand soap?

( 1) Hamam ( 2) Cinthol or ( a) Hamam ( b) cinthol

Here, 1 and 2 or a and b are assigned by the researcher so that it would be convenient to
differentiate one soap brand from another.

Ordinal scale

It is a ranking scale. The respondents will assign numbers to the objects or events. The numbers
assigned by the respondents will show their position and not the difference between the objects/
events. It helps the researcher to rank order the objects or events

e.g., a respondent is asked to rank different brands of cars on fuel efficiency.

Suppose the response is as follows


Cars Rank on fuel efficiency
(a) Maruti 800 I
(b) TATA III
(c) Ambassador II
Form the above , the searcher can draw a conclusion that Maruti 800 is the most fuel –
efficient car in that area as it has been awarded with Rank – I and Ambassador is ranked is –
II. But it can be learnt how many times Maruti 800 is preferred over Ambassador as it is not a
number but rank.

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Interval scale

It allows the researcher to rank order the objects and also find the interval or difference between
the objects or events. As earlier the respondents assign the numbers.
Eg., in ranking scale we found which are the most fuel efficient car and least fuel – efficient car.
in interval scale, we can find how much fuel – efficient is Maruti 800 is form other two cars.
Interval scale is often used for measuring the preference of individuals.
Ratio scale
Ratio scale is combination of all the nominal scale, ordinal scale, and interval scale. Ratio level
measurements possess all the properties or interval data with meaningful ratio of two values. The
ratio scale must contain zero value that indicates that nothing exists for the variable at zero point.

For example, a company markets two toothbrushes priced Rs 30 and Rs 15, respectively. In the
ratio scale, the difference between the two prices, that is Rs 30 – Rs 15 = Rs 15 can be
calculated is meaningful. With it, we can also say that the price of the first product, Rs 30, it two
times of the second product. The interval and ratio level data are collected using some precise
instruments. These data called as metric data and are sometimes referred as quantitative data.

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Attitude Scaling Techniques

The scaling techniques can be classified into:

1. Comparative scales
2. Non – comparative scales

1. Comparative scales
It is a scaling technique where there is a direct comparison of objects with another. This
technique is also known as “non-metric” scaling. These techniques have only ordinal or
rank order characters.

e.g., respondents might be asked whether they prefer Cola Cola or Pepsi.

Following are the important comparative scales:

a) Paired comparison scale

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b) Rank order scale


c) Constant sum scale
a) Paired comparison scale
Paired comparison scale is the one where a respondent is presented with two
objects at a time and asked to select one object form the pair according to his/her
preference. The obtained are ordinal in nature.
e.g., please indicate which one of the two brands of soft drink in the pair would
you prefer?
(Note: 0 and 1 are codes for differentiating one brand form another)
Coca Cola
Pepsi
b) Rank order scale
Rank order scale is the one where a respondent is presented with several objects
simultaneously and asked to rank them accordingly to their preference. The data
obtained are ordinal in nature.
e.g., please rank the various brands of toothpaste according to your preference.
Brand Rank (Given by the respondent)
Colgate I
Close-up II
Pepsodent III
c) Constant sum scale
Constant sum scale is the one where the respondents allocate points to the objects
or attributes of an object according to their preference. The obtained are ordinal in
nature. If an attribute is found to be unimportant for the respondent, then they can
assign ZERO points to that object or event. This is known as absolute zero point.
Now the sum (total) of all points is to be 100. Hence it is known as Constant
(Number) Sum Scaling. Example, finding the importance of TVS Scooty Pep+,
attributes (features) using a constant sum scale.
Assume that below are 8 attributes (features) of TVS Scooty Pep+, which is to be
produced in the near future. The respondents are requested to allocate 100 points

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among the attributes so that their allocation reflects the importance they attach to
each attribute.
Attribute / Features Respondent – 1 Respondent - 2
Tubeless tyres 8 2
Mileage 2 4
Stylish appearance 3 9
Price 53 17
Electric Start Button 9 1
Better Shock 7 5
Absorbers 5 3
Hybrid Version 13 60
(Electric cum petrol)
Extended Warranty

The more points an attribute receives, the more important the attribute is. If an
attribute were not at all important, the respondent would have assigned zero point
for it and if an attribute is very important, then the respondent would have allotted
maximum points for it.
2. Non – Comparative Scale

Non comparative scale is one where, an objects preference is measured or scaled


independently. These scales are used for evaluating only one object at a time. These
scales are also known as monadic scales. The non – comparative scales can be classified
into 2:

1. Continuous Rating scale


2. Itemized Rating scale
1. Continuous Rating Scale

Continuous Rating Scale is also known as graphic rating scale. It is the one where the respondent
is asked to rate the object’s preference by placing a mark at the appropriate position on a line that
runs from one extreme to other.

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e.g., how would you rate the Disney land as an entertainment destination?

2. Itemized Rating Scale

Itemized Rating Scale is a measurement scale having numbers and brief descriptions
associated with the numbers.

The respondent has to select a specific number which describe his / her position or
preference toward an object or its attributes. It is used for measuring the respondent’s
attitude.

There are 3 types of itemized rating scale.

a. Likert scale or 5-point scale


b. Semantic differential scale or 7-point scale
c. Staple scale or 10 – point scale.
a) Likert scale or 5-point scale
Likert scale is also known as 5-point scale. It is a measurement scale, which as 5
responses ranging from “strongly agree” to “strongly disagree”.
Respondents are asked to indicate their degree of agreement or disagreement over a
statement or an object or an event.
e.g., Horlicks is good for health.
Respondents have to select anyone of the available option
1. Strongly agree
2. Agree form the 5 responses
3. Don’t know
4. Disagree
5. Strongly disagree

b) Semantic differential scale or 7-point scale

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Semantic scale is also known as a 7-point rating scale. It’s a scale connected with two Bi-
Polar words. The respondents are asked to indicate their degree of agreement or
disagreement over a statement or an object or an event.
e.g., 7-point scale to measure the gentleness of VIM Bar Utensil Cleaner:
Opinion Statement: Vim Bar is: 1 2 3 4 5 6 7 Very gentle
Where,
Very harsh on hands
Harsh on hands
Somewhat harsh on hands
Neither harsh nor gentle on hands
Somewhat gentle on hands
Gentle on hands
Very gentle on hands
c) Staple scale or 10 – point scale
Staple Scale is named as after its founder Mr. Jan Staple. It’s a Uni-polar 10-point rating
scale without a neutral (Zero) point. The respondents are asked to indicate their degree of
agreement or disagreement over a statement or an object.
Example: What do you think about the quality of surf?
Excellent superior
Superior
V. Good
Good
Normal
Average
Bad
V.Bad
Inferior
Rubbish
(Or)
Please rate the overall performance of our Bajaj two – wheeler dealer:

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10 20 30 40 50 60 70 80 90 100
V BAD AVG V GOOD

Discussion on primary data and secondary data

Data refer to information or facts. Often, researchers understand by data only numerical figure. It
also includes descriptive facts – non numerical information, qualitative and quantitative
information.

Sources of Data

Following are two important sources of data

I. Primary data
II. Secondary data

Primary data

Life blood of Research is data survey of knowledge persons is called as primary data. All
persons who are directly or indirectly associated with the research subject are known as
knowledgeable persons. Some of the knowledgeable persons in the business industry are as

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follows: Top-level executives, managers of concerned department, officials, wholesalers,


retailers, and consumers etc

It is known as the data collected for the first time through field survey. Such data are collected
with specific set of objectives to assess the current status of any variable studied. Primary data are
generally information gathered or generated by the researcher for the purpose of the project
immediately at hand. When the data are collected for the first time, the responsibility for their
processing also rests with the original investigator.

Primary data collection tools


All those data, which are collected by the researcher for the first time, directly from the
respondents are known as primary data.
I. Questionnaire
II. Personal interview using interview schedule
III. Mail survey / e – mail survey
IV. Telephone survey

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1. Questionnaire
Questionnaire is one, which contains a set of questions, related to a subject, arranged in a
logical and sequential order. A questionnaire consists of formalized and pre-specified set of
questions designed to obtain response from potential respondents. Questions in the
questionnaire reflect the research objective under investigation.

Types of questionnaire
Following are the various types of question that can be included in a questionnaire.
a) Structured questions
b) Unstructured questions
c) Dichotomous questions
d) Multiple choice questions
e) Ranking items questions
f) Pictorial questions
a) Structured questions
Structured questions that pre-specify the set of response alternatives (choice of
answers) are known as structured questions. Structured questions are closed – ended
Questions provide response alternative to the respondents instead of giving them a
free – to express response option. A structured question could be multiple choice or
dichotomous or a scale or pictorial questions.
e.g., marital status: single / married / discovered / widowed.
b) Unstructured questions
Unstructured questions are also known as open – ended questions, provide a free – to
– answer opportunity to the respondents instead of fixed – response choices. When
questions can get any type of answers, It is suitable where the researcher is intending
to collect wide choice of answers from the respondents.
e.g., why a set of people (market segment) prefers a particular brand of soap, why do
you prefer human soap? In this case, the respondent may answer anything which
cannot be predicted and given as choice or answers.

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c) Dichotomous questions
Dichotomous questions also known as two – way questions. It refers to those
questions where only two alternatives answers are possible. Sometimes, the two
alternatives are supplemented by a neutral alternative like “Don’t Know” or “No
Opinion” or “Both” or “None”.
e.g., Gender: Male / Female.
Do you like Honda bike? Yes / No / No opinion
d) Multiple Choice Questions
Multiple choice question type where the respondents select from several alternative
answers given under the question, to be on the safer side, the last alternative answer
can be given as “If any other, please specify”, .
e.g., which is your favorite holiday destination? USA / UK/Italy/France/if Others,
please specify:_______
e) Ranking Items Questions
Ranking items questions are different alternative answers are for a questions and the
respondent is asked to rank them according to their preferences by ranking by
numbering them I, II, III, or 1,2,3, etc.
e.g., you are given a job. Where would you like to be posted? Please rank your
preference.
(a) Delhi (b) Mumbai (c) Chennai
f) Pictorial Questions
Pictorial questions are different alternative answers are given for a question is given
in a pictorial form, where, the respondents have to select a picture according to their
preference.
e.g., are you happy with our hotel service? (Tick Mark)

------------ --------------- --------------


2. Interview schedule

Interview schedule is the one where the direct contact between the interviewer and the
respondent is necessary. The interviewer will fill up a schedule after getting the required

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feedback from respondents. Questions in a schedule will be short and direct. Clarification
of any doubt can be done immediately. Hence chances of misunderstanding by the
respondent are very low. Since the data is collected directly by the researcher himself /
herself, the reliability and validity of the data will be high.

3. Mail survey

Mail survey is the one, where the researcher sends a letter, which provides introduction of
the researcher, the researcher’s study subject and a formal request to respond the questions,
which will be enclosed with the letter in the form of questionnaire. After filling the
questionnaire, the respondents would send back the same to the researcher.

4. Telephone survey / Interview

Traditional telephone survey or interview involves phoning a sample of respondents and


asking them a series of questions. The researchers / interviewer use a questionnaire form
and records the responses with a pencil.

Primary data collection techniques


Following are the 3 key primary data collection techniques employed by the researchers:
1. Survey
2. Observation.
3. Focus groups
4. In – depth interview
1. Survey
Survey is a method used for obtaining specific information based on questioning the
respondents who are considered as samples selected form the population or universe.
2. Observation
The recording of behavioral patterns of people, objects, and events in a systematic
manner to obtain information about the phenomenon of interest is known as observation.
Following are the six types of observation.
a) Structured observation
b) Unstructured observation

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c) Disguised observation
d) Undisguised observation
e) Natural observation
f) Contrived observation
a. Structured observation
Structured observation is one where researcher clearly defines the behavior that
is to be observed and also defines the method to measure the defined behavior.
It helps to resolve the problems. i.e., reveal the cause and effect relationship.
Hence it is useful or suitable for use in conclusive research i.e., used for
resolving the hypothesis, which has been already framed.
Example: a marketing manager clearly defining the research problem along
with information required.
b. Unstructured observation
Unstructured observation is the one where researcher will be monitoring all
relevant behavior without defining what is exactly to be observed. It is useful
for framing hypothesis.
Example: observing children playing with new toys
c. Disguised observation
The respondents are unaware that they are being observed. It enables
respondents to behave naturally as it is know that people tend to behave
differently when they are being observed researchers use one – way mirror,
hidden camera for observation, sometimes they disguise themselves as
shoppers or sales clerks to observe the respondents.
d. Undisguised observation
The respondents are aware that they are being observed or may be aware of the
presence of the observer.
Example: testing the taste of a newly developed chocolate with a set of
respondents.
e. Natural observation
Observing the behavior of the respondents as it takes place in the environment.
Example: observing the behavior of the respondents eating fast food in Mc
Donald’s.

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f). Contrived observation


The respondent’s behavior is observed in an artificial environment.
Example: test kitchen
3. Focus groups
Focus group is an interview conducted in an unstructured and natural manner by a trained
moderator among a small group of respondents.
Following are the steps involved in conducting a focus group interview:
a) Define the objective and the problem
b) State the objective questions to be answered by the focus group or respondents
c) Prepare the questionnaire
d) Develop a moderator or outline of the problem
e) Conduct the interview and record the answers in video or audiotapes.
f) Review tapes and analyze data.
g) Summarize the findings.

4. In – depth interview
An unstructured, direct, personal interview in which a single respondent is probed by a
highly skilled interviewer to un cover the underlying motivations, beliefs, attitudes and
feelings on a topic.
Secondary data
The secondary data are the already existing data may be gathered from
 The researcher’s own earlier efforts
 From the work of others
It refers to the information or facts already collected. Such data are collected with the objective
of understanding the past status of any variable. Secondary data can be obtained internally ie
within the firm or external from one or more outside agencies. Which can be used for a new
purpose? It’s mostly used for the following purpose.
1. Gaining knowledge about a concept
2. To frame hypothesis

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UNIT III
Sampling and Data analysis
Basic Concepts: Defining the Universe, Concepts of Statistical Population, Sample,
Characteristics of a good sample. Sampling Frame, Sampling errors, Random Vs. Non-
random sampling techniques, Determining size of the sample – Practical considerations in
sampling and sample size, sample size determination. Editing, Coding, Tabular representation
of data, frequency tables, Construction of frequency distributions, Graphical Representation
of Data.
Basic Concept of Sampling

Sampling is a familiar part of daily life. A customer in a book store picks up a book, looks at
the cover, and skims a few pages to get a sense of the writing style and content before
deciding whether to buy.

A high school student visits a college classroom to listen to a professor’s lecture. Selecting a
university on the basis of one classroom visit may not be scientific sampling. But in a
personal situation, it may be practical sampling experience.

Sampling terminology

The sampling process involves using a portion of a population to make conclusions about the
whole population.

a) Sample
A subset, or some part, of a larger population, the purpose of sampling is to estimate
an unknown characteristic of a population. Sampling is defined in terms of the
population being studied.
b) Population (universe)
Population is any complete group. For example, of people, sales territories, stores, or
college students – that shares some common set of characteristics.
c) Population element
The term population element refers to an individual number of the population.
Researcher could study every element of a population to draw some conclusions.
d) Census
Census is an investigation of all the individual element that make up a population.

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e) The sample frame


A list of elements from which a sample may be drawn is called sample frame. The
sampling frame is also called working population.
f) Principles of sampling
a) It must be representative i.e. the sample selected should represent the
characteristics of original population or universe.
b) It must be homogenous i.e. the sample selected form the universe should
have similar nature and should not have any difference.
c) Sufficiently large number i.e. if a large sample size is selected then data
obtained will be more reliable.

The Sampling Design Process


Sampling design process can be explained by five interrelated steps. These five steps are
Shown in following diagram
1. Target population must be defined
Target population is the collection of the objects which process the information

required by the researchers and about which an inference is to be made.

2. Sampling frame must be determined

A researcher takes a sample from a population list, directory, map city directory. Or

any other source used to represent the population. this list possesses the information

about the subjects and is called the sample framing.

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3. Appropriate sampling technique must be selected


Selecting a sampling technique is a crucial technique for a researcher. In this stage
researcher has to select an appropriate technique or method in order to select the
sample element with or without replacement whether to use probability or non
probability sampling technique.

4. Sample size must be determined


Sample size refers to the number of elements to be included in the study. While
deciding the sample size , various qualitative and quantitative aspects must be
considered.
5. Sampling process must be executed
The execution of sampling technique requires detailed specification of target
population, sample frame, sampling technique, and the sample size. At this stage each
step in the sampling process effectively executed.

Random (Probability) Versus Non- Random (Non- probability) Sampling

Several alternatives way to take a sample are available. The main alternative
sampling plans may be grouped in two categories. Probability techniques and
Non -probability techniques

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1) Random sampling or probability technique


In random sampling each unit of population has the same probability (chance) of being
selected as part of sample. In random sample the chance of factor comes in to play in the
process of sample selection. there are 4 types of probability sampling techniques.
a) Simple random sampling
b) Systematic (or Quasi – Random) Sampling
c) Stratified Random sampling
d) Cluster sampling
a. Simple random sampling
In simple random sampling, each member of the population has been equal
chance of equal chance of being included in the sample. Simple random sampling
most common method for selecting a sample form the population. In simple
random method, first a complete list of all numbers of population is prepared.
Each element is identified by a distinct number (say from1 to N) then n items are
selected from a population of size N.
Example: lottery method
In lottery method each of unit of population is properly numbered. The numbers
are writing on different pieces of paper. The pieces of paper are then folded and
mixed together in a small box. A sample of our choice can be drawn randomly
from the box.
b. Systematic (or Quasi – Random) Sampling
Systematic random sampling is a technique where the first element or respondent
is selected on random basis and then other elements or respondents are selected
by pickup the ith element from the population.
Example: there are 100,000 elements in the population and a sample of 1000 is
desired.
N ( population size) = 100,000
n(sample size) = 1000
I = N/n = 100,000 /1000 = 100
Now the first respondent or element can be any one with the first 100 elements
and can’t be 101st person. Assume 23rd person(or element) who is selected on
random basis as the first respondent.
BUSINESS RESEARCH & STATISTICAL ANALYSIS (P18MBT11)

The second respondent is : 23 + 100(interval) = 123rd respondent.


The third respondent is : 123 + 100(interval) = 223rd respondent.
The fourth respondent is : 223 + 100(interval) = 323rd respondent.
And so on till all the 100 respondents are selected.
The data will be collected only from the above found respondents viz. 23rd, 223rd,
323rd, respondents ect.
c. Stratified Random sampling
In stratified random sampling elements in the population is divided into
homogeneous groups called strata. Strata refer to sub group. Then the element is
selected on random basis from each stratum or subgroup. Here, the elements are
selected only by using a probability sampling technique viz. simple random from
the stratum.
The variables are used for dividing the population into two or more sub groups are
known as “stratification variables”. Some of the stratification variables used for
dividing the population is age, gender, region ect.
Example out of 2000 population, 1000 respondents are selected
Stratification Population Sample
variables respondents respondents
Gender :
Male 480 240
Female 520 260
1000 500
Age :
21 – 22 400 200
22 - 24 400 200
24 - 26 200 100
1000 500
Total 2000 1000
Note: Sample Respondents are selected from the population based on simple
Random Sampling.
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d. Cluster sampling
Cluster refers to sub – group or sub – population. Cluster sampling is the one
where the entire population is divided into sub – population or sub- groups based
on cluster variable “Area” only where such sub-group or sub – population possess
equal size and then the sample respondents are selected on random basis.

Cluster Population Respondents Sample Respondents


sampling
Area: 500
Ongole 500 100
Kurnool 100
Road 1000 200
Trunk Road
Note: sample respondents are selected from the population based on simple
random sampling.
2. Non – probability Sampling or Non – Random Sampling Technique
Non – probability sampling technique is where the sampling units / elements /
respondents are decided by the researcher based on his / her own choice or selection
process and not based on chance. there are 4 types of non-probability sampling
techniques.
a. Convenience sampling
As the name indicates, in convenience sampling, sample elements are selected
based on the convenience of a researcher. Often, respondents are selected because
they happen to be in the right place at the right time. Example : “ people on street”
interviews.
Convenience sampling can be used in exploratory research generating ideas or
problems or hypothesis.
b) Judgment (purposive) sampling
Judgment sampling is a technique in which the sample units or elements or
respondents are selected based on the judgment of the researcher.
Example: testing a new product success in a super market. Testing the effective
ness of an advertisement based on “ Day After Recall” study.
BUSINESS RESEARCH & STATISTICAL ANALYSIS (P18MBT11)

c) Quota sampling
Quota refers to “quantitative Restriction “or “control variable”. In the first stage
the researcher develops control categories or quotas or populations. The control
categories can be any of the variables such as age, gender, area etc. in the second
stage, sample elements are selected based on anyone of he non- probability
sampling technique viz. convenience or judgment method. The quota sampling is
also known as “Two-stage Restricted judgmental quota” sampling technique.
Stratification Population respondents Sample respondents
variables
Gender :
Male 480 240
Female 520 260
1000 500
Age :
21 – 22 400 200
22 - 24 400 200
24 - 26 200 100
1000 500
Total 2000 1000
Note: sample respondents are selected based on convenience or judgment method.
d) Snowball sampling
Snowball sampling survey respondents are selected on the basis of referral from
other survey respondents. This is going on till all the sample respondents are
selected as per the required sample size.

Editing and Coding

Introduction

A very common phrase that is used by researchers is “garbage in, garbage out”. This refers to the
idea that if data is collected improperly or coded incorrectly your results are “garbage”. Because
that is what was entered into the data set to begin with. This concept focuses on the critical key
BUSINESS RESEARCH & STATISTICAL ANALYSIS (P18MBT11)

steps of data entry and coding. Like any part of the business research process, care and attention
to detail are important requirements for data editing and coding.

Data Analysis

Analysis of data is the procedure of first of all setting goals as to what data you need and what
questions you’re hoping it will answer, then collecting the information, then inspecting and
interpreting the data, with the aim of sorting out the bits that are useful, in order to suggest
conclusions and help with decision making by various users.

It focuses on knowledge discovery for predictive and descriptive purposes, sometimes


discovering new trends, and sometimes to confirm or disprove existing ideas.

Stages of Data Analysis:

Data Editing

Editing is the process of checking the completeness, consistency, and legibility of data and
making the data ready for coding and transfer to storage. Field work often produces the data
containing mistakes, for example consider the following simple questionnaire item and response:
BUSINESS RESEARCH & STATISTICAL ANALYSIS (P18MBT11)

Eg:
1.
How long have you lived at your current address?
48

2. What is your age?


32 years

Form the above two answers are contradicts the earlier response. If the respondent is 32
years of age then how he or she have lived at the same address for 48 years?. Therefore the
adjustment should be made.

a) Field Editing

Field editing is particularly useful when personal interviews have been used to gather data. Field
supervisors often are responsible for conducting preliminary field editing on the same day as the
interview, field editing is used to
1. Identify technical omissions such as a blank page on an interview form
2. Check legibility of handwriting for open –ended response
3. Clarify response that are logically or conceptually inconsistent
b) In – House Editing
In – house editing rigorously investigates the results of data collection. The researcher supplier
or research department normally has the a centralized office staff perform the editing and coding
function

Eg:
1. In which of the following cities have you shopped for clothing during the last year?
a) Ongole
b) Amravati
c) Hyderabad
d) Bangalore
e) Chennai

2. Please list the clothing stores where you have shopped during the last two months.
BUSINESS RESEARCH & STATISTICAL ANALYSIS (P18MBT11)

Suppose the respondent cheeks the Ongole and Amravati to the first question. If the same
respondent list a store that has located in Hyderabad in second question, an error is indicated
,either the respondent failed to list Hyderabad in the first question or listed and erroneous store in
the second question. These answers are obviously inconsistent.
c) Editing for Completeness

In some cases the respondent may have answered only the second portion of a two – part
question. The following question creates a situation in which an in –house editor may have to
adjust answers for completeness;

Does your organization have more than one computer network server?
1) Yes 2) No

If ye s, how many _____________

If the respondent checked neither yes nor no but indicated three computers installations, the
editor should change the first response to a ‘Yes”.
a) Item non response

The technical item for unanswered question on an otherwise complete questionnaire


resulting in missing data
b) Plug value

An answer that an editor “plugs in” to replace blanks or missing values so as to permit
data analysis choice of value is based on a predetermined decision rule.
c) Impute

To fill in a missing data point through the use of a statistical algorithm that provide a
best guess for the missing response based on available information

Data Coding
Editing made be differentiated form coding. Which is the assignment of numerical stores or
classifying symbols to previously edited data? Careful editing makes the coding job easier,
codes are meant to represent the meaning in the data.
BUSINESS RESEARCH & STATISTICAL ANALYSIS (P18MBT11)

a) Codes
Rules for interpreting, classifying and recording data in the coding process also the actual
numerical or other character symbols assigned to raw data.

b) Unstructured and structured qualitative responses


In qualitative research the codes are usually words or phrases that represent themes.

In qualitative response to structured questions such as “yes” or “no” can be stored in a data file
with letters such as “Y” or “N” alternatively they can be represented with numbers one each to
represent the respective category so the number 1 can be used to represent “yes” 2 can be used to
represent “No”.

c) Data file terminology


Qualitative responses and quantitative response likely stored for every respondent involved in a
survey or interview. A terminology exists that exists helps describe this process and the file that
results.

 Field
A field is a collection of characters that represents a single piece of data usually a
variable.
 String characters
Computer terminology to represent formatting a variable using a series of alphabetic
characters that many form a word.
 Record
Record is a collection of related fields that represents the response from sampling unit.
 Data file
A data file is a collection of related records that make up a data set. The way data is
stored electronically in spreadsheet like form in which the rows represent sampling units
and the columns represent variables.
 Value labels
Value labels are extremely useful and allow a word or short phrase to be associated with
a numeric coding. Unique labels assigned to each possible numeric code for a response.
BUSINESS RESEARCH & STATISTICAL ANALYSIS (P18MBT11)

Data Presentation

Principles of Data Presentation:


(a)To arrange a data in such a way that it should create interest in reader’s mind at the
first sight.
b) To present the information in a compact and concise form without losing important
details.
(c) To present the data in a simple form so as to draw the conclusion directly by
viewing the data.
(d) To present it in such a way that it can help in further statistical analysis.
BUSINESS RESEARCH & STATISTICAL ANALYSIS (P18MBT11)

Tabulation:
Tables are the devices that are used to present the data in a simple form. It is probably the
first step before the data is used for analysis or interpretation.
General Principles of designing tables:
a) The tables should be numbered e.g. table 1, table 2 etc.

b) A title must be given to each table, which should be brief and self-explanatory.

c) The headings of columns or rows should be clear and concise.

d) The data must be presented according to size or importance chronologically, alphabetically or

geographically.

e) If percentages or averages are to be compared, they should be placed as close as possible.

f) No table should be too large.

g) Most of the people find a vertical arrangement better than a horizontal one because, it is easier

to scan the data from top to bottom than from left to right.

h) Foot notes may be given, where necessary, providing explanatory notes or additional

information.

Types of tables
1) Simple tables: Measurements of single set are presented.

2) Complex tables: Measurements of multiple sets are presented.

Simple Table
When characteristics with values are presented in the form of table, it is known as simple table
e.g. Table: Infant mortality rate of selected countries in 2004.
Name of the country Infant mortality rate

Pakistan 90

Bangladesh 60
Sri Lanka 26
India 60

Frequency distribution table


BUSINESS RESEARCH & STATISTICAL ANALYSIS (P18MBT11)

 In the frequency distribution table, the data is first split up into convenient groups (class
interval) and the number of items (frequency) which occur in each group is shown in
adjacent columns.
 Hence it is a table showing the frequency with which the values are distributed in
different groups or classes with some defined characteristics.

Rules for construction of frequency table


1) The class interval should not be too large or too small.

2) The number of classes to be formed more than 8 and less than 15.

3) The class interval should be equal and uniform throughout the classification.

4) After construction of table, proper and clear heading should be given to it.

5) The base or source of data should be mentioned with the pattern of analysis in footnote at the

end of the table.

Frequency distribution table


e.g. Table 3 Age distribution of polio patients
Age Number of patients
0-4 35
5-9 18
10-14 11
15-19 8
20-24 6

Table 1.2
BUSINESS RESEARCH & STATISTICAL ANALYSIS (P18MBT11)

Grouped, relative and cumulative frequency distributions if serum cholesterol levels in 200
men

Interval Frequency f Relative f Cumulative f

251-260 5 2.5 100.0


241-250 13 6.5 97.5
231-240 19 9.5 91.0
221-230 18 9.0 81.5
211-220 38 19.0 72.5
201-210 72 36.0 53.5
191-200 14 7.0 17.5
181-190 12 6.0 10.5
171-180 5 2.5 4.5
161-170 4 2.0 2.0

Charts and Diagrams

Charts and diagrams are useful methods for presenting simple data.
 They have powerful impact on imagination of people.

 Gives information at glance.

 Diagrams are better retained in memory than statistical table.

 However graphs cannot be substituted for statistical table, because the graphs cannot

have mathematical treatment whereas tables can be treated mathematically.

 Whenever graphs are compared, the difference in the scale should be noted.

 It should be remembered that a lot of details and accuracy of original data is lost in

charts and diagrams and if we want the real study, we have to go back to the original

data.

Common Diagrams

1. Pie chart
2. Simple bar diagram
3. Multiple bar diagram
4. Component bar diagram or subdivided bar diagram
5. Histogram
BUSINESS RESEARCH & STATISTICAL ANALYSIS (P18MBT11)

6. Frequency polygon
7. Frequency curve
8. O give curve
9. Scatter diagram
10. Line diagram
11. Pictogram
12. Statistical maps
Bar charts
 The data presented is categorical.
 Data is presented in the form of rectangular bar of equal breadth.
 Each bar represent one variant/attribute.
 Suitable scale should be indicated and scale starts from zero.
 The width of the bar and the gaps between the bars should be equal throughout.
 The length of the bar is proportional to the marginal frequency of the variable.
 The bars may be vertical or horizontal.
Example:-

Multiple Bar charts


 Also called Compound bar charts
 More than one sub-attribute of variable can be expressed.

Example:-
BUSINESS RESEARCH & STATISTICAL ANALYSIS (P18MBT11)

Component bar charts


 When there are many categories on X-axis (more than 5) and they have further
subcategories, then to accommodate the categories, the bars may be divided into parts,
each part representing a certain item and proportional to the magnitude of that
particular item.
Example:-

Histogram
 Used for Quantitative, Continuous Variables.
 It is used to present variables which have no gaps e.g. age, weight, height, blood
pressure, blood sugar etc.
 It consists of a series of blocks. The class intervals are given along horizontal axis and
the frequency along the vertical axis.
Example:-

Frequency Polygon
Frequency polygon is an area diagram of frequency distribution over a histogram.
It is also a linear representation of a frequency table and histogram, obtained by joining the
mid points of the histogram blocks.
Frequency is plotted at the central point of a group.
BUSINESS RESEARCH & STATISTICAL ANALYSIS (P18MBT11)

Example:-

Normal Frequency distribution curve


 Frequency polygons may take many different shapes, but many naturally occurring
phenomena are approximately distributed according to the symmetrical, bell-shaped
normal or Gaussian distribution.
 In normal distribution curve, the three measures of central tendency are identical,
approximately 68% of the distribution falls within+_.
1 standard deviation of the mean.
Approximately 95% of the distributions falls within+_
2 standard deviation of the mean
Approximately 99.7% of the distributions falls within +_.

3 standard deviation of the mean


Men and women (each gender forms its own distribution around a different midpoint)

Asymmetrical distribution are called skewed distributions. The three measures of central
tendency differ. Mode is highest point on curve, the mean is pulled up or down by the
influence of relatively small number of very high or very low scores and the median lies
between the two.

 n Positively (or right) skewed distributions and negatively (or left) skewed
distributions cube identified by the location of the tail of the curve.
 Positively skewed distributions have a relatively large number of low scores and a
small number of very high scores.
 Bimodal distributions are sometimes a combination of two underlying normal
distributions, such as the heights of a large number of men and women (each gender
forms its own distribution around a different mid-point).
BUSINESS RESEARCH & STATISTICAL ANALYSIS (P18MBT11)

Line Diagram
 Line diagrams are used to show the trend of the events with the passage of time.
 Line diagram showing the malaria cases reported throughout the world excluding
African region during 1972-78.
Example:-

Pie charts
 Most common way of presenting data
 The value of each category is divided by the total values and then multiplied by 360
and then each category is allocated the respective angle to present the proportion it
has.
 It is often necessary to indicate percentages in the segment as it may not be sometimes
very easy virtually, to compare the areas of segments.
Example:-

Pictogram
 Popular method of presenting data to those who cannot understand orthodox charts.
 Small pictures or symbols are used to present the data, e.g. a picture of a doctor to
represent the population physician.
 Fraction of the picture can be used to represent numbers smaller than the value of the
whole symbol.
BUSINESS RESEARCH & STATISTICAL ANALYSIS (P18MBT11)

Statistical maps
 When statistical data refers to geographic or administrative areas, it is presented either
as statistical map or dot map.
 The shaded maps are used to present data of varying size. The areas are shaded with
different color or different intensities of the same color, which is indicated in the key.
Scatter diagram
 Scatter diagrams shows the relationship between the two variables e.g. a positive
correlation/association between the intake of fat and sugar in the average diets of 41
countries.
 If the dots cluster round a straight line, it shows evidence of a relationship of a linear
nature.
 If there is no such cluster, it is probable that there is no relationship between the
variables.
UNIT IV
Statistical Inference & quality control
Meaning of statistical inference, Parameter and Statistic, Concept of Point estimation and
Interval estimation, Standard error of a statistic, Testing of Hypothesis, Critical Region, Type-I
and Type-II errors, One tailed and two tailed tests, Properties of Normal distribution and their
applications in hypothesis testing, Large sample Tests and Small sample tests for a single mean,
single proportion, difference of two means and proportions (including paired t-test for small
samples), Chi square (ᵪ2) Test, F- Test, ANOVA for one way and two way analysis.

Statistical Inference
Statistical inference is the act of generalizing from the data (“sample”) to a larger phenomenon
(“population”) with calculated degree of certainty. The act of generalizing and deriving statistical
judgments is the process of inference.

Types of Statistical inference

There are two types of statistical inference

1. Parameter Estimation- It is appropriate when we want to estimate a population parameter.

Example:- A company may be interested in estimating the share of the population who are aware
of its products.

2. Hypothesis Testing Estimation- Hypothesis testing is appropriate when we want to assess


some claim about a population based on the evidence provided by a sample.

Example:- Do you shop online? Yes/No

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Hypothesis

A hypothesis is a statement or assumption, which may or may not be true about a population.
Data are collected from the samples and by analyzing the data, the results are found. With these
results decisions made about populations. But such decisions involve an element of uncertainty
causing wrong decisions. In order to avoid wrong decision making we conduct a test. This test is
called as hypothesis testing.

Types of Hypothesis

1. Null hypothesis (H0) exists when a researcher believes there is no relationship between the
two variables, or there is a lack of information to state a scientific hypothesis. This is something
to attempt to disprove or discredit.
Example:- There is no significant change in my health during the times when I drink green tea
only or root beer only.
2. Alternative hypothesis (H1) enters the scene. In an attempt to disprove a null hypothesis,
researchers will seek to discover an alternative hypothesis.
Example:- My health improves during the times when I drink green tea only, as opposed to root
beer only.
Null hypothesis Vs Alternative hypothesis

Hypothesis Testing

Now, we know that a hypothesis is statement based on our assumption, which may or may not be
true about a population. To make sound decision, we need facts and not an assumption
(Hypothesis). Generally, a hypothesis contains uncertainty i.e., a hypothesis may or may not be
true. Hence it becomes very difficult for the decision makers to make correct decision based on a

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hypothesis. In order to remove or overcome this uncertainty, the researchers conduct hypothesis
testing. As we know that there would be two hypotheses, viz. Null and Alternative Hypothesis,
we would conduct hypothesis testing to know which one is true i.e., whether to accept or reject
the null hypothesis. Therefore, hypothesis testing is a procedure where the researcher would use
the test statistics or hypothesis-testing tools to find which hypothesis is true between the two
contesting hypotheses (H0 Vs. Ha) to make the right decision.

Types of Hypothesis Test

Following are the two types of tests used for hypothesis testing:

1. One tailed test


2. Two tailed test

One Tailed Test

It is a test where the null hypothesis is expressed directionally. When null hypothesis involves a
greater than or less than symbol situation, then it is known as one tailed test.

Example: Question asked in the questionnaire: Do you shop on-line? Yes / No.

One tailed test with greater than situation: H0> 50% (or) 1/2.

(More than 50% respondents shop online)

One tailed test with Less than situation: H0< 50% (or) 1/2.

(Less than 50% respondents don’t shop online)

Two Tailed Test

A two tailed test is the one where the null hypothesis is not expressed directionally i.e., when the
null hypothesis involves (=) equality situation, then it is known as two tailed test.

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Example: Question asked in the questionnaire: Do you shop on-line? Yes / No.

Two tailed test with equality situation: H0 = 50% (or) 1/2.

Two tailed test with not equal situation: H0 ≠ 50% (or) 1/2.

The above two hypotheses states that, 50% of respondents shop online and the remaining don’t.
In totality, figure 4.1 shows the types of hypotheses test:

Types of Errors in Hypothesis Testing

While testing a hypothesis, two types of errors or mistakes can take place. They are as follows:

a) Type-I error (Alpha)


b) Type-II error (Beta)

The rule for hypothesis testing states that “Accept H0, when it is true and reject H0, when it is
false”. But a researcher might commit a mistake by doing any one of the following: Rejecting

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H0, when it is true and accepting H0, when it is false. This mistake will lead to a wrong decision-
making.

Rejecting H0, when it is true is known as alpha or type-I error.

Accepting H0, when it is false is known as beta or type-IIerror.

In order to overcome the type-I error, the researcher has to fix a level of significance or
confidence. In order to overcome the type-II error, the researcher has to increase the sample size
and conduct power of test (1-beta).

Level of Significance or Confidence

The maximum chance of committing type-I error in the hypothesis testing is known as level of
significance. Generally, the researchers used to fix 5% significance level or 1% significance
level. At 5% significance level, the researcher is likely to reject a true hypothesis in 5 out of 100
occasions (committing type-I error). At 1% significance level, the researcher is likely to reject a
true hypothesis in 1 out of 100 occasions (committing type-I error). Putting it in a very simple
way,

1. At 5% significance level, a researcher has 95% confidence in accepting the hypothesis


and could be wrong only by just 5%.
2. At 1% significance level, a researcher has 995 confidence in accepting the hypothesis and
could be wrong only by just 1%.
3. Thus, 5% significance level is also known as 95% confidence level. And 1% significance
level is also known as 99% confidence level.
4. Moreover, 1% significance level provides greater confidence in accepting a hypothesis
than a 5% significance level.

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Hypothesis Testing Procedure

Following are the steps involved in the hypothesis testing procedure

1. Formulate the null hypothesis and the alternative hypothesis.


2. The statement which you think would be true should be taken as alternative hypothesis
and the one which you think is to be rejected to be taken as null hypothesis. Hence
always start with alternative hypothesis and convert it into a negative statement and
consider it as null hypothesis.
3. Select an appropriate test statistic.
4. Choose the level of significance or confidence.
5. Determine the sample size and collect data.

6. Find the calculated test statistic value.


7. Compare the calculated test statistic value with the table value or critical value that is
relevant to the level of significance.
8. Test whether the test statistic value falls in the acceptance or rejection region.
9. To test it, check whether the test statistic value is less than or greater than the critical
value.

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10. If the calculated test statistic value is less than the critical value, it denotes that the value
falls within the acceptance region, then accept the Ho.
11. If the calculated test statistic value is greater than the critical value, it denotes that the
value falls in the rejection region, then reject the H0.
12. Express the result in terms of a research statement.

Types of Test Statistics (or) Hypothesis Testing Tools

Following are the two important hypothesis-testing procedure:

a. Parametric tests
b. Non-parametric tests

a. Parametric tests
It is a hypothesis-testing tool that is used when the data are interval or ratio in nature.
Following are the parametric tests:
1. T-test
2. Z-test
3. F-test (or) ANOVA (Analysis of Variance)
1. t-test
Used for finding the sample mean. Used for finding the significant difference between the
means of two samples. This tool is to be used only when the sample size is less than 30 (n<30)

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2. Z-test
It is univariate hypothesis testing procedure using normal distribution which possess a bell
shaped curve. It is used for judging the sample mean. It is used for finding the difference
between the sample mean and the hypothesized mean. It is also used for comparing the sample
proportion (%) with that of hypothesized population proportion. This tool has to be used when
the sample size is greater than or equal to 30 (n>30).

3. F-test (or) ANOVA (analysis of Variance)

It is a test used for finding the difference between the two sample means. ANOVA or analysis of
Variance is used for calculating the differences between more than two sample means. ANOVA
can be classified into two. They are One-Way ANOVA and Two-Way ANOVA.

b. Non-Parametric Tests

It is a hypothesis-testing procedure that is used when the data are nominal and ordinal in nature.
In simple words those test statistics that do not require the estimate of parameters such as
population mean or population variance and do not state hypotheses based on parameters are
called as non-parametric tests. These tests are also called as Distribution-free Tests as they don’t
require the population distribution be normal.

Following are the important non-parametric tests:

1. Chi-square Test
2. Binomial Test
3. Runs Test
4. Median Test
5. Wald-Wolfowitz two-Sample Run Test
6. Mann-Whitney Test
7. Wilcoxon Test
8. Kruskall-Wallis Test
9. Kolmogorov-Smirnov One Sample Test

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1. Chi-Square Test
It is used to find whether there is any association exists between the two variables. It helps to
find the association between the observed frequencies (the data collected from the respondents)
and the expected frequency. This tool has to be used only on cross-tabulated data.
2. Binomial Test
It is a fitness of good test for dichotomous or two-way variables.

3. Runs Test
Runs test is used for probing whether or not a set of observations constitutes randomness from a
population or universe. Test for randomness is important because the assumption of randomness
underlies statistical inference. It is a test of randomness for variables such age of the respondents
or for dichotomous or two-way variables such as gender of the respondent.
4. Median Test
Median is a measure of central tendency. It is used when the researcher wants to test whether or
not two samples come from same population. It is more efficient than the run test but each
sample should be of size 10 at least.

5. Wald-Wolfowitz Two-Sample Run Test


Wald-Wolfowitz run test is used to examine whether two random samples come from
populations having same distribution.
6. Mann-Whitney Test
This test statistic can be used with two independent groups. We may use the Mann-Whitney
alternative to students T-test when the researcher does not have normally distributed data.

7. Wilcoxon Test

This test statistic can be used with two related groups. We may use this test statistic as an
alternative to the dependent samples t-test.

8. Kruskall-Wallis Test
This test statistic can be used with two or more independent groups. We may use this test statistic
as an alternative to the single-factor between-subjects ANOVA.
9. Kolmogorov-Smirnov One Sample Test
The Kolmogorov Smirnov test is used if we want to compare the distribution on an ordinal scale.

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F-test (or) ANOVA (analysis of Variance)

Analysis of variance (ANOVA) enables us to infer whether population from which we


have drawn more than two samples are having the same mean values. By testing the significance
of difference between more than two sample means we make such inferences. To test the
equality of variances, we use ‘F’ test. By comparing the observed ‘F’ value with table value of
‘F’ and analyzing the significance of differences (if any) we test our hypothesis. Before
elaborating on the ‘F’ test, it is important for us to understand the principles and techniques of
analysis of variance (ANOVA). Only after analysis of variance, we can submit it to ‘F’ test to
make necessary inferences.

Application Of ANOVA

To test the equality of variances for two sample data, we use ‘F’ test, the formula for
which is
F = σ2s1 σ2s2 = with d.f. (n – 1) for sample 1.
1

(n2 – 1) for sample 2.


2
σ = variance of sample 1
s1

calculated as Σ(X1i – 1)2(n1 – 1)

We can also use n1 when sample size is 30 or more.

2
σ = variance of sample 2
x2

calculated as Σ(X2i – 2)2(n2 – 1)


X1i = is the observed frequencies of sample 1.

X2i = observed frequencies of sample 2. and x¯1 and x¯2 are the respective mean values of

samples 1 and 2.
But ANOVA technique is important to compute variances when we want to compare more than
two samples to infer whether the said samples have been drawn from population having the same
mean values. Without going into the trouble of considering all possible combinations of

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populations, ANOVA technique enables the researcher to investigate the mean differences of all
the populations simultaneously.

Chi-Square Test
It is used to find whether there is any association exists between the two variables. It helps to
find the association between the observed frequencies (the data collected from the respondents)
and the expected frequency. This tool has to be used only on cross-tabulated data.

Application areas of chi-square test


2
The χ distribution typically looks like a normal distribution, which is skewed to the right
with a long tail to the right. It is a continuous distribution with only positive values. It has
following applications:
a) To test whether the sample differences among various sample proportions are significant
or can they be attributed to chance.
b) To test the independence of two variables in a contingency table.
c) To use it as a test of goodness of fit.

2)
chi-square (χ test has the following steps
1. State the null hypothesis and calculate the numbers in each category.

2. Determine the level of significance (i.e., how much risk of type I error) the researcher is
prepared to take.
2
3. Calculate χ , as follows:
2
a. χ = Σ (Oi–Ej)2Ej
b. where, Oi = Observed frequency.

c. Ej = Expected frequency in the category.


2
4. Find the critical value of χ against the number of degrees of freedom for the specified
level of significance.
2
5. Compare the calculated value of χ with the tabulated (critical) value and determine the
region of rejection.

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UNIT V
Report Writing
Meaning and significance of report writing, types of report, steps in writing report, layout of
the research report, precaution in writing research report, developing thesis report,
formatting, inside citations, references and bibliography, knowledge of computer, statistical
software and their application, application of statistical tests/techniques through the use of
statistical software like SPSS.
Report Writing
A report is a very formal document that is written for a variety of purposes, generally in the
sciences, social sciences, engineering and business disciplines. A report is a detailed
description of what has been done and how it has been done with respect to a particular area
or topic. The purpose of the written report is to present the results of your research, but more
importantly to provide a persuasive argument to readers of what you have found. It is the end
product of a research activity. It is highly skilled work it is the final stage of the research
work. There are three features that, together, characterize report writing at a very basic level:
a predefined structure, independent sections, and reaching unbiased conclusions.
a. Predefined structure: Broadly, these headings may indicate sections within a report,
such as an introduction, discussion, and conclusion.
b. Independent sections: Each section in a report is typically written as a stand-alone
piece, so the reader can selectively identify the report sections they are interested in,
rather than reading the whole report through in one go from start to finish.
c. Unbiased conclusions: A third element of report writing is that it is an unbiased and
objective form of writing.
Definitions of Report Writing

1. In simple words: Research report is the systematic, articulate, and orderly


presentation of research work in a written form.
2. We can also define the term as: Research report is a research document that contains
basic aspects of the research project.
3. In the same way, we can say: Research report involves relevant information on the
research work carried out. It may be in form of hand-written, typed, or computerized.

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Need For Research Report
1. The aim of research is the search for knowledge.
2. A research report is needed to evolve a theory or a principle.
3. Reporting is a process through which a basic ground is prepared for exchange of ideas
or thoughts.
4. Reporting helps the researcher to make specific recommendation for course of action.
5. The research ability of a candidate is revealed through the final report he presents.
6. A research report is highly useful for policy formulators, practitioners, general public
and others.

Significance of Report Writing

Preparation and presentation of a research report is the most important part of the
research process. No matter how brilliant the hypothesis and how well designed is the
research study, they are of little value unless communicated effectively to others in the form
of a research report.
Moreover, if the report is confusing or poorly written, the time and effort spent on
gathering and analysing data would be wasted. It is therefore, essential to summarise and
communicate the result to the management in the form of an understandable and logical
research report.
Research report is regarded as a major component of the research study for the
research task remains unfinished till the report has been presented and/or written. As a matter
of fact even
the most brilliant hypothesis, very well designed and conducted research study, and the most
striking generalizations and findings are of modest value unless they are effectively
communicated to others. The rationale of research is not well served unless the findings are
made known to others.

Research results must customarily enter the general store of knowledge. All this
explains the importance of writing research report. There are people who do not consider
writing of report as an essential part of the research process.

But the general opinion is in favour of treating the presentation of research results or
the writing of report as division and parcel of the research project. Writing of report is the

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final step in a research study and requires a set of skills somewhat different from those called
for in respect of the former stages of research. This task should be accomplished by the
researcher with extreme care; he may seek the assistance and guidance of experts for the
reason.
Functions of Research Report
1. Research report serves as a means for presenting the problem studied, methods and
techniques used, findings, conclusions and recommendation in an organised manner.
2. It serves as a reference material for future use in the same or related area.
3. It serves as a means for judging the quality of the research project.
4. It is a means for evaluating research ability.
5. It provides systematic knowledge on problems and issues analysed.
Qualities of a Good Report
1. Clarity
2. Continuity
3. Consistency
4. Brevity
5. Readability
6. Interest and Appeal
7. Judicious Selection of Materials
8. Avoiding personal opinion
9. Concentrate on Central Ideas
10. Proper Reference
Report Types

Research report is an indispensable task of every research work in which findings of a


research make known to others.

1. Formal or Informal Reports


Formal reports are carefully structured; they stress objectivity and organization,
contain much detail, and are written in a style that tends to eliminate such elements as
personal pronouns. Informal reports are usually short messages with natural, casual
use of language. The internal memorandum can generally be described as an informal
report.

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2. Short or Long Reports
This is a confusing classification. A one-page memorandum is obviously short, and a
twenty-page report is clearly long. But where is the dividing line? Bear in mind that as
a report becomes longer (or what you determine as long), it takes on more
characteristics of formal reports.

3. Informational or Analytical Reports


Informational reports (annual reports, monthly financial reports, and reports on
personnel absenteeism) carry objective information from one area of an organization
to another. Analytical reports (scientific research, feasibility reports, and real-estate
appraisals) present attempts to solve problems.

4. Proposal Report
The proposal is a variation of problem-solving reports. A proposal is a document
prepared to describe how one organization can meet the needs of another. Most
governmental agencies advertise their needs by issuing “requests for proposal” or
RFPs. The RFP specifies a need and potential suppliers prepare proposal reports
telling how they can meet that need.

5. Vertical or Lateral Reports


This classification refers to the direction a report travel. Reports that more upward or
downward the hierarchy are referred to as vertical reports such reports contribute to
management control. Lateral reports, on the other hand, assist in coordination in the
organization. A report traveling between units of the same organization level
(production and finance departments) is lateral.

6. Internal or External Reports


Internal reports travel within the organization. External reports, such as annual reports
of companies, are prepared for distribution outside the organization.

7. Periodic Reports
Periodic reports are issued on regularly scheduled dates. They are generally upward
directed and serve management control. Preprinted forms and computer-generated
data contribute to uniformity of periodic reports.

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8. Functional Reports
This classification includes accounting reports, marketing reports, financial reports,
and a variety of other reports that take their designation from the ultimate use of the
report. Almost all reports could be included in most of these categories. And a single
report could be included in several classifications.
a. Preprinted Form: Basically for “fill in the blank” reports. Most are
relatively short (five or fewer pages) and deal with routine information, mainly
numerical information. Use this format when it is requested by the person
authorizing the report.

b. Letter: Common for reports of five or fewer pages that are directed to
outsiders. These reports include all the normal parts of a letter, but they may
also have headings, footnotes, tables, and figures. Personal pronouns are used
in this type of report.

c. Memo: Common for short (fewer than ten pages) informal reports distributed
within an organization. The memo format of “Date,” “To,” “From,” and
“Subject” is used. Like longer reports, they often have internal headings and
sometimes have visual aids. Memos exceeding ten pages are sometimes
referred to as memo reports to distinguish them from shorter ones.

d. Manuscript: Common for reports that run from a few pages to several
hundred pages and require a formal approach. As their length increases,
reports in manuscript format require more elements before and after the text of
the report. Now that we have surveyed the different types of reports and
become familiar with the nomenclature, let us move on to the actual process of
writing the report.

Preparation of Research Report / Steps in writing report

Research formats may vary from researcher to researcher as well depending on the need of
the decision maker. However, any researcher could not violate the fundamental contents a
report

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should have. The following is the format of a research report:
1. Title Page
2. Page Contents
3. Executive Summary
4. Body
5. Conclusions and Recommendations
6. Bibliography
7. Appendix

Title Page
Title Page should indicate the topic on which the report is prepared. It should include the
name of the person or agency who has prepared the report.

Table of Contents
The table of contents will help the reader to know "what the report contains". The table of
contents should indicate the various parts or sections of the report. It should also indicate the
chapter headings along with the page number.

Executive Summary
If your report is long and drawn out, the person to whom you have prepared the report may
not have the time to read it in detail. Apart from this, an executive summary will help in
highlighting major points. It is a condensed version of the whole report. It should be written

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in one or two pages. Since top executives read only the executive summary, it should be
accurate and well-written. An executive summary should help in decision-making.
An executive summary should have,
(a) Objectives
(b) Brief methodology
(c) Important findings
(d) Key results
(e) Conclusion

4. The Body
This section includes:
(a) Introduction
(b) Methodology
(c) Limitations
(d) Analysis and interpretations
a. Introduction
The introduction must explain clearly the decision problem and research objective.
The background information should be provided on the product and services provided
by the organisation which is under study.
b. Methodology
How you have collected the data is the key in this section. For example, Was primary
data collected or secondary data used? Was a questionnaire used? What was the
sample size and sampling plan and method of analysis? Was the design exploratory or
conclusive?
c. Limitations
Every report will have some shortcoming. The limitations may be of time,
geographical area, the methodology adopted, correctness of the responses, etc. be
applied to make analysis and to take decisions.

5. Conclusion and Recommendation

(a) What was the conclusion drawn from the study?


(b) Based on the study, what recommendation do you make?

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6. Bibliography
If portions of your report are based on secondary data, use a bibliography section to list the
publications or sources that you have consulted. The bibliography should include, title of the
book, name of the journal in case of article, volume number, page number, edition, etc.

7. Appendix
The purpose of an appendix is to provide a place for material which is not absolutely essential
to the body of the report. The appendix will contain copies of data collection forms called
questionnaires, details of the annual report of the company, details of graphs/charts,
photographs, CDs, interviewers' instructions. Following are the items to be placed in this
section.
(a) Data collection forms
(b) Project related paper cuttings
(c) Pictures and diagrams related to project
(d) Any other relevant things.

Layout of the Research Report


The layout of the report means as to what the research report should contain. A
comprehensive layout of the research report should comprise.
a. Preliminaries
 Title Page
 Certificate from the Guide
 Declaration by the scholar
 Preface, Acknowledgement
 Table of Contents
 List of Tables
 List of Figures
 List of Appendixes
b. Content of the report
 Introduction
 Objectives of the Study
 Statement of the problem
 Hypothesis & definition of concepts

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 Review literature & research studies
 Time, Place and materials of the survey
 Scope, assumptions and limitations
 Organisation and sampling procedures
 Methods, tools and techniques employed for data collection
c. Analysis & Presentation of Results
 Report of facts, nature, volume and dimension
 Statistical analysis of data
 Summary of findings and recommendations.
d. End matter
 Bibliography
 Appendices:
 Questionnaire
 Statistical table
e. Glossary of terms
 Index

1. Title of the Page


The title page must give the title of the research project. It must give information about who
prepared it, who supervised it, who sponsored it, date on which it was presented and place
where it was presented.
2. Certificate from the Guide
Normally this is issued and signed by the guide/supervisor stating that the theses is the
contribution made by the scholar and that the guide has provided only general guidance in
shaping the work.
3. Declaration by the Candidate
This is a certificate submitted by the scholar in whom he states, that the thesis is the result of
his own efforts and is not a copy of any theses or publication already submitted or published
to any agency.
4. Foreword
It is generally given by a person whim the researcher think is highly a expert on the pursued
research project.

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5. Preface
It gives a general introduction to the project and says a few words about its importance. The
researcher express his gratitude to others, he puts his signature, place and date at the end of
the preface.
6. Table of Content
The chapters, sections and other headings used in the report and the pages on which each of
them is found
7. List of Tables
All the tables used to present the data must be given along with the pages on which they
appeared in the report.
8. List of Figures
All the figures, charts, diagrams, pictures etc given within the report must be indicated along
with the pages on which they have appeared.
9. List of Appendixes
In this part of the contents the scholar would specify items included under the appendixes. He
would indicate the items in serial order, its title and the page number where it is found
Eg. Govt policy, questionnaire etc.
10. Acknowledgement
In this page, the scholar expresses his gratefulness to all those who have helped him in the
course his research work.
11. Objectives of the Study
The objectives established and to be accomplished during the research are to be highlighted
in this problem.
12. Hypothesis
These are the assumptions the researcher holds regarding the problem.
13. Statement of the Problem
It gives the background of the problem, importance of the problem, dimensionality of the
problem. The problem is fully explained here.
14. Review of Literature
A review of earlier researcher done in relation to the research project is given in this chapter
15. Period of Study
This refers to the duration of the study ie. Whether the study is analyzing the fact for a period
of 10 years or is it focusing on the current status alone must be indicated.

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16. Place or Area of the Study
The area where the study was undergone should be mentioned. This should also be supported
by the reasons why this specific area was taken up for the research.
17. Limitation of the Study
In this section the scholar should be honest to state the limitation of the data used, analyses
applied, validity of conclusions etc.
18. Sample Design
It refers to the method of sampling adopted for data collection. He should explain how the
sample characteristic was established, how the sample size was determined and how the data
was collected.
19. Methodology
It deals with the research design to be used, data collection methods to be used. Sampling
techniques to be used, field work to be carried out, analysis and interpretation to be done.
20. Research Design
It gives details about the exploratory, explanatory or descriptive or experimental nature of the
research work. Why a particular design is used and what is its importance.
21. Scope
What aspects are to be covered in the research are to be highlights in brief in the section of
methodology.
22. Tools of Analysis
In this researcher explain the tools that he has adopted for analyzing the data. The researcher
should select the tools of analysis by considering the objectives set for the study.
23. Report of Results, Facts
The researcher will present the results of the analyses he had adopted in his study. Each result
will be discussed and interpreted.
24. Statistic Tools
Various statistical tools to be used to analyze and interpret the collected data are mentioned.
Eg. Average, percentage, measures of dispersion etc. The advance analysis like factor
analysis, cluster analyses are to be used. These must be mentioned and justification for their
use must be put forward in this section.
25. Findings
Here results and findings are given and discussed. The information which have bearing on the
objectives of the research should be included in the report.

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26. Recommendation
The recommendation must not be made just on assumption basis. The resources of the
company to which recommendation are being made must be kept in mind. It should not be a
very expensive proposition which company cannot implement owing to lack of funds. The
recommendations must be such that could be implemented.
27. Appendices
The information which is not directly related to the main body of the research report should
be included in the appendices for those readers who want to go in depth of certain aspects of
the research work.
28. Bibliography
It will contain the details of journal and books used and referred in the course of the study.
The details like, name of the book, author name, title of the book; publisher’s name, year of
publication, place of publication and edition are all provided.
29. Index
It refers to an alphabetical list of name of author or subject matter provided at the end of
research reports. It enables the reader to locate the author of subject matter easily.
30. Glossary
It refers to the definition of the technical terms used in the report.

Precautions for Writing Research Reports


Research report is a channel of communicating the research findings to the readers of the
report. A good research report is one which does this task efficiently and effectively. As such
it must be prepared keeping the following precautions in view:

1. While determining the length of the report (since research reports vary greatly in
length), one should keep in view the fact that it should be long enough to cover the
subject but short enough to maintain interest. In fact, report-writing should not be a
means to learning more and more about less and less.

2. A research report should not, if this can be avoided, be dull; it should be such as to
sustain reader‘s interest.

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3. Abstract terminology and technical jargon should be avoided in a research report. The
report should be able to convey the matter as simply as possible. This, in other words,
means that report should be written in an objective style in simple language, avoiding
expressions such as ―it seems,‖ ―there may be‖ and the like.

4. Readers are often interested in acquiring a quick knowledge of the main findings and
as such the report must provide a ready availability of the findings. For this purpose,
charts, graphs and the statistical tables may be used for the various results in the main
report in addition to the summary of important findings.

5. The layout of the report should be well thought out and must be appropriate and in
accordance with the objective of the research problem.

6. The reports should be free from grammatical mistakes and must be prepared strictly in
accordance with the techniques of composition of report-writing such as the use of
quotations, footnotes, documentation, proper punctuation and use of abbreviations in
footnotes and the like.

7. The report must present the logical analysis of the subject matter. It must reflect a
structure wherein the different pieces of analysis relating to the research problem fit
well.

8. A research report should show originality and should necessarily be an attempt to


solve some intellectual problem. It must contribute to the solution of a problem and
must add to the store of knowledge.

9. Towards the end, the report must also state the policy implications relating to the
problem under consideration. It is usually considered desirable if the report makes a
forecast of the probable future of the subject concerned and indicates the kinds of
research still needs to be done in that particular field.

10. Appendices should be enlisted in respect of all the technical data in the report.

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11. Bibliography of sources consulted is a must for a good report and must necessarily be
given. Index is also considered an essential part of a good report and as such must be
prepared and appended at the end.
12. Report must be attractive in appearance, neat and clean, whether typed or printed.

13. Calculated confidence limits must be mentioned and the various constraints
experienced in conducting the research study may also be stated in the report.

14. Objective of the study, the nature of the problem, the methods employed and the
analysis techniques adopted must all be clearly stated in the beginning of the report in
the form of introduction.

How to Write a Bibliography?


Bibliography, the last section of the report comes after appendices. Appendices
contain questionnaires and other relevant material of the study. The bibliography contains the
source of
Every reference used and any other relevant work that has been consulted. It imparts an
authenticity regarding the source of data to the reader.

Bibliography is of different type’s viz., bibliography of works cited; this contains only
the items referred in the text. A selected bibliography lists the items which the author thinks
are of primary interest to the reader. An annotated bibliography gives brief description of
each item.
The method of representing bibliography is explained below.
a. Books
Name of the author, title of the book (underlined), publisher's detail, year of
publishing, page number. Single Volume Works. Dube, S. C. "India's Changing
Villages", Routledge and Kegan Paul Ltd., 1958, p. 76.
b. Chapter in an Edited Book
Warwick, Donald P., "Comparative Research Methods" in Balmer, Martin and
Donald Warwick (eds), 1983, pp. 315-30.
c. Periodicals Journal
Dawan Radile (2005), "They Survived Business World" (India), May 98, pp. 29-36.

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d. Newspaper, Articles
Kumar Naresh, "Exploring Divestment", The Economic Times (Bangalore), August 7,
1999, p. 14.
e. Website
www.infocom.in.com
f. For citing Seminar Paper
Krishna Murthy, P., "Towards Excellence in Management" (Paper presented at a
Seminar in XYZ College Bangalore, July 2000).

Knowledge of Computer
Computers have always assisted to solve the problems faced by the mankind. Since
the time of invention, the size of the computers has drastically reduced from that of a room
to that can be accommodated in a human palm. The word computer means “something
which computes or a machine for performing calculations automatically”. But, today
computer means not merely a “calculator”. It does vast variety of jobs with tremendous
speed and efficiency. Today people use computers in almost every walk of life. Computers
have become a subject of study at schools. Electronic computers have now become an
indispensable part of every profession: so do research.
A computer has three basic components
 An input device (keyboard and mouse)
 A central processing unit (CPU) and
 An output device (monitor and/or printer)

Important characteristics of a computer

 Speed
Computers can perform calculations in just a few seconds that a human beings would
need weeks to do.
 Storage
End number of data can be stored in the computer and retrieved when needed. Whereas a
human mind can remember limited information and unimportant data can be forgot
sometimes.

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 Accuracy
The computer’s accuracy is consistently high. Almost without exception, the errors in
computing are due to human rather than to technological weakness. i.e. due to imprecise
thinking by the programmer or due to inaccurate data or due to poorly designed system.
 Automation
The computer programmes are automatic in nature. Individual instructions to perform
which programme is needed sometimes.
 Diligence
Being a machine computer does not suffer from human traits of tiredness and lack of
concentration. A computer can perform n number of calculations continuously with the
same accuracy andspeed.

Role of computers in research

The computers are indispensable throughout the research process. The role of
computer becomes more important when the research is on a large sample. Data can be
stored in computers for immediate use or can be stored in auxiliary memories like floppy
discs, compact discs, universal serial buses (pen drives) or memory cards, so that the same
can be retrieved later. The computers assist the researcher throughout different phases of
research process.
Phases of Research Process

There are five major phases of the research process. They are:

1) Conceptual phase

2) Design and planning phase

3) Empirical phase

4) Analytic phase and

5) Dissemination phase
1) Role of Computer in Conceptual Phase

The conceptual phase consists of formulation of research problem, review of


literature, theoretical frame work and formulation of hypothesis.

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a) Role of Computers in Literature Review: Computers help for searching the
literatures (for review of literature) and bibliographic references stored in the
electronic databases of the World Wide Web’s. It can thus be used for storing
relevant published articles to be retrieved whenever needed. This has the
advantage over searching the literatures in the form of books, journals and
other newsletters at the libraries which consume considerable amount of time
and effort.

2) Role of Computers in Design and planning phase

Design and planning phase consist of research design, population, research variables,
sampling plan, reviewing research plan and pilot study.

a) Role of Computers for Sample Size Calculation: Several softwares


are available to calculate the sample size required for a proposed study.
NCSS-PASS- GESS is such software. The standard deviation of the data
from the pilot study is required for the sample size calculation.

3) Role of Computers in Empirical phase

Empirical phase consist of collecting and preparing the data for analysis.

a) Data Storage: The data obtained from the subjects are stored in computers
as word files or excel spread sheets. This has the advantage of making
necessary corrections or editing the whole layout of the tables if needed,
which is impossible or time consuming incase of writing in papers. Thus,
computers help in data entry, data editing, data management including follow up
actions etc. Computers also allow for greater flexibility in recording the data
while they are collected as well as grater ease during the analysis of these data.

In research studies, the preparation and inputting data is the most labor-
intensive and time consuming aspect of the work. Typically the data will be
initially recorded on a questionnaire or record form suitable for its acceptance by
the computer. To do this the researcher in conjunction with the statistician and
the programmer, will convert the data into Microsoft word file or excel

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spreadsheet. These spreadsheets can be directly opened with statistical softwares
for analysis.

4) Role of Computers in Data Analysis

This phase consist of statistical analysis of the data and interpretation of results.
a. Data Analysis: Many software’s are now available to perform the
‘mathematical part’ of the research process i.e. the calculations using
various statistical methods.
Software’s like SPSS, NCSS-PASS, STATA and Sysat are some of the
widely used. They can be like calculating the sample size for a proposed
study, hypothesis testing and calculating the power of the study. Familiarity
with any one package will suffice to carry out the most intricate statistical
analyses. Computers are useful not only for statistical analyses, but also to
monitor the accuracy and completeness of the data as they are collected.
5) Role of Computers in Research Dissemination

This phase is the publication of the research study.

a) Research publishing: The research article is typed in word format and


converted to portable data format (PDF) and stored and/or published in the
World Wide Web.

Tools and Applications used In the Research

There are various computer applications used in scientific research. Some of the most
important applications used in scientific research are data storage, data analysis, scientific
simulations, instrumentation control and knowledge sharing.
1) Statistical Analysis Tool: SPSS

SPSS is the most popular tool for statisticians. SPSS stands for Statistical Package for
Social Sciences. The latest version of SPSS is IBM SPSS STATISTICS 20
(purchased by IBM after version 19). It provides all analysis facilities like following
and many more.
 Provides Data view & variable view

 Measures of central tendency & dispersion

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 Statistical inference

 Correlation & Regression analysis

 Analysis of variance

 Non parametric test

 Hypothesis tests: T-test, chi-square, z-test, ANOVA, Bipartite variable….

 Multivariate data analysis

 Frequency distribution

 Data exposition by using various graphs like line, scatter, bar, ogive,
histogram, pie chart….
2) Data Analysis Tool: SPREADSHEET PACKAGES

A spreadsheet is a computer application that simulates a paper worksheet. It displays


multiple cells that together make up a grid consisting of rows and columns, each cell
containing either alphanumeric text or numeric values.

Microsoft Excel is popular spreadsheet software. Others spreadsheet packages are


Lotus 1-2-3 Quattro Pro, Javeline Plus, Multiplan, VisiCalc, Supercalc, Plan Perfect
etc.

3) Other Statistical Tools

SAS, S-Plus, LISREL, Eviews etc.

4) Word Processor Packages

A word processor (more formally known as document preparation system) is a


computer application used for the production (including composition, editing,
formatting, and possibly printing) of any sort of printable material.

The word processing packages are Microsoft Word, Wordstar, Word perfect,
Softward, Akshar (Gujarati), Amipro etc.

5) Presentation Software

A presentation program is a computer software package used to display information,


normally in the form of a slide show. It typically includes three major functions: an

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editor that allows text to be inserted and formatted, a method for inserting and
manipulating graphic images and a slide- show system to display the content. The
presentation packages are Microsoft Power point, Lotus Freelance Graphics, Corel
Presentations, Apple keynote etc.

6) Database Management Packages (Dbms)

Database is an organized collection of information. A DBMS is software designed to


an age a database.

Various Desktop Databases are Microsoft Access, Paradox, Dbase or DbaseIII+,


FoxBase, Foxpro/ Visual Foxpro, FileMaker Pro

Commercial Database Servers that supports multiuser are Oracle, Ms-SQL Server,
Sybase, Ingres, Informix, DB2 UDB (IBM), Unify, Integral, etc.

Open source Database packages are MySQL, PostgreSQL, Firebird etc.

7) Browsers

A web browser is a software application which enables a user to display and interact
with text, images, videos, music, games and other information typically located on a
Web page at a website on the World Wide Web or a local area network.

Examples are Microsoft Internet explorer, Mozilla firefox, Opera, Netscape navigator,
Chrome (google browser), Safari

8) Tools through Internet

a. SEARCH ENGINES (to search the information) Google (popular search


engine)
Yahoo!
Webcrawler Excite Altavista
b. Online Data/Documentation Management (to manage your documents online)
Drop box
Google Drive
Google Docs
MS Sky Drive (free)
Microsoft 365 (paid version)
c. Online Data Collection (To collect data online from different users)
Online forms
Online questionnaires
Online surveys

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d. Collaboration tools
Skype : Voice and video conferencing
Google Hangouts :Voice and video conferencing
e. Modern Research tools
Zotero
Evernote
Modern electronic research tools, like Zotero and Evernote, make the collection of
research data, and collaboration between colleagues possible, which that in the past would
have been difficult, expensive, or even impossible. They also save large amounts of time
citing and creating bibliographies. Evernote allows the user to capture digital content,
including web pages, PDF files or snippets of web pages, organize them, annotate them,
share them, publish them and search them.

Statistical Package for Social Sciences (SPSS)


SPSS is a powerful statistical software package, whose origins lie in the social sciences. It is
capable of doing “simple” summaries of data using summary statistics, tables and charts, or
advanced general linear model and data mining techniques.
SPSS is a Windows based program that can be used to perform data entry and analysis and to
create tables and graphs. SPSS is capable of handling large amounts of data and can perform
all of the analyses covered in the text and much more. SPSS is commonly used in the Social
Sciences and in the business world,
Use of SPSS in Business Research

1. SPSS software is used to perform quantitative analysis and is used as a complete


statistical package that is based on a point and click interface.

2. This software has been widely used by researchers to perform quantitative analysis
since its development in the 1960s by Norman H. Nie, in collaboration with C. Hadlai
Hull and Dale Bent.

3. SPSS software can read and write data from other statistical packages, databases, and
spreadsheets.

4. When entering data into the software, one has to click on “variable view.” The
variable view enables the user to customize it by data type and consists of the

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following headings: Name, Type, Width, Decimals, Label, Values, Missing, Columns,
Align, and Measures. These headings enable the user to characterize the data.

5. SPSS is most often used in social science fields such as psychology, where statistical
techniques are involved at a large scale. In the field of psychology, techniques such as
cross tabulation, t-test, chi square test, etc., are available in the “analyze” menu of the
software.

6. There is also an option in the software called “split file,” which is given in the “data”
menu.

7. This option is very useful for researchers who are performing comparative studies.
Suppose researchers want to know the literacy rate of three regions.

8. In this case, the split file option will help them get the result of three regions
separately so that they can interpret and compare the literacy rate of the three regions.

9. SPSS software has a technique called missing value analysis, and this technique helps
in making better decisions about the data.

10. This technique enables the user to fill in the missing blanks in order to create better
models to estimate the data.

11. The analysis provides the user with procedures for data management and preparation.

12. SPSS involves some sophisticated inferential and multivariate statistical procedures
such as factor analysis, discriminate analysis, analysis of variance, etc.

13. SPSS, as the name suggests, is software for performing statistical procedures in the
social sciences field.

14. The major limitation of SPSS is that it cannot be used to analyze a very large data set.

15. A researcher often gets a large data set in the field of medicine and nursing, so in
those fields, the researcher generally uses SAS instead of SPSS to analyze the clinical
data.

22 | M K

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