Dr. GETIE

Introduction to Research Methods
Just close your eyes for a minute and utter the word research to yourself. What
kinds of images does this word conjure up for you? Do you visualize a lab with
scientists at work with Bunsen Burners and test tubes, or an Einstein –like
character writing dissertation on some complex subject, or someone collecting
data to study the impact of a newly introduced day-care system on the morale
of employees? Most certainly, all these images do represent different aspects of
research. Research is somewhat intimidating term for some, is simply the
process of finding solutions to a problem after a thorough study and analysis of
the situational factors.
Business research is an organized , systematic , data based , critical , objective

, scientific enquiry or investigation into a specific problem undertaken with
the purpose of finding answers or solutions to it In essence , research
provides the needed information that guides managers to make informed
decisions to successfully deal with problems.
Managers in organizations constantly engage themselves in studying and

analyzing issues and hence are involved in some form of research activity as
they make decisions at the workplace. As is well known, sometimes managers
make good decisions and the problem gets solved, sometimes they make poor
decisions and the problem persists, and on occasions they make such colossal
blunders that the organization gets stuck in the mire.
The difference between making good decisions and committing blunders lies in
how managers go about the decision-making process. In other words, good
decision making fetches a “yes” answer to the following questions.
 Do managers identify where exactly the problem lies ,

 Do they correctly recognize the relevant factors in the situation
needing investigation,
Research Methods in Business Studies: A Practical Guide (PGS)–Dr Getie A. Page 1

 Do they know how to make use of information so collected and draw
appropriate conclusions to make the right decision ,and finally ,
 Do they how to implement the results of this process to solve the
problem? This is what this reading material is all about.
This teaching material is organized under 13 chapters:
Chapter-1 addresses the Nature & Scope Of Research; chapter -2 deals with
structural elements of a Research Proposal; chapter -3 is concerned with a
critical review guideline of related Literature ; chapter -4 discusses issues
related to Problem Definition & Setting Of Objectives; chapter -5 explores
various form of Research Designs and the level of interventions by the
researchers ; Chapter -6 describes pertinent issues related to Sampling
designs and procedures; chapter -7 highlights different Qualitative Research
Methods; chapter -8 deals with various methods used in Quantitative
Research ; chapter -9 is concerned with Measurement In Business Research;
chapter -10 describes skills used in Designing Data Collection Forms
/Questionnaires; chapter -11 is dealing with the Data Preparation Process For
Analysis; chapter -12 Data Analysis & Interpretation; and chapter -13
highlights the main issues incorporated in Report Generation & Presentation.
Good Luck!!!
(Dr. Getie A.)

Chap-1 An overview of Business Research
1. Definition of Research
1.1 What Is Research?
Research is an organized inquiry carried out to provide information for the solution of a
problem. Research is an organized and systematic way of finding answers to questions.
Research
 directed toward the solution of a problem;
 is based upon observable experience or empirical evidence;
 demands accurate observation and description;
 involves gathering new data from primary or first-hand sources or using
existing data for a new purpose;
 is characterized by carefully designed procedures, always applying rigorous
analysis.
 requires expertise;
 is characterized by patient and unhurried activity;
 is carefully recorded and reported;
 sometimes requires courage;

 emphasizes the development of generalizations, principles, or theories that will
be helpful in predicting future occurrences;
 Strives to be objective and logical, applying every possible test to validate the
procedures employed, the data collected, and the conclusion reached.
The purpose of scientific research is problem solving – practical or theoretical nature.
 Seeking solutions to practical or theoretical problems involves:
 Describing phenomena/pictorial account of the phenomena
 Explaining phenomena/cause -and -effect relationships/
 Predicting phenomena/predicting what will happen in the future/
 Controlling phenomena/intervention packages
 Comparing phenomena/comparing 2 or more groups on a certain behavior or
even within the same group
Business Research is an organized, systematic, data based on critical, objective, scientific
enquiry or investigation into a specific problem, undertaken with the purpose of finding answers
or solutions to it. In essence research provides the needed information that guides managers to
make informed decisions to successfully deal with problems.
The basic differences between research methods and research methodology
 A method is a particular research technique or way to gather evidence about a
phenomenon.

 Methods are the specific tools to gather data such as surveys, interviews, participant
observations.
 Methodology describes “the theory of how inquiry should proceed”
 Methodology encompasses our entire approach to research – how we design and
implement research studies.
Research methods are rules and procedures, and can be seen as “tools or ways of proceeding to
solve problems “research methods play several roles, such as:
 “logic” or ways of reasoning to arrive at solutions;
 Rules for communication, i.e. to explain how the findings have been achieved;
 Rules of intersubjectivity, i.e. outsiders should be able to examine and evaluate
research findings.
The role and salient characteristics of marketing research may be described by the Acronym
RESEARCH.
 R recognition of information needs
 E ffective decision making
 S ystematic and objective
 E xude or disseminate information
 A analysis of information
 R commendations for action
 C collection of information
 H helpful to managers.

1.2 Is research a means to an end or an end by it-Self?
Information is often required to solve a specific problem to minimize risk and uncertainty which
makes research a means to end (applied research).Research can also be used to increase
knowledge or understanding. This makes research an end in itself. ( Basic Research).
1.3 What are the basic Features of Scientific Research?
Scientific research is concerned with observed facts systematically classified, and includes
trustworthy methods to discover truths. This method of inquiry is a very important aspect of
science. Observation, hypothesis & verification are the three important components of scientific
enquiry.
1.4 Working Assumption of Science
In searching for causes, a researcher will adopt any one of these assumptions:
 Realism- the philosophy that perceived objects has an existence outside the mind.
 Rationality- a view that reasoning is the basis for solving problems.
 Regularity- a belief that phenomena exist in recurring patterns that conform to
universal laws.
 Discoverability- the belief that is possible to find solution to questions posed.
 Determinism: the doctrine that all events happen because of preceding causes.
1.5 Characteristics of Scientific Methods
Two general traits characterize the scientific method:
 Validity: is the characteristics used to describe research that measures what
it claims to measure For example , to measure TV-viewing audiences

people meter –mechanical device is put on TV sets to determine when they
are turned on.
 Reliability: is the characteristic of a research methodology that allows it to be
repeated again and again by any researcher –always with the same results.
Scientists working in their laboratories control all aspects of their experiments and report them in
detail so that other scientists can attempt the same study and confirm the results.
1.6 Distinction between the Scientific and Non-Scientific Methods
The main differences between scientific and nonscientific methods include the following:
 Objectivity of the Researcher: researchers must base their judgment on facts,
not on preconceived notions or intuitions.
 Accuracy of Measurement: the scientific method attempts to obtain the most
accurate measurement possible.
 Continuing & exhaustive Nature of investigation: a scientific investigation
considers all facts pertinent to the problem at hand.
1.7 Classification /Categories of Researches
There are different categories of research:
The Basis of Classification includes the following:
 goal of research
1. Basic research
2. Applied research
 Specific Objectives of Research
1. Descriptive

2. Explanatory
3. exploratory
 approaches of research
1. Qualitative research
2. Quantitative research
 Designs
1. Experimental
2. Quasi-experimental
3. Non-experimental
 the type of data used in research
1. Primary or field research
2. Secondary or desk research
 Fields of study.
1. natural science research,
2. social science research,
3. educational research,
4. behavioral science research,
5. health science research, etc
Basic vs. Applied Research
Basic Research/Pure Research/Fundamental Research
The investigation of problems to further and develop existing Knowledge. It is mainly
concerned with generalization and formulations of theories. Gathering information and acquiring

knowledge for knowledge‘s sake is termed basic research. It aims to solve perplexing questions
of a theoretical nature that have little direct impact on action, performance, or policy decisions.
Leads to major scientific breakthroughs.
The major aims of basic research include:
 Obtaining and using empirical data to formulate, expand, or evaluate theory; and
 Discovery of knowledge solely for the sake of knowledge.
Basic research:
 Represents a rigorous and structured type of analysis;
 Employs careful sampling procedures in order to extend the findings beyond the group or
situation;
 Basic research lays down the foundation for the applied research that follows; and
 Has little concern for the application of the findings or social usefulness of the findings
Problem That Calls For Basic Research
1) Right from her days as a clerical employee in a bank , Belyou had observed that her
colleagues , though extremely knowledgeable about the nuances and intricacies of
Banking , were exerting very little effort to improve the efficiency and effectiveness of
the bank in the area of customer relations and services. They took on the minimum
amount of work load, availed of long tea and lunch breaks, and seamed not motivate d in
their dealings with the customers or the management. That they were highly
knowledgeable about banking policies and practices was clearly evident from their
mutual discussions about these as they processed applications from customers . Belyou
herself was very hardworking and enjoyed her work with customers. She always used to

think what a huge waste it was for talented employees to goof off rather than contribute to
GNP. When she left the bank and did her dissertation for her Ph.D.’ her topic of
investigation was job involvement, or the ego investment of people, in their jobs. The
conclusion of her investigation was that the single most important contributory factor to
job involvement is the fit or match between the nature of the job and the personality
predispositions of the people engaged in performing it. For example, challenging jobs
allowed employees with high capabilities to get job –involved, and people –oriented
employees got job-involved with service activities. Belyou then understood why the highly
intelligent bank employees could not get job-involved with service activities. Belyou then
understood why the highly intelligent bank employees could not get job-involved or find
job satisfaction in the routine jobs that rarely called for the use of their abilities.
Subsequently, when Belyou joined the internal research team of a Fortune 500 company,
she applied this knowledge to solve problems of motivation, job satisfaction, job
involvement, and the like, in the organization.
 The above is an instance of basic research, where knowledge was generated to
understand a phenomenon of interest to the researcher.
 Most research and developments in various industries , as well as many
professors in colleges and universities , do basic or fundamental research , so
that more knowledge is generated in particular areas of interest to industries
, organizations, and researchers.
 Though the objectives of engaging in basic research is primarily to equip
oneself with additional knowledge of certain phenomena and problems that
occur in several organizations many professors in colleges and universities ,
do basic or fundamental research , so that more knowledge is generated in
particular areas of interest to industries , organizations , with a view to
finding solutions , the knowledge generated from such research is often
applied later for solving organizational problems.
2) An investigation on the causes of Global warming.
3) A general electric company engaged on generating knowledge on the different application
of electrical energy under the Motto “we bring good things to life.”

4) How to improve the effectiveness of information systems ,integrate and the like.ate
technology into the overall strategic objectives of an organization, assess the impact of
logos, increase the productivity of employees in service industries , Monitor sexual
harassment incidents at the work place , increase the effectiveness of small businesses ,
evaluate alternative inventory valuation methods , change the institutional structures of
the financial and capital market .University professors engage in basic research in an effort
to understand and generate more knowledge about the various aspects of business-which
these findings later become useful for application in business situations.
Applied Research
Research done with the intention of applying the results of the findings to solve specific
problems currently being experienced in the organisation.It has a practical problem solving
emphasis, although the problem solving is not always generated by negative circumstances.
Problem solving based as it is conducted to reveal answers to specific questions related to action,
performance, or policy needs. It is undertaken to solve a specific problem. Attempts to solve
specific management problems.
 Applied research is designed to solve practical problems of the modern world, rather
than to acquire knowledge for knowledge's sake.
 The goal of the applied scientist is to improve the human condition. It is undertaken
to solve immediate practical problem and the goal of adding to the scientific
knowledge is secondary.
 The primary purpose for applied research is discovering, interpreting, and the
development of methods and systems for solving practical problems.
Problem That Calls For Applied Research
1) Oxford health plans Inc. Saw trouble brewing. It was a company in distress experiencing
computer problems. Turnover among Oxford’s programmers was, unusually high and
processing of claims become a big nightmare. Clients started cancelling their policies ,

claims for bypass surgery and such were way up, and premiums paid out relative to
clients’ medical expenses, on a percentage basis , was close to 85%.
 It is obvious that Oxford has a multitude of problems and an outside
consultant- researcher would perhaps be able to design a scientific study
that would look into them.
 Presumably, this would be a lengthy investigation that could then consider
them, make the right decision, and thereby solve Oxford’s problems.
 This problem illustrates the need for applied research and can be solved
through investigation and good managerial decision making.
2) Xerox is insular and is not ready for the increasingly Competitative, high tech world.
Xerox still relies on old fashioned and slow- selling analog copiers , for more than half
its revenue and despite its double –digit growth in digital products and services , its
sales rose just 4 % .In this situation, Xerox also needs to look into the efficacy of the
analog technology used in copiers and examine what should be done to increase
efficiency and promote its sales. This problem illustrates the need for applied research
and can be solved through investigation and good
In sum , both applied and basic business research are scientific in nature , the main difference
being that the former is undertaken specifically to solve a current business problem whereas
the latter is primarily resorted to because of the importance of the subject to the researcher. A
deeper understanding of the phenomenon would be useful for its own sake as well as for
application later, as needed. It is also possible that some applied research could have a shorter
time frame than some basic research.
Descriptive, Explanatory, & Exploratory Research
Descriptive research
 It sets out to describe and to interpret what is.
 It looks at individuals, groups, institutions, methods and materials in order to

describe, compare, contrast, classify, analyze and interpret the entities and the
events that constitute the various fields of inquiry.

 It aims to describe the state of affairs as it exists.
 the goal of descriptive research is to describe some aspect of a phenomenon, i.e., the
status of a given phenomenon.
Methods of Descriptive Research
Surveys
 gathers data on a one-shot basis and hence is economical and efficient;
 represents a wide target population
 generates numerical data;
 provides descriptive, inferential and explanatory information;
 manipulates key factors and variables to derive frequencies; and
 presents material which is uncluttered by specific contextual factors.
 Surveys can be distinguished as cross-sectional and longitudinal.
Correlation studies
 Correlational studies trace relationships among two or more variables in order to gain
greater situational insight.
 E.g. Price and sales, advertising and sales, etc.
 The purpose of correlational studies is not to establish cause-effect relationship

among variables but to determine whether the variables under study have some kind
of association or not.
 Variables being studied may have positive or negative relationship or they may not
have relationship at all.
Observation studies

 Observation studies involve observing and recording of behavior or trait or
attribute as it occurs in its natural settings.
 observation study has the following important features:
 The first and most fundamental principle is that of noninterference.
 Second, observation study involves the observation and detection of

invariants, or behavior patterns or other phenomena that exist in the
real world.
 Third, observation study is particularly useful when we know little or

nothing about a certain subject.
 Finally, observation study is basically descriptive. Although it can

provide a somewhat detailed description of a phenomenon, it cannot
tell us why the phenomenon occurred.
Case studies
 Case studies emphasize detailed contextual analysis of a limited number of events or

conditions and their relationships.
 They are largely descriptive examinations, usually of a small number of sites
 Case studies can provide very engaging, rich explorations of a project or application
as it develops in a real-world setting.
Explanatory Research
 Explanatory research aims at establishing the cause and effect relationship between
variables.
 The researcher goes beyond merely describing the characteristics, to analyze and
explain why or how something is happening.
 Explanatory or analytical research aims to understand phenomena by discovering and

measuring causal relations among them.

 Explanatory research builds on both exploratory and descriptive researches.
 It involves:
 Explaining things not just reporting. Why? Elaborating and enriching a

theory's explanation.
 Determining which of several explanations is best.
 Determining the accuracy of the theory; test a theory's predictions or

principle.
 Providing evidence to support or refute an explanation or prediction.
 Testing a theory's predictions or principles.
Quantitative Vs. Qualitative Research Vs. Pluralistic Research
Quantitative Research: Based on the measurement of quantity or amount. Applicable to
phenomenon that can be expressed in terms of quantity.
 Quantitative research is the systematic and scientific investigation of quantitative
properties and phenomena and their relationships.
 The objective of quantitative research is to develop and employ mathematical
models, theories and hypotheses pertaining to natural phenomena.
 The process of measurement is central to quantitative research.
 Quantitative research involves surveys and experiments
 Quantitative approach typically concentrates on measuring or counting and
involves collecting and analyzing numerical data and applying statistical tests.

Qualitative Research: Concerned with qualitative phenomena. Is important in behavioral
sciences where the aim is to discover the underlying motives, interests, personality and attitudes
of human beings.
Qualitative research is a type of empirical enquiry that entails purposive sampling for gathering
data. It involves:
 in-depth interviews,
 group discussions,
 projective techniques,
 Observations without formal measurement.
 A case study, which is an in-depth examination of one person, is a form of
qualitative research.
Pluralistic Research: Defined as the combination of qualitative & quantitative research methods
in order to gain the advantages of both. With pluralistic research , it is common to begin with
exploratory qualitative techniques as, for example , in-depth interviews of selected dealers or a
series of group discussion with customers in order to understand how they perceive your
product and service as compared to those of competitors. The qualitative phase serves as the
foundation for the quantitative phase of the research project because it provides the researcher
with first-hand knowledge of the research problem. Armed with this knowledge, the researcher’s
design and execution of the quantitative phase is invariably superior to what it might have been
without the qualitative phase. With pluralistic research , the qualitative phase serves to frame

the subsequent quantitative phase , and in some cases , a qualitative phase is applied after a
Quantative study to help the researcher understand findings in the quantitative phase.
Conceptual Vs. Empirical Research
Conceptual Research: Related to some abstract idea or theory. Philosopher’s thinkers generally
use it to develop new concepts or to interpret existing ones.
Empirical Research: Data based, coming up with conclusions that are capable of being verified,
by observation or by experiment. The researcher should collect enough that to prove or disprove
his hypothesis. Appropriate when proof that certain variable affect others variables in some way
is sought. Evidence gathered through experiment or empirical studies provides the most powerful
support possible for a given hypothesis.
Induction and Deduction
A researcher observes and faithfully records what is seen without any prejudice. Some of these
statements of observations are established as true and serves as the basis for theories and laws.
There are two ways of establishing what is true or false and to draw conclusions: Induction and
Deduction.
Induction
Induction is based on empirical evidence, while deduction is based on logic. Through induction
we draw general conclusion from our empirical observations. In this type of research the process
goes from observations findings theory building, as findings are
incorporated back into existing knowledge to improve theories. This type of research is often

associated with qualitative type of research. This process goes from assumption to conclusions
and is illustrated as follows:
Assumption: psychiatrists have found that psychological problems in patents depend upon their
experiences in childhood.
Conclusions: All psychological problems are based on experiences in childhood.
Deduction
By deduction mean that we draw conclusion through logical reasonining. In this case, it need
not be true in reality, but it is logical. The researcher in this type of research builds /deduces
hypothesis from the existing knowledge which can be subjects to empirical scrutiny and this can
be accepted or rejected.
The researcher’s main job is not only to build hypothesis from existing knowledge but also to
present them in operational terms, to show how information can be collected to test these
hypothesis and the concepts used.
The process of deduction goes as follows:
Assumption: al materials expand when heated.
Assumption: rail tracks are built of metal.
Conclusion: Rail tracks will expand when heated.
The above examples explain the difference between induction and deduction. The difference is
that facts acquired through observations lead us theories and hypothesis, while with deduction
we accept or reject these theories and hypothesis. This acceptance and the rejection then help us
to explain or predict.

1.8 Internal Vs. External Researchers
There Two Groups Of Consultants/ Researchers: Internal and External.
1.8.1 Advantages and Disadvantage Internal Consultants / Researchers
Some organization has their own consulting or research department, which might be called the
management services Department.
I) Advantages of Internal Consultants /Researchers
There are at least four advantages’ in engaging an internal team to do the research project.
 The internal team would stand a better chance of being readily accepted by the
employees in the subunit of the organization where research needs to be done.
 The team would require much less time to understand the structure, the
philosophy and climate, and the functioning and work systems of the
organization.
 They would be available for implementing their recommendations after the
research findings are accepted. This is very important because any “bugs” in the
implementation of the recommendation s could be removed with their help.
 The internal team might cost considerably less than an external team for the
department enlisting help in problem solving , because they will need less time
to understand the system due to their continuous involvement with various
units.
II) Disadvantages of Internal Consultants
There are also certain disadvantages to engaging internal research teams for purposes of
problem solving:

 In view of their long tenure as internal consultants, the internal team may quite
possibly fall into a stereotyped way of looking at the organization and its
problems. This would inhibit fresh ideas and perspectives that might be needed
to correct the problem.
 There is scope for certain powerful coalitions in the organization to influence the
internal team to conceal, distort, or misrepresent certain facts. In other words,
certain vested interests could dominate, especially in securing a sizeable portion
of the available scant resources.
 There is also a possibility that even the most highly qualified internal researcher
teams are not perceived as “experts” by the staff and management, and hence
their recommendations do not get the consideration and attention they deserve.
 Certain organizational biases of the internal research team might in some
instances make findings less objective and consequently less scientific.
1.8.2 Advantages & Disadvantages of External Consultants
The disadvantages of an internal research teams turn out to be the advantages of the external
teams, and the former’s advantages work out to be the disadvantages of the latter. However, the
specific advantages and disadvantages of the external teams may be highlighted.
I) Advantages Of External Consultants
 The external team can draw a wealth of experience from having worked with
different type of organizations that have had the same or similar types of
problems. This wide range of experience would enable them to think both
divergently and convergent rather than hurry to an instant solution on the basis of
the apparent facts in the situation. They would be able to ponder over several

alternative ways of looking at the problem because of their extensive problem
solving experiences in various other organizational settings.
 The external teams , especially those from established research and consulting
firms , might have more knowledge of current sophisticated problem-solving
models through their periodic training programs, which the teams within the
organization may not have access to. Because knowledge obsolescence is a real
threat in the consulting area , external research institutions ensure that their
members are current on the latest innovations through periodic organized
training programmes.
II) Disadvantages Of External Consultants
The major disadvantages in hiring an external research team are as follows:
 The cost of hiring an external research team is usually high and is the main
deterrent, unless the problems are very critical.
 In addition to the considerable time the external team takes to understand the
organization to be researched, they seldom get a warm welcome, nor are readily
accepted by employees. Departments and individuals likely to be affected by the
research study may perceive the study team as a threat and resist them.
 The external team also charges additional fees for their assistance in the
implementation and evaluation phases.
The Research Process
The research process includes a number of practical steps which may include the following.
 Define The Research Problem,

 Establish The Research Objectives,
 Develop Hypothesis And Research Questions,
 Identify Information Types And Sources
 Determine Research Design,
 Determine Sample Plan And Size
 Qualitative methods
 Quantitative methods
 Development of measurement scales
 Development of data collection designs (Questionnaire)
 Collecting Data
 Analyze Data
 Prepare and Present The Final Research Report
Although the list does strongly imply an orderly, step-by-step process, it is rare that a research
project follows these steps in the exact order.
 Actually, research practices are more of an iterative process whereby a researcher,

by discovering something in a given step, may move backward in the process and
begin again at another step.
 Finding some new information while collecting data, may cause the researcher to
establish different research objectives.
 Any given research project may not involve each and every step shown above.
 The research problem could be resolved, by review of a secondary data, thereby
eliminating the need to determine a sample plan or size.
 What is important for you to know is that, although almost every research project is
different, there are enough commonalities among the various procedures and
activities to enable us to specify the basic steps of the research process.
Review Questions
1. For what specific purposes as basic research Important?

2. When is applied research, as distinct from basic research, useful?
3. Why is it important to be adept in handling the manager-researcher relationship?

4. Explain, giving reasons, which is more important, applied or basic research.
5. Explain, giving reasons, which is more important, applied or basic research.
6. Give two specific scenarios where an external research team would be useful and two
other sections when an internal research team will be deployed, with adequate
explanations as to why each scenario is justified for an external or internal team.
7. Given the situation below a) discuss with reasons whether they fall into the category of
applied or basic research, and b) for scenario 1, explain with reasons who will conduct
the research.
Scenario 1
To Acquire or Not To Acquire: That Is the Question
Companies are very interested in acquiring other firms even when the latter operate in totally
unrelated realms of business. For example, Gencore industries manufacturing asphalt plants for
road construction acquired Ingersoll –Rand in 1996, and later acquired yet another company
engaged in the business of food processing. Such acquisitions are claimed to “work miracles.”
However, given the volatility of the stock market and the slowing down of business, many
companies are not sure whether such acquisitions involve too much risk. At the same time, they
also wonder if they are missing out on a great business opportunity if they fail to take such risk.
Some research is needed here!
Scenario 2
Reasons for Absenteeism
A university professor wanted to analyze in depth the reasons for absenteeism of employees in
organizations. Fortunately, a company within 20 miles of the campus employed her as a
consultant to study that very issue.
Scenario 3

Effects of Nasal Spray on Flu
A research scientist surveys 1,000 employees in different organizational settings to study the
efficacy of several types of nasal sprays in controlling the flu virus. He subsequently publishes
his findings in a highly respected medical journal.

Chap- 2 The Research Proposal
2.1 What is a research proposal?
A research proposal is an activity that incorporates decisions made during early research-project
planning phase of the study including management –research questions hierarchy and
exploration. A research proposal is a work plan, outline, prospectus, statement of intent, draft
plan.
A proposal is an individual’s or a company’s offer to produce a product or render a service to a

potential buyer or sponsor.
2.2 Purpose of Research Proposal
The purpose of a research proposal is to:
 Present the management question to be researched and its importance.

 Discuss the research efforts of others who have worked on related management
questions.
 Suggest the data necessary for solving the management questions and how the data
will be gathered, treated, and interpreted.
2.3 Types of Research Proposals
Proposals can be internal or external.
I) Internal Proposals
Internal proposals are more succinct than external ones.
 An internal proposal is done for the corporation by staff specialist or by the research
department of the firm.
 It is a memo from the researcher to management outlining the problem statement,
study objectives, research design, and schedule enough to start an exploratory study.

 Privately and publically held firms are concerned with how to solve a particular
problem, make a decision, or improve an aspect of their business.
 In the small scale proposal, the literature review and bibliography are consequently
not stressed and can often be stated briefly in the research design.
 For the smaller scale projects, descriptions are not required for facilities and special
resources, nor is there a need for a glossary.
II) External proposals
 An external proposal is either solicited or unsolicited.
 A solicited proposal is often in response to REP.
 The proposal is likely competing against others for a contract or grant.
 An unsolicited proposal has the advantage of not competing against others but the
disadvantage of having to speculate on the ramification of a problem facing the
firm’s management.
 The writer of the unsolicited proposal must decide to whom the document should
be sent.
 The external summary of an external proposal may be included within about
project management and the facilities and special resources.
Complexity Level of a Proposal
There are three general levels complexity.
Type least………………………………………….Most
i) Management internal exploratory small-scale large-scale

proposal study study study
external exploratory small-scale Large–scale
contract contract cochntract
research research research Government
Sponsored
ii) Student Proposals Term Paper Master’s Doctoral
Thesis Thesis

Structure of an Internal Proposal
The major components of an internal proposal include:
1. Title Page
 A title ought to be well studied and give a definite and concise indication of what
is to come.
 The title of a research proposal should state your topic exactly in the smallest
possible number of words.
 Put your name, the name of your department/faculty/college, the name of your
advisor(s) and date of delivery under the title.
 First impressions are strong impressions: make your title an attention grabber.
2. Summary/Abstract
 The abstract is a one page brief summary of the thesis proposal.
 It needs to show a reasonably informed reader why a particular topic is

important to address and how you will do it.
 Specify the question that your research will answer, establish why it is a
significant question; show how you are going to answer the question.
 Do not put references, figures, or tables in the abstract.
 The abstract is a concise summary of the material presented in the proposal.
 Though it appears at the front of the proposal, it is written last.
 A well-prepared summary enables the reader to
 Identify the basic content of a document quickly and accurately,
 Determine its relevance to their interests, and
 Decide whether they need to read the document in its entirety.

3. Introduction/Background
 The introduction is the part of the proposal that provides readers with the
background information for the research proposal.
 The introduction should address the following points:
 Sufficient background information to allow the reader to understand the

context and significance of the question you are trying to address.
 Proper acknowledgement of the previous work on which you are building.
 Sufficient references
 The introduction should be focused on the research question(s).
 All cited work should be directly relevant to the goals of the research.
 Explain the scope of your work, what will and will not be included.
 A verbal "road map" or verbal "table of contents" guiding the reader to

what lies ahead.
4. Statement of the problem
 Statement of the problem encapsulates the question you are trying to

answer.
 Effective problem statements answer the question “Why does this research
need to be conducted.”
5. Literature Review
 The literature review asks how similar and related questions have been
answered before. A literature review can be organized as:
 Introduction: define the topic, together with your reason for selecting the
topic.

 Body: this is where you discuss your sources.
 Conclusion: summarize the major contributions, evaluating the current

position, and pointing out flaws in methodology, gaps in the research,
contradictions, and areas for further study
6. Objective/Aim Of The Study
 The objectives of a research delineate the ends or aim which the inquirer seeks
to bring about as a result of completing the research undertaken.
 An objective may be thought of as either a solution to a problem or a step

along the way toward achieving a solution; an end state to be achieved in
relation to the problem.
 The objectives of a research project summarize what is to be achieved by the

study.
 Objectives should be closely related to the statement of the problem.
 After statement of the primary objective, secondary objectives may be

mentioned.
Objectives should be
 simple (not complex),
 specific (not vague),
 stated in advance (not after the research is done), and
 stated using “action verbs” that are
 Specific enough to be measured.
 Commonly, research objectives are classified into general objectives and

specific objectives.
7. Hypotheses /Questions

 Hypotheses and questions are linked to the speculative proposition of the
problem statement.
 the term hypotheses implies a derivation, within a hypothetic-deductive

theoretical system, of a particular assertion or prediction.
 Hypotheses are tentative statements/solutions or explanations of the formulated

problem
 The hypothesis is subject to test, i.e., to confirmation or rejection on empirical

grounds.
 The term question implies an interrogative statement that can be answered by

data.
The formulation of objectives will help you to:
 Focus the study (narrowing it down to essentials);
 Avoid the collection of data which are not strictly necessary for understanding
and solving the problem you have identified; and
 Organize the study in clearly defined parts or phases.
8. Research Methods, Materials And Procedures
What belongs in the "methods" section of a research proposal?
 Information to allow the reader to assess the believability of your approach.
 Information needed by another researcher to replicate your experiment.
 Description of your materials, procedure, theory.
 Calculations, technique, procedure, equipment, and calibration plots.
 Limitations, assumptions, and range of validity.

 Description of your analytical methods, including reference to any specialized
statistical software.
Sampling design
 Sampling is the process of selecting a number of study units from a defined study
population.
 Consider the following questions:
 What is the study population you are interested in from which we want to
draw a sample?
 How many subjects do you need in your sample?
 How will these subjects be selected?
 The key reason for being concerned with sampling is that of validity—the extent to
which the interpretations of the results of the study follow from the study itself and
the extent to which results may be generalized to other situations with other
people.
 Sampling is critical to external validity—the extent to which findings of a study

can be generalized to people or situations other than those observed in the study.
 Another reason for being concerned with sampling is that of internal validity—the
extent to which the outcomes of a study result from the variables that were
manipulated, measured, or selected rather than from other variables not
systematically treated.
 Representative ness and accuracy
Probability Sampling
 Simple random sampling
 Systematic sampling

 Cluster sampling
 Stratified sampling
Non probability Sampling
 Convenience sampling
 Referral sampling
 Judgment sampling
 Quota sampling
9. Work Plan
 Work plan is a schedule, chart or graph that summarizes the different components of a
research proposal and how they will be implemented.
 In the work plan
 Different components/phases/stages of the study should be stated
 Description of activities in each phase
 Time required to accomplish the various aspects of the study should also be
indicated
THE GANTT CHART
 A GANTT chart is a planning tool that depicts graphically the order in which
various tasks must be completed and the duration of each activity.
 The GANTT chart indicates:
 the tasks to be performed;
 who is responsible for each task; and
 the time each task is expected to take.

10. Budget And Funding
 Budget items need to be explicitly stated
 Cost for every budget item should be quantitatively shown
 Their might be a need for budget justification of certain costs whose requirement
is not obvious
Direct costs:
 Personnel: Salaries and wages
 Consumable supplies:
 Equipments
 Travel
 Communications
 Publication
 Other direct costs
Indirect costs
 Overhead costs for institutions or associations
 General administrative cost
 Operational and maintenance
 Depreciation and use allowance
11. References
References may be made in the main text using index numbers in brackets (Vancouver style) or
authors name (Harvard style).
 For a journal paper give:

o the names of the authors,
o the year of publication,
o the title of the paper,
o the title of the journal,
o the volume number of the journal,
o the first and last page numbers of the paper.
For a book give:
 the author,
 the year of publication,
 the title, and the edition number if there is one,
 the name of the publisher,
 the page numbers for your reference.
For an internet reference give:
 the author of the web page,
 the title of the item on the web page,
 the date the item was posted on the web page
 the date the item was accessed from the web page
 the complete and exact URL.
12. Appendices/Annexes
Include in the appendices of your proposal any additional information you think might be helpful
to a proposal reviewer. Example,
Appendix includes:
 Questionnaire & other collection forms
 Dummy tables
 Biographical data on the principal investigator
 The consent form (if any)
Major Structure of an External Proposal
The major components of an external proposal include:
1. Title page

 A title ought to be well studied and give a definite and concise indication of what
is to come.
 The title of a research proposal should state your topic exactly in the smallest
possible number of words.
2. Executive Summary
 Allows a busy manager or sponsor to understand quickly the thrust of the
proposal.
 It is essentially an informative abstract, giving executives the chance to grasp
the essentials of the proposal without having to read the details.
 The goal of the summary is to secure a positive evaluation by the executive
who will pass the proposal on to the staff for a full evaluation.
 It should include brief statements of the management dilemma and
management question, the research objectives/research question(s), and the
benefits of your approach.
 If the proposal is unsolicited, a brief description of your qualifications is also
appropriate.
3. Problem Statement
 It should convince the sponsor to continue reading the proposal.
 It should capture the reader’s attention by stating the management dilemma,
its background and consequences, and the question starts the research task.
 It should include any restrictions or areas of the management question that
won’t be addressed.
4. Research Objective
 Lays out exactly what is being planned by the proposed research.
 In a descriptive study, the objectives can be stated as the research question.
 The research questions can be further broken down into investigative
questions.
 If the proposal is for a descriptive or causal study, then the objectives can be
restated as a hypothesis.

 The objective naturally flows from the problem statement, giving the
sponsor specific, concrete, achievable goals.
 The research questions or hypothesis, if appropriate should be set off from
the flow of the text so they can be found easily.
 The basis for judging the remainder of the proposal and ultimately the final
report.
5. Literature Review
 Examines recent research studies, company data, or industry reports that acts
as a basis for the proposed study.
 Discussion of literature should move from a comprehensive perspective to
more specific studies that are associated with your problem.
 If the problem has a historical background, begin with the earliest references.
 Avoid the extraneous details of the literature, do a brief review of the
information, not a comprehensive report.
 Always refer to the original source.
 If you find something of interest in a quotation, find the original publication
and ensure you understand it.
 Avoid any errors of interpretation transcription.
 Emphasize the important results and conclusions of other studies, the relevant
data and trends from previous research, and particular methods or design that
could be duplicated or should be avoided.
 Discuss how the literature applies to the study you are proposing, show the
weaknesses or faults in the design , discussing how you would avoid similar
problems.
 If your proposal deals solely with secondary data, discuss the relevance of the
data and the bias or lack of bias inherent in it.

 It should explain the need for the proposed work to appraise the shortcomings
and informational gaps in secondary data sources.
 This analysis may go beyond scrutinizing the availability or conclusion of

past studies and their data , to examining the accuracy of secondary sources
, the credibility of these sources , and the appropriateness of earlier studies.
 Close the literature review section by summarizing the important aspects of

the literature and interpreting them in terms of your problem.
 Refine the problem as necessary in light of your findings.

6. Importance / Benefits of The Study
 Allows describing explicit benefits that will accrue from your study.
 The importance of “doing the study now” should be emphasized.
 If you find it difficult to write, then you will have probably not understood the
problem adequately.
 Return to the analysis of the problem and ensure , through additional
discussions with your research team , or
 By the reexamination of the literature, that you have captured the essence of
the problem.
 It requires you to understand what is most troubling to your sponsor.
 It is more important to the unsolicited external proposal.
7. Research Design
 The design module describes what you are going to do in technical terms.
 It should include so many subsections as needed to show the phases of the
project.
 Provide information on your proposed design for tasks such as sample
selection and size, data collection method, instrumentation, procedures, and
ethical requirements.
 When more than one way exists to approach the design discuss the methods
you rejected and why your selected approach is superior.

8. Data Analysis
 With smaller projects, the proposed data analysis would be included within
the research design section.
 For large –scale contract research projects and doctoral thesis a separate brief
section of data analysis is appropriate.
 Describe your proposed treatment and the theoretical basis for using the
selected techniques.
 Assure the sponsor that you are following correct assumptions and using
theoretically sound data analysis procedures.
 Use sample charts and dummy tables to make it easier to understand your data
analysis.
 You should contact an expert to review the latest technique s available for
your use.
 If there is statistical or analytical expertise within your company, be prepared
to hire a professional to help with this activity.
9. Nature & Form Of Results
 The sponsor should be able to go back to the problem statement and research
objectives and discover that each of the goals of the study has been covered.
 One should also specify the types of data to be obtained and the
interpretations that will be made in the analysis.
 If the data are to be turned over to the sponsor for proprietary reasons, make
sure that this is reflected.
 Alternatively, if the report will go to more than one sponsor, that should be
noted.
 It also contains the contractual agreement telling the sponsor exactly what
types of information will be received.
 Statistical conclusions, applied findings, recommendations, action plans,
models strategic plans, and so forth are ………forms of results.
10. Qualification Of Researchers
 It should begin with the principal investigator.

 It is also customary to begin qualifications with the highest academic degree
held.
 Experience in carrying out previous research is important, especially in the
corporate market place, so a concise description of similar projects should be
included.
 Relevant business and technical societies to which the researcher belongs can
be included where the information is particularly relevant to the research
project.
 The entire curriculum vitae of each researcher should not be included unless
required by the RFP.
 Instead, refer to the relevant areas of experience and expertise that make the
researchers the best selection task.
 Complete curriculum vitae information is often placed in an appendix for
review by interested sponsors.
11. Research Budget
 The budget should be presented in the form the sponsor requests.
 The budget should be no more than 1-2 pages.
 The budget statement in an internal research proposal is based on employee
and over head costs.
 The budget presented by an external research organisation is not just the
wages or salaries of their employees but the person –hour price that the
contracting firm charges.
 Salaries (research director’s, research assistances, secretarial services), other
costs such as travel per diem, office supplies, telephone expenses , rent, other
equipments , publication and storage costs etc has estimated and presented in
a presentable format.
 Additional information, back up details, quotes from vendors, and hourly time
and payment calculations should be put into an appendix if required or kept in
the researcher’s file for future reference.
 The detail presented may vary depending on both the sponsor’s requirements
and the contracting research company’s policy.

 The budget section of an external proposal states the total fee payable for the
assignment.
12. Research Schedule

 Your schedule should include the major phase of the project, their time
tables, and the milestones that signify completion of a phase.
 Major phase may be:
 Exploratory interviews
 Final research proposal
 Questionnaire revision
 Field interviews
 Editing & coding
 Data analysis , and
 Report generation
 You can use Gant chart.
13. Facilities & Special Resources
 Often projects will require facilities or resources that should be described in
detail.
 A contract exploratory study may need specialized facilities for focus group
sessions.
 Computer assisted telephone or other interviewing facilities may be required.
 Alternatively , your proposed data analysis may require sophisticated
computer algorithms , and therefore, you need access to an adequate system
. These requirements will vary from study to study. The proposal should
carefully list the relevant facilities and resources that will be used.
14. Project Management
 This section shows the sponsor that the research team is organized in a way to
do the project efficiently.
 A master plan is required for complex projects to show how the phase will be
brought together.

 The plan includes:
 The research team ‘s organization
 Management procedures and controls for executing the
research plan.
 Examples of management and technical reports.
 Research team relationship with the sponsor.
 Financial and legal responsibility.
 Management competence
 Tables and charts are most helpful in presenting the master plan.
 Sponsors must know that the director is an individual capable of leading the
team and being a useful liaison to the sponsor.
 Procedures for information processing, record control and expense control are
critical to large operations and should be shown as part of the management
procedures.
 The type and frequency of progress reports should be recorded so the sponsor
can expect to be kept up-to-date and the researchers can expect to be left alone
to do research.
 The sponsor’s limits on control during the process should be delineated.
 Details such as printing facilities, clerical help, or information-processing
capabilities that are to be provided by the sponsor are discussed.
 Rights to the data, the result, and authority to speak for the researcher and for
the sponsor are included.
 Payment frequency and timing are also covered in the master plan.
 Proof of financial responsibility and overall management competence are
provided.
15. Bibliography
 For all projects that require literature review, a bibliography is necessary.
 Use the bibliographic format required by the sponsor.
16. Appendices Glossary

 A glossary of terms should be included whichever there are many words
unique to the research topic and not understood by the general management
community.
 This is a simple section consisting of terms and definitions.
 Also, define any acronyms that you use, even if they are defined within the
text.
17. Measurement Instrument
 For large projects, it is appropriate to include samples of the measurement
instruments if they are available when you assemble the proposal.
 This allows the sponsor to discuss particular changes in one or more of the
instruments.
 If exploratory work precedes the selection of the measurement instruments,
you will not use this appendix section.
Evaluating the Research Proposal
 Proposals are subjected to formal and informal reviews.

 The formal methods have some variations, but its essence is described as follows.
 Before the proposal is received, criteria are established and each is given weights
or points.
 The proposal is evaluated with a check list or criterion in hand.
 Points are recorded for each category reflecting the sponsor’s assessment of how
well the proposal meets the category’s established criteria.
 Several people, each of whom is assigned to a particular section, typically review
long and complex proposals.
 After the review, the category scores are added to provide a cumulative total.
 The proposal with the highest of points will win the contract.
 The formal method is most likely to be used for competitive government,
university, or public sector grants and also for large –scale contracts.
 Small –scale contracts are more prone to informal evaluation, the project needs,
and thus the criteria, are well understood but not usually well documented.

 In contrast to the formal method, a system of points is not used and the criteria are
not ranked.
Beyond the required modules, there are factors that can quickly eliminate a proposal from
consideration and factors that improve the sponsor’s reception of the proposal.
 The proposal must be neatly presented.
 Although a proposal produced on a work processor and bound with

an expensive cover will not overcome design or analysis
deficiencies.
 A poorly presented, unclear or disorganized proposal will not get

serious attention from the reviewing sponsors.
 The proposal’s major topics should be easily found & logically organized
 The reviewer should be able to page through the proposal to any
section of interest.
 The proposal also must meet specific guidelines set by the sponsoring
company or agency.
 The proposal also must meet specific guidelines set by the
sponsoring company or agency.
 Theses include budgetary restrictions and schedule deadlines.
 The technical writing style of the proposal.
 The problem statement must be easily understood.
 The research design should be clearly outlined and the methodology
explained.
 The importance /benefits of the study must allow the sponsor to see
why the research should be funded.
 The objectives and results sections should communicate exactly the
goals and concrete results that will come from the study.
 Budget and schedule considerations must be kept in mind.

 A late proposal won’t be evaluated.
 A schedule that doe not meet the expected deadlines will disqualify
the proposal.
 A budget that is too high for the allocated funds will be rejected.
 Conversely, a low budget compared to competing proposal suggests
that something is missing or there is something wrong with the
researchers.
Factors to be considered in Choosing a Research Topics
There are a number of factors you need to take into account when choosing the subject of
your thesis.
 Interest and Relevance: you should choose a topic that interests and even
possibly excites you, otherwise you will have trouble sustaining the
motivation and commitment necessary to complete the project. It should also
be of interest to some external audience as well.
 Durability: will the project last the length of the course? Organizations are
capable of making very rapid changes in direction and policy. It may be that
the topic you choose could become obsolete because of a change in
organizational strategy, ownership or other strategy.
 Breadth of research questions: is there enough substance to your topic?
 Topic adequacy :check the assessment criteria used on your course , against
which your work will be marked ,and ask yourself whether the topic you
have in mind will enable you to do well against the criteria.
 Access: you may have an excellent topic in mind , but unless you can get
access to the people who can answer your research questions, whether by
questionnaire, interview or whatever , then the project will be a non-starter.
 Micro politics: whenever you research a business issue there is a danger that
you may become a partisan in the management debates and politics that
surround it.
 Risk and security: bearing in mind the previous criterion, you can not avoid
all risk. If you choose a topic that is totally safe it will probably be so bland
that neither you nor anyone else will be interested in the outcomes.

 Resources : literature make sure there is enough written about your topic ,
or about the general academic field in which it is located , for you to be able to
do the critical literature review. IT, Software and Skills- your topic may
require access to, and skill in , various software packages
Stages In The Process Of Choosing a Topic

The following is a six stage process for you to follow when choosing a topic.
 Identify Broad Topic And Academic Discipline(S)
 Determine The Scope
 Brainstorm Issues , Puzzles And Questions
 Map and Structure The Issues
 Conduct A Reconnaissance
 Frame Your Research Question(S)
Identify Broad Topic and Academic Discipline (S)
The starting point is to decide your broad area of interest. It might be to give some examples:
 Implementation of mission statements and strategy in multinational
companies;
 The problems caused by a lack of cooperation between GPs and the other
health professionals in primary care;
 Performance –related pay and flexible benefits.
Determine the Scope

This is very often a practical matter of where you can get access. You need to decide whether
you will be:
 Studying one part of an organization;
 Making a comparison of several parts of an organization;
 Studying one organization;
 Making a comparison of two or more organization;
 Studying a secure.

Brainstorm Issues, Puzzles and Questions
Now go into brain storming mode and list as many different issues, problems and questions that
arise from the broad topic area as you possibly can. Do not evaluate them by saying,” No, that is
unimportant,”. Just make the list as long as possible
Map and Structure the Issues
Now you have a pile of issues, they need structuring and organizing. Sort and cluster all your
research issues and questions in a relevance tree or hierarchical diagram. The relevance tree
provides a map of all the issues and questions you could research under broad areas of interest.
Conduct a Reconnaissance
Having arrived at a clear view about what your research topic is going to be, it is sensible to
discuss it with others. Discuss it with tutors, colleagues and other managers to see whether they
agree that the issue is important and coherent. You should also do an initial trowel of the
literature, if you have not already done so, to see what work others have done on the issues that
concern you.
Frame Your Research Question(S)

The final stage is to ensure that you are clear in what you are doing by framing your research
questions in plain English. The suspicion is that if you can ask your research questions without
using management jargon, then you are probably not clear what you are asking and you need to
think about it some more.
If you research questions resembles this- I am addressing the issues relevant to leveraging
human resources competency to produce turnaround to world- class status and to diagonally
integrate professional functionalities – you probably do not know what you are talking about.
Structures of a research Proposal

You have, of course, freedom to structure your proposal as you please, but should you need
guidance; the following structure covers most of the issues:
 Introduction
 The objectives and purpose of the project’( what)
 A brief overall description of the project’s context
 The strategic question that guides the project

 The objectives of the project.
 The justification for the project (why?)
 The research question ( what?- again, but in more detail):
 Identify and A hypothesis is a speculation about an association between
two or more variable .It is important discuss the research questions that
you will answer in the project.
 If you are taking a realist research approach you might frame your
research question as a hypothesis.
 A hypothesis is a speculation about an association between two or more
variables. It is important that the hypothesis can be tested by research to
see whether it can be disproved.
 An overview of the appropriate literature.
 Mapping the main writers in the field and their arguments.
 Definition of key concepts and outlining of conceptual framework if
necessary and possible. This is the how –conceptually? Quadrant of the
watsen Box.)
 Research design:
o What methodological approach are you going to adopt?
o Research methods samples, methods for analyzing research
material.
 Practical and ethical issues
 Does the research raise any ethical concerns that need to be resolved?
 Are there any potential problems of research access?
 Are there any resources issues such as access to specialist databases or
particular research software?
 Are there issues of commercial confidentially or intellectual property
rights?
 A plan or time table:
 Consider drafting a Gantt chart that plots against a timeline when the
major elements of the projects will be done.

Critical Thinking Discussion Question
1. Define research proposal.
2. Identify the purpose of research proposals
3. Discuss types of research proposals.
4. Discuss the structure of research proposal
5. Discuss the formal and informal evaluation /review techniques.

Chap- 3 Writing a Critical Literature Review
Chapter objectives
After completing this chapter the student will be able to:
 Search library and other information resources to find appropriate literatures for their
dissertation
 Map out the literature and identify the key concepts, theories and arguments they are
necessary for their project
 Make an overall assessment of the critical quality of a book or articles.
 Carry out a forensic critique of the core theories, concepts and arguments that they have
drawn from the literature.
 Have an awareness of radical critical perspective and be able to make radical critiques of
key themes and topics --- presented in the literature.
3.1 The Sources
Since Literature review is critical component of the research process it has to be addressed properly.
 The first task in doing a literature review is to find some literature the need a mixture of
materials, but the precise combinations will vary from topic to topic.
 Try to find some material from most of the categories ---below. Students often ask: How many
books and articles should I----my dissertation?
 It is impossible to give a number in answer, although it can be tempting to quote a very large
number to scare them and to encourage them not to ask silly questions in future.
 It all depends on what literature is available and how you use the ideas, material and theory it
contains.
 It is possible to suggest that a list of references with less than 20 items is probably too short.

Books
There are three sorts of management books as far as researchers are Concerned:
a. Text books
 Are useful to help you orient yourself in a field of literature and as a source of
references that can be followed up.
 They may be recognized from their characteristic use of learning device such as
learning objectives, summaries, exercises and text books containing illustrative
material.
 They should not be relied upon too heavily.
b. Academic Monographs
 AM are often difficult to read, but they do alert the reader to development arising
from recent research.
 These books should be used selectively.
c. ‘Airport Bookstall’ Books
 Are mostly written in an accessible style and have attractive jackets. When they are
not based on the biographies or experiences of successful managers, they are often
distillations of more academic work.
 They are mostly presented in a ‘can do’ format, offering practical guidance for
business success. Normally they have attention-grabbing titles that appear to offer
solutions to all business problems.
 They can be useful materials, but they should not be used uncritically because they
often oversimplify and contain uncorroborated assumptions.
Journals
 Journals fall into two main categories and you should use both. Academic journals contain
articles that have been peer reviewed.
 This means that two or more expert referees approved the papers before they were
accepted for publication.
 The general information or style pages, often on the inside of the front or back cover of
journal, should say whether it is peer reviewed.

 Non-peer-reviewed journals are often professional or trade journals.
 The articles in these journals are commonly simpler and shorter than those in the peer-
reviewed journals.
 They can be useful for identifying trends, fashions and current concerns within business,
but many are derivative and of questionable quality. Non-peer-reviewed journals should
not be used exclusively.
 Managers doing MBAs and other Master’s courses in management often look at the more
academic papers in horror and declare, ‘We are managers, and we cannot be expected to
cope with this hugely complex academic writing style.
 ’Well, I have some sympathy because many papers do appear to be written in a style
designed to fool, impress or confuse.
 Nevertheless, there will be much pertinent and good material in such papers and you will
need to make the effort to understand them.
 There are some journals, such as the Harvard Business Review, that are academically
prestigious but are designedly accessible to managers as well as to academics.
 Journals will most likely be your main source for a research dissertation, probably being
more important than books.
 This is because the most up-to-date research and debates will be found in journals.
The World Wide Web
 The World Wide Web is a very useful source of material.

 The better search engines can be valuable in tracking down material.
 The Web has to be used with care, however, because it includes both high-quality material
and utter tosh.
 Distinguishing between the two is not always easy.
 The first few pages read very sensibly and then the web page slowly became an obsessive
polemic in which semantic differentials were presented as diabolic devices that
bureaucrats were using to remove the liberties of the individual.
In the public sector, where much of the materials is in the form official publications and reports, the
Web can be the most convenient means access to material. The Direct Gov. Government website
http://www.direct.gov.uk/Homepage/fs/en is a good starting point.

Dissertations
 Business schools keep copies of past Master’s dissertations produced by their students.
Some are commercials confidential and cannot be – suited without the author’s permission.
 Many students find a comforting to see others’ efforts, and it may be worth asking to –
some.
 Try to make sure that you are given ones that passed comfortably; otherwise you may gain a
dangerously low impression of the standard you need to reach.
Searching For Literature
 Looking for literature these days if mostly an electronic activity of searching through a
virtual library.
 Using a library’s on line catalogue of books and other materials makes searching for books a
lot easier.
 It is possible to access the online catalogues of academic libraries across the country.
 NISS (National Information Services and Systems) provides a website of links to online
library catalogues at http/www.niss.ac.hk/lis/opacs.html. the advantages of searching for
journal articles and papers by using electronic library resources in that it takes much less
time, you are more likely to find what you need and. If you are lucky, the papers may be
available online and you can download them or print them off.
 You should spend some time becoming familiar with all the services that your university or
institutional library ca provide by exploring both the physical library and the virtual library.
 You may need various user names and passwords to access the latter, and the library staff
will be able to help you with these.
 Do not become so carried away with online searching that you forget about bibliographic
serendipity, by which I mean wandering around the library shelves and current journal
stands, flicking through books and reading the contents lists on the back pages of journals.
 It is surprising how often you chance upon useful material that you would otherwise have
missed.
 Many academic libraries have joined a cooperative scheme so that students who live or
work at a distance from their university can use libraries closer to them.
 A website listing the universities in the scheme can be found at http://uklibraries
plus.ac.uk/.

Electronic Resources
 There is a range of electronic resources that might be of help. These can be searched one at
a time but, increasingly, electronic libraries provide meta-search facilities that allow many
databases to e searched at the same time.
 If you want to do a search using advanced search facilities it is often best to search
databases individually and not to use meta-search engines.
Electronic Journals
 Most libraries will subscribe to journals that are published and or unavailable online.
 Check out which relevant publication are provided by you library.
Full-Text Databases
 These are databases that allow you to make searches for materials using key words.
 They are provide all the bibliographic details such as authors titles, journal titles, data of
publication, volume, issue and page number.
 They will also include abstracts of papers’ and articles’ contents. In addition, in many but
not all cases they give you access to an html or ---copy of the articles it self that you can
read on screen, download, and print off or email to yourself.
The full-text databases that you are mostly likely to use are listed below:
 Business Source Premier-a good all-round database Emerald-includes all the journals
published by MCB Press.
 European Business ASAP- covers finance, acquisition and mergers new Technologies and
products, HRM, marketing and management generally.
 Ingenta- a general database of papers from a number of publishers
 Universities have to buy licenses to give students access to databases which databases
universities choose to buy licenses for will, of course, vary from institution to institution.
 You need to explore your institution’s list of electronic resources to see what is available to
you.
Bibliographic Database

 These databases can be searched in the same way as full-text database and provide you
with all the bibliographic information and with abstracts, but they do not provide full
copies of the papers and articles.
 If you want them you will have to find the hard copy of the journal in the library, and if
the library does not have a copy you will have to order the item on inter-library loan.
Some databases you might want to use are listed below:
 Zetoc – provides bibliographic information on journal held by the British Library

 PsycINFO- covers the field of psychology, but there are many articles that are relevant
to management topics.
 Econlit – covers the field of economics, and again there are many relevant references
especially for people working on finance topics.
If you are interested in management in health care and medicine, then Medline may be worth
consulting. If you are working in the public sector especially in the social service, then ASSIA would be
worth a look.
Newspapers in Electronic Formats
 Newspapers are valuable source of up-to-date information on many management topics.

 A number of newspapers are available as searchable database in libraries.
 Newspapers, including the Financial Times, are also available as online editions on the
World Wide Web.
Financial and Marketing Databases
 Strictly speaking these are primary resources rather than secondary materials and so
would find their place in the ‘results and analysis’ part of the dissertation rather than in
the literature review.
 Nevertheless, here is a convenient place to mention them.
 FAME is the main financial database.
 It provides update financial information of 130,000 companies in the United Kingdom
and Ireland.
 Mintel is one of the main marketing databases.
 These or other databases will be available at your university library.
Building Up Your List of References

 It might be worthwhile to check up on he Harvard system of referencing before you
starts collecting material.
 Then you can be sure to record all the necessary bibliographic details as you identify the
books the papers.
 This will safe you much time.
 As I have discovered to my cost, it can take hours, after you have finished writing the
dissertation to track down the missing details (year of publication, page numbers for
quotation of material you have cited but that you forgot to record properly.
 This is time you can ill afford when you are struggling to get the dissertation finished by
the deadline.
 It is also worth considering whether you on going to use some specialist citation software
to help you with building up your bibliography.
Mapping and Describing the Literature
 In most cases the literature search identifies a lot of material probably more than can be
sensibly dealt with in a Master’s dissertation.
 So the next step in conducting a literature review is to map out and identify the key
works and material in the literature.
 This exercise has two purposes
 It is necessary for you to show the person who marks your dissertation that you are
aware of the breadth of literature relating to your topic.
 But it is also necessary, for your sanitary, as well as to meet the marker’s expectations
show that you can priorities the literature and identify the key works theories Or
concepts that will be of value in the conduct of your project.
Describing the Literature
Describing and mapping the literature relevant to your research project in a step-by-step process that
moves from the general to the specific.
It is an editing process.
1. Prepare a ‘map’ showing the location of all the appropriate literatures

 The first step involves identifying the different fields of literature that may be
appropriate to the study without, at this stage, looking at any of it in detail.
 By literature I mean a collection of books and papers that deal with the same issues and
that respond to each other in the developing debates about a topic.
 It follows from this definition that there will be many literatures rather one solitary and
unified literature.
 But it is up to you to draw the boundaries between them.
 This can be done by skimming through textbooks and following up the references they
give, and by dipping into the journal literature via the abstracts in the bibliographic
databases.
 Figure 1.1 shows a ‘map’ of the literatures that I thought were relevant when I was
planning some research into the fates and attitudes of the survivors of downsizing.
 The main theme of the dissertation if shown in the middle of the map in bold font.
 There are a number of key researchers who have written research papers specifically on
the subject.
 There is also a large literature, mostly in journals, that focuses on downsizing as a
strategy and on its financial consequences for companies.
 This literature suggests that the demoralization of survivors may be a contributor factors
the poor performance of organizations post-downsizing.
 This literature on redundancy concentrates on the managerial processes involved in
chooses in people for redundancy.
 The organizational justice literature assesses such processes and evaluates them for
fairness.
 As it is likely that people’s judgments about the fairness of redundancy processes will be
a factor in their reactions to it, this literature is also relevant.
 The literature on emotion in organization is not directly relevant to downsizing; but
because downsizing is an emotional issue there may be some insights from the literature
that will be helpful in the study.
 Finally, in psychology there is a well-established literature on people’s reactions to
trauma.
 It suggests a sequence of reaction beginning with disbelief, moving through shock and
anger and culminating with readjustment.

 As being a survivor of down sizing may be as much a trauma as being a victim of it, this
literature might provide some helpful frameworks.
Downsizing
Literature on emotion
Literature
in organizations
Literature on
redundancy
Literature on
Survivors
Psychology
of grieving
Organizational
Justice Literature
Figure 1.1 Mapping the Literature
 In the literature review it is important to identify the major literatures relevant to a

project, without going into detail, and to explain why they might be significant.
 The important skill at this stage is to be able to condense or précis large volumes of
literature so that the essential views or arguments they contain can be presented in a
small number of words.
2. Present an argument about which literatures you are going to concentrate on
 Normally the map of the literature will contain more fields than can be managed in the
literature review.
 It is important to reduce it to two three.
 In the first step of the literature review, credit may be scored for showing an awareness
of the broad scope of the literature, in this phase credit may gained by choosing the key
literatures that will be helpful to the particular study being conducted.

 In the example of the survival of downsizing study’, I chose the literature on survival and
psychology of grieving and emotion in organization as the key ones for the study wished
to do.
 The choice of literature will reflect the angle or perceptive you wish to take on a topic.
3. Provide an Overview of the Chosen Literature
 At the stage it is necessary to give a more detailed description of the literature chosen.
 When you come to write up this chapter the overview will provide the bulk of he
material.
 It is important to think carefully about how you will structure it.
 The way not to structure an account of the literature is to work through a list of works
one at a time.
 The citations are technically correct but padded out.
 Do we really need to have the title of the work or the magazine spelt out in the text?
 The writer telling us whether they enjoyed a work does not constitute a critique,
although it may be a criticism.
 But most importantly there is no accounting given o the ideas, theories and materials
there are presented in the works cited.
 Your account of the literature should be structured thematically.
 You should draw out of the works you are using the main themes, questions or issues
that are discussed.
 These should become the sub-headings within the chapter.
 Under each sub-heading it is necessary to give an account of the relevant theories and
the evidence provided in support of them.
 The discussion should be comparative, weight one writer’s views and evidence against
those presented by others.
 Similarities and differences should be identified and their significance, if any, explained.
Structuring Literature Thematically
One way of thematically structuring an account of the literature is shown below:
a. Identify The Main ‘Camps’, ‘Waves’, ‘Schools’, Ideological Stances Or

Positions.
 There are always arguments and debates within a field of literature.

 It is necessary to describe the nature of these arguments. Identify the
dominant or loudest voice in the debates.
b. Compare And Contrast Them

 Decide the depth of the disagreement between the parties and their
arguments.
 Sometimes the differences are great and significant. On other occasions
the difference are trivial to all except those involved in the argument.
c. Evaluate Their Strengths And Weaknesses
 If the differences are significant, decide which side of the argument you
believe to be stronger.
Literature reviews can often become detached from the project they are in support of. The discussion of
theories and authors may develop its own momentum, and no links are made to the research questions
that the dissertation is seeking to answer.
The way to overcome this is to state the relevance of each piece of theory to the topic of the
dissertation by using sentences similar to the following:
 Mintzberg’s theory of structure in fives provides a means of analyzing the

organizational changes that are the subject of this dissertation.
 … this quotation mirrors the situation that has motivated the research project
 Hamel and Prahalad’s work identifies a number of factors that should be considered
when researching…
 An insight into employees’ responses to downsizing in my case study organizations can
be gained from Broeckner’s work on ---
 Socio-technical theory integrates the two key aspects of this study into…
It is important to follow up these up statements with an account of their significance for your project.
There is nothing more frustrating to the reader than to be informed that something is ‘critical’ and then
left without and explanation why.

If you cannot think of a way in which a piece of theory or literature aids your thinking and research into
your topic, then it is likely you need not include it. A dissertation is not a place to display your
encyclopedic knowledge of a topic, unless it is relevant to your theme.
4. Provide an argument to explain and justify the shortlist of theories, concepts,

frameworks or techniques that you have chosen for use in you project
 By this stage a small part of the literature will have been identified that will be useful to
the project.
 It may e down to a handful of concepts, theories and arguments.
 These will provide basic working materials for the project.
 At this stage the literature review merges into the process of developing a conceptual
framework that will be considered in the next chapter.
5. Provide a critical account of the chosen concepts, theories or arguments
This is a detailed review of particular theories designed to test their fitness of purpose for use in the
project. One student was researching the introduction of team working at his place of work. This
sentence could be found in his draft literature review chapter:
Dunphy and Bryant (1996), for example, identify three forms of team, each of which is most suited to
the pursuit of a particular aspect of performance. Which simple, multi-skilled teams are thus most
likely to impact most heavily on an organization’s costs, self-managed teams will have their main
effects on value, and self-led teams innovation.
 At face value it appears that this piece of theory might be very helpful in understanding
the introduction of team working into a particular organization.
 It would allow question to be asked such as whether the organization had chosen the
most appropriate form of team working for introduction.
 However, this sentence was all that was said; and it was inadequate.
A more critical and extensive account needed to be given (assuming that the theory was going to be
helpful) by answering some of the following questions:

 How were the three types of teams defined? In particular, what is the difference
between self-led and self-managed teams? At first glance these last two seem similar.
 How does this threefold analysis of team types differ from other writers classifications?
 Is the claim that each type of team delivers a different strategic out come (cost
reduction, value and innovation) based on sound research
 How well supported it is by other researcher and writers?
 Are these claims logically and consistently argued for in the work?
 How useful might this theory be to the student’s own projects?
The best literature reviews are those where themes and ideas are taken from the literature,
evaluated, and then woven into a coherent argument about the subject matter of the dissertation.
Note Taking
 Describing the content of the books and articles you find in your literature search means
you will have to take notes.
 Unfortunately, simply using a highlighter pen on the book or article you are reading will
not be sufficient. (It can actually be a problem in not taking if, as I have often seen, nearly
all the sentences in a work are highlighted.)
 Highlighting is very helpful stage in making notes but the passages highlighted need to be
thought about and transferred into one’s own notes using one’s own words for learning to
take place.
Note taking is process of editing or ‘gutting’ a work to identify the key material and involves looking for
the following things in the work:
 How does the work being annotated fit into the wider academic debate on the subject?
 What are the main findings, conclusions or arguments presented in the work?
For each of the above:
 What arguments are presented to support the finding or conclusion?

 What evidence is presented?
 What authorities (i.e. well-established authors) are quoted as supporting the finding
or conclusion? `
 Are there any particular data, arguments and/or quotations that might be useful and
should be note?

 Are there any books, articles, electronic resources cited in the list of references that might
be worth chasing up?
There are three main aspects of criticizing the literature
I. Assessing the Quality of an Article or Book

 This first aspect of critiquing a book or article involves making an over judgment of its
worth so as to be able to decide whether it deserves more detailed forensic critique.
 You need to decide whether the piece good quality and ought to be included in your
literature review.
 This ---- be done by skim reading the piece and considering the following --- and
questions.
The Provenance
 Some journals, and some publishers of academic books, have more ---- than others.
 We have already seen that some journals are --- reviewed and others are not. In
general, articles in peer-reviewed journal should be more reliable than those in non-
peer-reviewed publications. This is not an infallible rule, however.
 It would be foolish to ignore a paper just because it was published by an unregarded
journal.
 The status of the journal is just one piece of information you have to consider.
 If you wish you can further establish the credentials of journal by looking at one of the
league tables of academic journals that are available.
 These league tables claim to rank academic journals according to their quality.
 The list published by Bristol Business School can be found on the World Wide Web
http://www.uwe.ac/uk/bbs/research/jlists.shtm1#top.
References
The next step is to turn to the back of the book or article and look at the list of references. This will give
a rough and ready guide to how well the author (s) has used the literature.
 Are there many references? But bear in mind that too many can be much of a weakness as
too few.
 Check the ratio of books to journal articles. Generally the higher the proportion of articles,
the more up to date and embedded in the literature the piece will be.

 Are the journal references to well-established and regarded journals?
Precision of the Writing
 When you skim read the book or article consider the care that the authors take in
expressing their argument.
 Are there many sweeping statements --- many unsubstantiated assumptions?
 Statements such as ‘corporate real-estate management is the critical factor in
organizational success’, especially if it comes near the beginning of a piece, is probably
both sweeping and unsubstantiated; and does not suggest that great care is being taken
in developing arguments.
 Also consider whether the key concepts used in the work have been carefully defined.
 For example if someone is writing about virtual teams in organizations and claims that
they can be of any size, indeed they can have an almost infinite number of members, and
can be formed of anonymous participants, then the definition is so all-encompassing that
the term ‘virtual teams’ loses most of its value.
 It becomes impossible to make any useful generalizations about such an amorphous
concept.
 The more precise and careful writers are with their language, the better the quality of
their work.
Description or Analysis
 A good piece of academic writing will have a mixture of description and analysis.
 Descriptive writing tells us what is but does not attempt to classify and organize the
material; nor does it seek to draw any theoretical inferences from the maternal.
 A book or article that is purely descriptive is likely to be of lesser quality thane one
which adds analysis to description.
 If a researcher has conducted many interviews we do not simply want to be told what
the interviewees said, although of course that is of interest, we also want to be told
what is significant and what is trivial in what they said. We also need to know what
insights and generalizations might be drawn from their testimonies.
 This often requires that the findings are discussed in the light of the theories available in
the literature.

One should not be too prim abut this matter. Sometimes we use an article or a book not because of its
analysis or theorizing but because it provides raw material, research findings that we can use to
strengthen the analysis of our own research material. Quite often we will cite a book or article
because of a single fact or insight it contains and we will ignore the bulk of its contents.
Research Evidence
 Check whether the book or article contains research evidence that is used to support its
arguments and contentions.
 It is perfectly proper, of course, to write a purely theoretical piece that is based on the
literature.
 Indeed, C Wright Mills (1959:205) in the appendix on intellectual craftsmanship wrote:
 Now I do not like to do empirical work if I can possible avoid it there is no more virtue in
empirical enquiry as such that reading as such.
 Nevertheless, research has to be conducted to resolve the matters of fact that the
preliminary reading and reasoning have identified.
 In general terms a piece of work that includes some appropriate and well-conducted
research will be more useful than a purely theoretical piece.
 Theoretical pieces often have one advantage to the business student, however, which is that
they can provide a helpful resume and evaluation of the literature on a particular topic.
 A consideration of the preceding points should help you make a judgment about the value
of a particular piece of academic writing.
II. Forensic Analysis/Critique
 The term ‘forensic critique’ has been invented for this chapter one definition of forensic is
‘pertaining to public debate.’
 This is --- the evaluation of literature because evaluation is a contribution to a debate on
arguments and theories that writers have placed in the domain.
 But forensic also has an emerging definition, based on the of forensic science, which
means a minute, detailed and logical exaction of evidence.

 This definition is also relevant to doing a liter review. Once you have identified the key
concepts, theories and ---that you will use in your research, t is important to put them ---
scrutiny before relying n them.
 So, in this section, forensic critique in the process of testing academic ideas to assess their
usefulness.
 There are two ways of tacking a forensic critique.
 The first is to --- the key arguments in a piece of work and to evaluate the
soundness the logic they utilize.
 The second is to scour the piece for examples weak argumentation.
 Both approaches will be considered in turn.
Soundness of Arguments
 Books and articles contain many things accounts, descriptions, summaries, instructions,
and polemics and so on.
 The most important item however, is the arguments they contain.
 When a book or article is evaluated the main arguments it presents have to be dissected
out from the bull of the text and a judgment made about their soundness and robustness.
All arguments have three components. These can help you recognize when, in a text, an argument and
not an assertion or an assumption is being presented:
 Premises – these are assumptions or claims that something is true or are a ‘fact’. Most
arguments are based on several premises, but they can be founded on one only.
 Inference Words – these are the indicators that the writer is about to draw a logical
inference or conclusion from the premises presented. Examples are ‘thus’, ‘therefore,’
‘because’, ‘implies’, ‘hence’, it follows that’, ‘so’, ‘then’ and ‘consequently’.
 Conclusions – a conclusion is an arguable statement. It is either a statement about the
relationship between the premises or it is an inference about the likely consequences given
the circumstance and the premises.
It should be possible, using his threefold classification and by looking for the inference words, to identify
and summaries the main arguments presented in a book or an article. It may even be possible to lay out
the arguments as a series of flow charts.

Judging the strength of an argument is a two-pronged activity:
 Assessing the truthfulness of the premises. In books and articles, the truthfulness, or
validity, of a premise may be supported by research evidence. If this is so, then it is
necessary to judge whether the research methods have been sensibly chosen and
competently applied.
 Assessing the logical strength of the conclusions drawn from them. When considering the
logical strength of an argument, it is likely that conclusions that are drawn deductively will
be stronger than those drawn inductively. These terms need definition.
Deduction is when a conclusion is drawn that necessarily follows in logic from the premises that are
stated. So a deduction does not depend on observation or experience; it is simply a matter of logic. So,
assuming the premises are true, the following is an example of a logically strong piece of deduction.
 Premise 1 – the selection panel thought Jane was a better candidate for the job than
John
 Premise 2- the selection panel thought John a better candidate for the job than Mark.
 Conclusion, by deduction – Jane muse be a better candidate for the job than Mark.
If you are evaluating a piece of theoretical writing then many of the conclusions drawn will be based
on such logic. The question to be asked is whether the logic is true.
‘Deduction’
 ‘Deduction’ is a troublesome word.

 It has least two meanings.
 In the analysis of arguments it has the meaning given here; that is, arriving at a conclusion
based on logic and not on experimentation or experience.
 It follows (an inference phrase) that there can be no doubt about a deduced conclusion.
 A deduction is certain as long as the premises are true and the world is rational. However,
deduction is also defined as making a specific inference from a general law.
 This definition does not hold in the instance.
 In arguments, deduction can proceed from the general to the particular, from particular to
particular (as in the example above) or from general to general (Hart, 1998:82).

Induction
Induction is when a conclusion is drawn from past experience or experimentation. The assumption is
made that because things have always been so, then that is how they will be in the future. The strength
of inductive arguments is often weaker than that of deductions, however, the more supporting evidence
there is, the stronger the probability that the inference is true. Deductions are certainties but inductive
conclusions are probabilities. The trick is to make sure that the balance of probabilities the favorable.
Consider the following example:
 Premise 1 – Companies that have the ISO 9000 certification have in the past Made
better supply chain partners than those that have not
 Premise 2 – Companies that have been selected using the selecting supply chain
partner software ‘prove to be better collaborative partners nine times out of ten.
 Premise 3 – In the past, small companies have made better supply chain partners
than large ones.
 Premise 4 – Skegmouth Logistics Co. has ISO 9000, has been accepted by the
software and is a small company
 Conclusion, inferred by indications – Skegmouth Logistics Co. likely makes a good
supply chain partner.
When inductive arguments have been identified in a piece of writing important to assess whether the
conclusion is based more on wishful thinking than on a carefully judge balance of probabilities.
3.2 Evaluating Arguments
Another way of judging the strength of arguments is to see whether the authors have made any of a
number of well-known logical errors. What follows is a list of the most common flaws in argument,
based largely on Thouless (1968) and Warburton (1996).
1. The Use Of Emotionally Toned Words

 ‘The standards of modern examinations have woefully declined. They fail hopelessly to
prepare students for work in modern organizations. They cripple a child’s chances of
later career success.”
 Such arguments use a form of emotional blackmail.

 Who, after all, would wish to cripple a child’s chances in life?
 The argument also rehashes a much used cliché in management: that if things are not
modern, they are bad.
 It is particularly tempting to use such arguments in the early years of a new millennium
preparing ourselves for the challenges of the new millennium and so on.
2. Making A Statement In Which All Is Implied But Some Is True
 In a debate in some parts of Scotland during the early years of the past century, about
whether to continue the prohibition of alcohol on Sundays, a poster proclaimed that
people should vote against prohibition because any loss of liberty meant slavery
(Thouless, 1968:24).
 This statement is only true if all liberty is lost.
 The loss of only some liberty (to drink a pint of beer on a Sunday) is not the same as
slavery.
3. Proof By Selected Instances
 Where you think someone has chosen only those cases, from all those available to
them, that make their point.
4. Challenging An Opponent’s Point By Extension Or Contradiction
 In an argument over the relative merits of markets and bureaucracies in delivering
public services, a person who believes that there are some services that are best
delivered by private sector organizations is drawn into extending their argument into,
first that most services are best delivered so and, second, that all services are best
delivered so.
 Extended positions are always vulnerable and can be easily demolished with a few well-
chosen facts.
5. Proof By Inconsequent Argument
 You make a statement in support of a proposition that is not logically related to it but at
first glance looks as if it might be.
 This can often be ensured by making the supporting statement a reference to a learned
theory of which one’s opponent will be afraid to confess his [sic] ignorance, or at any
rate, making the supporting statement in a manner so obscure that one’s opponent
fears that it would show shameful ignorance if he confessed that he did not see the
connection.

 Fairbairn and winch (1996:185) refer to this ploy as crafty conflation.
The following statement provides an example:
 ‘Organizations that fail to modernize will not survive in the twenty- first century. The
acceptance of flexible career patterns and of the loss of careers for like is consequence
essential for organizational survival.’
 This argument conflates the idea of modernization and the acceptance of career
flexibility. It is not necessarily the case that the latter is necessary to achieve the
former.
 It may or may not be; but the point is worth of discussion.
6. The argument that we should not make efforts against X, which is
Admittedly evil, because there is a worse evil, Y, against which our efforts should be directed.
 In the debate about the extradition of General Pinochet from the United Kingdom in
1998, one of the arguments against extradition was that Pinochet was a lesser tyrant
that the Chinese’s leadership and that he should not be tried for crimes against humanity
if the Chinese leadership was not.
 A failure to deal with one wrong is no reason for not acting against another.
7. The recommendation of a position because it is a mean between two extremes

 There may be occasions when the mean is golden, but it rather depends the choice of
the two extremes
8. The Use Of Logically Unsound Argument

 There are many forms of illogicality. Here is just one.
 The fact of an association between two things does not prove a causal or logical
relationship. It may be that there is a statistical relationship between the number of
‘quality stations’ in a work place (with their progress charts, quality awards and photos
of successful quality circles) and high out put.
 But the association does not prove that one causes the other or, if it does, which way
round the causal chain works.

 Do the workstations cause the staff to be more highly motivated or does the fact that
people are successful – them to treasure their quality stations?
9. Begging The Question
 One can prove that all swans are white by refusing to accept that black swans are truly
swans.
Failing To Distinguish Factual Statements From Opinion
 The nation of facts is a little difficult to accept if you are of a postmodern persuasion.
 Nevertheless, it should still be possible to separate those things that are generally
accepted as if they were true, and for which some research evidence can be presented,
and personal opinion.
 In management research this error occurs when people do not distinguish between what
they have discovered about a problem and their beliefs about how it can be solved, as in
’my research shows that the implementation of staff empowerment will enable the
organization to become a world-class business’.
10. Tautology
 A tautology is saying the same thing twice. Stylistically in involved redundant words
(‘Lloyds TSB Bank’).
 By extension a tautological argument is one in which a thing is said twice but in such a
way as to make it appear that a logical deduction is being made, as in ‘the increased pace
of change means that things are moving faster.
12. Inferring what should be form what the arguer thinks ought to be and
assuming that something is right because it is commonly done or is useful
 The fact that lot s of organizations are doing 260-degree appraisals does’ not necessarily
mean they are a good thing.
 Equality, the author’s belief that a proposition will be of practical benefit does not mean
that it is right or should be commended.
13. Changing the Meaning Of A Term During The Argument
Thouless (1968:77) gives the following example.
 Crowds exhibit cruelty, unintelligence and irresponsibility.

 Democratic government is rule by the crowd. Therefore, democratic government is
cruel, unintelligent and irresponsible. This argument involves a subtle change in the
definition of the word ‘crowd’.
14. The Use of the Fact of Continuity between Two Things to Throw Doubt On The
Real Difference Between Them.
 Using the practical difficult of determining where, precisely, in terms of number of staff
or amount of turnover, to draw the distinction between large and small organizations to
suggest that the distinction is not a useful one.
15. Disguising A Lack Of Clear Thought By The Extensive Use Of Jargon
 Too much use of business and professional jargon, or of obscure and lengthy words,
raises suspicions that author is seeking to disguise their confusion and lack of clear
thought.
16. The Appeal to Mere Authority
 This false type of argument is that a well-established writer in the field has said x and so
it must be true.
 This should not be seen as a license not be cite authors in your dissertation.
 The error is when an author is cited --- lazy substitute for making a case or presenting an
argument.
17. Argument by Imperfect Analogy
 The keen edge of intellect will be blunted by too frequent use.’ This --- be a tempting
maxim for a hard-pressed MBA student. However, --- intellects are honed, not blunted,
by use. foo frequent a resort to argument by analogy can lead to a hermetic paranoia
in which everything seen as part of a vast and secret conspiracy.
 Read Umberto Eco’s (1989) novel Foucault’s Pendulum for an insight into the place such
thinking can lead.

 (The reference is to Leon Foucault (1819-1868) and not to the Michel Foucaular who is
discussed on p. 112; although Eco no doubt intended any confusion that might have
arisen.)
18. AD Hominem Arguments
 Attacking he arguer and not the arguments.
 This is normally resorted to when a critic can find no weak points in an argument and so
argues than the writer is a bad person and that for this reason their arguments should
be discounted. In 2001 and 2002, for example, there was a correspondence in a literary
journal about Foucault.
 The debate was started by. Tallis (2001) and continued by Hargreaves (2002) and
Sennett (2001), among others.
 Foucault was accused of deliberately infecting his partners with AIDS.
 It was also alleged that he did not believe in objective truth. This led to an implication
that the latter justified the former.
 In such debates, arguments about a person’s theories and arguments become confused
with arguments about the morality of the person.
19. The Use Of Persuaders
 Fairbairn and winch (1996:182) describe these as ‘words and phrases that are put into
an assertion illicitly to persuade the reader to accept what is said by other than rational
means.
 For example, ‘surely all accountants must realize that their job is one of the most
important in the country’ or ‘It is the exception that proves the rule’.
 There are some criticisms commonly made of books and articles that are not fair.
 One is ‘death by a thousand snips’. This is done by accumulating a large number of petty
errors, an author’s name misspelt here, a date wrong by one year there and so on.
 The overall effect is to cast doubt on the author’s arguments without actually
challenging them.
 It is a form of ad bominem criticism because it is challenging the author’s abilities rather
than their arguments.
 Another unfair criticism is to claim that the themes the author has chosen to focus on
are the wrong ones.

 This is tantamount to saying the author should have written a different book or article
from the one they chose to write.
III. Radical Critique
 There is a managerialist mainstream in business, management and organizational studies

that accepts the necessity of the capitalist system and concentrates on making it work
effectively.
 The system, the mainstream writers would argue, is to the benefit of all and it is only
necessary to focus on making small improvements.
 There is an alternative view that challenges the system itself. This critical perspective
appears in several of the chapters in this guide.
3.3 The Critical Approach
Alistair Mutch
 What do we mean by the word ‘Critical’? In one sense we would expect all academic
work to be critical; that is, we should always be questioning our assumptions and
approaches.
 This king of questioning has been discussed in the previous section.
 However, the word has tended to be appropriated by those who would use it in a
broader sense.
 This sense is of challenging the basic assumptions on which our social world is organized.
 It is also, to a greater or lesser extent, used to indicate a need for radical change in these
basic principles.
 The approach originally associated with this sense of the word is Marxism.
 (Indeed, one current approach, the ‘Frankfurt School’, attempted to appropriate not
only the word ‘critical’ but also the word ‘theory’.
 If you see the two together a Critical Theory you will know what is being attempted and
you will see the difference that capitalization can make!) In this respect, Marxism can be
seen a continuing the Enlightenment project.
 This was the powerful intellectual traditional that emerged in the late eighteenth
century.
 It stressed the importance of Reason and Science (they were found of capital letters too)
over religion and traditional as ways of knowing the world.

 To this faith in the power f ideas to reveal the truth about the world Marx added a radical
political dimension.
 We have become much more skeptical about notion of truth, and more sophisticated
currents in modern Marxism have dropped notions such as ‘false consciousnesses’ (the
idea that the only reason for the lack of radical change was people holding the ‘wrong’
ideas.
 However, Marxism has lost what was once a dominant position in the ‘critical’ camp, wit
other voices now being heard.
 One of the most important of these critical voices has bee that of feminism. Reacting
both to material social changes and to the failure of Marxism to address these changes
feminism has brought a new set of challenges, in this case to received gender roles.
 This has meant shifts to both the topics examined and the way in which they are
examined.
 There are many currents with in feminism. Some strive for change--- existing
arrangements, arguing for the need to change organization – release the talent of
women (and make them better place for men).
 An example of a writer in this tradition who has had influence within the ‘mainstream’ is
Rosabeth Moss Kanter.
 Others reject what they see as patriarchy and call for more fundamental change – Pollert
(1996) has a useful overview. One impact of feminist writing has been to emphasis the
importance of identify in current critical writing.
 Identify is central in the intellectual tradition of postmodernism. This spurns what it calls
‘grand narratives’ such as Marxism (that is, in there terms, theories that purport to have
‘all the answers’).
 Instead, it stresses the fragmentation of current life that is composed of a shifting
kaleidoscope of fluid identities.
 An influential thinker has been the French social theorist Michel Foucault.
 His emphasis on power as a property of networks and relationships has been a strong
influence on thinking in many areas, not least the field of management.
 It has led to a focus on the micro-politics of local situations and to a divorce between
critical analysis and prescriptions for change.

 This has led to charges (from more traditional critical theorists, such as Marxists) of
academic self-indulgence and a loss of relevance.
 For others, however, this is a realistic adjustment to the contemporary social world and
a cause for celebration.
 What is does seem to produce is complex and difficult language and a tendency to
agonized introspection. (For an attempt to reconcile these forms of critical thinking by
direct application to management, see Alvesson and Wilmott, 1996.)
 Other social theorists try to steer something of a middle way. Some of these, such as
Giddens (lots of work, but see 1990 for a short introduction) and Castells (2000) have
important things to say about the nature of the world of work, even if sometimes their
detail fails to convince.
 Finally, the tradition known as Critical Realism (more appropriation! See p. 284) claims to
be clearing the way for a more transparent use of concepts –Reed (1997) and Savage et
al (1992) provide some applications in the management field, although these are ‘works
in progress’.
 What does all this mean for management researchers? It means that there is a rich body
of resources upon which to draw.
 A little recognized aspect of management history is the way in which ideas that are now
mainstream (in change management, for example) had their origins on the left (Cooke,
1999).
 Alternatively, the challenging of basic assumptions can help, even if it ends up by

confirming your belief in the soundness of those assumptions.
 Some of these areas, notably feminism, have had more direct impact on the
management field.

 It is helpful to be aware of he nuances that lie behind the use of this little word ‘critical’,
as you will come across it all the time in the academic literature.
 This simply reinforces the need for you to be skeptical and challenging in your use of such
literature in a word, to be critical!
Developing a Radical Critique
 To summarize the above discussion: a radical critique is one that challenges assumptions
and conventional ways of doing things.
 It normally does so from a moral stance based on perceptions of injustice; so for
instance, a radical critique could be Marxist (Justice to the workers or feminist (justice
to women) or green (justice to Gaia) or based on an anti globalization position that
would incorporate all of the proceeding. This section looks at how a radical critique of a
managerial theme might be constructed using a loose Marxist perspective.
 Remember, radical critique – are not a necessary part of a literature review.
The case of computerization of administrative and clerical work is used as an
example to illustrate the process.
Stage 1 – Identify a Conventional Position
 Take a conventional and standard argument that is used in the --- and in public debate.
 Waddington (1977:16) created the acronym --- DUNG, which stands for the conventional
with wisdom of the dominant group ---OK, it does not quite work as an acronym but it
defines the concept well.
 A few year ago, for example, it was widely held that the increasing use of computers in
the field of clerical and administrate work would make employees’ lives more interesting
by removing the drudgery fro their work.
Stage 2 - Problematise It
 Problematising the issue means revealing that the issue is more difficult than commonly
thought and probably raises questions of values or ethics.
 Computerization may make work more interesting, but management does not want
information technology for this reason alone.

 Management also wants to improve efficiency and profits and this means making staff
redundant as computers do more and more of the work.
 This process causes that which was straightforward to appear morally ambiguous.
Stage 3 - Identify Contradictions and Negation
 Look for contradictions and negations within the process or issue being studied.
 A negation is a self-destructive feature of a process. Computers are meant to make life
more interesting for staff by taking away the boring chores from their work.
 But computer software not only does sums and clerical chores- it can also make decisions
by comparing particular situations against decosopm-making guidelines.
 Computes can remove decision making form people and so make their work less
interesting and less responsible.
 Computerization also disempowers staff by removing their discretion to amend
procedures.
 Staffs have to work in the ways required by the software.
 By enabling management to monitor their work rates, staff are put under an intense
scrutiny that prevents them from being flexible in their work methods and rates (i.e. if
staff are working on computers, then it is easy for management to see how many
transactions they have processed in a shift).
 So, in summary, computerization was meant to make employees’ lives more interesting
and ends up making them less so. This is a form of dialectical analysis that is discussed
further on p. 303.
Stage 4 - Spot the Effects of False Consciousness (This Is an Optional Stage)
 False consciousness may be out of fashion (see p. 105) but it is often a useful element in a
radical critique.
 False consciousness arises when the opposite of what people want is happening but they
do not realize it.
 It is a Marxist concept to describe the tendency of the proletariat to fail to recognize the
nature of its interest.

 More generally it is any form of ideology or self-imagery that is held to be inappropriate to
the real or objective situation of an actor.
 So, for example, imagine you have interviewed a number of clerical staff whose work has
been computerized.
 To your surprise they tell you that they feel the process has made their work more
interesting because they have learnt new skills. They have learnt how to use the new
software, but they remain oblivious to the fact that the software is insidiously removing
responsibility, self-control and higher-control and higher- level skills from their jobs.
Stage 5 – End with an Aporia
 Aporia means being in a state where everything is so complex and ambiguous that you are
at a loss about what to do.
 The critique is ended with a view that something is wrong but that it is difficult to see what
can be done about it, short of changing human nature and sensibility.
 Things, you argue, are so complicated that anyone who believes there can be a quick fix for
the issue must be deluded. Here is a typical example taken from a paper that gives a critique
of the idea of business ethics:
The problem if find it impossible to address in the rest of the paper will be
what options are left for a project like ‘Business Ethics’ if the entire above are
accepted. It would simply be inappropriate for me to tie up a paper like this at
the end as if I really did have a medical solution to these problems.
However, there is often a final claim that our increasing understanding of the complexity of things will
enable humanity to become better, Parker ends his paper in such a way:
Recognizing the paradoxes within ‘Ethics’ and Business Ethics’ is one way to stop these words
form having so much hold onus. Perhaps we can begin to develop ways of expressing our
dreams and nightmares that do not fall back into the agon so easily.
It may not be easy to see quite what this means (the use of the word agon makes it difficult it means the
endless arguments between different and incomparable ways of viewing a topic), but as an ending it
sounds --- in an ambiguous sort of a way.

Stage 6- Appropriate Reference and Citation
 Try to make references to Michel Foucault and/or Jurgen Habermas in the text. Surprisingly,
references to Jeremy Bentham, the eighteenth- century utilitarian philosopher, and his
notion of the panoptican, published 1791 but more accessible in Bozovic (1995), are also
well received the panoptican was a design for a circular prison.
 The cells were to be around the circumference of the building and at the centre there was to
be a watchtower.
 This design would allow a warder to observe all the prisoners with ease.
 An additional element in the design was a series of baffles and blinds.
 These meant that the warder could see the prisoners but the prisoner could not be sure
whether they were being observed.
 The effect of the panoptican is the inmate would behave as if they were being observed
even though they did not know whether they were.
 The risk that they could be under observation was sufficient, Benhtham argued modify their
behavior.
 The idea of the panopticon was adopted by Foucault as a metaphor by the way that
organization and institutions seek to control individual’s works well as a trope for analyzing
information technology in offices.
 When an employee is working at a computer terminal that is networked to others in the

organization, it is technically possible for the management to monitor the employee’s work.
 The employee knows that they may be being monitored, but they can never be sure
whether they are.
 The metaphor works even better with roadside speed cameras, which reduce average
speeds because drivers do not know whether the box really does contain a camera.
 So they proceed on the basic that it might.
 A panoptican therefore provides a very efficient method of social control.

The following citation of Foucault, citing Bentham, achieves a double whammy effect:
‘The contemporary popularity of Foucault’s version of the panoptican seems to

illustrate something rather profound’ (Parker 1998 31). The panoptican is discussed in
Foucault (1991).
The six stages of radical critique are simply a teaching aid. No one would follow such a mechanistic
process in their writing. Nevertheless, these different aspects can be found in academic papers such as
Parker (1998). If you have the time and inclination, you might want to locate the six stages in his article.
Summary
Do
 Identify and discuss key and landmark studies –include as much up-to date material as
possible.
 Get the details right
 Try to be reflective;
 Try to be reflexive –examine your own bias and make it known;
 Critically evaluate the material and show your analysis;
 Use extracts , illustrations and examples to justify your arguments ;
 Be analytical, critical and evaluative in your review ;
 Make it interesting.
Don’t
 Omit classic works or Discuss core ideas without reference;

 Discuss outdated or rubbish stuff , or only old material;
 Use concepts to impress or without definition;
 Produce a list of items , even if annotated , a list is not a review;
 Accept anything at face value or believe everything that is written;
 Only produce a description of the content of what you have read;
 Drown in information. (based on Hart, 1998:219)

Exercise
Reviewing Arguments
Visit the library or a bibliographic database and choose an article that interest you from a peer-
reviewed journal. Read the article and draft a critical review of it. Use the following questions (based on
Hughes, 1992) as guideline:
 Identify The Main Arguments In The Paper

 What is the main point of the arguments?
 Identify the ‘inference indicators’, the words such as ‘therefore’ that --- that
a conclusion is being drawn from the evidence presented.
 Assess the context for the argument
 Identify The Premises From Which The Conclusions Are Drawn
 Locate the premises in the text
 Check The Acceptability of These Premises.
 Are they well supported by evidence?
 Are they well supported by citations from the literature?
 Are you convinced they are true?
 Check The Logical Strength of The Conclusions Drawn From The Premises.
 Are the conclusions logically based on the premises?
 How strong are the conclusions?
 Look For Counter Arguments
 Could the premises support a counter-conclusion?

Chap -4 Problem Definition and Setting Objectives
Chapter Objectives
After completing this chapter the student shall be able:
 Define the Research Problem

 Establish the Research Objectives
 Identify type of Information Needed to Answer the Research Questions.
 Develop Hypothesis and Research Questions.
3.1 Introduction to Defining the Problem and Determining Research Objectives
Before discussing the research problem is s pertinent to discuss the need for research and
situations in which research may not be inappropriate.
The Need for Research
To establish the need for research, all organizations should monitor their surrounding
environments on a continuous basis using a monitoring system. The primary objective of a
monitoring system is to bring operating information to management. Such information allows
management:
 To evaluate whether their current operating information results in meeting

performance objectives.
 If proposed legislation has an impact on consumer spending or other industry
interests,
 Whether changes in consumer values and lifestyles are occurring , or
 If new strategies are being implemented by competitors.
Note: Monitoring may be accomplished either formally or informally and in a variety of ways.
 A firm may have a sophisticated formal management information system (MIS).

 Another firm may have a more traditional control system that primarily relies on
financial statements as feedback.

 A small business owner /manager may diligently observe the environments that affect
his or her firm.
Situations in Which Research May Not Be Needed
The four major situations where research may not be needed include the following:
1. Information Is Already Available

 If management knows its markets, competition, and the product/services, they
may have the necessary information to make an informed decision without
commissioning a research study.
 It is possible to have information on sales, costs, and profitability available by
product, customer, region, salesperson, and so on, at the touch of a key.
2. There Is Insufficient Time For Research
 Occasionally, a problem is discovered that requires an immediate response on the

part of management.
 When competitive pressure or customer shifts demand quick management actions,
there may not be enough time to carry out a properly conducted research project.
 Although research will be helpful, circumstances argue strongly against
performing it.
3. Resources Are Not Available
 Oftentimes resources are not available for research.
 If conducted in-house, research requires a commitment of personnel, facilities,
and budget.
 If conducted by an outside firm, money as well as some personnel time is needed.
 If there is not enough money to devote to the research, management must simply
make the decision that those resources are better spent elsewhere.
4. Costs Outweigh The Value Of The Research
 Even when funds and other resources are available to conduct research,
management must always weight the costs of conducting the research with the
potential value of conducting the research.

 Some decisions have relatively little impact on company sales, profits, consumer
loyalty, dealer goodwill, and so on, and, as a result, they simply do not justify the
expenditure.
Once we are very clear about the above two –steps, we will then shift to define the marketing
problem.
3.2 Problem Definition
After the interviews and the literature review, the researcher is in a position to narrow down the
problem from its original broad base and define the issues of concern more clearly. It is critical
that the focus of further research, or in other words, the problem, be unambiguously identified
and defined. No amount of good research can find solutions to the situation, if the critical issues
or the problem to be studied is not clearly pinpointed.
A Problem does not necessarily mean that something is seriously wrong with a current situation
that needs to be rectified immediately. A “problem” could simply indicate an interest in an issue
where finding the right answers might help to improve an existing situation.
Thus, it is fruitful to define a problem as any situation where a gap exists between the actual and
the desired ideal seats. Basic researchers usually define their problems for investigation from this
perspective. For instance, we would ideally like to see zero defects, low inventory of unsold
goods, and high share quotation in the stock market, and so on. These “problems “could then
very well become the foci of research. Thus, problem definitions could encompass both existing
problems in a current setting, as well as the quest for idealistic states in organization.
Problem definition or problem statements ,as it is also often referred to, is a clear , precise ,and
succinct statement of the question or issue that is to be investigated with the goal of finding an
answer or solution. As mentioned earlier, problem definition could pertain to:
 Existing business problems where a manger looking for a solution,
 Situations that may not pose any current problems but which the manager feels
have scope for improvement ,
 Areas where some conceptual clarity is needed for better theory building, or

 Situations in which a researcher is trying to answer a research question empirically
because of interest in the topic.
 The first two fall within the realm of allied research, and the latter two under basic
research.
Defining the problem is critical to setting the direction for all subsequent phases of the research
process. This is particularly true for custom designed research, as opposed to standardized /
syndicated research.
 Standardized /syndicated research is generic research that is provided in
identical fashion to all buyers by the research supplier.
 Custom- designed research is research that is fashioned to address a unique
management problem confronting a client manager.
 Custom- designed research requires that the researcher fully understand the
circumstances of the manager‘s problem.
It is common for the manager and the researcher to define the problem. If the problem is not
defined correctly, satisfactory performance at the other stages in the research process will not
remedy the situation.
Broad problem areas that a manager could observe at the work place are as follows:
 Training programs are perhaps not as effective as anticipated.

 The sales volume of a product is not picking up.
 Minority group members in organisations are not advancing in their careers.
 The daily balancing of accounting ledgers is becoming a continuing concern.
 The newly installed information system is not being used by the managers for whom
it was primarily designed.
 The introduction of flexible work hours has created more problems than a has
solved in many companies.
 The anticipated results of a recent merger have not been forthcoming.
 Inventory control is not effective.
 The installation of an MIS keeps getting stalled.

 The management of a complex, multi-departmental team project is getting out of
hand in the R & D department of a firm.
The broad problem area would be narrowed down to specific issues for investigation after some
preliminary data are gathered by the researcher. This may be through interviews and literature
research.
Examples of Well-Defined Problems
 To what extent do the structure of the organisation and type of information system
installed account for the variance in the perceived effectiveness of managerial
decision making?
 To what extent has the new advertising campaign been successful in creating the
high-quality, customer –centered corporate image that it was intended to produce?
 How has the new packaging affected the sales of the product?
 Has the new advertising message resulted in enhanced recall?
 How do price and equality rate on consumer’s evaluation of products?
 Is the effect of participative budgeting on performance moderated by control
system?
 Does better automation lead to greater asset investment per Dollar of output?
 Does expansion of international operations result in an enhancement of the firm’s
image and value?
 What are the effects of downsizing on the long-Range growth patterns of
companies?
 Can cultural differences account for the differences in the nature of hierarchical
relationships between superiors and subordinates in Germany, India, Japan,
Singapore, and the United States?
 What are the components of “quality of life?”
 What are the specific factors to be considered in creating a data warehouse for a
manufacturing company?
 What network systems are best suited for Smith Pharmaceuticals?

Differences between Managers & Researchers
The fundamental differences between Mangers & researchers include the following:
S/N Area Of Difference Mangers Researchers

1. Organisation Position Line Staff
2. Responsibility To Make Profits To Generate
Information
3. Training General Decision Technique
Making Application
4. Disposition Toward Knowledge Wants Answers To Wants To Ask
Questions Question
5. Orientation Pragmatic Scholarly
6. Involvement Highly Involved , Detached ,
Emotional Unemotional
7. Use Of Research Political Nonpolitical
8. Research Motivation To Make Symptoms To Find The Truth
Disappear
Guidelines to Resolve Differences between Managers & Researchers
Alreck and Settle have formulated six (6) questions that managers and Nine (9) questions that
researchers should ask themselves to avoid potential misunderstandings as they discuss the
problem and determine the objectives of the research involved.
S/N Questions For Managers Questions For Researchers

1) What is the background of the problem? What are the capabilities and limitations of
the research being considered?
2) What issues or questions prompted What is the history of the operations,
management to consider undertaking policies, and procedures of the client?
research?
3) What types of information could clarify or What problems or issues appear to be the

solve the problem? focus of the research, and what is uncertain
or unknown about them?
4) What decision, choices, or actions will be What decisions, choices, actions are to be
based on the research results of findings? based on the results of the proposed
research?
5) How much is the information worth; what What is a preliminary assessment of worth
risks might be reduced or what of the research information to the client?
opportunities might gained?
6) What is the time horizon and level of What are the time requirements for the
resources available to perform the research? research and what resources can be
devoted to it?
7) What degrees of cooperation and
participation will be expected of the
clients?
8) What ethical issues are associated with the
research?
9) How can I gain the client’s confidence and
trust in a professional and ethical manner?
Defining The Management and Research Problems
Defining a problem involves:
 Specifying the symptoms

 Itemizing the possible causes of the symptoms, and
 Listing the reasonable alternative courses of action that the manager can
undertake to solve the problem.
There are two types problems with which a research must contend:
a) The Management Problem and

b) The Research Problem

Management Problem
A management problem is defined in one of the two ways:
 If the symptoms of the failure to achieve an objective are present , the manager must
select a course of action to regain the objective, and
 If the symptoms of the likelihood of achieving an objective are present, the manager must
decide on how best to seize the opportunity (opportunity identification).
 Poor problem definition can expose research to a range of undesirable consequences,
including incorrect research design s and inappropriate or needlessly expensive and
collection, assembly of incorrect or irrelevant data, and poor choice of the sample
selection.
 It is critical that the management problem be defined accurately and fully.
Once the management problem is fully defined, the researcher must wrestle with the research
problem.
Assement areas to define a research problem
There are eight assessment areas that help the researcher properly define the Managent
problem.
1. Assess The Background of The Company , Product , And Market

 The manager informs the researcher regarding the company
history, its organizational structure, ownership situation, and
overall mission.
 The researcher is also informed about performance history and any
strategy changes.
2. Understand The Decision- Maker’s Circumstances , Objectives, And Resources

 It will certainly help to know the reasons the manager has requested research
help.
 The researcher would know the manager’s objectives, which are tangible
statements of a company’s expectations.

 Gaining a feel for the manager’s specific objectives will help the researcher
understand the gravity of the problem.
 By comparing recent sales, market share, or profitability level, for instance,
with objectives, the researcher can compare how far the brand has strayed
from acceptable performance.
3. Clarify The Symptoms of The Problem
 The manager & researcher must distinguish between symptoms, which are
changes in the level of some key monitor that measures the achievement of an
objective, and their causes.
 A symptom may also be a perceived change in the behaviour of some market
factor that suggests adverse consequences or, perhaps, implies an emerging
opportunity.
 Formal monitors that are helpful in alerting managers to possible problems
include:
 Productivity: unit of output produced from a given unit of
inputs.
 Employee’s turnover: the percent of workforce leaving the
organisation.
 Market share: the percent of total industry sales accounted
for by the company’s brand.
 Profit: the total profit generated by a brand.
 Complaints: the level of consumer complaints registered.
 Competitors: actions of the competitions such as price
reduction, introduction of new products , style changes ,
expansion into new territories , etc;
 Even if formal monitors are in place, they may not present sufficiently
detailed or complete pictures of what has happened.
 This is sometimes referred to as the “iceberg” phenomenon, a situation in
which you must look beneath the surface to see the complete picture.
 The researcher may request a breakdown by sales territory, say, to see if
market share has fallen in all areas.

 An astitute researcher will ask questions that sometimes tax the manager’s
patience, but they are necessary to gain an understanding of all of the facts of
the problem.
4. Pinpoint Suspected Causes of The Problem
 Problems do not arise out of the blue-there always is an underlying cause.

 For examples: Sales do not drop without buyers doing something different
from what they have been doing in the past,
 Customer complaints do not increase unless some dissatisfaction has
occurred and
 Retailers do not report returns unless there is a flaw in the product.
 In other words, changes in market behavior do not occur randomly.
 Any factor that changed prior to or concurrent with the symptoms was a
probable cause of the problem.
5. Specify Actions That May Alleviate The Problem
 Managers have at their disposal certain resources, and these resources

constitute the solutions that may attempt to employ to resolve the decision
problem at hand.
 Possible solution includes any actions that the manager thinks may resolve the
problem.
 It is during this phase that the researcher brain storm possible solutions.
 Sometimes, this phase may be moderated by the researcher.
 At other times, the manager may independently generate several tactics that
might resolve the problem once the probable cause is identified.
6. Speculate On Anticipated Consequences of These Actions
 Research on anticipated consequences of each action under consideration will
help determine whether the solution is correct or not.
 To avoid resolving the problem incorrectly, the manger asks “what if
“questions regarding possible consequences of each action being considered.

 These questions include:
 What will be the impact not only on the problem at hand,
but throughout the program, if specific action is
implemented?
 What additional problem s will be created if a proposed
solution to the current problem is implemented?
7. Identify The Manager’s Assumptions About The Consequences ; And
 As they define the problem, the manger and the researcher make certain
assumptions, which are assertions that certain conditions exist or that certain
reactions will take place if the considered actions are implemented.
 The manager’s assumptions be analyzed for accuracy.
 Assumptions beer researcher attention because they are the glue that holds the
decision problem together.
 Given a symptom, the manager assumes that certain causes are at fault.
 She /he assume that, by taking corrective actions, the problem will be resolved
and that the symptoms will disappear.
 If the manager is completely certain of all of these things , there is no need
for research.
 If uncertainty prevails, and critical assumptions about which the manger is
uncertain will ultimately factor in heavily when the researcher addresses the
research problem.
 Research will help eliminate this uncertainty.
 At the same time, there may be disagreement on key assumptions within the
manager’s company, and research is needed to determine which competing
assumption is true.
8. Assess The Adequacy Of Information On Hand.

 As the manger attempts to formulate a decision problem, available
information varies in both quantity and quality.

 The manager may have information that greatly reinforces his or her own
belief s, or he or she may not have anything more than a “gut feeling”.
 If the manger knows something with a high degree of certainty, it is of little
value for the researcher to conduct research to reiterate that knowledge.
 The researcher assesses the existing information state, which is the quantity
and quality of evidence a manager possesses for each of his or her
assumptions.
 During this assessment, the researcher should ask questions about the current
information’s state and determine what the desired information state is.
 Conceptually, the researcher seeks to identify information gaps, which are
discrepancies between the current information level and the desired level of
information at which the manger feels comfortable resolving the problem at
hand.
 Ultimately, information gaps are the basis for research objectives.
 Research objectives are specific bits of knowledge that need to be gathered
and that serve to close information gaps.
 These objectives become the basis for the researcher‘s work.
 In order to formulate the research objectives, the researcher considers all the
current information surrounding the management problem.
1) Specify Constructs and Operational Definitions
 A construct is a research term or concept that is somehow involved in the
management problem that will be researched.
 Although managers and researchers share the language of constructs, the researcher
translates the construct into an operational definition, which describes how a
researcher measures the construct.
 Operational definition implies a specific question format that will be used in a survey
to gather information about the construct at hand.
A Representative List of Constructs Often Investigated By Researchers.
S/N Constructs Operational Definitions

1. Brand awareness Percent of respondents having heard of
brand
2. Recall, recognition of advertising The number who remember seeing a
specific ad
3. Knowledge of product , feature What they can tell about the product
4. Brand familiarity Those who have seen the brand or tried it
5. Comprehension of product benefits What respondents think the product does
for them
6. Attitude , feelings toward brand The number who feel positive, negative or
, neutral
7. Intensions to purchase The number that are planning to buy it
8. Past purchase or use The percent that bought it
9. Satisfaction How they evaluate its performance
10. Importance of some factor What factors determined their purchase
choice
11. Demographics How old , what gender , and so on
12. Disposal of product and knowledge What they did with the box , wrapping , or
product
13. Brand loyalty How many times bought the brand in the
last six months.
Project Research
Management Decision Problem (MDP): MDP is the problem confronting the decision maker. It
asks what the decision maker needs to do.
A Research Problem: A problem that entails determining what information is needed and how
it can be obtained in the most feasible way.
Other illustrative examples between management decision problems and the research problems
include the following:

S/N Management Decision Problem Research Problem
1 Should a new product be introduced? To determine consumer
preference s and purchases
intentions for the proposed
new product?
2 Should the advertising campaign be changed? To determine the effectiveness
of the current advertising
campaign?
3 Should the price of the brand be increased? To determine the price

elasticity of demand and the
impact on sales and profits of
various levels of price
changes.
Well-Defined Problems
 To what extent do the structure of the organisation and type of information system
installed account for the variance in the perceived effectiveness of managerial decision
making?
 To what extent has the new advertising campaign been successful in creating the high-
quality, customer –centered corporate image that it was intended to produce?
 How has the new packaging affected the sales of the product?
 Has the new advertising message resulted in enhanced recall?
 How do price and equality rate on consumer’s evaluation of products?
 Is the effect of participative budgeting on performance moderated by control system?
 Does better automation lead to greater asset investment per Dollar of output?
 Does expansion of international operations result in an enhancement of the firm’s image
and value?
 What are the effects of downsizing on the long-Range growth patterns of companies?

 Can cultural differences account for the differences in the nature of hierarchical
relationships between superiors and subordinates in Germany, India, Japan, Singapore,
and the United States?
 What are the components of “quality of life?”
 What are the specific factors to be considered in creating a data warehouse for a
manufacturing company?
 What network systems are best suited for Smith Pharmaceuticals.
Process of Defining a Problem
DM: we have seen a decline in the patronage of our store.
R: How do you know that?
DM: well, it is reflected in our sales and market share.
R: Why do you think your patronage is declined?
DM: I wish I knew.
R: what about competition?
DM: I suspect we are better than competition on some factors and worse on others.
R: How do the customers view your stores?
DM: I think most of them view it positively, although we may have a weak area of one or two.
After a series of dialogues with the decision maker and other key managers analysis of
secondary data and qualitative research, the problem was identified as follows.
Management Decision Problem
What should be done to improve the patronage of the Store?
Marketing Research Problem
Determine the relative strengths and weaknesses of the store vis-à-vis other major competitors
with respect to factors that influence store patronage.

Specifically, Research should provide information on the following questions:
 What criteria do households use when selecting department stores?

 How do households evaluate Tana department store and competing stores in terms
of the choice criteria identified in question 1?
 Which stores are patronized when shopping for specific product categories?
 What is the market share of Tana and its competitors for specific product
categories?
 What is the demographic and psychological profile of the customers of Tana?
Does it differ from the profile of customers of competing stores?
 Can store patronage and preference be explained in terms of store evaluations and
customer characteristics?
2) Specify Research Objectives
 A good way of setting research objectives is to ask, “what information is needed in
order to solve the problem?’
 A key aspect of the research objectives step is the specification of the specific
types of information useful to the managers as they look for a solution to the
management problem at hand.
 Research objectives address information gaps that must be closed in order for the
manager to go about resolving the current problem.
 Generally, the researcher prepares an itemized listing of the information objectives
agreed upon by the manger as essential for this purpose.
 Each research objectives must be precise, detailed, clear and operational.
Research Questions & Development of Hypothesis
Research Questions: are refined statements of the specific components of the problem.
Hypothesis: an unproven statement or proposition about a factor or phenomenon that is of

interest to the researcher.
Specific Research Questions:
RQ1: what foods are considered to be comfort foods?

H1: potato Chips are considered comfort foods.
H2: Ice cream is considered comfort food.
RQ2: when do people eat comfort foods?
H3: people eat comfort foods when they are in a good mood.
H4: people eat comfort foods when they are in a bad mood.
RQ3: How do people become attached to comfort foods?
H5: People are attached to comfort foods that are consistent with
their personality.
H6: People are attached to comfort foods because of past association.
A General Procedure for Hypothesis Testing
Null hypothesis is a statement in which no difference or effects are expected. If the null
hypothesis is not rejected, no changes will be made.
 The null hypothesis is a proposition that states a definitive, exact relationship

between two variables.
 It states that the population correlation between two variables is equal to zero or that
the difference in the means of two groups in the populations is equal to zero or the
difference in the means of two groups in the population is equal to zero( or some
definite number).
 In general, the null statements are expressed as no (significant) relationship between
two variables or no (significant) difference between two groups.
Alternative Hypothesis: is a statement that some difference or effect is expected. Accepting the
alternative hypothesis will lead to changes in opinions or actions.
Directional and Non –Directional Hypothesis
Directional Hypothesis (DP)

 DH is refers to those hypothesis that deals with relationships between two
variables or comparing two groups.
 In stating such hypothesis terms such as positive, negative, more than, less
than, and the like are used.
Non Directional Hypothesis (NDH)
 NDH are those that do no postulate a relationship or difference, but offer no

indication of the direction of these relationships or differences.
 In other words, though it may be conjectured that there would be a significant
relationship between two variables, we may not be able to say the relationship
would be positive or negative.
Parametric tests: hypothesis –testing procedures that assume that the variables of interest are
measured on at least an interval scale.
Nonparametric test: hypothesis testing procedures that assume that the variables are measured
on a nominal or ordinal scale.
The following steps are involved in hypothesis testing:
 Formulate the null hypothesis H0 and the alternative hypothesis HA.

 Select an appropriate statistical technique and the corresponding test statistic.
 Choose the level of sigiinificance, α.
 Determine the sample size and collect the data .Calculate the value of the test
statistics.
 Determine the probability associated with the test statistics under the null
hypothesis using the sampling distribution of the test statistics. Alternatively,
determine the critical values associated with the test statistics that divide the
rejection and non rejection regions.
 Compare the probability associated with the test statistics with the level of
significance specified. Alternatively, determine whether the test statistics has fallen
into the rejection or the non rejection region.
 Make the statistical decision to reject or not to reject the null hypothesis.

 Express the statistical decision in terms of the marketing research problem.
Testable Statements
 If the pilots are given adequate training to handle midair crowded situations, air –
safety violations will be reduced.
 If employees are more healthy, then they will take sick leave less frequently.(DH)
 The greater the stress experienced in the job, the lower the job satisfaction of
employees.(DH)
 There is a relationship between age and job satisfaction.(NDH)
 There is a difference between the work ethic values of American and Asian
employees.(NDH)
 The greater the extent of gender stereotyping in organisations, the fewer will be the
number of women at the top.(DH)
 Male managers have more access to critical information than women managers in
the same ranks.(DH)
 There will be a significant positive correlation between access to information and
chances for promotion to top –level positions.(DH)
 The more the sex-role stereotyping, the less the access to critical information for
women.(DH)
 Sex-role stereotyping and access to critical information will both significantly
explain the variance in promotional opportunities for women to top-level
positions.(NDH)
Schematic diagram of 6-10
Sex-role stereotyping
Advancement of women
to the
Research Methods in Business Studies: A Practical Guide (PGS)–Dr Getie A. top. Page 100
Access to information
Dependent Variable
Independent variables
Review Questions
1. How would you describe the research process?
2. Explain the preliminary data collection methods?
3. Why is important to gather information on the background of the organization?
4. Should a researcher always obtain information on the structural aspects and job
characteristics from those interviewed? Give reasons for your answer with examples.
5. How do you go about doing a literature survey in the area of business ethics?
6. What is the purpose of a literature survey?
7. What is appropriate citation important? What are the consequences of not giving credit
to the source from which materials are extracted?
8. “The problem definition stage is perhaps more critical in the research process than the
problem solution stage .” Discuss this statement.
9. Why should one get hung up on problem definition if one already knows the broad
problem area to be studied?
10. List five differences between managers and researchers.
11. What constructs, who used them, and how are they envisioned by the researcher?
12. How does a symptom differ from a cause? How does a cause differ from a potential
solution?
13. How do management problem and the research problem differ?
14. What are the major steps that have to be followed to define the research problem in
clear and concise terms?
15. What is the problem statement in the following situation?
Employee Loyalty
Companies benefits through employee loyalty. Crude downsizing in organizations
during the recession crushed the loyalty of millions. The economic benefits of
loyalty embrace lower recruitment and training costs, higher productivity of
workers, customer satisfaction, and the boost to morale of fresh recruits. In order
that these benefits are not lost, some companies while downsizing try various
gimmicks. Flex leave , for instance , is one . This helps employees receive 20% of
their salary, plus employer provided benefits, while they take a 6 to 12 month
sabbatical, with a call option on their services. Others try alternatives like more
communications, hand holding, and the like.
16. How do you define the problem in the following case?
Accounting Gets Radical
The GAAP (Generally Accepted Accounting Principles) do an unacceptable job of
accounting for the principle activities of the information age companies. Today, investors
are in the dark because the accounting is irrelevant. The basic purpose of accounting is to
provide useful information to help investors make rational investment, credit, and similar
decisions, but today’s most important assets and activities –intellectual capital and work
knowledge –are totally ignored.
Professor Robert A. Howell wants to reform the accounting system with the goal of
making clear the measurement of how companies produce cash and create value.
Chap - 5 The Research Design/The Research Methodology /The Research Approach
5.1 Definition of Research Design
A research design is a framework for conducting the marketing research project. It specifies the
details of the procedures necessary for obtaining the information needed to structure and /or
solve marketing research problems.
A Research Design is the detailed blueprint used to guide a research study toward its objectives.
A research design is the specification of procedures for collecting and analyzing the data
necessary to help identify or react to a problem or opportunity, such that the difference between
the cost of obtaining various levels of accuracy and the expected value of the information
associate d with each level of accuracy is maximized.
Several aspects of this definition deserve emphasis:
 Research design requires the specification of procedures. These procedures

involve decisions on what information to generate, the data collection method, the
measurement approach, the object to be measured, and the way in which the data
are to be analyzed.
 The data are to be collected to help identify or react to a problem or opportunity.
All data collected should eventually relate to decisions faced by management.
Obviously, the efficient collection of data relevant to a decision requires a clear
definition of the problem /opportunity.
 The information has value. Information acquires values as it helps improve
decisions.
 The varying levels of accuracy of information can be generated in response to the
same problem. Information accuracy is affected by the occurrence of a number of
potential errors.
 The goal of applied research design is not to generate the most accurate
information possible. Rather, the objective is to generate the most valuable
information in relation to the cost of generating the information.
5.2 Classification of Research Design
Research Design Can Be Classified Into Two:
 Exploratory Research And
 Conclusive Research.
1) Exploratory research is one type of research design, which has as its primary objective the
provision of insights into and comprehension of the problem situation confronting the
researcher.
Example:
The manager of a multinational corporation is curious to know if the work ethic values of
employees working in its subsidiary in London city will be different from that of
pennathur a small city in northern Indies .there is very little information about London , and
since there is considerable controversy about what work ethic alues mean to people in other
cultures , the manager’s curiosity can be satisfied only by an exploratory study ,
interviewing the employees in the organization in Pennathur.Relgion, political , economic ,
and social conditions , upbringing , cultural values, and so on play a major role in how
people view their work in different parts of the world. Here, since very little is known about
work ethic values in India’s, an exploratory study will have to be undertaken.
Exploratory studies can be done by interviewing individuals and through focus groups. Foe
instance , if a company manufacturing cosmetics wants to obtain a thorough understanding
of what it is that arouses emotive appeal for the product an induces people to buy cosmetics
, several focus groups can be convened to discuss the related issues. This exploratory study
will offer the needed preliminary information for a full-fledged study on the matter, later.
Exploratory research could be used for any of the following purposes:
1) Gain background information.

 When very little is known about the problem or when the problem has not
been clearly formulated, exploratory research may be used to gain much-
needed background information.
 This is easily accomplished d in firms having information system in which
a review of internal information tracked over time can provide useful
insights into the background of the firm, brand, sales territories, and so on.
 Even for very experienced researchers it is rare that some exploratory
research is not undertaken to gain current, relevant background
information.
2) Formulate a problem or define a problem more precisely.
 Gain insights for developing an approach to the problem.
 By conducting exploratory research to define a question such as “what is
image?”
 The researcher quickly learns that “image “is composed of several
components-perceived convenience of location, friendliness of
employees, and so on.
 For example, not only would exploratory research identify the components
of bank image but it could also demonstrate how these components may
be measured.
3) Clarify problems and Develop hypothesis.
 Isolate key variables and relationships for further examination

 Exploratory research is used to clarify and problems and hypothesis. For
example, bank image reveals the issue of different groups of bank
customers.
 Banks have three types of customers, commercial customers, and other
banks for which services are performed for fees.
 Exploratory research can also be beneficial in the formulation of
hypothesis, which are statements describing the speculated relationships
among two or more variables.
4) Establish priorities for further research.
 Exploratory research can help a firm prioritize research topics in order of
importance, especially when it is faced with conducting several research
studies.
 A review of customer complaint letters may indicate which product or
services are most in need of management’s attention.
5) Identify alternative sources of action.
Exploratory Research is most commonly unstructured, informal research that is undertaken to

gain background information about the general nature of the research problem.
 By unstructured we mean that exploratory research does not have a formalized set of
objectives, sample plan, or questionnaire.
 Exploratory research is aimed at gaining additional information about a topic and
generating possible hypothesis to test.
 Such research may consist of going to the library and reading published secondary
data; of asking customers, sales persons, and prices; or simply observing everyday
company practices.
 Exploratory research is systematic, but it is very flexible in that it allows the
researcher to investigate whatever sources he or she desires and to the extent he or
she feels is necessary in order to gain a good feel for the problem at hand.
Methods of Conducting Exploratory Research
A variety of methods are available to conduct exploratory research. These include:
1) Secondary Data Analysis
 Secondary data analysis refers to the process of searching for and interpreting
existing information relevant to the research problem.
 Data that have been collected for some other purposes.
 Libraries and internet are full of secondary data, which includes information
found in books, journals, magazines, special reports, bulletins, news letters, and
so on.
 An analysis of secondary data is often the “core” of exploratory research.
2) Experience surveys
 Experience survey refers to gathering information from those thought to be

knowledgeable on the issues relevant to the research problem.
 If the research problem deals with difficulties encountered when buying infant
clothing, then surveys of mothers or fathers with infants may be in order.
 If the research problem deals with forecasting the demand for sulphuric acid over
the next 2 years, researchers may begin by making a few calls to some “experts”
on this issue.
3) Case Analysis
 Case analysis refers to a review of available information about a former situation

(s) that has some similarities to the present research problem.
 There are few research problems that do not have some similarities to some
situation in the past.
 Even when the research problem deals with a radically new product, there are
often some similar past experiences that may be observed.
4) Focus groups and
 Focus groups are groups of people brought and guided by a moderator through an
unstructured, spontaneous discussion for the purpose of gaining information
relevant to the research problem.
 The moderator should ensure the discussion is “focused “on some general area of
interest.
5) Projective techniques.
 Projective techniques seek to explore hidden consumer motives for buying goods
and services by asking participants to project themselves into a situation and
then to respond to specific questions regarding the situation.
 For example, sentence completion test may be used.
2) Conclusive Research. Research designed to assist the decision maker in determining,
evaluating, and selecting the best course of action to take in a given situation.
 is typically more formal and structured than exploratory research. It is base don large,
representative samples, and the data obtained are subjected to quantitative analysis.
 The findings from the research are considered to be conclusive in nature in that they
are used as input into managerial decision-making.
 However, it should be noted that from the perspective of the philosophy of science,
nothing can be proven and nothing is conclusive.
 Conclusive research can be either descriptive or causal and descriptive research
can be either cross-sectional or longitudinal.
2.1 Descriptive Research
A Descriptive Research is a type of conclusive research that has as its major objective the
description of something-usually market characteristics or functions. Provides answers to
questions such as who, what, where, when and how, as they are related to the research problem.
Typically, answers to these questions, are found in secondary data or by conducting surveys.
The decision makers often need answers to these basic questions before they can formulate
effective business strategies:
 Who may be defined as the firm’s (competitor’s) customers?
 What may be defined as the products, brands, size, and so on that are being
purchased?
 Where may be defined as the places the customers are buying these products?
 How may mean the questions such as why sales increase or decrease if we increase
or decrease advertising or
 Why one ad garners attention than another r are questions that must be answered
through causal research designs.
For Example
 A bank manager wants to have a profile of the individuals who have loan payments
outstanding for 6 months and more .It would include details of their average age,
earnings, nature of occupations, full-time /part time employment status, and the like. This
might help him to elicit further information or decide right away on the types of
individuals who should be made ineligible for loans in the future.
 A CEO may be interested in having a description of organizations in her industry that

follow the LIPO system. In this case, the report might include the age of the
organizations, their locations, their locations, their production levels, assets, sales,
inventory levels, suppliers, and profits. Such information might allow comparison later of
the performance levels of specific types of companies.
 A marketing manager might want to develop a pricing, sales, distribution,and advertising

strategy for her product. With this in mind, she might ask for information regarding the
competitors, with respect to the following:
 The percentage of companies who have prices higher and lower than the
industry norm, a profile of the terms of sale ,and the percentage where prices
are controlled regionally instead of from central headquarters.
 The percentage of competitors hiring in-house staff to handle sales and those
who use independent agents.
 Percentage of sales groups organized by product line , by accounts, and by
region.
 The types of distribution channels used and the percentage of customers using
each.
 Percentage of competitors spending more dollars on advertising /promotion
than the firm and those spending less; a categorization of their target audience,
and the types of media most frequently used.
 Percentage of those using the web (“dot coms”) to sell the product.
Descriptive research is conducted for the following reasons:
 To describe the characteristics’ of relevant groups, such as consumers, salespeople,

organizations, or market areas. For example we can develop a profile of the “heavy
users” (frequent shoppers) of prestigious department stores.
 To estimate the percentage of units in a specified population exhibiting a certain
behaviour. For example, we might be interested in estimating the percentage of heavy
users of prestigious department stores who also patronize discount department stores.
 To determine the perceptions of product characteristics’. For example, how do
households perceive the various department stores in terms of salient factors of the choice
criteria?
 To determine the degree to which marketing variables are associated. For example, to
what extent is shopping at department stores related to eating out?
 To make specific predictions. For example, what will be the retail sales of wow
international (a specific store) for fashion clothing (specific product category) in Bole
area (specific region)?
Descriptive Research can be further classified into cross-sectional and longitudinal research.
i) Cross-Sectional Designs: A type of research design involving the collection of information

from any given sample of population elements only once.
a) Single cross-sectional design

 A type of research design involving the collection of information from any given
sample of population elements only once.
 In this type of design only one sample of respondents is drawn from the target
population, and information is obtained from this sample only once.
b) Multiple-cross-sectional design:
 A cross sectional design in which there are two or more samples of respondents,
and information from each samples is obtained only once.
 Often, information from different samples is obtained at different times over long
intervals.
 It allows comparisons at the aggregate level but not at the individual respondent’s
level.
 Because a different sample is taken each time a survey is conducted, there is no
way to compare the measures on individual respondents across surveys. For
example cohort analysis.
A cohort analysis: is a multiple cross-sectional design consisting of a series of surveys
conducted at appropriate time intervals. The cohort refers to the group of respondents
who experience the same event within the same time interval. Example birth or age
cohort is a group of people who were born during the same time interval such as 1961
through 1970.
The term cohort analysis refers to any study in which there are measures of some
characteristics’ of one or more cohorts at two or more points in time. Cohort analysis is
also used to predict changes in voter opinions during political campaigns. It is unlikely
that any of the individuals studied at time one will also be in the sample at time two. For
example, the age cohort of people between 8 and 19 years old was selected and their soft
drink consumption was examined every 10 years for 30 years. In other words, every 10
years a different sample of respondents was drawn in this study from the population of
those who were then between 8 and 19 years old.
II) Longitudinal Design: A type of research design involving a fixed sample of population
elements that is measured repeatedly on the same variables. The sample remains the same over
time, thus providing a series of pictures which, when viewed together, portray a vivid illustration
of the situation and the changes that are taking place over time. Longitudinal data are used for
tracking markets. Market tracking studies are those that measure some variable(s) of interest like
market share or unit sales overtime. For example, by having representative data on brand market
shares, a business manager can “track” how his or her brand is doing relative to a competitive
brand’s performance.
A Panel: A sample of respondents who have agreed to provide information at specified intervals
over an extended period. (Some times a panel is used interchangeably with longitudinal
design).There are two types of panels: Traditional Panels
 Ask panel members the same questions on each panel measurement.

 They are also demographically matched to some larger entity, implying
representativeness as well.
 Usually, firms are interested in using data from traditional panels because they
can gain insights into changes in consumer’s purchases, attitudes, and so on.
 For example, data from traditional panels can show how members of the panels
switched brands from one time period to the next.
 Studies examining how many consumers’ switched brands are known as brand-
switching studies.
Omnibus Panels
 Vary questions from one panel measurement to the next.
 May be used for a variety of purposes, and the information collected by an
omnibus panel varies from one panel measurement to the next.
 Essentially, the omnibus panel’s primary usefulness is that it represents a large
group –people, stores, or some other entity-that is agreeable to providing
marketing research information.
 Omnibus panels are also demographically matched to some larger entity,
implying representativeness as well.
Relative advantages and disadvantages of longitudinal and cross-sectional design
Evaluation Criteria Cross-Sectional Design Longitudinal Design

Detecting change - +
large amount of data - +
collection
accuracy - +
representative sampling + -
response bias + -
Note: A + indicates a relative advantage over the other design, where as a – indicates a relative
disadvantage.
2.2 Causal Research
A type of research where the major objective is to obtain evidence regarding cause –and effect
(causal) relationships. Causality may be thought of as understanding a phenomenon in terms of
conditional statements in the form of “if X, then Y.”
 These,” if -then” statements become our way of manipulating variables of
interest.
 For example, if the thermostat is lowered, then the air will get cooler.
 If I spend more on advertising, then sales will rise.
 Commercial managers are always trying to determine what will cause a change in
consumer satisfaction, a gain in market share, or an increase in sales.
 Our desire to understand our world in terms of causal, if-then statements is very
difficult, if not impossible because there are formal conditions that must be in
place before a researcher can attest to causality.
Example
A causal study question:
 Does smoking cause cancer?
 A correlational study question:
 Are smoking and cancer related?
OR
Are smoking, drinking and chewing tobacco associated with cancer? If so, which of these
contributes most to the variance in the dependent variable?
Fears of an earthquake predicted recently in the new Madrid fault zone were instrumental or
causal in an unprecedented number of house owners in the Midwest region taking out of the
earth quake insurance policy.
This example indicates a causal relationship between the earthquake predication and insurance.
Increases in interest rates and property taxes, the recession, and the predicted earthquake
considerably slowed down the business of real estate agents in the Midwest. This example
indicates that several factors, including the predicted earthquake influenced not caused the
slowdown of real estate agents business. This is a correlational study, which was not intended to
establish a cause –and –effect relationship.
Causal Research is Appropriate for the Following Purposes:
 To understand which variables is the cause (independent variables) and

which variables are the effect (dependent variables) of a phenomenon.
 To determine the nature of the relationship between the causal variables and
the effect to be predicted.
Formal Requirements of Causality
1) Co Variation
 It must be demonstrated that the causal variable occurs with the caused
variable and that the two variables have an orderly relationship
 For example as prices goes down sales goes up.
2) Time Sequence
 It must be demonstrated that the causal variables changed prior to or
simultaneous with observed changes in the caused variable.
 For example, prices were lowered on Monday, and sales go up for Monday,
and sales go up for Monday and all other days when prices were lower.
3) Systematic Elimination
 It must be demonstrated that all other possible causal variables are
eliminated from candidacy.
 For example, if an advertising campaign began on the days we lowered
prices, we could not eliminate the ad campaign as a cause of sales going up.
4) Experimental Design
 It must be demonstrated that a valid experiment has been conducted in order
to state the variable is unequivocally causal.
 For example, a formal market test would be designed and conducted in order
to determine the effect of a price reduction on sales.
Relationships among Exploratory, Descriptive, and Causal Research
A given marketing research project may involve more than one type of research design and
serve several purposes. When combination of research design should be employed depends on
the nature of the problem.
General guidelines for choosing research designs include the following:
1. When little is known about the problem situation, it is desirable to begin with exploratory
research. Exploratory research is appropriate when the problem needs to be defined more
precisely , alternative courses of action identified , research questions or hypothesis
developed , and key variables isolate d and classified as dependent or independent.
2. Exploratory research is the initial step in the overall research design framework. It
should, in most instances, be followed by descriptive or causal research. For example,
hypothesis developed via exploratory research should be statistically tested using descriptive
or causal research. Exploratory research in the form of secondary data analysis and focus
groups was conducted to identify the social causes that Ethiopian businesses should be
concerned about. Then a descriptive cross-sectional survey was undertaken to quantify the
relative salience of these causes.
3. It is not necessary to begin the survey research design with exploratory research. It
depends upon the precision with which the problem has been defined and the researcher‘s
degree of certainty about the approach to the problem. A research design could well begin
with descriptive or causal research. To illustrate, a consumer satisfaction survey is
conducted annually need not begin with or include an exploratory phase each year.
4. Although exploratory research is generally the initial step, it need not be. Exploratory
research may follow descriptive or causal research. For example, descriptive or causal
research results in findings that are hard for mangers to interpret. Exploratory research may
provide more insights to help understand these findings.
Differences between Exploratory and Conclusive Research
S/N Factors Exploratory Causal

1) Objective  to provide  to test specific
insights and hypothesis and
understanding examine
relationship
2) Characteristics  Information  Information
needed is defined needed is clearly
only loosely. defined.
 Research process  Research process
is flexible and is formal and
unstructured. structured.
 sample is small  sample is large
and non and representative
representative .  Data analysis is
 analysis of quantitative.
primary data is
qualitative
3) Findings/Results Tentative conclusive
4) Outcomes  Generally  findings used as
followed by input into decision
further making
exploratory or
conclusive
research.
A Comparison of Basic Research Design
S/N Factors Exploratory Descriptive Causal

1) Objective  discover ideas and insights  describe market  determine
characteristics cause and
or functions effect
relationships
2) Characteristics  Flexible  Marked by the  Manipulating
 Versatile prior formation of one or
 often the front end of total of specific more
research design hypothesis. independent
 preplanned and variables.
structured  control of
design other
mediating
variables
3) Methods  expert surveys  secondary data  experiments
 pilot surveys (analyzed
 secondary data(analyzed quantitatively)
quantitatively)  surveys
 qualitative research  panels
 observational
and other data
Extent of Researcher Interference with the Study
The extent of interference by the researcher with the normal flow of work at the workplace has a
direct bearing on whether the study undertaken is causal or correlational.
A correlational study is conducted in the natural environment of organization with minimum
interference by the researcher with the normal flow of work .For example, if the researcher
wants to study the factors influencing training effectiveness, all that individual has to do is is
develop a theoretical framework ,collect the relevant data ,and analyze them to come up with
findings. Though there is some disruption to the normal flow of work in the system as the
researcher interviews employees and administers questionnaires at the workplace , the researcher
‘s interference in the routine functioning of the system is minimal as compared to that caused
during casual studies.
There are three varying degrees of interference –minimal, moderate, and excessive.
Minimal Interference
A hospital administrator wants to examine the relationship between the perceived emotional
support in the system and the stresses experienced by the nursing staff. In other words, she wants
to do a correlational study. Here the administrator /researcher will collect data from the nurses to
indicate how much emotional support they get in the hospital and to what extent they experience
stress. By correlating the two variables, the answer that is being sought can be found.
In this case, beyond administering a questionnaire to the nurses, the researcher has not interfered
with the normal activities in the hospital. In other words, researcher interference has been
minimal.
Moderate Interference
The same researcher is now no longer content with finding the correlation, but wants to firmly
establish a causal connection. That is , the researcher wants to demonstrate that if the nurses
had emotional support , this indeed would cause them to experience less stresses. If this can be
established, then the nurse’s stress can definitely be reduced by offering them emotional support.
To test the causes –and –effect relationship , the researcher will measure the stress currently
experienced by the nurses in three wards in the hospital ,and then deliberately manipulate the
extent of emotional support given to the three groups of nurses in the three wards for perhaps a
week ,and measure the amount of stress at the end of that period. For one group , the researcher
will ensure that a number lab technians and doctors help and comfort the nurses when they face
stressful events-for example , when they care for the patients suffering excruciating pain and
distress in the ward. Under a similar setup, for a second group of nurses in another ward , the
researcher might arrange for them only a moderate amount of emotional support and employing
only the lab technians and excluding Doctors. The third ward might operate without any
emotional support.
If the experimenter’s theory is correct, then the reduction in the stress levels before and after the
one-week period should be greatest for the nurses in the first ward, moderate for those in the
second ward, and nil for the nurses the third ward.
Excessive Interference
The above researcher, after conducting the previous experiments, feels that the results may or
may not be valid since other external factors might have influenced the stress levels experienced
by the nurses. For example, during that particular experimental week, the nurses in one or more
wards may not have experienced high levels of stress because there were no serious illnesses or
deaths in the ward. Hence, the emotional support received might not be related to the level of
stresses experienced. The researcher might now want to make sure that such extraneous factors
as might affect the cause –and –effect relationship are controlled. so she might take three groups
of medical students ,put them in different rooms, and confront all of them with the same
stressful task. For example, she might ask them to describe in the minutest detail , the surgical
procedures in performing surgery on a patient who has not responded to chemotherapy and
keep bombarding them with more and more questions even as they respond. Although all are
exposed to the same intensive questioning, one group might get help from a doctor who
voluntary offers clarifications and help when students stumble. In the second group, a doctor
might be nearby, but might offer clarifications and help only if the group seeks it. In the third
group, there is no Doctor present and no help is available.
Critical Thinking Discussion Questions
1. What are the basic research design issues? Describe them in some detail.
2. Why is it important to consider basic design issues before conducting the study and even as early as
the time of formulating the research question?
3. Is a field study out of the question if one is trying to establish cause-and –effect relationships?
4. “An exploratory study is just as useful as a predictive study,” Discuss this statement.
5. Why is the unit of analysis an integral part of the research design?
6. Discuss the relationships among non contrived setting , the purpose of the study , type of
investigation, researcher interference ,and time horizon of study.
7. Below are three scenarios. Indicate how the researcher should proceed in each case that is ,
determine the following, giving reasons:
 The purpose of the study
 The type of investigation
 The extent of researcher interference
 The study setting
 The time horizon for the study
 The unit of analysis
Scenario A
Ms. Meron , the owner of a small business ( a women’s dress Boutique ), has invited a consultant
to tell her business is different from similar small businesses within a 60-mile radius with
respect to use of the most modern computer technology , sales volume , profit margin, and staff
training.
Scenario B
Mr. Yonas, the owner of several restaurants on the southern tip of Addis Ababa, is concerned
about the wide differences in their profit margins. He would like to try some incentive plans for
increasing the efficiency levels of those restaurants that lag behind. But before he actually does
this, he would like to be assumed that the idea would work. He ask a researcher to help him on
this issue.
Scenario C
A manager is intrigued why some people seem to derive joy from work and get energized by it,
while others find it troublesome and frustrating.
8. A foreman thinks that the low efficiency of the machine tool operators is directly linked to the high
level of fumes emitted in the workshop. He would like to prove this to his supervisor through a
research study.
 Would this be a causal or a correlational study? Why?
 Is this an exploratory, descriptive, or hypothesis –testing (analytical or predictive) study?
Why?
 What kind of a study would this be: field of study, lab experiment, or field experiment?
Why?
 What would be the unit of analysis? Why?
 Would this be a cross-sectional or a longitudinal study? Why?
9. How would you match research designs with various research objectives?
10. What types of research design answers the questions of who, what, where, when, and how?
11. What differences between and cross-sectional studies longitudinal studies?
12. In what situations would a traditional panel be more suitable that an omnibus panel?
13. Explain why studies of the “if –then” variety are considered to be “causal” studies.
Chap -6 Sampling Design &Procedures
6.1 What Is Sampling?
Sampling is the process of using a small or parts of a larger population to make conclusions
about the whole population.
Sampling is one of the components of research design. Sampling design involves several basic
questions:
 Should a sample be taken?

 If so, what process should be followed?
 What kind of sample should be taken?
 How large it should be?
 What can be done to control and adjust for non response errors?
6.2 Basic Terminologies in Sampling
1. Population (Universe): The aggregate of all elements, sharing some common set of
characteristics that comprises the universe for the purpose of marketing research
problem.
2. Target population: the specific complete group relevant to the research group.
3. Population element: an individual member of a specific population.
4. Census: a complete enumeration of the elements of a population or study objects.
5. Sample: a subgroup of the elements of the population selected for participation in the
study.
6. Sampling Frame: a representation of the elements of the target population. It consists
of a list or set of directions for identifying the target population.
7. Representative Frame: a sample that reflects the population accurately so that it is a

microcosm of the population.
8. Probability Sampling: a sampling procedure in which each element of the population
has a fixed probabilistic chance of being selected for the sample.
9. Non-Probability Sampling: sampling techniques that do not use chance selection
procedures, rather, they rely on the personal judgment of the researcher.
10. Sampling With Replacement: a sampling technique in which an element can be
included in the sample more than once.
11. Sampling Without Replacement: a sampling technique in which an element cannot be
included in the sample more than once.
12. Sampling Units: a single element or group of elements subject to selection in the
sample. (PSU)
13. Primary Sampling Unit (PSU): a unit selected in the first stage of the sampling.
14. Secondary Sampling Unit (SSU): a unit selected in the second stage of sampling.
15. Sample Size: The number of elements to be included in a study.
16. Sampling Error: the difference between a sample and the population from which it is
selected, even though a probability sample has been selected.
17. Non-Sampling Error: differences between the population and the sample that arise
either from deficiencies in the sampling approach, such as an adequate sampling frame
or non-response, or from such problems.
18. Non –Response: a source of non-sampling error that is particularly likely to happen
when individuals are being sampled. It occurs whenever some members of the sample
refuse to cooperate, can not be contacted, or for some reason can not supply the
required data, because of mental incapacity.
5.3 Probability Sampling Vs. Non-Probability Sampling
Sampling technique can be broadly classified into two broad categories: Probability and Non-
probability sampling.
1) Probability Sampling Technique

Probability sampling techniques vary in terms of sampling efficiency. Sampling efficiency is
a concept that reflects a trade-off between sampling cost and precision. Precision refers to the
level of uncertainty about the characteristics being measured. Precision is inversely related to
sampling errors but positively related to cost. The greater the precision the greater the cost
and most studies require a trade –off. The researcher should strive for the most efficient
sampling design, subject to the budget allocated.
Probability sampling techniques includes the following:
a) Simple Random Sampling(SRS)

 SRS is a probability sampling technique in which each element in the population
has a known and equal probability of selection. Every element is selected
independently of every other element and the sample is drawn by a random
procedure from a sampling frame.
 To draw a simple sample, the researcher first compiles a sampling frame in
which each element is assigned a unique identification number.
 Probability of selection = sample size
Population Size
There are different methods in simple random sampling:
 The “blind Draw “method: involves blindly choosing participants by their
names of some other unique designation.
 The table of random numbers method: a more sophisticated application of
simple random sampling is to use a table of random numbers which is a listing
of numbers whose random order is assured. If you look at a table of random
numbers, you will not be able to see any systematic sequence of numbers
regardless of where in the table you begin and whether you go up, down, left
right, or diagonally across the entries.
Advantages of SRS
 It embodies the requirements necessary to obtain a probability sample and there

for to derive unbiased estimates of the population‘s characteristics.
 It guarantees that every member of the population has a known and equal chance
of being selected in to the sample; the resulting sample, no matter what the size,
will be a valid representation of the population.
Disadvantages of SRS
 To use either the blind draw or the table of random numbers approach, it is
necessary to pre designate each population number.
 In the blind draw sample, each student’s name was written on a 3-by-5 card,
 Where as in the random numbers example, each student was a specific number.
 In essence, simple random sampling necessarily begins with a complete listing of
the population, a current and complete listings are often difficult to obtain.
 It is also cumbersome to provide unique designation s for each population
member.
 Numbering from 1 through an unknown total population size (N) is tedious and
invites administrative errors.
 Using names is unsatisfactory due to duplicates.
b) Systematic Sampling (SS): is a probabilistic sampling technique in which the sample is
chosen by selecting a random starting point and then picking every point and then picking
every ith elements in succession from the sampling frame. A SS involves selecting every nth
unit
after a random start. To use systematic sampling the researcher decides on a “skip
interval”, which is calculated by dividing the number of names on the list by sample size.
Skip interval ( I) = Population list size
Sample size
For example, there are 100,000 elements in the population and a sample of 1000 is desired. In
this case, the sampling interval, I, is 100. Random number between 1 and 100 is selected. If, for
example, this number is 23, the sample consists of elements 23,123, 233, 423, 523, and so on.
Prerequisites of Systematic Sampling
A prerequisite for applying systematic sampling is that the units in the population can be ordered
in some way:
Some examples are presented below:
 Records that are ordered in a file.

 Names that are ordered alphabetically in a telephone directory.
 Houses that are ordered along a road.
 Customers who walk one by one through an entrance, and so on.
Advantages
 It has “economic efficiency” (can be applied with less difficulty.)

 The method is simple, but probably the most important advantage is that a frame
is not always needed.
 The method can therefore be used, for instance, to interview a sample of persons
passing by a corner during a particular day.
 The units in the sample will be spread evenly over the ordered population.
(Sometimes this will increase precision.)
 It can be accomplished in a shorter time period than can simple random sampling.
 It has the potential to create a sample that is almost identical in quality to samples
created from simple random sampling.
Disadvantages
 The most important potential drawback is the danger of hidden periodicities, for
example, that a deficiency in producing a specific product occurs at specific
intervals.
 If one happens to get an unfortunate starting point the whole sample could
consist of defective products.
c) Stratified Sampling: is a probability sampling technique that uses a two-step process to

partition the population into sub populations, or strata. Elements are selected from each
stratum by random procedures. The strata should be mutually exclusive and collectively
exhaustive in that every population elements should be omitted. Next, elements are selected
from each stratum by random procedures, usually SRS. Technically, only SRS should be
employed in selecting the elements from each stratum.
In practice, sometimes systematic sampling and other probability sampling procedures are
employed. Stratified sampling differs from quota sampling in that sample elements are selected
probabilistically rather than based on convenience or judgment. A major objective of stratified
sampling is to increase precisions without increasing cost.
Stratified sampling can be further divided into two:

I) Proportionate: In proportionate stratified sampling the size of the sample drawn
from each stratum is proportionate to the relative size of that stadium in the total
population.
II) Disproportionate: in disproportionate stratified sampling , the size of the sample
from each stratum is proportionate to the relative size of the stratum and to the
standard deviation of the distribution of the characteristics of interest among all
the elements in that stratum.
The logic behind disproportionate sampling is simple.
 First, strata with relative larger sizes are more influential in
determining the population mean, an d these strata should also exert a
greater influence in delivering the sample elements. Consequently
more elements will be drawn from strata of larger relative size.
 Second, to increase precision more elements should be drawn from
strata with larger standard deviations and fewer elements should be
drawn strata with smaller standard deviations. For example, large retail
stores might be expected to have greater variation in the sales of some
products as compared to small stores. Hence, the number of large
stores in a sample may be disproportionately large.
Advantages
 Stratified random sampling can give higher precision with the same sample size,
alternatively, the same precision with a smaller sample.
 Stratified sampling can also give separate results for each stratum.
 Stratified sampling can also simplifies data collection.
Disadvantages
 A complete frame is needed.

 Depending on the allocation principle applied, additional information, such as
knowledge of standard deviations and costs, may be needed for each stratum.
d) Cluster Sampling: Is a probability sampling in which the population is divided into sub-
groups, each of which represents the entire population.
In cluster sampling,
 First, the target population is divided into mutually exclusive and
collectively exhaustive subpopulations called clusters.
 Then, a random sample of clusters is selected based on a probability
sampling technique such as simple random sampling.
 For each selected cluster, either all the elements are included in the
sample or a sample of elements is drawn probabilistically.
There are three types of cluster sampling:
 One -stage sampling
 Two -stage sampling
 Multistage sampling
A common form of cluster sampling is area sampling.
 Area sampling is a common form of cluster sampling in which the clusters consist of
geographic area such as counties, housing tracts, blocks, or other area descriptions.
 In one –stage area sampling, the researcher samples blocks and then all the
households within the selected blocks are included in the sample.
 In the case of two or multi-stage are sampling, the researcher samples blocks, and
then samples households within the selected blocks.
Advantages
 The major advantage of cluster sampling is that we do not need a complete frame of
the secondary sampling units. (We do not need a frame of the clusters, however.)
 Another important advantage in many kinds of cluster sampling such as area
sampling is the geographical concentration of the units to be interviewed.
Disadvantages
 If there is large variation between clusters in the variables to be examined the

method may yield poor precision.
e) Sequential Sampling: A probability sampling technique in which the population elements
are sampled sequentially, data collection and analysis are done at each stage, and a decision
is made as to whether additional elements should be sampled.
 Data collection and analysis are done at each stage, and decision is made as to
whether additional population elements should be sampled.
 At each stage, this rule indicates whether sampling should be continued or whether
enough information has been obtained.
 Sequential sampling has been used to determine preferences for two competing
alternatives.
 Ate In one study, respondents were asked which of the two alternatives they
preferred, and sampling was terminated when sufficient evidence was accumulated
to validate a preference.
 It has also been used to establish the price differential between a standard models
a deluxe model of a consumer durable.
f) Double Sampling: A sampling technique in which certain population elements are sampled
twice.
 In the first phase, a sample is selected and some information is collected from all
the elements in the sample.
 In the second phase, a subsample is drawn from the original sample and additional
information is obtained from the elements in the sub sample.
 The process may be extended to three or more phases, and the different phase may
take place simultaneously or at different times.
 Double sampling can be useful when no sampling frame is readily available for
selecting final sampling units but when the elements of the frame are known to
be contained within a broader sampling frame.
2) Non-Probability Sampling Techniques
 The critical difference between probability and non-probability sampling methods
is the mechanics used in the sample design.
 With non-probability sampling method, selection is not based on probability.
 In other words you can’t calculate the probability of any one person in the
population being selected into the sample.
 Still each non-probability sampling method strives to draw a representative
sample.
Non -Probability Sampling Methods
The non probability sampling methods include the following:
1) Convenience Sampling: A non-probability sampling technique that attempts to obtain a
sample of convenient elements. The selection of sampling units is left primarily to the
interviewer. Examples of convenience sampling includes:
 Use of students , church groups , and members of social organizations.
 Mall-intercept interviews without qualifying the respondents
 Department stores using charge accounts lists,
 Tear-out questionnaires included in a magazine, and
 “People on the street” interviews.
Advantages
 Convenience sampling is the least expensive and the least time consuming of
all sampling techniques.
 The sampling units are accessible, easy to measure, and cooperate.
Disadvantages
 Many potential sources of selection bias are present, including respondent self-
selection.
 Convenience samples are not representative of any definable population.
 Hence , it is not theoretically meaningful to generalize to any population from a
convenience sample, and convenience samples are not appropriate for marketing
research projects involving population inferences.
 Convenience samples are not recommended for descriptive or causal research , but
they can be used in exploratory research for generating ideas, insights, or
hypothesis
 Convenience samples can used for focus groups, pretesting questionnaires, or pilot
studies.
 Even in these cases, caution should be exercised in interpreting the results.
 Nevertheless, this technique is sometimes used even in large surveys.
2) Judgment Sampling: A form of convenience sampling in which the population elements are
purposely selected based on the judgment of the researcher. The researcher uses his or her
judgment or that of some other knowledgeable person to identify who will be in the sample.
Subjectivity enters in here, and certain members of the population will have a smaller chance
of selection than will others. The researcher exercising common examples of judgment
sampling include :judgment or expertise , chooses the elements to be included in the
sample , because he or she believes that they are representative of the population of interest
or are otherwise appropriate.
 Test markets selected to determine the potential of a new product.
 Purchase engineers selected in industrial marketing research because they
are considered to be representative of the company
 Bellwether precincts selected in voting behaviour research,
 Department stores selected to test a new merchandising display system.
3) Referral Samples/Snowball Samples: Respondents are asked for the names or identities of
other s like themselves who might qualify to take part in the survey. A non probability
sampling technique in which an initial group of respondents is selected randomly.
Subsequent respondents are selected based on the referrals or information provided by the
initial respondents. This process may be carried out in waves by obtaining referrals from
referrals. A major objective of snowball sampling is to estimate characteristics that are rare in
the population.
Examples include:
 Users of particular government or social services, such as food stamps, whose
names can’t be revealed; special census groups, such widowed males under 35;
and members of a scattered minority population.
 Snowball sampling is used in industrial buyer –seller research to identify buyer-
seller pairs.
Advantages
 It substantially increases the likelihood of locating the desired characteristics in the

population.
 It also results in relatively low sampling variance and costs.
4) Quota Samples: A non-probability sampling technique that is a two-stage restricted
judgmental sampling. The size of the quotas is determined by the researcher’s belief for the
relative size of each class of respondent.
 The first stage consists of developing control categories or quotas of population
elements.
 In the second stage, sample elements are selected based on convenience sampling.
To develop these quotas, the researcher lists relevant control characteristics which
may include sex, age and race, are identified on the basis of judgment. A field
worker is provided with screening criteria that will classify the potential respondent
into a particular quota cell.
 For example, a large bank, might stipulate that the final sample be one-half adult
males and one-half adult females because in their understanding of their market, the
customer profile is about 50-50, male and female.
 Often the quotas are assigned so that the proportion of the sample elements
possessing the control characteristics is the same as the proportion of population
elements with these characteristics is the same as the proportion of population
elements with these characteristics.
In other words, the quotas ensure that the composition of the sample is the same as the
composition of the population with respect to the characteristics of interest. In the
second – stage, sample elements are selected based on convenience or judgment. Once
the quotas have been assigned, there is considerable freedom in selecting the elements to
be included in the sample. The only requirement is that the elements selected fit the
control characteristics. In certain situations, it is desirable either to under –or oversample
heavy users of a product so that their behaviour can be examined in detail. Although this
type of sample is not representative, it may nevertheless be very relevant.
Advantages
 QS Attempts to obtain representative samples at a relatively low cost.

 A quota system overcomes much of the non-representative ness danger inherent in
convenience samples.
 It may guarantee that the researcher has sufficient sub-sample sizes for meaningful
subgroup analysis.
 Under certain conditions, quota sampling obtain results close to those for
conventional probably sampling.
Strengths and Weaknesses of Basic Sampling Techniques
S/N Technique Strengths Weaknesses

I. Probability Sampling
1 Simple random sampling (SRS) Easily understood, Difficult to construct
result projectable sampling frame ,
expensive , lower
precision, no
assurance of
representativeness
2 Systematic sampling Can increase Can decrease
representativeness , representativeness
easier to implement
than SRS, sampling
frame not necessary
3 Stratified sampling Includes all important Difficult to select
subpopulations, relevant stratification
precision variables , not feasible
to stratify on many
variables , expensive
4 Cluster sampling Easy to implement Imprecise, difficult to
cost effective compute and interpret
results.
II. Non- probability sampling
1 Convenience sampling Least expensive , least Selection bias ,
time consuming, most sample not
convenient representative , not
recommended for
descriptive or causal
research
2 Judgment sampling Low cost, convenient, Does not allow
not time consuming generalization ,
subjective
3 Quota sampling Sample can be Selection bias , no
controlled for certain assurance of
characteristics representativeness
4 Snow ball sampling Can estimate rare Time consuming
characteristics.
Choosing Probability versus Non - Probability sampling
S/N Factors Conditions Favoring The Use of

Probability Sampling Non-Probability
Sampling
1 Nature of research Conclusive Exploratory
2 Relative magnitude of Sampling errors are larger Non-sampling errors
sampling and non sampling are larger
errors
3 Versatility in the population Heterogeneous (high) Homogeneous (low)
4 Statistical considerations Favorable Unfavorable
5 Operational considerations Unfavorable Favorable
6.4 Procedures for Drawing Probability Sampling
I) Simple Random Sampling

1) Select a suitable sampling frame
2) Assign each element a number 1 to N (population size)
3) Generate n (sample size) different random numbers between 1 and N. This can be
done using a microcomputer or mainframe software package or using a table of simple
random numbers. Arbitrarily select a beginning numbers. Select the appropriate
number of digits (For Example: if N=900, select three digits).Then proceed either up
or down until n different numbers between 1 and N have been selected. Note: discard
0, duplicate numbers, and numbers greater than N.
4) The numbers generated denote the elements that should be included in the sample.
II) Systematic Sampling
 Select a suitable sampling frame.
 Assign each element a number 1 to N( population size)
 Determine the sampling interval, I, i= N/n, if I is a fraction, round to the nearest
integer.
 Select a random number, r, between 1 and I, as explained in simple random
sampling.
 The elements with the following numbers will comprise the systematic random
sample: r, r+1, r+2i, r+3i, +4i...r+ (n-1)i.
III) Stratified Sampling
 Select a suitable sampling frame.
 Select the stratification variable (s) and the number of strata (H).
 Divide the entire population into H strata. Based on the classification variable,
assign each element of the population to one of the H strata.
 In each stratum, the number the elements from 1 to Nh (the population size of
stratum h ).
 Determine the sample size of each stratum, nh, based on proportionate or
o Disproportionate ………………..
 In each stratum, select a sample random sample of size nh.

IV) Cluster Sampling
We describe the procedure for selecting a simple two-stage sample, because this represents the
simpler case.
 Assign a number, from 1 to N, to each element in the population.

 Divide the population into C clusters, of which c will be included in the sample.
 Calculate the sampling interval, I, i= N/c. If it is a fraction, round to the nearest
integer.
 Select a random number, r, between 1 and I, as explained in simple random
sampling.
 Identify elements with the following numbers: r, r+1, r+2i, r+3i, ….., r+(c-1) i.
 Select the cluster that contains the identified elements.
 Select sampling units within each selected cluster based on SRS or systematic
sampling. The number of sampling units selected from each sample cluster is
approximately that same and equal to n/c.
 If the proportion of a cluster exceeds the sampling interval, I, that cluster is
selected with certainty. That cluster is removed from further consideration.
Calculate the new population size, N*, number of clusters to be selected, C* (=c-
1), and the new sampling interval, i*. Repeat this process until each of the
remaining clusters has a population less than the relevant sampling interval. If b
clusters have been selected with certainty, select the remaining c-b clusters
according to steps 1 through 7 . The fraction of units to be sampled from each
cluster selected with certainty is the overall sampling fraction =n/N. Thus, for
clusters selected with certainty we would select ns =n/N (N1 +N2 + . . . + Nb) units.
The units selected from clusters selected under two-stage sampling will therefore
be n*= n-ns
Developing a Sample Plan
The various aspects of sampling are logically joined together and has a definite sequence or steps
presented as follows:
Step 1: Define the relevant population.
Step 2: Obtain the “listing of the population.
Step 3: Design the sample plan (size, method).
Step 4: Access the population
Step 5: Draw the sample.
Step 6: Validate The Sample.
Step 7: Resample, If Necessary.
Method of Determining the Sample Size
The following methods include the following:
1) Arbitrary Approach:
 Uses a “rule of thumb “to determine the sample size.
 The researcher may determine, for instance, the sample size should be 5% of
the population.
 Arbitrary sample size are simple and easy to apply, but they neither efficient
not economical.
2) Conventional Approach:
 It follows some “convention”, number believed somehow to be the right
sample size.
 The convention might be an average of the sample sizes of similar studies,
 it might be the largest sample size of previous surveys, or
 it might be equal to the sample size of a competitor’s survey.
 For instance, the researcher may take the conventional sample size of between
1000 and 1200 as determined by the industry.
 Use of a conventional sample size can result in a sample that may be too small
or too large.
3) Cost Analysis
 It uses cost as a basis for sample size.
 In this case instead of the value of the information to be gained –from survey
being a primary consideration in the sample size, the sample size is
determined by cost factors that ignore the value.
4) Statistical Approach:
 Some advanced statistical techniques require certain minimum sample size in
order to be reliable, or to safeguard the validity of the statistical results.
 Statistical analysis is used to analyze subgroups within a sample.
5) Confidence Internal Approach
To create a valid sample, the confidence interval approach applies the concepts of:
 Variability
 Confidence interval
 Sampling distribution , and
 A standard error of a mean.
Variability: is the amount of dissimilarity in respondent’s answers to a particular question.
Confidence interval: is a large whose end points define a certain percentage of the responses is
a question:
Standard Error: it indicates how far away from the true population value a typical sample result
is expected to fall:
There are two ways to compute a standard error:
 The standard error of the mean

 The slandered error of a percentage
Assume that is a driving survey a standard deviation of 3000 miles was found with a sample of
1000 drivers. Find the standard deviation error.
SX= 3000 = 300
This shows that the sample value is expected to fall 300 miles away from the true population
value.
Summary
Sampling design decisions are important aspects of research design and include both the
sampling plan to be used and the sample size that will be needed. Probability sampling plans
lend themselves to Generalizablity and non-probability sampling designs, though not geralizable,
and offer convenience and timely information. Some probability plans are more efficient than
other. Though non-probability sampling plans have limitations in terms of Generalizablity, they
are often the only designs available for certain types of investigation, as in the case of
exploratory research, or where information is needed quickly, or is available with only certain
special groups.
The sample size is determined by the level of precision and confidence desired in estimating the
population parameters, as well as the variability in the population itself. Cost considerations
could also play a part. The Generalizablity of the findings from a study of the sample to the
population is dependent on its representativeness-that is, the sophistication of the sampling
design used, and the sample size. Sample data are used for both estimating population parameters
and hypothesis testing.
Sample Data Hypothesis Testing
So far we have discussed sample data as a means of estimating the population parameters, but
sample data can also be used to test hypotheses about population values rather than simply to
estimate population values. The procedure for this testing incorporates the same information as
interval estimation, but the goals behind the two methods are somewhat different.
Referring to the earlier example of the average dollar value purchases of customers in a
department store, instead of tying to estimate the average purchase value of the store’s customers
with a certain degree of accuracy, let us say that we now wish to determine whether or not
customers expend the same average amount in purchases at Department Store A as in department
Store B. from Chapter 5, we know that we would first set the null hypothesis, which would state
that there would be no difference in the dollar values expended by customers hopping at the two
different stores. This would be expressed as:
Ho: µA-µB=0
The alternate hypothesis of differences would be stated non directionally (since we have no idea
whether customers buy more at Store A or Store B) as:
HA: µA-µB≠0
If we take a sample of 20 customers from each of the two stores and find that the mean dollar
value purchases of customers in store A is 105 with a standard
Figure 11.4
Illustration of the Trade-off between Precision and Confidence. (a) More Precision but Less
Confidence. (b) More Confidence but Less Precision.
.50 .99
.005 .005
.25 .25
_ x (a)
(b)
Deviation of 10, and the corresponding figures for Store B are 100 and 15, respectively, we see
that:
XA-XB= 105-100=5
Whereas our null hypothesis had postulated no difference (difference=0). Should we then
conclude that our alternate hypothesis is to be accepted? We can not say! To determine this we
must first find the probability or likelihood of the two group means having a difference of 5 in
the context of the null hypothesis of a difference of 0. This can be done by converting the
difference in the sample means to a t statistic and seeing what the probability is of finding a t of
that value. The t distribution has known probabilities attached to it [see Table II (t-table) in the
Appendix at the end of the book.]. Looking at the t distribution table, we find that with two
samples of 20 each ([the degrees pf freedom become (m1 +n2)-s=38] for the t value to be
significant at the .05 level, the critical value should be around 2.021 (see t table column 6 against
u 40). We need to use the 2-tailde test since we do not know whether the difference between
Store A and Store B will be positive or negative. For even a 90% probability, it should be at
least 1.684 (see the number to the left of 2.021). The t statistic can be calculated for testing our
hypothesis as follows:
T= (_x1 – x2) – (µ1 – µ2)
Sx1 – sx2
2
Sx1 – sx2 = √n1s1 + n2s22 (1/n1 +/n2)
(n1+n2-2)
2
= √ (20*10 ) + (20/152) (1/20+1/20)
20+20-2
t= (XA – XB)-(µA- µB)
4.136
We already know that
XA-XB=5 (the difference in the means of the two stores) and
µA-µB=0 (from our null hypothesis)
Then, t=5-0=1.209
4.136
This t value of 1.209 is much below the value of 2.021 [for 40 degrees of freedom for a two
population t-test, the closest to the actual 38 df ((20+20)-21) required for the conventional 95%
probability, and even for the 90% probability, which requires a value of 1.684. We can thus say
that the difference of 5 that we found between the two stores is not significantly different from 0.
The conclusion, then, is that there is no significant difference between how much customers buy
(dollars expended) at Department Store A and Department Store B. We will thus accept the null
hypothesis and reject the alternative.
Sample data can thus be used not only for estimating the population parameters, but also for
testing hypotheses about population value, population correlations, and so forth, as we will see
more fully.
DETERMINING THE SAMPLE SIZE
Now that we are aware of the fact that the sample size is governed by the extent of precision and
confidence desired, how do we determine the sample size required for our research? The
procedure can be illustrated through as example. Suppose a manager wants to be 95% confident
that the expected monthly withdrawals in a bank will be within a confidence interval of +$500.
let us say that a study of a sample of clients indicates that the average withdrawals made by them
have a standard deviation of $3,500. What would be the sample size needed in this case?
We noted earlier the population mean can be estimated by using the formula:
µ=X±Kx
Since the confidence level needed here is 95%, the applicable K value is 1.96 (t-table). The
interval estimate of ± $500 will have to encompass a dispersion of (1.96*standard error). That
is,
500=1.96xSx
Sx=500/1.96=255.10
We already know that
sx= s
√n
255.10= 3500
√n
n=188
The sample size needed in the above was 188. Let us say that this bank has a total clientele of
only185. This means we cannot sample 188 clients. We can in this case apply the correction
formula and see what sample size would be needed to have the same level of precision and
confidence given the fact that we have a total of only 185 clients. The correction formula is as
follows:
Sample Size Decision Model
Krejcie and Morgan (1970) greatly simplified size decision by providing a table
that ensures a good decision model. The interested researcher is advised to read
Krejcie and Morgan (1970) as well as Cohen (1969) for decisions on sample
size. The table below provides that generalized scientific guideline for sample size
decisions.
Table 6.3 Sample Size for a Given Population Size
N S N S N S
10 10 220 140 1200 291
15 14 230 144 1300 297
20 19 240 148 1400 302
25 24 254 152 1500 306
30 28 260 155 1600 310
35 32 270 159 1700 313
40 36 280 162 1800 317
45 40 290 165 1900 320
50 44 300 169 2000 322
55 48 320 175 2200 327
60 52 340 181 2400 331
65 56 360 186 2600 335
70 59 380 191 2800 338
75 63 400 196 3000 341
80 66 420 201 3500 346
85 70 440 205 4000 351
90 73 460 210 4500 354
95 76 480 214 5000 357
100 80 500 217 6000 361
110 86 550 226 7000 364
120 92 600 234 8000 367
130 97 650 242 9000 368
140 103 700 248 10000 370
150 1108 750 254 15000 375
160 113 800 260 2000 377
170 118 850 265 30000 379
180 123 900 269 40000 380
190 127 950 274 50000 381
200 132 100 278 75000 382
210 136 110 285 100000 384
Importance of Sampling Design and Sample Size
It is now possible to see how both sampling design and the sample size are important to establish
the representativeness of the sample for generalize ability. If the appropriate sampling design is
not used, a large sample size will not, in itself, allow the findings to be generalized to the
population. Likewise, unless the sample size is adequate for the desired level of precision and
confidence, no sampling design, however sophisticated, can be useful to the researcher in
meeting the objectives of the study. Hence, sampling decisions should consider both the
sampling design and the sample size. Too large a sample size, however (say, over 500) could
also become a problem inasmuch as we would be prone to committing Type II errors. That is,
we would accept the findings of our research, when in fact we should reject them. In other
words, with too large a sample size, even weak relationships (say a correlation of .10 between
two variables) might reach significance levels, and we would be inclined to believe that these
significant relationships found in the sample are indeed true of the population, when in reality
they may not be. Thus, neither too large nor too small sample sizes help research projects.
Another point to consider, even with the appropriate sample size, is whether statistical
significance is more relevant than practical significance. For instance, a correlation of .25 may
be statistically significant, but since this explains only about 6% of the variance (.252), how
meaningful is it in terms of practical utility?
Roscoe (1975) proposes the following rules of thumb for determining sample size:
1. Sample sizes larger than 30 and less than 500 are appropriate for most research.
2. Where samples are to be broken into sub samples; (male/females, junior/seniors, etc), a
minimum sample size of 30 for each category is necessary.
3. In multivariate research (including multiple regression analyses), the sample size should
be several times (preferably 10 times or more) as large as the number of variables in the
study.
4. For simple experimental research with tight experimental controls (matched pars, etc),
successful research is possible with samples as small as 10 to 20 in size.
Critical Discussion Questions
1. Identify the relevant population for the following research foci, and suggest the appropriate
sampling design to investigate the issues, explaining why they are appropriate. Wherever
necessary, identify the population frame as well.
 A gain manufacturing firm would like to know the types of guns possessed by
various age groups in Washington DC
 A hospital administrator wants to find out if the single parents working in the
hospital have a higher rate of absenteeism than parents who are not single.
 A researcher would like to assess the extent of pilferage in the materials storage
warehouse of manufacturing firms on the east coast.
 The director of human resources wants to investigate the relationship between drug
abuses and dysfunctional behaviour of blue-collar workers in a particular plant.
2. Explain why cluster sampling is a probability sampling?
3. What are the advantages and disadvantages of cluster sampling?
4. Describe a situation where you would consider the use of cluster sampling.
5. Explain what precision and confidence are and how they influence sample size.
6. Discuss what is meant by the statement: there is a trade-off between precision and
confidence under certain conditions.
7. The use of a convenience sample used in organizational research is correct because all
members share the same organizational stimuli and go through almost the same kinds of
experience in their organizational life. Comment.
8. Use of a sample of 5,000 is not necessarily better than one of 500. How would you react to
this statement?
9. Non probability sampling designs ought to be preferred to probability sampling designs in
some cases. Explain with an example.
10. Because there seems to be a tradeoff between accuracy and confidence for any given
sample size, accuracy should be always considered more important than precision. Explain
with reasons why you would or would not agree?
11. For situation presented below, indicate what would be the relevant population and the most
appropriate sampling design. Make sure that you discuss the reasons for your answers.
a. A medical inspector desires to estimate the overall average monthly occupancy rates of
the cancer wards in 80 different hospitals that re evenly located in the northwestern ,
southwestern, central, and southern suburbs of New York city.
b. The director of university women’s Professional advancement (UWPA), appointed by the

president of southern Illinois university at Carbondale to enhance the status of women on
campus some 2 years ago, was listening to a speech made by the president of the women’s
caucus. It suddenly occurred to the director that it would be a great idea to get the option of
members of this vocal group on how effective they perceived UWPA to be in enhancing the
status of women on campus. She thought she could ask a few quick questions as the audience
left the meeting room. What should the sampling design be to assess the tastes of this group?
c. A magazine article suggested that “ consumers 35 to 44 will soon be the nation’s biggest
spenders , so advertisers must learn how to appeal to this over-the –thrill l crowed.” If this
suggestion appeals to an appeals to apparel manufacturer, what should be the sampling design
be to assess the tastes of this group?
d. A consultant had administered a questionnaire to some 285 employees using a simple random
sampling procedure. As she locked at the responses, she suspected that two questions might
not have been clear to the respondents. She would like to know if her suspicion is well-
founded.
12. The Macarthur Co. produces special vacuum cleaners for concurrently cleaning the inside of cars.
About a thousand of these are produced every month with stamped serial number and stored serially
in a stockroom. Once a month an inspector does a quality control check on 50 of these. When he
certifies them as to quality, the units are selected from the stockroom for sale. The production and
sales managers, however, are not satisfied with the quality control check since, quite often, many of
the units sold are returned by customers because of various types of defects. What would be the
most useful sampling plan to test the 50 units?
Chap - 7 Qualitative Research Methods
Objective
After completing this chapter, the student will be able to:
 Define Qualitative Research
 Examine The Rational Behind Undertaking Qualitatitive Research
 Classify Qualitative Research
7.1 Sources of Data
There are two data sources: secondary sources and primary sources.
a) Secondary Sources
Secondary data are useful not only to find information to solve our research problem, but also to
better understand and explain our research problem. In most research we need to begin with a
literature review: either study on and around our topic of research. They include books, journal
articles, and online data sources such as WebPages of firms, governments, semi-government
organizations and catalogues. The first step is to locate these sources and then to evaluate the
usefulness of the contents of each. Some research questions can be answered only through
secondary data sources, where no further data collection is needed.
Secondary data can help researchers in the following manner:
 Answering research questions or solving some or all of the research problems;

 Helping in problem formulation and /or devising more concrete and focused research
questions;
 Deciding about the appropriateness of a certain research method or even suggesting
better research methods for a particular problem;
 Providing benchmarking measures and other findings that can be compared later on
with the results of the study at hand.
The following secondary sources can be important for our research:
 Internet sites and web pages of different companies and organizations –

www.info.com/companies.
 Central and local government studies and reports , state budgets , rules on international
trade regarding imports and exports, and policies on foreign direct investment, chamber
of commerce, national trade development bureaus and export promotion organizations.
 Studies and reports of institutions and departments such as universities ,
telecommunications departments , marketing and other research institutes , chambers
of commerce and foreign missions such as embassies , trade centers and consulates.
 Census reports on demographics, income levels and consumption patterns.
 Academics as well as professional journals and newsletters relevant to the problem area.
 In many countries, different branch organizations publish journals on statistics regarding
their own industry, market share, revenues and imports and exports. For example, local
chambers of commerce, small business associations and association of retailers.
 Historical studies regarding the development of a particular discipline or problem area.
For example there are a number of “handbooks” available on different topics, such as a
handbook textbooks and other published on international business or a handbook on
qualitative research methods.
 Textbooks and other published materials directly or indirectly related to the problem area.
 Commercial research companies selling data, such as: AC Nielson (www.acnielson.com)
and synovate (www.synovate.com).
 International trade websites, United Nations, international trade statistics and the world
bank (www. Worldbank.org).
 And last but not least, thesis’s & reports written by other students in our own university
and in other schools and universities. Many schools keep an up-to-date record of all the
theses written in different disciplines. This is perhaps the most important secondary
source at the earlier stages of our research process. They provide us with insight not
only into our problem area, but also into the data sources mentioned above.
Advantages of Secondary Data
There are different advantages of secondary data that the researcher can obtain:
 It saves an enormous amount of time and money. The researcher needs only go to the
library and locate and utilize the sources. This not only helps the researcher to better
formulate and understand the research problem, but also broadens the base from which
scientific conclusions can be drawn. In other words, the verification process is more rapid
and the reliability of the information and conclusions greatly enhanced.
 In case you need to do a longitudinal study, secondary sources provide excellent
historical data.
 The secondary data can also be helpful in segmentation and sampling of your target
group.
 Secondary sources facilitate cross-cultural /international research, as it is easier to
compare similar data from two or more countries. A number of international surveys, for
example the World Bank and Euromonitor, provide comparable cross-country data that
can be used as a sole data source or in combination with some primary data collection.
 They can suggest suitable methods or data to handle a particular research problem.
Moreover, they provide a comparison instrument with which we can easily interpret and
understand our primary data. Quite often some research questions can best be answered
by combining information from secondary and primary data. In most research questions it
is necessary to consult some secondary data sources as this saves time and facilitates
better handling of our research questions.
Guide lines to get started with a search for a secondary data
 Identify what you wish to know and what you already know about your topic
 Develop a list of key terms and names
 Search several of the general guides and directories for papers and or reports
 Compile the literature you have found .rework your list of key words and authors if
necessary
 Check if you have the information you wished to get.
 Consult the various directory guides.
 Identify authorities in the area and consult them.
Disadvantages of Secondary Data
There are some serious drawbacks in working with secondary data.
 The data are collected for another study with different objectives and they may not
completely fit “our” problem. it is therefore of the utmost importance to identify what we
are studying , what we already know about the topic ,and what we want to have as further
information on it. For example, when studying the export behaviour of smaller firms, we
could use a number of studies undertaken in different countries and could compare the
results with our findings. After a closer look, however, we might realize that “smaller
firms” were defined differently. To determine the size (small, medium or large), different
measurement units were used. Some studies defined size in terms of sales, some in terms
of number of employees, some in terms of profit and some in terms of square meters of
occupied space, as in the case of retailing firms.
 Even if two studies use the same measurement units, the terms of definition were
often different. For example, in a study in Norway, firms with 200-499 employees were
defined as medium sized, while in USA firms with fewer than 500 employees were
defined as smaller firms.
 Using secondary data from commercial sources may be quite expensive. In this case you
have to compare the cost of collecting primary data as compared with the price of
purchasing the secondary data.
 It is the responsibility of the researcher to check the whether findings presented by
another researcher are based on primary or secondary data.
Types of Secondary Data
Several types of secondary data are available, form government reports to company’s annual
reports that are always more upbeat than the reality. In business research, while doing work for a
company, a lot of information is available from internal sources, including information on
customers, suppliers, employees, marketing plans and efforts and, sometimes, even on the
competitors. The researcher cannot accept this information at its face value, although it is free
and readily available.
External sources include published books and journal articles, academic as well as professional
and popular.
b) Primary Data
There are several ways of collecting primary data, particularly in surveys. The most important
methods include:
 observation method ,
 interview method
 through questionnaires ,
 through schedules (population census, for example)
 other methods which include :
 Warranty Cards,
 Distribute Audits/Store Audits
 Pantry Audits,
 Consumer Panels(transitory or continuing consumer panel)
 Using Mechanical Devices(Eye camera, Pupilometric camera, psycho galvanometer),
 Projective Techniques/ Indirect interviewing method) which includes
 word association test ,
 sentence completion test ,
 Story completion test,
 Verbal projection test,
 Pictorial techniques
 Thematic apperception test(T.A.T)
 Rozenzewig test
 Holtsman inkblot Test (HIT)
 Tomkins-picture arrangement test
 Play technique
 Quizzes tests and examinations
 Sociometric
 Depth Interviews, And
 Content Analysis
Selection of Appropriate Method of Data Collection
There are various methods of data collection. As such the researcher must judiciously select the
methods/ methods for his own study, keeping in view of the following factors:
1. Nature ,Scope And Object Of Enquiry :
 This constitutes the most important factor affecting the choice of a particular method
.The method selected should be such that it suits the type of inquiry that is to be
conducted by the researcher.
 This factor is also important in deciding whether the data already available –
secondary data are to be used or the data not yet available –primary data are to be
collected.
2. Availability of Funds
 Availability of funds for the research project determines to a large extent the method
to be used for the collection of the data.
 When funds at the disposal of the researcher are very limited, he will have to select a
comparatively cheaper method which may not be as efficient and effective as some
other costly methods.
 Finance, in fact, is a big constraint in practice and the researcher has to act within this
limitation.
3. Time Factor
 Availability of time has also been taken into account in deciding a particular method
of data collection. Some methods take relatively more time, whereas with others the
data can be collected in a comparatively shorter duration.
 The time at the disposal of the researcher, thus, affect the selection of the method by
which the data are to be collected.
4. Precision Required
 Precision required is yet another important factor to be considered at the time of

selecting the method of collection of data.
Definition of Qualitative Research
Qualitative research: an unstructured exploratory research methodology based on small samples

that provides insights and understanding of the problem setting.
Qualitative techniques include the class of the observation methods techniques in which the
researcher relies on his or her powers of observation rather communicating with a respondent
in order to obtain information.
Rational For Qualitative Research
There are several reasons to use qualitative research.
 It is not always possible, or desirable to use fully structured or formal methods to

obtain information from respondents.
 People may be unwilling or unable to answer certain questions.
 People are unwilling to give truthful answers to questions that
invade their privacy , embarrass them, or have a negative impact
on their ego or status.
 Examples of such sensitive questions include:
 “Have you recently purchased sanitary napkins?
 Drugs for nervous tensions?
 Pills for anxiety?
 People may be unable to provide accurate answers to questions that tap their
subconscious.
 The values, emotional drives, and motivations residing at the
subconscious level are disguised from the outer world by
rationalizations and other ego defense.
 For example, a person may have purchased an expensive sports car
to overcome feelings of inferiority.
 However, if asked, “Why did you purchase this sports car?” he may
say, “ I got a great deal,”
 “ My old car was falling apart,” or
 “I need to impress my customers and clients.”
 In such cases, the desired information can be best obtained through
Major Classification of Qualitative Research
Qualitative research procedure is classified into either direct or indirect techniques based on
whether the true purpose of the research is known to the respondents.
1) Direct Approach (Non -Disguised)
 A Direct Approach is not disguised. The purpose of the research is disclosed to the
respondents or is otherwise obvious to them from the questions asked.
 One type of qualitative research in which the purpose of the project are disclosed to the
respondents or are obvious , given the nature of the interview. The direct approach
includes focus groups and depth interviews.
a) A Focus Group: Defined as an interview conducted by a trained moderator in a non
structured and natural manner with a small group of respondents. The main purpose of focus
groups is to gain insights by listening to a group of people from the appropriate target market
talk about issues of interest to the researcher. The value of the technique lies in the
unexpected findings often obtained from a free-flowing group discussion. They are so
popular that many marketing research practioners consider this technique synonymous with
The key characteristics of a focus group may be described by acronym FOCUS GROUP.
 F ocused (on a particular topic).

 O outline prepared for discussion.
 C haracteristics of the moderator.
 U nstructured.
 S ize 8-12.
 G roup composition: homogeneous.
 R ecorded audiocassettes and videotapes.
 O bservation: one way mirror.
 U ndisguised.
 P hysical setting: relaxed.
 S everal sessions needed: 1-3 hours each.
Major Characteristics of Focus Groups
S/N Characteristics Description

1 Group size 8 to 12
2 Group composition Homogeneous, respondents prescreened
3 Physical setting Relaxed , informal atmosphere
4 Time duration 1 to 3 hours
5 Recording Use Of Audiocassettes And Videotapes’
6 Moderator Observational, Interpersonal And Communication Skills of
the Moderator.
Key Qualifications of Focus Groups Moderators
1. Kindness with firmness: The moderator must combine a disciplined detachment

with understanding empathy in order to generate the necessary interaction.
2. Permissiveness: The moderator must be permissive yet alert to signs that the
groups cordially or purpose is disintegrating.
3. Involvement: The moderator must encourage and stimulate intense personal
involvement.
4. Incomplete understanding: The moderator must encourage respondents to be more
specific about generalized comments by exhibiting incomplete understanding.
5. Encouragement: The moderator must encourage unresponsive members to
participate.
6. Flexibility: The moderator must be able to improve and alter the planned outline
amid the distractions of the group process.
7. Sensitivity: The moderator must be sensitive enough to guide the group discussion
at an intellectual as well as emotional level.
Procedures for Planning and Conducting Focus Groups
 Determine the objectives of the marketing research project & define the problem.
 Specify the objectives of qualitative.
 State the objectives /questions to be answered by focus groups.
 Write a screening questionnaire.
 Develop a moderator’s out line.
 Conduct the focus group interview.
 Review tapes & analyze the data.
 Summarize the findings and plan follow-up research and action.
Other Variations in Focus Groups
Other variations include the following:
1. Two-Way Focus Groups: This allows one target group to listen to and from a related
group. In one application, physicians viewed a focus group of arthritis patients
discussing the treatment they desired. A focus group of the physicians was then held to
determine their reactions.
2. Dual –Moderator Group: This is a focus group interview conducted by two moderators.
One moderator is responsible for the smooth flow of the session, and the other ensures
that specific issues are discussed.
3. Dueling Moderator group: There are two moderators, but they deliberately take
opposite positions on how the issues to be discussed. This allows the researcher to
explore both sides of the controversial issues.
4. Respondent Moderator Groups: In this type of focus groups, the moderator asks several
participants to play the role of moderator temporarily to improve group dynamics.
5. Client –Participant Groups: Client –personnel are identified and made part of the
discussion group. Their primary role is to offer clarifications that will make the group
process more effective.
6. Mini Groups: These groups consist of a moderator and only 4 or 5 respondents. They
are used when the issues of interest require more expensive probing than is possible in
a standard group of 8 to 12.
7. Telesession Groups: Focus group sessions by phone using the conference call
techniques.
Advantages & Disadvantage of Focus Groups
Advantages
Focus groups offer several advantages over other data collection processes.
1. Synergism: putting a group of people together will produce a wider range of information,
insight and ideas than will individual responses secured privately.
2. Snowballing: a bandwagon effect often operates in a group interview, in that one
person’s comment triggers a chain reaction from the other participants.
3. Stimulation: usually after a brief introductory period, the respondents want to express
their ideas and expos e their feelings as the general level of excitement over the topic
increase in the group.
4. Security: because the participant’s feelings are similar to those of other group members,
they feel comfortable and are therefore willing to express their ideas and feelings.
5. Spontaneity: since participants are not required to answer specific questions, their
responses can be spontaneous and unconventional and should therefore provide an
accurate idea of their views.
6. Serendipity: Ideas are most likely to arise out of the blue in a group than in an individual
interview.
7. Specialization: because a number of participants are involved simultaneously, use of a
highly trained, but expensive, interviewer is justified.
8. Scientific scrutiny: The group interview allows close scrutiny of the data collection
process, in that observers can witness the session and it can be recorded for later analysis.
9. Structure: The group interview allows for flexibility in the topics covered and the depth
with which they are treated.
10. Speed: since a number of individuals are being interviewed at the same time, data
collection and analysis proceed relatively quickly.
Disadvantages
1. Misuse: Focus groups can be misused and abused by considering the results as
conclusive rather than exploratory.
2. Misjudge: focus group results can be more easily misjudged than the results of
other data –collection techniques. Focus Groups are particularly susceptible to
client and researcher bias.
3. Moderation: Focus groups are difficult to moderate. Moderators with all the
desirable skills are rare. The quality of the results depends heavily on the skills of
the moderator.
4. Messy: the unstructured nature of the responses makes coding, analysis, and
interpretation difficult. Focus groups data tend to be messy.
5. Misrepresentation: Focus group results are not representative of the general
population and are not projectable. Consequently, focus groups results should not
be the sole basis for decision making.
Application of Focus Groups
Focus groups can be used to address substantive issues such as:
 Understanding consumer’s perceptions, preferences, and behaviour concerning a

product category.
 Obtaining impressions of new product concepts.
 Gathering new ideas about older products.
 Developing creative concepts and copy material for advertisement.
 Securing price impressions.
 Obtaining preliminary consumer reaction to specific marketing programs.
The methodological applications of focus groups include:
 Defining a problem more precisely.

 Generating alternative courses of action.
 Developing an approach to a problem.
 Obtaining information helpful in structuring consumer questionnaires.
 Generating hypothesis that can be tested quantitatively.
 Interpreting previously obtained quantitative results.
On Line Focus Group interviews
As in the case of traditional focus groups, online focus group participation is by invitation only.
The respondents are pre recruited, generally from an online list of people who have expressed an
interest in participating. A screening questionnaire is administered online to qualify the
respondents.Thos e who qualify are invited to participate in a focus group, they receive a time, a
URL, a room name, and a password via e-mail. Before the focus group begins, participants
receive information about the focus group that covers such things as how to express emotions
when typing.
Electronic emotion indicators are produced using keyboards characters and are standard in their
use on the internet.
 For example : -) and :( are examples of smiling and sad faces.
 There are a wide range emotions to choose from, such as “ I am frowning, I am
laughing to myself, I am embarrassed , I am mad now. I am responding
passionately now. This is then followed by the response.
When it is time for the group they move into a web-based chat – room.
 They go to the focus group location(URL) and click on the “ Enter Focus Room
Item”
 To enter they must supply the room name, user name and pass word that was e-
mailed to them earlier.
 In the chat room the moderator and the participants type to each other in real time.
 The general practice is for the moderator to always pose their questions in all
capital letters and the respondents are asked to use upper and lower cases.
Advantages of On Line Focus Groups
 People from all over the country or even the world can participate, and the client
can observe the group from the convenience of the home or office.
 Geographical constraints are removed and time constraints are lessened.
 Unlike the traditional focus groups , you have the unique opportunity to contact
group participants again at a later date , to revisit issues or introduce them to
modifications in material presented in the original focus group
 The internet enables the researchers to reach segments that are usually hard to
survey: doctors, lawyers, professionals,, working mothers, and others who lead
busy lives and are not interested in taking part in traditional focus groups.
Disadvantages of Online Focus Groups
 Only people that have and know how to use a computer can be surveyed online.
 Since the name of an individual is often private, actually verifying that a
respondent is a member of a target group is difficult.
 The lack of general control over the respondent’s environment and their
potential exposure to distracting external stimuli.
 Since online focus groups could potentially have respondents scattered all over
the world, the researchers and moderator(s) have no idea what else the
respondents may be doing while participating in the group.
On Line versus Traditional Focus Groups
S/N Characteristics Online Focus Traditional, Focus Groups

Groups
1 Group size 4-6 8-12
2 Group composition Anywhere in the Drawn from the local are.
world
3 Time duration 1-1.5 hours 1-3 hours.
4 Physical setting Researcher has Under the control of the
little control researcher.
5 Respondent identity Difficult to verify Can be easily verified.
6 Respondent attentiveness Respondents can Attentiveness can be
engage in other monitored.
tasks
7 Respondent recruiting Easier, can be Recruited by traditional
recruited online, by means (telephone, mail, mail
e-mail, panel or by panel)
traditional means.
8 Group dynamics Limited Synergistic , snowballing (
bandwagon) effect
9 Openness of the respondents Respondents are Respondents are candid,
more candid due to except for sensitive topics.
lack –of-face-to-
face contact.
10 Nonverbal communication Body language Body language and emotions
cannot be observed, observed.
emotions expressed
by using symbols.
11 Use of physical stimuli Limited to those A variety of stimuli (products,
that can be advertising, demonstrations,
displayed on the etc.) Can be used.
internet.
12 Transcripts Available Time consuming and
immediately. expensive to obtain.
13 Observer’s communication with Observer can Observers can manually send
moderator communicate with notes to the focus group room.
the moderator on a
split screen.
14 Unique moderator skills Typing, computer Observational
usage, familiarity
with chat room
slang.
15 Turnaround time Can be set up and Takes many days for setup
completed in a few and completion
days.
16 Client travel costs None. Can be expensive.
17 Basic focus group costs Much less More expensive due to facility
expensive. rental, food, video/audio
taping, and transcript
preparation.
b) Depth Interview
Depth interview is an unstructured , direct , personal interview in which a single respondent is

probed by a highly skilled interviewer to uncover underlying motivations, beliefs, attitudes ,
and feelings on a topic.
The main features of a depth interview may be summarized by the acronym DEPTH.
 D epth of coverage.
 E ach respondent individually interviewed
 P robe the respondent
 T alented interviewer required.
 H idden motives may be uncovered
Depth- Interviewing Techniques
There are three depth interviewing techniques that have recently gained popularity are laddering,
hidden issue questioning, and symbolic analysis.
1. Laddering: A technique for conducting depth interviews in which a line of questioning

proceeds from product characteristics to user characteristics. Laddering provides a way to
probe into consumers deep underlying psychological and emotional reasons that affect their
purchasing decisions. When determining why a person buys a product, researchers want to
know more than simply “quality” and “low price”. Laddering requires interviewers to be
trained in specific probing techniques in order to develop a meaningful “mental map” of the
consumer’s view of a target product. The ultimate goal is to combine mental maps of
consumers who are similar, which will lead to the reasons why people purchase particular
products. Probing is used to go beyond the initial responses interview participants give to
questions.
When asked why they prefer a product, responses are initially attributing –related.
Examples of these responses would include color, taste, price, size, and brand name. Each
attribute, consequence, and value of the underlying motivators are found by “climbing the
ladder” to the real reasons for purchasing products.
The Following initial responses with “questions leads to much more useful information
for the marketer:
 Answer: “I buy Maybelline cosmetics because it is good brand name at a
reasonable price.”
 Question: “why are reasonably priced cosmetics so important to you?”
 Answer: “well, buying quality product that isn’t high priced makes me
feel good about myself because I am spending my money wisely.”
2. Hidden Issue Questioning: A type of depth interview that attempts to locate personal sore
spots related to deeply felt personal concerns.
3. Symbolic Analysis: A technique for conducting depth interview in which the symbolic
meaning of objects is analyzed by comparing them with their opposites.
Advantages of Depth Interviews
 Depth interviews can recover greater depth of insights than the focus groups.
 Depth interviews result in free exchange of information that may not be possible
in focus groups because there is no social pressure to conform to group
response.
Disadvantages of Depth Interviews
 Skilled interviewers capable of conducting depth interviews are expensive and

difficult to find.
 The lack of structure makes the results susceptible to the interviewer’s influence,
and the quality and completeness of the results depend heavily on the interviewer’s
skills.
 The data obtained are difficult to analyse and interpret, and the services of skilled
psychologists are typically required for this purpose.
Focus Groups versus Depth Interviews
S/N Characteristics Focus Depth

Groups Interview
1 Group synergy & dynamics + -
2 Peer pressure & group dynamics - +
3 Client involvement + -
4 Generation of innovative ideas + -
5 In-depth probing of individuals - +
6 Uncovering hidden motives - +
7 Discussion of sensitive topic - +
8 Interviewing respondents who are competitors - +
9 Interviewing respondents who are professionals - +
10 Scheduling of respondents - +
11 Amount of information + -
12 Bias in Moderation and interpretation + -
13 Cost per respondent + -

Application of depth Interviews
Depth interviews can be effectively employed in special problem situations, such as those
requiring:
 Detailed probing of the respondent ( automobile purchase)

 Discussion of confidential , sensitive , or embarrassing topics ?( personal finance,
loose dentures)
 Situations where strong social norms exist and the respondent may be easily swayed
by group response (attitude of college students toward sports.
 Detailed understanding of complicated behaviour ( department stores shopping )
 Interviews with professional people ( industrial marketing research)
 Interviews with competitors , who are unlikely to reveal the information in a group
setting ( travel agents perceptions of airline package travel programs).
 Situations where the product consumption experience is sensory in nature, affecting
mood states and emotions (perfumes, bath soap).
2) Indirect Approach (Disguised)
Indirect Approach disguises the true purpose of the project. It is a type of qualitative research in
which the purposes of the project are disguised from the respondents. A projective technique is
an unstructured and indirect form of questioning encourages the respondents to project their
underlying motivations, beliefs, attitudes, or feelings regarding the issues of concern.
The main characteristics of projective techniques may be described by the acronym

PROJECTIVE.
 P roject the underlying motivation, beliefs, and attitudes.

 R relationship association techniques.
 O vercome respondent’s unwillingness or inability to answer.
 J judgment required in interpretation of responses.
 E xpressive techniques.
 C onstruction completion techniques.
 T hematic: themes are elected.
 I ndirect.
 V ague situations are used as stimuli.
 E exploratory in nature
In projective techniques, respondents are asked to interpret the behaviour of others rather
than describe their own behaviour. In interpreting the behaviour of others, respondents
indirectly project their own motivations, beliefs, attitudes, or feelings into the situations.
Thus, respondent’s attitudes are uncovered by analyzing their responses to scenarios that
are deliberately unstructured, vague and ambiguous. The more ambiguous the situation,
the more respondents project their emotions , needs, motives, attitudes, and values, as
demonstrated by work in clinical psychology on which projective techniques are based.
As in Psychology, these techniques are classified as associations, completions,
constructions, and expressive.
The commonly used indirect techniques consisting of association techniques, completion

techniques, construction techniques, and expressive techniques will be discussed.
a) Association Techniques: A type of projective techniques in which in which the respondent

is presented with a stimulus and asked to respond with the first thing that comes to mind.
Word association is a projective technique in which respondents are presented with a list of
words, one at a time. After each word, they are asked to give the first word that comes to
mind. The words of interest, called test words, are interspersed throughout the list, which also
contains some neutral, or filler words to disguise the purpose of the study.
For example, in the department store study, some of the test words might be: “location,”
“parking,” “shopping, ““quality”, “and “price” The subject’s response to each word is
recorded verbatim and responses are timed so that respondents who hesitate or reason out can
be identified. The underlying reason assumption of these techniques is that association allows
respondents to reveal their inner feelings about the topic of interest.
Responses are analyzed by calculating:
 The frequency with which any word is given as a response ;
 The amount of time that elapses before a response is given ; and
 The number of respondents who do not respond at all to a test word within a
reasonable period of time.
b) Completion Techniques: A projective technique that requires the respondent to complete an
incomplete stimulus situation. Sentence completion is a projection technique in which
respondents are presented with a number of incomplete sentence s and asked to complete
them.
Sentence Completion. In the context of the store patronage study, the following
incomplete sentences may be used.
 A person who shops at sears is
_______________________________________________________________
_______________________________________________________________
_________________________.
 A person who receives a gift certificate good for sak’s Fifth Avenue would be
JCPenny is most liked by
___________________________________________________
___________________________________________________
__________________________________________________.
 When I think of shopping in a department store, I
___________________________________________________
__________________________________________________.
Story Completion
 Projective techniques in which the respondents are provided with part of a
story and required to give the conclusion in their own words.
c) Construction Techniques: is a projective technique in which the respondent is required to
construct a response in the form of a story, dialogue or description. Construction techniques
are closely related to completion techniques. The two main construction techniques are :
 Picture Response: The roots of picture response techniques can be traced to
the thematic Appreciation Test (TAT), which consists of a series of pictures of
ordinary as well as unusual events; which consists of a series of pictures of
ordinary as well as unusual events. In some of these pictures, the persons or
objects are clearly depicted, while in others they are relatively vague. The
respondent is asked to tell stories about these pictures. The respondent’s
interpretation of the pictures gives indications of the individual’s personality.
For example, an individual may be characterized as impulsive, creative,
unimaginative, and so on. The name Thematic Appreciation test is used
because themes are elicited based on the subjects perceptual interpretation of
pictures.
 Cartoon characters are shown in specific situations related to the problem. The
respondents are asked to indicate the dialogue that one cartoon character might
make in response to the comments of another r character.
d) Expressive Techniques: Projective techniques in which the respondents is presented with
a verbal or visual situation and asked to relate the feelings and attitudes of other people
to the situation. The two main expressive techniques are role playing and third –person
technique. Role Playing: respondents are asked to assume the behaviour of someone else.
Third –Person Technique: A projective technique in which the respondent is presented
with a verbal or visual situation and asked to relate the beliefs and attitudes of a third
person to the situation.
Advantages of Projective Techniques
Projective techniques have a major advantage over unstructured direct techniques –focus groups
and depth interviews. They may elicit responses that subjects would be unwilling or unable to
give if they knew the purpose of the study. At times in direct questioning, the respondent may
intestinally or unintentially misunderstand, misinterpret, or mislead the researcher.
In these cases, projective techniques can increase the validity of responses by disguising the
purpose. This is particularly true when the issue to be addressed is personal, sensitive, or subject
to strong social Norms. Projective techniques are also helpful when underlying motivations,
beliefs, and attitudes are operating at a subconscious level.
Disadvantages Projective Techniques
Projective techniques suffer from many of the disadvantages of unstructured direct techniques.
These techniques generally require:
 Personal interviews with highly trained interviewers.
 Skilled interpreters are also required to analyze the responses. Hence, they tend
to be expensive.
 Furthermore, there is a serious risk of interpretation bias.
 With the exception of word association, all techniques are open and, making the
analysis and interpretation difficult and subjective.
 Some projective techniques such as role playing require respondents to engage

in unusual behaviour.
 In such cases the researcher may assume that respondents who agree to
participate are themselves unusual in some way.
 Therefore they may be not representative of the population of interest.
Applications of Projective Techniques
The effectiveness of these techniques is enhanced when the following guidelines are observed.
 Projective techniques should be used because the required information can not be
accurately obtained by direct methods.
 Projective techniques should be used for exploratory research to gain initial insights
and understanding.
 Given their complexity, projective techniques should not be used naively.
As a result it is desirable to compare findings generate d by projective techniques with the

findings of the other techniques that permit a more representative sample.
A Comparison of Focus Groups, Depth Interviews, and Projective Techniques
S/N Criteria Focus groups Depth interviews Projective

techniques
1 Degree of structure Relatively high Relatively medium Relatively low
2 Probing of individual Low High Medium
respondents
3 Moderator bias Relatively medium Relatively high Low to high
4 Interpretation bias Relatively low Relatively medium Relatively high
5 Uncovering subconscious Low Medium to high High
information
6 Discovering innovative High Medium Low
information
7 Obtaining sensitive Low Medium High

information
8 Involve unusual behaviour No To a limited extent Yes
9 Overall usefulness Highly useful Useful Somewhat useful
Observation Methods
Observation is defined as the recording of behavioral patterns of people, objects and events in a
systematic manner to obtain information about the phenomenon of interest.
 The observer does not question or communicate with the people being observed.
 Information may be recorded as the events occur or from records of past events.
Conditions for the Use of Observation
Certain conditions must be met before a researcher can successfully use observation as a research
tool. These conditions are:
1. The Event Must Occur in a Short Time Interval: Short-time interval means that the event
must begin and end within a reasonable short time span. Examples include a shopping trip in
a supermarket, waiting in a teller line at a bank, or purchasing a clothing item. Some
decision-making processes can take a long time, for example buying a home, and it will be
unrealistic in terms of the time and money required to observe the entire process. Because of
this factor, observational research is usually limited to scrutinizing activities and is therefore
not
2. The Observed Behaviour Must Occur in a Public Setting: Public behaviour refers to
behaviour that occurs in a setting the researcher can readily observe. Action such as cooking,
playing with one’s children, or private worshipping are not public activities and are therefore
not suitable for observational studies such as those described here.
3. When the possibility of faulty recall rules out collecting information by asking the person:
Occurs when actions or activities are so repetitive or automatic that the respondent can not
recall specifics about the behaviour under question.
Observation Methods
The observational methods are divided into the following:
1. Structured Vs. Unstructured Observation: Structured observation where the researcher

clearly defines the behaviors to be observed and the methods by which they will be
measured. An example would be an auditor performing inventory analysis in a store. This
reduces the potential for observer bias and enhances the reliability of the data. Structured
observation is appropriate when the marketing research problem has been clearly defined and
the information needed has been specified. In these circumstances the details of the
phenomenon to be observed can be clearly identified. Structured observations are suitable for
use in conclusive research. In unstructured observation, the observer monitors all aspects of
the phenomenon that seem relevant to the problem at hand, for example, observing children
playing with new toys. This form of observation is appropriate when the problem has to be
yet formulated precisely and flexibility is needed in observation to identify key components
of the problem and to develop hypothesis. In an unstructured observation, potential for
observer bias is high. For this reason, the observation findings should be treated as
hypothesis to be tested, rather than as conclusive findings. Thus, unstructured observation is
most appropriate for exploratory research.
2. Disguised Vs. Undisguised Observation: In disguised observation, the respondent is
unaware that they are being observed. Disguise enables respondents to behave naturally,
since people tend to behave differently when they know they are being observed. Disguise
may be accomplished by using one way mirrors, hidden cameras, or in conscipious
mechanical devices. Observers may be disguised as shoppers or sales clerks or in other
appropriate roles. In disguised observation, the respondents are aware that they are under
observation. For example, they may be aware of the prescience of the observer. Researchers
disagree on how much effect the prescience of an observer has on behaviour. One viewpoint
is that the observer effect is minor and short-lived. The other position is that the observer can
seriously bias the behaviour patterns.
3. Natural vs. Contrived Observation: Natural observation involves observing behaviour as it

takes place in the environment. For example, one could observe the behaviour of respondents
eating fast food at Burger King. The advantage of natural observation is that the observed
phenomenon will more accurately reflect the phenomenon. The disadvantages are the cost of
waiting for the phenomenon to occur and the difficulty of measuring the phenomenon in a
natural setting. Contrived observation involves to observing the behaviour in an artificial
environment.
Observation Methods Classified by Mode of Administration
Observation method may be classified by mode of administration as personal observation,

mechanical observation, audit, content analysis, and trace analysis.
1. Personal Observation: an observational research strategy in which human observers record

the phenomenon being observed as it occurs. The observer does not attempt to control or
manipulate the phenomenon being observed. The observer merely records what takes place.
For example, a researcher might record traffic counts and observe traffic flows in department
store. This information could aid in designing store layout and determining location of the
individual departments, shelf locations, and merchandise displays. Companies like Microsoft
also make use of personal observation in learning about the software needs of users.
2. Mechanical Observation: An observational research strategy in which mechanical devices
rather than human observers record the phenomenon being observed. These devices may or
may not require the respondent’s direct participation. They are used for continuously
recording ongoing behaviour for later analysis. Of the mechanical devices that do not require
respondent’s direct participation, the ACNielsen audiometer is best known. The audiometer
is attached to a television set to continuously record what channel the set is tuned to.
 Recently, people meters have been introduced. People meters attempt to
measure not only the channels to which a set is tuned but also who are
watching.
 Other common examples include turnstiles that record the number of people
entering or leaving a building, and traffic counters placed across streets to
determine the number of vehicles passing certain locations.
 On-site cameras – still, motion pictures or video are increasingly used by
retailers to assess package designs, counter space, floor displays, and traffic
patterns.
 Technological advances such as the Universal Product Code (UPC) have
made a major impact on mechanical observation.
 The UPC system, together with optical scanners, allows for mechanized
information collection regarding consumer purchases by product category,
brand, store type, price, and quantity.
 The internet can be very good source for observation and can provide valuable
information. The observations can be made in a variety of ways. The time
spent on the page can also be measured by advanced techniques of starting the
timer when the person clicks on the next button. Further, various other links
can be provided by the researcher on the web page, and it can be observed to
see which links are accessed more often. The analysis of the links from where
the company site is being approached by the individuals will provide the
market researcher with important information regarding the consumers
related interest , and an in-depth analysis of the link sites will provide
information on advertising , competitors, consumers, and target market
demographics and psychographics.
 In contrast to the internet, many mechanical observation devices do require
active respondent involvement.
These mechanical devices may be classified into five groups.
a. Eye-Tracking Monitors: Eye-tracking equipment, such as coulometer eye cameras, or eye

view minutes, records the gaze movements of the eye. These devices can be used to
determine how a respondent reads an advertisement or views a TV commercial and for how
long the respondent looks at various parts of the stimulus. Such information is directly
relevant to assessing advertising effectiveness.
b. Pupil Meters: The Pupillometer measures changes in the diameter of the pupils of the
respondent‘s eyes. Respondents are asked to look at a screen on which an advertisement or
other stimulus is projected. Image brightness and distance from respondents eye’s are held
constant. Changes in pupil size are interpreted as changes in cognitive activity resulting from
exposure to the stimulus. The underlying assumption is that increased pupil size reflects
interest and positive attitudes toward the stimulus.
c. Psycho Galvanometers: Psycho Galvanometer an instrument that measures a respondent’s
galvanic skin response (GSR) Galvanic skin response changes in the electrical resistance of
the skin. The respondent is fitted with small electrodes that monitor electrical resistance and
is shown stimuli such as advertisements, packages, and slogans. The theory behind this
device is that physiological changes such as increased perspiration accompany emotional
reactions. Excitement leads to increased perspiration, which increases the electrical resistance
of the skin. From the strength of the response, the researcher infers the respondent’s interest
level and attitudes toward the stimuli.
d. Voice Pitch Analyzers: Measures emotional reactions through changes in the respondent’s
voice. Changes in the relative vibration frequency of the human voice that accompany
emotional reaction are measured with audio-adapted computer equipment.
e. Devices Measuring Response Latency: Is the time a respondent takes before answering a
question. It is used as a measure of the relative preference for various alternatives. Response
time is thought to be directly related to uncertainty. Therefore, the longer a respondent takes
to choose between two alternatives, the closer the alternatives are in terms of preference. On
the other hand, if the respondent makes a quick decision, one alternative is clearly preferred.
With the increased popularity of computer-assisted data collection, response latency can be
recording accurately and without the respondent’s awareness.
3. Audit: The researcher collects data by examining physical records or performing inventory
analysis. Audits have two distinguishing features. First, data are collected personally by the
researcher. Retail and wholesale audits conducted by marketing research suppliers were
discussed in the context of syndicated data. In pantry audit, the researcher takes an inventory
of brands, quantities, and package sizes in a consumer’s home, perhaps in the course of a
personal interview. Pantry audits greatly reduce the problem of untruthfulness or other forms
of response bias. However, obtaining permission to examine consumer’s pantries can be
difficult, and the fieldwork is expensive. Furthermore, the brands in the pantry may not
reflect the most preferred brands or the brands purchased most often.
4. Content Analysis: Content analysis: is an appropriate method when the phenomenon to be
observed is communication, rather than behaviour or physical objects. It is defined as the
objective, systematic, and quantitative description of the manifest content of a
communication. It includes observation as well as analysis. The unit of analysis may be
words –different types of words or types of words in the message, character - individuals or
objects, themes- propositions, space and time measures –length or duration of the message,
or topics –subject of the message. Analytical categories for classifying the units are
developed and the communication is broken down according to prescribed rules. Marketing
research applications involve observing and analyzing the content or message of
advertisements, newspaper articles, television and radio programs, and the like. For example,
the frequency of appearance of blacks, women, and members of other minority groups in
mass media has been studied using content analysis. Suppose we wanted to examine how the
portrayal of women in U.S magazine advertising has changed, positively or negatively, over
10- year period from 1996 to 2006. We consider select a sample of 100 magazines that were
in circulation in 1996 as well as in 2006. We could select 10 advertisements featuring women
for each of these magazines, from different issues of each magazine, for 1996 as well as
2006. This will give us a sample of 1,000 advertisements for each year. We could then
develop positive as well as negative categories for classifying the advertisements based on
S/N Criteria Personal Mechanical Audit Content analysis Trace

observation observation analysis
1 Degree of Low Low to high High High Medium
structure
2 Degree of Medium Low to high Low High High
disguise
3 Ability to High Low to high High Medium Low
observe in
natural
setting
4 Observation High Low Low Medium Medium
bias
5 Analysis High Low to Low Low Medium
bias medium
6 General Most Flexible Can be Expensive Limited to Method
remarks intrusive communications of last
resort
5. Trace Analysis: An observation approach in which data collection is based on physical
traces, or evidence, of past behaviour. These traces may be left intentionally or
unintentionally by the respondents. Several other innovative applications of trace analysis
have been made in marketing research. The selective erosion of tiles in a museum indexed by
the replacement rate was used to determine the relative popularity of exhibits. The number of
different fingerprints on a page the readership of various advertisements in a magazine. The
position of the radio dials in cars brought in for service was used to estimate share of
listening audience of various radio stations. Advertisers used the estimates to decide on
which stations to advertise. The age and conditions of cars in a parking lot were used to
assess the affluence of customers. The magazines people donated to charity were used to
determine people’s favorite magazines. Internet visitors leave traces that can be analyzed to
examine browsing and usage behaviour by using cookies.
A Comparative Evaluation of Observations Methods
Relative Advantages of Observations
They permit measurement of actual behaviour rather than reports of intended or preferred
behaviour. There is no reporting bias, and potential bias caused by the interviewer and the
interviewing process is eliminated or reduced. Certain types of data can be collected only by
observations.
 These include behaviour patterns that the respondent is unaware of or unable to
communicate.
 For example, information on babies’ toy preferences is best obtained by observing
babies at play.
 Since they are unable to express themselves adequately.
 Moreover, if the observed phenomenon occurs frequently or is of short duration,
observational methods may be cheaper and faster than survey methods.
Relative Disadvantages of Observations
The observed behaviour may not be determined because little is known about the underlying
motives, beliefs, attitudes, and preferences.
 For example, people observed buying a brand of cereal may or may not like it
themselves.
 They may be purchasing that brand for someone else in the household.
 Selective perception-bias in the researcher’s perception can bias the data.
Observation is often is time consuming and expensive, and it is difficult to observe certain forms
of behaviour such as personal activities. In some case the use of observation methods may be
unethical, as in monitoring the behaviour of people without their knowledge or consent. To
recap, a limitation of observation is that motivations, attitudes, and other “internal” conditions
can not be observed.
Analysis of Qualitative Data
Compared to quantitative research , where numbers and what they stand for are the unit of
analysis , qualitative data analysis use swords as the units of analysis and is guided by fewer
universal rules and standard procedures.
 The goal of the qualitative research is to decipher, examine, and interpret

meaningful patterns or themes that emerge out of the data.
 The “meaningfulness” of patterns and themes is determined by the research
question at hand.
There are three general steps that should be followed when analyzing qualitative data:
 Data Reduction: In this step the researcher chooses which aspects of the data are
emphasized, minimized, or set aside for the project at hand.
 Data Display: in this step the researcher develops visual interpretations of the data
with the use of such tools as a diagram, chart or matrix. The display helps to
illustrate patterns and interrelationships in the data.
 Conclusion Drawing and Verification: In this step, the researcher considers the
meaning of analyzed data and assesses its implication for the research questions at
hand.
Review Questions
1. Define qualitative research methods
2. Identify and explain qualitative research Methods
3. Is qualitative method inferior as compared to Quantative method?
Chap-8 Quantitative Research Methods
Chapter objective
 Define a survey method
 Discuss the benefits and demerits of survey methods
 Identify and examine various survey methods
7.1 Survey methods
A structured questionnaire given to a sample of a population and designed to
elicit specific information from respondents.
Structured data collection is the use of a formal questionnaire that presents

questions in a prearranged order.
Fixed –alternative questions are questions that require respondents to

choose from a set of predetermined answers.
Advantages of Surveys
Compared to observation or other qualitative methods, survey methods allow

the collection of significant amounts of data in an economical and efficient
manner; and they typically allow for much larger sample sizes.
There are five advantages of using survey methods:
1) Standardization:
 Questions are preset and organized in a particular arrangement on
a questionnaire
 Survey methods ensure that all respondents are asked the same
questions and are expose d to the same response options for each
question.
2) Ease of administration
 Survey modes are easy for administration as the respondent may
fill out the questionnaire unattended.
 The administration aspects of survey are much simpler than, for
instance, conducting a focus group or utilizing depth interviews.
3) Ability to tap the “ unseen”
 The four question of what, why, how, and who help uncover
“unseen” data.
 For instance we can ask customers their motives a particular
brand, their attitude toward a particular product or the company,
etc.
 Much information is unobservable and requires direct questions.
4) Suitability to tabulation and statistical analysis
 The commercial researcher ultimately must interpret the patterns
or uncommon themes sometimes hidden in the raw data he or she
collects.
 Statistical analysis, both simple and complex, is the preferred
means of achieving this goal , and large cross sectional surveys
perfectly complement these procedures.
 Increasingly, questionnaire design software includes the ability too
perform simple statistical analysis , such as tabulations of the
answers to each question, as well as the ability to create color
graphs summarizing these tabulations.
5) Sensitivity To Subgroup Differences
 Surveys involve large numbers of respondents.
 It is relatively easy to divide the sample into demographic groups or
other subgroups and then to compare them for market
segmentation implications.
 In fact, the survey sample design may be drawn up to specifically
include important subgroups as a means of looking at market
segment differences.
 In any case, the large sample sizes that characterize surveys
facilitate subgroup analysis and comparisons of various groups
existing in the sample.
7.2 Types of Survey Methods / Data Collection Modes
There are three major methods of collecting information from respondents:
I) Person –administered Surveys (PAS)
A person –administered surveys is one in which an interviewer reads
questions to the respondent and records his or her answer. It was the
primary administration method for many years. However, its popularity
has fallen of as communications systems have developed and technology
has advanced. Nevertheless, person-administered surveys are still used.
Advantages
Person administered surveys have four unique advantages:
1. Feed back
Interviewers often must respond to direct questions from respondents
during an interview. Sometimes respondents do not understand the
instructions, or they may not hear the question clearly, or they might
become distracted by some outside factor during the interview. A human
interviewer may be allowed to adjust his or her questions according to
verbal or nonverbal cues and provide clarifications whenever a need
arise.
2. Rapport
It is often helpful to have another human being present to develop some
rapport with the respondent early on in the questioning process. Once a
bridge of trust and understanding has been established, most
respondents will become visibly more relaxed with the interview and will
open up more to the various questions being posed.
3. Quality control
An interview sometimes must select certain types of respondents based
on sex, age, or some other distinguishing characteristics. Personal
interviewer may be used to ensure respondents are selected correctly.
Alternatively, some researchers feel that respondents are more likely to
be truthful when they respond face to face.
4. Adaptability
Personal interviewers can adapt to respondent differences. It is not
unusual , for instance , to find an elderly person who must be initially
helped step-by-step through the answering process in order to
understand how to respond to question asking if the respondent “
strongly agrees,” “ somewhat agrees,” “ somewhat disagrees, “ or “
strongly disagrees”
Disadvantages of Personal Administered Surveys
Person administered surveys have four unique disadvantages:
 Slower
 Prone to errors; and
 More expensive than interviewing on the telephone or mailing the
questionnaire to respondents.
Interviewing Techniques in Personal Administered Surveys
1) In-Home Interview
 Two important factors justify the use of in-home interviews.
 The researcher must believe that personal contact is essential
to the success of the interview.
 The survey may incorporate a set of advertisements
the researcher wants viewed.
 It might require the respondent to see and touch a
product, the respondent may have to perform a
complicated task such as sorting cards with brand
names on them into piles, or it might be vital that the
interviewer make visual confirmations of the
respondent’s qualifying characteristics or nonverbal
causes.
 The researcher must be convinced that the in-home
environment is conducive to the questioning process.
 It is often believed that conducting an interview in the
home greatly improves the quality of responses and
facilitates the rapport between interviewer and
interviewee.
 When a respondent is a secure, comfortable
environment, the likelihood of distraction is reduce,
and it is believed that respondents take more care in
responding to various questions.
2) Mall-Intercept Interview
 The expense of in-home interviewer travel is high, even for local
surveys, the mall-intercept interview is one in which the
respondent is encountered and while he or she is visiting a
shopping mall.
Advantages
 Mall intercept interviewing has acquired a major role as a

survey method due to its ease of implementation and low
cost.
 The presences of an interviewer who can interact with the
respondent.
Disadvantages
1. Sample representativeness is an issue, for most malls draw from a

relatively small area in close proximity to their location.
 Some people shop at malls more frequently than other and
therefore have a greater chance of being interviewed.
2. Shortcomings of small intercept interviewing are that a shopping
mall does not have a comfortable home environment that is
conducive to rapport and close attention to details.
 The respondent may feel uncomfortable as they may be
pressed for time or otherwise preoccupied by various
distractions outside the researcher’s control.
 These factors may adversely affect the quality of the
interview.
3) In-Office Interview
 Business research conducted in the business –to-business or
organizational market typically requires interviews with business
executive, purchasing agents, engineer, or other managers.
 Normally, in-office interviews take place in person while the
respondent is in his or her office.
 In office personal interviews incur relatively high costs.
4) Telephone Interviews (“Traditional “Telephone Interview &

Central Location Telephone Interview)
Telephone interviewing is an attractive option.
Advantages
 Telephone survey has the potential to yield a very high quality sample.
 If the researcher employs random dialing procedures and
proper call-back measures, the telephone approach may
produce a better sample than any other survey procedure.
 Telephone surveys have very quick turnaround times. Most telephone
interview are of short duration anyway, but a good interviewer may
complete several interviews per hour.
Disadvantages
 The respondent cannot be shown anything. This shortcoming ordinarily
eliminates the telephone survey as an alternative institutions requiring
that the respondent view product prototypes, advertisements, package s,
or anything else.
 The telephone interview does not permit the interviewer to make the
various judgments and evaluations that can be made by the face-to- face
interviewer.
 Questions on alcohol consumption, contraceptive methods,
racial issues, or income tax reporting will probably generate
more valid responses when asked in the relative anonymity
of the telephone than when administered face-to-face.
 The researcher is more limited in the quantity and types of information
he or she can obtain.
 Very long interviews are inappropriate for the telephone, as
are questions with lengthy lists of response options that
respondents will have difficulty remembering when they are
read over the telephone.
 A last problem with telephone interviews is the growing use
of answering machines and caller recognition devices being
adopted by consumers.
II) Computer Administered Surveys(CAS)
 Computer technology represents a viable option with respect to
survey mode.
 Computer assisted surveys are in an evolutionary state, and they
are spreading to other types.
 Basically, a computer administered survey is one in which computer
technology plays an essential role in the interview work.
 Here, either the computer assists an interview, or it interacts
directly with respondent.
 In the case of internet questionnaires, the computer acts as the
medium by which potential respondents are approached, and it is
the means by which respondents return their completed
questionnaire.
Advantages of Computer Administered Surveys (CAS)
Computer Administered Surveys have five advantages:
1) Speed
 The compute administered approach is much faster than the human
interview approach.
 The speed factor translates into cost savings, and there is a claim that
internet surveys are about one-half the cost of mail or phone surveys.
2) Error-Free Interviews
 Properly programmed , the computer administered approach
guarantees zero interviewer errors such as:
 Inadvertently skipping questions,
 Asking inappropriate questions based on previous
responses,
 Misunderstanding how to pose questions,
 Recording the wrong answer, and
 The computer neither becomes fatigued nor cheats.
3) Use of Pictures , Videos, And Graphics
 Computer graphics can be integrated into questions as they are
viewed on a computer screen.
 CD-ROM disk capabilities allow high quality video windows to appear
so the respondent can see the product in use or can be shown a wide
range of visual displays.
4) Real-Time Capture Of Data
 Respondents are interacting with the computer and not a human who
is recording their answers on a questionnaire, the information is
directly entered into a computer‘s data storage system and can be
accessed for tabulation or other analyses at completed in a matter of
minutes.
 This feature is so beneficial that some interview companies have
telephone interviewers directly linked to computer input when they
conduct their interviews.
5) Reduction of “ Interview Evaluation” Concern In Respondent
 Some people, when they are involved in responding to questions in a
survey, become anxious about the possible reaction of the interviewer
to their answers.
 This is known as interviewer evaluation apprehension.
 Questions about personal hygiene, political opinions , financial
matters , and even age are considered to be “ personal” by many
people , and the presence of a human interviewer may deter them
from answering , or they may give false answers that they believe
the interviewer will accept.
 On the other hand, some respondents try to please the interviewer by
saying what they think the interviewer wants to hear.
 In any case, some researchers believe that respondents will provide
more truthful answers to potentially sensitive topics when interacting
with a computer.
Dis Advantages of Computer Administered Surveys (CAS)
Computer Administered Surveys have five dis advantages:
 Although computers are relatively inexpensive at present, there are

significant costs involved in computer design, programming, and set-up,
which must be incurred with each survey.
 These costs, including the time factor associated with them, often render
computer administered delivery systems for surveys unattractive relative
to other data collection options.
 However, set up costs are falling rapidly with user friendly programs
such as decisive survey.
Interviewing Techniques in Computer Assisted Surveys
The most important computer –assisted interview methods includes the

following:
1) Computer assisted Telephone Interview ( CATI )

 The most advanced companies have computerized the central location
telephone interviewing process; such systems are called computer
assisted telephone interviews (CATI).
 Although each system is unique, and new development occur almost
daily; we can describe a typical situation.
 The interviewer reads the question to the respondent, enters the
response code, and the computer moves on the next appropriate
question.
 The human interviewer is just the “voice “of the computer.
Advantages
Computer assisted telephone interviewing options are very attractive to

business researchers because of :
 The Cost savings, quality control, and time savings over the paper-
and-pencil method.
 With computer prices falling and questionnaire design software becoming
available, more companies are adopting the high-technology approach.
 The prospect of CATI is very good, and marketing researchers can be
assured that when they consider telephone interviews in the future, the
computer assisted option will be an attractive option available to them.
2) Fully computerized interview
 Some companies have developed fully computerized interviews, in
which the survey is administered completely by a computer.
 In the research industry, this approach is known as CATS, completely
automated telephone survey.
 CATS have been successfully employed for customer satisfaction
studies, service quality monitoring, product/warranty registration,
and even in-home product tests with consumers who have been given
a prototype of a new product.
III) Self-Administered Surveys (SAS)
 A self –administered survey is one in which the respondent completes
the survey on his or her own.
 It is different from other survey methods in that there is no agent
human or computer administering the interview.
 So, the respondent reads the questions and responds directly on the
questionnaire.
 Normally, the respondent goes at his or her own pace, and in most
instances he or she selects the place and time to complete the
interview.
 He or she also may decide when the questionnaire will be returned.
 As with other survey methods, those that are self –administered have
their advantages and disadvantages.
Advantages of Self –Administered Surveys (SAS)
Self –administered surveys have three important advantages:
1) Reduced Cost
 By eliminating the need for an interviewer or an interviewer or an
interviewing device such as a computer program, there can be
significant savings in cost.
2) Respondent control
 Respondents can control the pace at which they respond, so they
may not feel rushed.
 Ideally, a respondent should be relaxed while responding and a
self-administered survey any effect this state.
3) No interviewer evaluation apprehension
 As we just noted, some respondents feel apprehensive when
answering questions.
 The self-administered approach takes the administrator, whether
human or computer, out of the picture, and respondents may feel
more at ease.
Disadvantages of Self –Administered Surveys (SAS)
Self administration places control of the survey in the hands of the prospective
respondent. Hence, this type of survey is subject to the possibilities that:
 Respondents may not complete the survey

 Respondents may answer questions erroneously,
 Respondents may not respond in a timely manner, or
 Respondents may refuse to return the survey at all.
The major reason for these drawbacks is that no opportunity exists to monitor
or interact with the respondent during the course of the interview. Due to the
absence of the interviewer, the burden of respondent understanding falls on
the questionnaire itself. It must have very clear instructions, examples and
reminders throughout.
Interviewing Techniques in self-Assisted Surveys
Self administered Survey includes:
1) Group Self-Administered Surveys

 Basically, a group self-administered survey entails administering a
questionnaire to respondents in groups, rather than individually, for
convenience or to gain certain economies.
 One way to be more economical is to have respondents self –
administer the questions.
 As you would suspect , it is handled in a group context primarily to
reduce costs and to provide the ability to interview a large number
of people in a short time.
 Variations for group self-administered surveys are limitless.
 Students can be administered surveys in their classes: church groups
can be administered surveys during meetings; social clubs and
organizations, company employees , movie theater patrons, and any
other group can be administered surveys during meetings , work, or
leisure time.
2) Drop-Off Surveys
 Another variation of the self administered survey is the drop-off survey ,
in which the survey representative approaches a prospective
respondent, introduces the general purpose of the survey to the
prospect , and leaves it with the respondent to fill out in his or her own
.
 Essentially, the objective is to gain the prospective respondents
cooperation.
 The respondent is told the questionnaire is self-explanatory, and it will
be left with him or her to fill out leisure.
 Perhaps the representative will return to pick up the questionnaire at a
certain time, or the respondent may be instructed to complete and return
it by prepaid mail.
3) Mail Survey
A mail survey is one in which the questions are mailed to prospective

respondents who are asked to fill them out and return them to the researcher
by mail. Part of its attractiveness stems from its self administered aspect. There
are no interviewers to recruit, train, monitor, and compensate. Similarly,
mailing lists are readily available from companies that specialize in this
business, and it is possible to access very specific groups of target respondents.
Besides, on a pre-mailed respondent basis, mail surveys are very inexpensive.
In fact, they are almost always the least expensive survey method in this
regard. But mail surveys incur all of the problems associated with not having
an interviewer present. The mail survey is plagued by two major problems.
 Non-response-which refers to questionnaires that are not

returned.
 Self-selection bias-which means that those who do respond
are probably different from those who do not fill out the
questionnaires and return it , and therefore that sample
gained through this method is non-representative of the
general population.
Factors Determining the Choice of a Particular Survey Method
When deciding on a survey data collection method, a researcher should take

most of the following factors into consideration:
1) Researcher ‘S Resources And Objective
In the case of data collection, the driving objectives are translated into a single
concern: the quality of information desired.
 Balanced this objective is two critical constraints namely:
a) The Survey data collection time horizon
 Regardless of its nature , every management decision has a
deadline when it must be resolved , an this dead line
directly impacts the amount of time allowed , or the time
horizon, for a particular commercial research survey.
 In some instances, the deadline is distant, and the researcher
is allowed the luxury of choosing his or her data collection
methods.
 Frequently, however, the time period is compressed , and the
researcher is forced into choosing a data collection method
that may not be his or her first choice but is one that does
a reasonable job within the permissible time horizon..
 Some approaches , such as mail surveys , door-to-door , and
personal interviews , require long time periods; whereas
other , principally telephone studies and mall intercept
surveys , typically take much less time.
b) Survey data collection budget
 The commercial researcher frequently encounters in which the
budget available for a study greatly influences the survey
method used.
 In truth, the budget alone does not dictate the choice of a survey
interviewing method; rather, the budget constraint in
combination with other considerations influences the survey
mode choice.
c) Desired Quality Of Data
 Some researchers claim that quality, not quantity, of data is the
main issues in deciding on which data collection method to use.
 For instance, you are aware that mail surveys suffer from low
response and self-selection problems.
 Obviously, if the researcher desires a comprehensive sample and
an extremely accurate sample, a mail survey is unlikely to
achieve this objective because of non-response.
 Similarly, for sensitive topics, the face-to-face alternatives may
create embarrassment for the respondent, who will then give
socially desirable answers rather than the truth, thus
compromising the results.
 The two aspects of data quality includes:
i. Generalizablity
 Generalizablity is the confidence that the
researcher has that the data collected from a
particular method ensure respondents who
accurately describe the population under study.
 Mall-intercept interviews have Generalizablity
shortcomings because they are conducted only
with mall shopper , whereas telephone
interviews cover the population better and are
therefore more generelizable if the survey is
aimed at all types of shoppers.
ii. Completeness
 Which is defined as the depth and breadth of
information obtained from each person?
 Mail surveys can garner completeness, but they
suffer on the Generalizablity criterion because of
non response and self selection problem which
eliminates certain types of potential respondents.
2) Respondent characteristics
At least four characteristics of the targeted group must be considered in the
choice of a data collection mode:
a) Incidence rate
 The incidence rate is the percentage of people in the general
population that fits the qualifications of those people the researcher
desires to have interviewed.
 Telephone interviewing offers an efficient device to screen the
population and identify low-incidence prospective respondents.
 In fact, it is common to us telephone screening as a qualifying
phase.
 The individuals who satisfy the criteria for participating in the
survey are subsequently interviewed by whatever other method is
most suitable.
b) Willingness to participate
 Respondent’s willingness is a serious consideration in the survey.
 High refusal rates always alert the researcher to question the
representativeness of the results.
 Two types of unwillingness will be encountered in any survey.
 A generalized suspicion or desire for privacy in many
people: they simply do not like to participate in
surveys.
 Pertains to topic –specific tendencies. That is, some
people will not participate because the topic is
something they do not want to discuss.
 In any case, self-selection takes place.
 Willingness can be affected by the survey method.
 For example people find it more difficult to refuse a face-to-face
request to participate than to decline a telephone request or a
mailed questionnaire.
c) Diversity of respondents
 Nothing is more frustrating to an interviewer than a prospective
respondent qualified and willing to participate in the survey but
unable to do so at that time.
 A prospective mail respondent puts the questionnaire in a drawer
and then forgets about it , or a telephone interviewer encounters
a respondent whose favorite television show is about to begin.
 As a general rule, personal contact should increase the ability of
prospective respondents to participate because respondents will
make time available more readily when approached in person.
 A mail survey, on the other hand, has no such social facilitator.
 With telephone surveys, lack of participation can be lessened
through a rescheduling of the interview or a call-back policy for non
respondents.
3) Characteristics of Questions Asked By Researcher
Because all interviews concern questions, it is necessary to look at:
a) Complexity of tasks
 Some commercial research studies have fairly complicated
preparation and administration procedures.
 Taste tests or TV ad tests fall into this category.
 Taste tests, for example, typically require food presentation done
under controlled conditions so that the researcher can be certain
that each person interviewed responded to the same stimulus.
 In general, the more complex the tasks and preparation activities in
the interview, the greater the need for personal administration.
b) Amount of Information Required Per Respondent
 The amount of information sought from each respondent varies
greatly from study to study.
 Traditionally, phone surveys are short, whereas in-home personal
interviews are long and other data collection modes fall in between.
 Strategies range from scheduling a series of interviews to combining
different data collection methods, such as merging a telephone
interview and a follow up mail survey.
 Monetary or other incentives have also been used to entice
respondents to “stay with” the interview.
 If the researcher must collect a great deal of information from each
respondent in one interview , then two option exist:
 To use a personal interviewer whose physical;
prescience compels the respondent to complete the
interview.
 To allow the respondent to complete the survey at his
or her own pace and without interviewer prescence.
 Here, the mail survey or drop-off method would fit,
probably augmented with sizeable incentives to reduce
non response bias.
c) Topic Sensitivity
 The sensitivity of the topic is rarely a consideration for the vast
majority of commercial research studies.
 With the exception of a question on income level, which most studies
include, the remaining questions on brands purchased, stores
patronized, satisfaction with present products, or buying intentions,
for example, are typically very low in sensitivity.
 Occasionally, however, a researcher finds himself or herself working
with topics that are inherently sensitive.
 Such topics include medication abuse, financial matters, blood
donation, retail issues, and personal hygiene.
 Industry wisdom suggests that for sensitive issues , face-to –face
interviews are less appropriate than alternatives such as telephone
interviews or computer-administered interviews in which the
respondent will not feel ill at ease when divulging some personal
habit or sensitive answer to a machine.
Review Questions
1. List the major advantages of survey research methods over qualitative methods
and identify the major drawbacks of survey.
2. What are the advantages of person-administered surveys over computer-
administered ones?
3. Indicate the difference between: (a) in-home interviews, (b) mall-intercept
interviews, and (c) in-office interviews. What do they share in common?
4. Indicate the pros and cons of self-administered surveys.
5. How does a drop-off survey differ from a mail survey?
6. What are the three aspects of the researcher’s resources and objectives that have
much influence in the determination of which survey mode will be used? How does
each one affect he decision?
7. Differentiate “incidence rate” from “diversity of respondents”/
8. Is a telephone interview inappropriate for a survey that has as one of its objectives
a complete listing of all possible advertising media a person was exposed to in the
last week? Why or why not?
Chap - 9 Measurement in Research
Chapter Objectives
 Define measurement
 Explain the different types of scales
 Describe international diamensions of operational definition
8.1 Definition of Measurement in Research
Measurement is the assignment of numbers or other symbols to

characteristics of objects according to certain prespecified rules.
 A measurement is a number that reflects some characteristics of an

object
 Note that what we measure is not the object, but some
characteristics of it.
 Thus, we do not measure consumers- only their perceptions,
attitudes, preferences, or other relevant characteristics.
 In marketing research, numbers are usually assigned for one of two
reasons.
 First, numbers permit statistical analysis of the resulting data.
 Second, numbers facilitate the communication of measurement rules
and results.
8.2 Definition of Scaling
Scaling: is the generation of a continuum upon which measured objects are

located.
To illustrate consider a scale from 1 to 100 for locating consumers according

to the characteristics “attitude toward department stores.” Each respondents is
assigned a number from 1 to 100 indicating the degree (un)favorableness, with
1 = extremely unfavorable, and 100 = extremely favorable. Measurement is the
actual assignment of a number from 1 to 100 to each respondent. Scaling is
the process of placing the respondents on a continuum with respect to their
attitude toward department stores. In the opening example of most admired
companies, the assignment of numbers to reflect the annual revenue was an
example of measurement. The placement of individual companies on the
annual revenue continuum was scaling.
8.2 Primary Scales of Measurement
There are four primary scales of measurement: nominal, ordinal, interval,

and ratio. The four primary types of scales may be described by the Acronym
FOUR.
F figurative: Nominal
O rdinal scale
U unconstructed zero point: interval scale
R atio scale
The different comparative and non comparative scales may be represented by

the acronym SCALES
S semantic differential scale
C nstant Sum scale
A rranged in order: rank order scale
L ikert scale
E nagaged : paired comparison scale
S taple scale
The four scales briefly discussed here in under.
1) Nominal Scales: is defined as a scale whose numbers serve only as labels

or tags for identifying and classifying objects with a strict one-to-one
correspondence between the numbers and the objects. For example, the
numbers assigned to the respondents in a study constitute a nominal scale
is used for the purpose of identification, there is a strict one-to-one object
and each object has only one number and the objects. Each number is
assigned to only one object and each object has only one number assigned
to it. Common examples include social security numbers and numbers
assigned to football players.
For example, In marketing research, nominal scales are used for

identifying respondents, brands, attributes, stores, and other objects.
When used for classifying purposes, the nominally scaled numbers serve
as labels for classes or categories . For example, you might classify the
control group 1 and the experimental group as group 2. The classes are
mutually exclusive and collectively exhaustive. The objects in each class
are viewed as equivalent with respect to the characteristics represented
by the nominal number.
All objects in the same class have the same number and no two classes
have the same number. The numbers in a nominal scale do not reflect
the amount of the characteristics possessed by the objects.For example,
a high school security number does not imply that the person is in some
way superior to those with lower social security or vice versa.
Sample Nominal –Scaled Questions
1) Please indicate your gender. Male Female

2) Check all the brands you would consider purchasing.
____________ Sony
____________Jvc
____________Panasonic
___________Philips
2) Ordinal Scales : is defined as a ranking scale in which numbers are
assigned to objects to indicate the relative extent to which some
characteristics is possessed. Thus, it is possible to determine whether an
object has more or less of characteristics than some other object. The object
ranked first has more of the characteristics as compared to the object
ranked second, but whether the object ranked second is a close second or a
poor second is knot known. Common examples of ordinal scale include
quality rankings, ranking of teams in a tournament, socioeconomic class,
and occupational status. In marketing research, ordinal scale is used to
measure relative attitudes, opinions, perceptions, and preferences.
Sample Ordinal –Scaled Questions
1. Please rank each brand in terms of your preference. Place a “I” by your
first choice, a “2” by your second choice, and so on.
____________ Pepsi
___________ Seven Up
____________Coca Cola
2. For each pair of supermarkets, circle the one you would be more likely
to patronize.
Loyal Versus Hadya
Bambis versus Tana
3. In your opinion , would you say the prices at Bambis are
_____________higher than Hadya
_____________about the same as she Hadya
_______________Lower than Loyal
3. Interval Scales: is defined as a scale in which the numbers are used to

rate objects such that numerically equal distances on the scale represent
equal distances in the characteristics being measured. The difference
between any two adjacent scale values is identical to the difference between
any other two adjacent values of an interval scale. There is a constant or
equal interval between scale values.
The difference between 1 and 2 is the same as the difference between 2 and 3,
which is a temperature scale. In marketing research, attitudinal data obtained
from ratings scales are often treated as interval data. In the interval scale, the
location of the zero point is not fixed. Both the zero point and the units of
measurement are arbitrary. Hence, any positive linear transformation of the
form y= a +bx preserve the properties of the scale. Here, x is thus the original
scale value, y is the transformed scale value, b is a positive constant, and is
any constant.
Therefore, two interval scales that rate objects A, B, C, and D as 1, 2, 3, and 4,

or as 22, 24, 26, and 28, are equivalent. Note that the latter scale can be
derived from the former by using a=20 and b=2 in the transforming equation.
Because the zero point is not fixed, it is not meaningful to take ratios of scale
values. As can be seen, the ratio of D to B values changes from 2: 1 to become
7:6 when the scale is transformed. Yet ratios of differences between scale
values are permissible.
In this process, the constants a and b in the transforming equation drop out in
the computations. The ratio of the difference between D and B to the difference
between C and B is 2: 1 in both the scales.
Sample Interval –Scaled Questions
1. Please rate each brand in terms of its overall performance.
Very poor Very good
Lacoste 1 2 3 4 5
Parker 1 2 3 4 5
Sony 1 2 3 4 5
2. Indicate your degree of agreement with the following statements by

encircling the appropriate number.
Statement Strongly Disagree Strongly Agree
a. I always look for bargains 1 2 3 4 5

b. I enjoy being outdoors 1 2 3 4 5
c. I love to cook. 1 2 3 4 5
4. Ratio: is defined as the highest scale. It allows the researcher to identify or
classify objects, rank order the objects, and compare intervals or differences. It
is also meaningful to compute ratios of scale values. Not only is the difference
between 2 and 5 the same as the difference between 14 and 17, but also 14 is
seven times as large as two in an absolute sense. Common examples of ratio
scales include height, weight, and money.
In marketing, sales, costs, market share, and number of customers are

variables measured on a ratio scale. Ratio scales allow only proportionate
transformations of the form Y= bx, where b is a positive constant. One can not
add arbitrary constant, as in the case of an interval scale.
An example of this transformation is provided by the conversion of yards to feet

(b=3).The comparison between the objects is identical whether made in yards
or feet. All statistical techniques can be applied to ratio data. These include
specialized statistics such as geometric Mean, harmonic mean, and
coefficient of variation.
Sample Ratio –Scaled Questions
1. Please indicate your age.___________years.

2. Approximately how many times in the last week have you purchased
anything over birr 5 in value at Tele Bar?
0 1 2 3 4 5 more (specify__________)
3. How much do you think a typical purchase of a birr 100, 000 term life
insurance policy pays per year for that policy? Birr__________
4. What is the probability that you will use a lawyer‘s services when you are
ready to make a will? _______________percent.
8.3 Comparative vs. Non Comparative Scaling Techniques
8.3.1 A Comparative Scaling Technique (CST)
Comparative scale s is one of the two types of scaling techniques in which
there is direct comparison of stimulus objects with one another. For example,
respondents might be asked whether they prefer Coke or Pepsi. Comparative
scale data must be interpreted in relative terms and have only ordinal or rank
order properties.
The major benefit of comparative scaling is that small differences between
stimulus objects can be detected. As they compare the stimulus objects,
respondents are forced to choose between them.
The major disadvantages of comparative scaling include the ordinal nature of
the data and the inability to generalize beyond the stimulus objects scaled. For
example to compare RC cola to coke and Pepsi, the researcher would have to
do a new study. The previous study comparing coke and Pepsi would not be of
much use. These disadvantages are substantially overcome by non-
comparative scaling techniques.
Comparative scales can be divided into the following:
1) Paired Comparison: is defined as comparative scaling techniques in

which a respondent is presented with two objects at a time and asked to
select one object in the pair according to some criterion. The data obtained
are ordinal in nature. Paired comparison scales are frequently used when
the stimulus objects are physical products. Coca-Cola is reported to have
conducted more than 190,000 paired comparison s before introducing New
Coke. Comparative comparison scaling is the most widely used comparative
scaling technique. The most common method of taste testing is paired
comparison.
The consumer is asked to sample two different products and select the one
with the most appealing taste. Transitivity of preference: is defined as an
assumption made in order to convert paired comparison data to rank order
data. It implies that if brand A is preferred to brand B and brand B is
preferred to brand C, then brand A is preferred to brand C.
2) Rank Order: Is defined as a comparative scaling technique in which
respondents are presented with several objects simultaneously and asked to
order or rank them according to some criterion. For example, respondents
may be asked to rank brands of toothpaste according to overall preference.
These rankings are typically obtained by asking the respondents to assign a
rank of 1 to the most preferred brand, 2 to the second most preferred brand,
and so on, until a rank of n is assigned to the least preferred brand. Rank
order scaling is commonly used to measure preference for brands as well as
attributes. Rank order data are frequently obtained from respondents in
conjoint analysis , because rank order scaling forces the respondents to
discriminate among the stimulus objects.
Advantages
 It takes less time and process eliminates intransitive responses.

 If there are n stimulus objects, only (n-1) scaling decisions need be
made in rank order scaling.
 However, in paired comparison scaling, [n (n-1)/2] decisions would
be required.
 Most respondents easily understand the instructions for ranking.
Disadvantages
 This technique produces only ordinal data.
Preference for Toothpaste Brands Using Rank and Order Scaling
Rank the various brands of toothpaste in order of preference. Begin by picking

out the one brand that you like most and assign it a number 1.
Then, find the second most preferred brand and assign it a number 2.
Continue this procedure until you have ranked all the brands of toothpaste in
order of preference. The least preferred brand should be assigned a rank of 10.
No two brands should receive the same rank number.
The criterion of preference is entirely up to you. There is no right or wrong
answers. Just try to be consistent.
S/N Brand Rank Order

1 crest
2 Colgate
3 aim
4 gleam
5 sensodyne
6 ultra brite
7 Close up
8 pepsiodent
9 plus white
10 stripe
3) Constant Sum Scaling: is defined as comparative scaling techniques in
which respondents are required to allocate a constant sum of units such as
points, dollars, chits, stickers, or chips among a set of stimulus objects with
respect to some criterion. Respondents may be asked to allocate 100 points
to attributes of toilet soap in a way that reflects the importance they attach
to each attribute.
If an attribute is unimportant, the respondent assigns it zero points. If an
attribute is twice as important as some other attribute, it receives twice as
many points. The sum of all the points is 100. Hence, the name of the scale.
The attributes are scaled by counting the points assigned to each one by all
the respondents and dividing by the number of respondents.
Importance of toilet soap attributes using a constant sum scale.
Instructions
Below are eight attributes of toilet soaps. Please allocate 100 points among
the attributes so that your allocations reflect the relative importance you attach
to each other. The more points an attribute receives, the more important that
attribute is.
If an attribute is not at all important, assign it zero points. If an attribute is

twice as important as some other attributes, it should receive twice as many
points.
S/N Average Responses of Three Segments

Attributes Segment I Segment II Segment III
1 Mildness 8 2 4
2 Lather 2 4 17
3 Shrinkage 3 9 7
4 Price 53 17 9
5 Fragrance 9 0 19
6 Packaging 7 5 9
7 Moisturizing 5 3 20
8 Cleaning power 13 60 15
sum ……………………. 100 100 100
Analysis :
 Segment I attaches overwhelming importance to price.

 Segment II considers basic cleaning power to be of a prime
importance
 Segment III values lather, fragrance, moisturizing, and cleaning
power.
Such information cannot be obtained from rank order data unless they are
transformed into interval data. Note that the constant sum also has an
absolute zero-10 points are twice as many as 5 points, and the difference
between 5 and 2 points is the same as the difference between 57 and 54 points.
For this reason, constant sum scale data are sometimes treated as metric.
Although this may be appropriate in the limited context of this stimuli scaled,
these results are not generelizable to other stimuli not included in the study.
Hence strictly speaking, the constant sum should be considered an ordinal
scale because of its comparative nature and the resulting lack of generizablity.
Advantages
 It allows for fine discrimination among stimulus objects without

requiring too much time.
Disadvantages
 Respondents may allocate more or fewer units than those specified.

 For example a respondent may allocate 108 or 94 points.
 The researcher must modify such data in some way or
eliminate this respondent from analysis.
 Rounding error, if too few units are used.
 The use of a large number of units may be too taxing on
the respondent and cause confusion and fatigue.
4) Q-Sort and Other Procedures: is defined as a comparative scaling

techniques that uses rank order procedure to sort objects based on
similarity with respect to some criterion. This technique uses a rank
order procedure in which objects are sorted into piles based on similarity
with respect to some criterion. For example, respondents are given 100
attitude statements on individual cards and asked to place them into
11 piles , ranging from “ most highly agreed with “ to “ least highly
agreed with.”
The number of objects to be sorted should not be less than 60 nor more
than 140; 60 to 90 objects is a reasonable range. The number of objects to
be placed in each pile is prespecified, often to result in a roughly normal
distribution of objects over the whole set. For example , respondents may
be asked to indicate whether they agree or disagree with each of a series
of statements measuring attitude toward department stores.
Then, they assign a number between 0 to 100 to each statement to indicate

the intensity of their agreement or disagreement. Providing this type of
number imposes a cognitive burden on the respondents. Finally, mention
must be made of Guttmann scaling, or scalogram analysis, which is a
procedure for determining, whether a set of objects can be ordered into an
internally consistent, uni dimensional scale.
8.3.2 Non Comparative Scale (NCST)
NCST - is defined as one of two types of scaling techniques in which each

stimulus object is scaled independently of the other objects in the stimulus set.
The resulting data are generally assumed to be interval or ratio scaled. For
example, respondents may be asked to evaluate coke on a 1-to- 6 preference
scale (1=not at all preferred, 6 =greatly preferred). Similar evaluations would be
obtained for Pepsi and RC cola. Non - comparative scales can be further
classified as likert, semantic differential or staple scales. Non - comparative
scaling is the most widely used technique in marketing research.
Non comparative techniques consist of continuous and itemized rating scales.
i) Continuous Rating Scale : is referred to as a graphic rating scale , this

measurement scale has the respondents rate the object by placing a mark at
the appropriate position on a line that runs from one extreme of the criterion
variables to the other. Thus, the respondents are not restricted to selecting
form marks previously set by the researcher. The form of the continuous scale
may vary considerably. For example, the line may be vertical or horizontal;
scale points, in the form of numbers or brief descriptions, may be provided;
and, if provided, the scale points may be few or many.
Three version of a continuous rating scale are illustrated below.
How would you rate Tana Department store?
Version 1
Probably the Worst…………I………………………………………..Probably the Best
Version 2
Probably the Worst…………I………………………………………..Probably the Best
0 10 20 30 40 50 60 70 80 90 100
Version 3
Probably the Worst……………………I……………………......Probably the Best
0 10 20 30 40 50 60 70 80 90 100
Once the respondent has provided the ratings, the researcher divides the line
into as many categories as desired and assigns scores based on the categories
into which the ratings fall.
Advantages
 They are easy to construct.
Disadvantages
 Scoring is cumbersome and unreliable.

 Continuous scales provide little new information.
 Hence, their use in marketing research has been limited.
ii) Itemized Rating Scale (IRS): is a measurement scale having numbers

and/ or brief descriptions associated with each category. The categories are
ordered in terms of scale position and the respondents are required to select
the specified category that best describes the object being rated. Itemized
rating scales are widely used in marketing research and form the basic
components of more complex scales , such as multi-item ratings scales.
The most commonly used rating scales are the likert, semantic differential and
staple scales, and then examine the major issues surrounding the use of these
scales.
1) Likert Scale (LS): is a measurement scale with five response categories

ranging from “ strongly disagree” to “ strongly agree” , which requires the
respondents to indicate a degree of agreement or disagreement with each
of a series of statements related to the stimulus objects. A likert scale can
be used for evaluating attitudes towards Tana department store.
Project Research Using Likert Scale
Instructions
Listed below are different opinions about Tana department stores. Please
indicate how strongly you agree or disagree with each by using the following
scale:
1= strongly disagree
2= Disagree
3= neither agree nor disagree
4= agree
5= strongly agree
Strongl Disagree Neither Agre Strongl

y agree e y agree
S/N Attributes Disagre nor
e disagree
1 Tana sells high quality
merchandise 1 2 3 4 5
2 Tana has poor in-store service 1 2 3 4 5

3 I like to shop at Tana 1 2 3 4 5
4 Tana does not offer good mix 1 2 3 4 5
different brands within a product
category.
5 The credit policies at tana are 1 2 3 4 5
terrible.
6 Tana is where Ethiopia shops. 1 2 3 4 5
7 I do not like the advertising done 1 2 3 4 5
by Tana.
8 Tana sells a wide variety of 1 2 3 4 5
Merchandise.
9 Tana charges fair prices. 1 2 3 4 5
Analysis
To conduct the analysis, each statement is assigned a numerical score, ranging

either from -2 to +2 or 1 to 5. The analysis can be conducted on an item-by-
item basis (profile analysis), or a total (summated) score can be calculated for
each respondent by summing across items. LS is also called the summated
scale. Note that for a negative statement, an agreement reflects an unfavorable
response, whereas for a positive statement, agreement represents a favorable
response.
Accordingly, a “strongly agree” response to a favorable statement and a

“strongly disagree” response to an unfavorable statement would both receive
scores of 5. In the scale shown above, if a higher score is to denote a more
favorable attitude, the scoring of items 2, 4, 5, and 7 will be reversed. Thus, the
respondent in the department store project example has an attitude score of
22. Each respondent’s total score for each store is calculated. A respondent will
have the most favorable attitude toward the store with the highest score.
Advantages
 It is easy to construct and administer.

 Respondents readily understand how to use the scale, making it
suitable for mail, telephone, or personal interviews.
Disadvantages
 It takes longer to complete than other itemized rating scales

because respondents have to read each statement.
2) Semantic Differential (SD): is a 7 –point rating scale with endpoints
associated with bipolar labels that have semantic meaning. In a typical
application, respondents rate objects on a number of itemized, 7-point
scales bounded at each end by one of two bipolar adjectives, such as “cold”
and “warm.”
Project Research on Semantic Differential Scale
Instructions
This part of the study measures what certain department stores mean to you
by having you judge them on a series of descriptive scales bounded at each end
by one of two bipolar adjectives.
Please Mark (X) the blank that best indicates how accurately one or the other
adjectives describes what the store means to you. Please be sure to mark every
scale; do not omit any scale.
Form
Tana is:
Powerful ____/_____/_____ /_____/__X___/_________/_______/ Weak
Unreliable ____/_____/_____ /_____/__X___/_________/_______/ Reliable
Modern ____/_____/_____ /_____/_____/_________/___X____/ Old-fashioned
Cold ____/_____/_____ /_____/_____/_____X____/_______/ Warm
Careful ____/__X__/_____ /_____/__ __/_________/_______/ Careless
A semantic differential Scale for measuring self-concepts, person concepts, and

product concepts.
1. Rugged /___/____/____/____/_____/_____/_____/ Delicate

2. Excitable /___/____/____/____/_____/_____/_____/ Calm
3. Uncomfortable /___/____/____/____/_____/_____/_____/ comfortable
4. Dominating /___/____/____/____/_____/_____/_____/ submissive
5. Thrifty /___/____/____/____/_____/_____/_____/ Indulgent
6. Pleasant /___/____/____/____/_____/_____/_____/ unpleasant
7. Contemporary /___/____/____/____/_____/_____/_____/ Non contemporary
8. Organized /___/____/____/____/_____/_____/_____/ Unorganized
9. Rational /___/____/____/____/_____/_____/_____/ Emotional
10. Youthful /___/____/____/____/_____/_____/_____/ Mature
11. Formal /___/____/____/____/_____/_____/_____/Informal
12. Orthodox /___/____/____/____/_____/_____/_____/ liberal
13. Complex /___/____/____/____/_____/_____/_____/ simple
14. Colorless /___/____/____/____/_____/_____/_____/ colorful
15. Modest /___/____/____/____/_____/_____/_____/ Vain
Analysis
Individual items on a semantic differential scale may be scored on a -3 to + 3

or a 1-to-7 scale. The resulting data are commonly analyzed through profile
analysis. In profile analysis, means or median values on each rating scale are
calculated and compared by plotting or statistical analysis. This helps
determine the overall differences and similarities among the objects.
To assess differences across segments of respondents, the researcher can

compare mean responses of different segments. Although the mean is most
often used as a summary statistics, there is some controversy as to whether
the data obtained should be treated as an interval scale. On the other hand, in
cases when the researcher requires an overall comparison of objects, such as
to determine store preference, the individual item scores are summed to arrive
at a total score.
Its versatility makes the semantic differential a popular rating scale in

marketing research. It has been widely used in comparing brand, product, and
company images. It has also been used to develop advertising and promotion
strategies and in new product development studies. Several modifications of
the basic scale have been proposed.
3) Staple Scales (SS): is a scale for measuring attitudes that consists of
single adjectives in the middle of an even –numbered range of values, from -
5 to +, without a neutral point (Zero). This scale is usually presented
vertically. Respondents are asked to indicate how accurately or inaccurately
each term describes the object by selecting an appropriate numerical
response category. The higher the number, the more accurately the term
describes the object, as shown in the department store project. Several
modifications of the basic scale have been proposed.
Project Research on Staple Scale
Instructions
Please evaluate how accurately each word or phrase describes each of the
department stores. Select a plus number for the phrases you think describe the
store accurately. The more accurately you think the phrase describes the store,
the larger the plus number you should choose. You should select a minus
number for phrases you think do not describe it accurately. The less accurately
you think the phrase describes the store, the larger the minus number you
should choose. You can select any number, from + 5 for phrases you think
are +5 +5
+4 +4
+3 +3
+2 +2
+1 +1
very accurate, to – 5 for phrases you think are very inaccurate.
High Quality Poor Service
-1 -1
-2 -2
-3 -3
-4 -4
-5 -5
Non Comparative Itemized Rating Scale Decisions
The researcher must be made six major decisions when constructing any of
these scales.
1. The Number of Scales Categories to Use.

Two conflicting considerations are involved in deciding the number of scales
categories. On the other hand, most respondent can not handle more than a
few categories. Traditional guidelines suggest that appropriate number of
categories should be seven plus or minus two: between five and nine. Yes there
is single optimal number of categories. Several factors should be taken into
account in deciding on the number of categories. If the respondents are
interested in the scaling task and are knowledgeable about the objects, a larger
number of categories may be employed.
On the other hand, if the respondents are not very knowledgeable or involved
with the task, fewer categories should be used. Likewise, the nature of the
objects is also relevant. Some objects do not lend themselves to fine
discrimination, so a small number of categories is sufficient. Another
important factor is the mode of data collection.
If telephone interviews are involved, many categories may confuse the

respondents. Likewise, space limitations may restrict the number of categories
in mail questionnaires. How the data are to be analyzed and used should also
influence the number of categories. In situations where several scale items are
added together to produce a single score for each respondent, five categories
are sufficient. The same is true if the researcher wishes to make broad
generalizations or group comparisons. The same is true if the researcher
wishes to make broad generalizations or group comparisons.
2. Balanced Versus Unbalanced Scale: Balanced scale is a scale with an
equal number of favorable and unfavorable categories. Examples of
balanced and unbalanced scales are given below:
Balanced and Unbalanced Scales
Balanced Scale Unbalanced Scales
Musk For Men is : Musk for men is :
Extremely Good ______________ Extremely Good ________________
Very Good ________________ Very Good __________________
Good ________________ Good ________________
Bad _____________________
Very Bad ___________________ Very Bad _____________________
Extremely Bad _____________________ Extremely Bad ____________________
In general the scale should be balanced in order to obtain objective data.

However, if the distribution of responses is likely to be skewed, either positively
or negatively, an unbalanced scale with more categories in the direction of
skewness may be appropriate. If an unbalanced scale is used, the nature and
degree of unbalance in the scale should be taken into account in data analysis.
3. Odd or Even Number Categories: With an odd number of categories, the
middle scale position is generally designated as neutral or impartial. The
presence, position, and labeling of a neutral category can have a significant
influence on the response. The likert scale is balanced rating scale in the
scale should be taken into account in data analysis.
The decision to use an odd or even number of categories depends on

whether some of the respondents may be neutral on the response being
measured. If, on the other hand , the researcher wants to force a response
or believes that no neutral or indifferent responses exists , a rating scale
with an even number of categories no neutral or indifferent response exists
, a rating scale with an even number of categories should be used. A
related issue is whether the scale should be forced or none forced.
4. Forced Versus Non Forced Choice: A forced scale is a rating scale that
forces the respondents to express an opinion because “no opinion” or “no
knowledge “option is not produced. In such a case, respondents without an
opinion may mark the middle scale position. If a sufficient proportion of the
respondents do not have opinions on the topic , marking the middle
position will distort measures of central tendency and variance. In
institutions where the respondents are expected to have no opinions, as
opposed to simply being reluctant to disclose it, the accuracy of data may be
improved by a non-forced scale that includes a “no opinion” category.
5. The Nature and Degree of the Verbal Description: The nature and
degree of verbal description associated with scale categories varies
considerably and can have an effect on the responses. Scale categories may
have verbal, numerical, or even pictorial descriptions. Furthermore, the
researcher must decide whether to label every scale category, some scale
categories, or only extreme scale categories. Surprisingly, providing a verbal
description for each category may not improve the accuracy or reliability of
the data. Yet an arrangement can be made for labeling all or many scale
categories to reduce scale ambiguity.
The category descriptions should be located as close to the response

categories as possible. The strength of adjectives used to anchor the scale
may influence the distribution of the responses. With strong anchors (1=
completely disagree, 7 = completely agree), respondents are less likely to use
the extreme scale categories. This results in less variable and more peaked
response distributions. Weak anchors (1= generally disagree, 7= generally
agree), in contrast, produce uniform or flat distributions. Procedures have
been developed to assign values to category descriptors so as to result in
balanced or equal –interval scales.
6. The Physical Form of the Scale: A number of options are available with
respect to scale form or configuration. Scales can be presented vertically or
horizontally. Categories can be expressed by boxes, discrete lines, or units
on a continuum and may or may not have numbers assigned to them. If
numerical values are used, they may be positive, negative, or both.
A variety of scale configurations may be employed to measure the gentleness of cheer
detergent. Some examples include:
Cheer detergent is :
Rating Scales Configurations

1. Very harsh ___ _____ _____ _______ ______ ____ _____ Very gentle
1 2 3 4 5 6 7
2. Very harsh 1 2 3 4 5 6 7 Very gentle
3.
Very good
Neither harsh Nor gentle
4. _________ ____ _____ ____________ _________ ________ ___________ ______________

Very harsh Harish Somewhat harsh Neither harsh somewhat Gentle gentle Very gentle
nor gentle
5.
-3 -2 -1 0 +1 +2 +3
Very Harish Neither 0harsh Very gentle

nor gentle
The following table summarizes the six decisions in designing rating scales.
Summary of itemized Rating scales Decisions

1 Number of categories although there is no single , optimal number
traditional guidelines suggest that there
should be between five and nine categories.
2 balanced versus unbalanced In general, the scale should be balanced to
obtain objective data.
3 odd or even number categories If a neutral or indifferent scale response is

response is possible from at least some of the
respondents, an odd number of categories
should be used.
4 forced versus nonforced In situations where the respondents are
expected to have opinion, the accuracy of
data may be improved by a non-forced scale.
5 verbal description An argument can be made for labeling all or
many scale categories. The category
descriptions should be located as close to the
response categories as possible.
6 Physical form A number of options should be tried and the
best one selected.
The following table presents some commonly used scales. These scales as
having five categories, the number of categories can be varied depending upon
the judgment of the researcher.
Some Commonly Used Scales in Marketing
Construct Scale Descriptors
Attitude Very Bad Bad Neither Bad Good Very Good
Nor Good
Importance Not At All Not Neutral Important Very
Important Important Important
Satisfaction Very Dissatisfied Neither Satisfied Very
Dissatisfied Dissatisfied Satisfied
Nor
Satisfied
Purchase Definitely Probably Might Or Probably Definitely
Intent Will Not Not Buy Might Not Will Buy Will Buy
Buy Buy
Purchase Never Rarely Sometimes Often Very Often
Frequency
Multi-Item Scale
The development of multi-item scales requires considerable technical expertise.

The figure is a paradigm for constructing multi-item scales.
Development of a multi item scale
Develop a Theory
Generate An Initial Pool Of Items:
Theory, Secondary Data, and Qualitative Research
Select A Reduced Set Of Items Based On Qualitative Judgment
Collect Data from a Large Pretest Sample
Perform Statistical Analysis
Develop a Purified Scale
Collect More Data from A Different Sample
Evaluate Scale Reliability, Validity, and Generalizablity
Prepare the Final Scale
The characteristics to be measured are frequently called a construct. Scale

development begins with an underlying theory of the construct being
measured. A theory is necessary not only for constructing the scale but also for
interpreting the resulting scores. The next step is to generate an initial pool of
scale items. Typically, this is done based on theory, analysis of secondary data,
and qualitative research.
From this pool, a reduced set of potential scale items is generated by the
judgment of the researcher and other knowledgeable individuals. Some
qualitative criterion is adopted to aid their judgment.
The reduced set of items is still too qualitative criterion is adopted to aid their
judgment. The reduced set of items is large to constitute a scale. Thus, further
reduction is achieved in a quantitative manner. Data are collected on the
reduced set of potential scale items from a large pretest sample of respondents.
The data are analyzed using techniques such as correlations, factor analysis,
cluster analysis, discriminant analysis. As a result of this statistical analysis,
several more items are eliminated, resulting in a purified scale. The purified
scale is evaluated for reliability and validity by collecting more data from a
different sample. One the basis of these assessments, a final set of scale items
is selected.
Measuring technical sophistication with a technically sophisticated scale.
The following multi-item scale measures the technical sophistication of a

product line.
1 Technical 1 2 3 4 5 6 7
2 Low Engineering 1 2 3 4 5 6 7
Content
3 Fast Changing 1 2 3 4 5 6 7
4 Unsophisticated 1 2 3 4 5 6 7
5 Commodity 1 2 3 4 5 6 7
6 Unique 1 2 3 4 5 6 7
7 Complex 1 2 3 4 5 6 7
Item 1, 3, 6, and 7 are reversed when scoring. This scale can be used in
industrial marketing to measure the technical sophistication of a customer‘s
product line and suggest changes to improve technical quality.
Critical Thinking Discussion Questions
1. Briefly describe the difference between attitude rating scales and ranking scales
and indicate when the two are used.
2. Why is it important to establish the “goodness” of measures and how is this
done?
3. Construct a semantic differential scale to assess the properties of a particular
brand of coffee or tea.
4. Whenever possible, it is advisable to use instruments that have already been
developed and repeatedly used in published studies, rather than develop our own
instruments for our studies. Do you agree? Discuss the reasons for your answer.
5. “A valid instrument is always reliable, but a reliable instrument may not always
be “valid “. Comment on this statement.
Chap - 10 Designing Data Collection Forms
Chapter objectives:
 Define what a questionnaire is?
 Describe Objectives of Questionnaires
 Examine types of questionnaires
 Explore the questionnaire designing process
9.1 Definition of a Questionnaire
A Questionnaire is a structured technique for data collection that consists of a series of

questions, written or verbal, that a respondent answers.
Typically, a questionnaire is only one element of a data collection package that might also
include:
 Fieldwork procedures, such as instructions for selecting, approaching, and

questioning respondents.
 Some reward, gift, or payment offered to respondents; and
 Communication aids, such as maps, pictures, advertisements, and products as in
personal interviews and return envelops in mail surveys.
9.2 Objectives of Questionnaires
Any questionnaires have three specific objectives:
 It must translate the information needed into a set of specific questions that the
respondents can and will answer.
 Developing questions that respondents can and will answer yield the
desired information is difficult.
 Two apparently similar ways of posing a question may yield different
information.
 Hence, this objective is a challenge.
 A questionnaire must uplift, motivate, and encourage the respondent to become
involved in the interview, to cooperate, and to complete the interview.
 In designing a questionnaire, the researcher should strive to minimize
respondent fatigue, boredom, incompleteness, and nonresponsive.
 A well-designed questionnaire can motivate the respondents and increase
the response rate.
 A questionnaire should minimize response error.
 A questionnaire can be a major source of response error.
 Minimizing this error is an important objective of questionnaire design.
9.3 Questionnaire Design Process
Specify the information needed
Specify the type of interviewing method
Determine the content of individual question
Design the questions to overcome the respondent’s inability and unwillingness to answer
Decide on the question structure.
Determine the question wording
Arrange the questions in proper order
Identify the form and layout
Reproduce the questionnaire.
Eliminating bugs by pretesting.
1. Specify Information Needed: The information needed becomes more and more clearly
defined. It is helpful to review components of the problem and the approach, particularly the
research questions, hypotheses and the information needed. To further ensure that the
information obtained fully addresses all the components of the problem, the researcher
should prepare a set of dummy tables. It is also important to have a clear idea of the target
population. The characteristics of the respondent group have a great influence on
questionnaire design. Questions that are appropriate for college students may not appropriate
for housewives. Understanding is related to respondent socioeconomic characteristics.
Furthermore, poor understanding is associated with a high incidence of uncertain or no-
opinion responses. The more diversified the respondent group, the more difficult it is to
design a single questionnaire that is appropriate for the entire group.
2. Type of Interviewing Method: An appreciation of how the type of interviewing method

influences questionnaire design can be obtained by considering how the questionnaire is
administered under each method. In personal interviews, respondents see the questionnaire
and interact face to face with the interviewer. Thus, lengthy, complex, and varied questions
can be asked. In telephone interviews, the respondents interact with the interviewer, but they
do not see the telephone interviewers, the respondents interact with the interviewer, but they
do not see the questionnaire. This limits the type of questions that can be asked to short and
simple ones. Mail questionnaires are self-administered, so the questions must be simple and
detailed instruction must be provided. In computer-assisted interviewing (CAPI and CATI),
complex skip patterns and randomization of questions to eliminate order bias can be easily
accommodated. Internet questionnaires share many of the characteristics of CAPI, but e-mail
questionnaires have to be simpler. Questionnaires designed for personal and telephone
interviews, should be written in a conversational style.
3. Individual Question Content: Once the information needed is specified and the type of
interviewing method decided, the next step is to determine individual question content: what
to include in individual questions.
4. Is the Question Necessary? Every question in a questionnaire should contribute to the

information needed or serve some specific purpose. If there is no satisfactory use for the data
resulting from a question, that question should be eliminated. In certain situations, however,
questions may be asked that are not directly related to the information that is needed. It is
useful to ask some neutral questions at the beginning of the questionnaire is sensitive or
controversial. Sometimes filler questions are asked to disguise the purpose or sponsorship of
the project. Rather than limiting the questions to the brand of interest, questions about
competing brands may also be included to disguise the sponsorship. For example, a survey
on personal computers sponsored by IBM may also include filler questions related to Dell
and Apple. Questions unrelated to the immediate problem may sometimes be included to
generate client support for the project. At times, certain questions may be duplicated for the
purpose of assessing reliability or validity?
5. Are Several Questions Needed Instead of One? Once we have ascertained that a question
is necessary, we must make sure that it is sufficient to get the desired information.
Sometimes, several questions are needed to obtain the required information in an
unambiguous manner. “Do you think Coca-Cola is a tasty and refreshing soft drink?”
(Incorrect) A “yes” answer will presumably be clear, but what if the answer is “no”? Does
this mean that the respondent thinks that Coca-Cola is not tasty, that it is not refreshing, or
that it is neither tasty nor refreshing? Such a question is called double –barreled questions,
because two or more questions are combined into one. To obtain the required information,
two distinct questions should be asked: Do you think Coca-Cola is a tasty soft drink?” Do
you think Coca-Cola is a refreshing soft drink?”
6. Overcoming Inability to Answer: Researchers are not assuming that respondents can
provide accurate or reasonable answers to all questions. The researcher should attempt to
overcome the respondent’s inability to answer. Certain facts limit the respondent’s ability to
provide the desired information. The respondents may not be informed, may not remember,
or may be unable to articulate certain types of responses.
7. Is the respondent informed? Respondents are often asked about topics on which they are not
informed. A husband may not be informed about the expenses for groceries and department
store purchases, if it is the wife who makes these purchases, or vice versa. Research has
shown that respondents will often answer questions even though they are uninformed. In
situations, where not all respondents are likely to be informed about the topic of interest,
filter questions that measure familiarity, product use, and past experience should be asked
before questions, about the topics themselves. Filter questions enable the researcher to filter
out respondents who are not adequately informed.
8. Can The Respondent Remember? Many things that we might expect everyone to know are
remembered by only a few. Test this out on yourself.
Can you answer the following?
 What is the brand name of the shirt you were wearing two weeks ago?
 What did you have for lunch a week ago?
 What were you doing a month ago at noon?
 How many gallons of soft drinks did you consume during that last 4 weeks?
These questions are incorrect because they exceed the ability of the respondents to remember.
 Evidence indicates that consumers are particularly poor at remembering

quantities of products consumed.
 In situations, where factual data were available for comparison, it was found
that consumer reports of product usage exceeded actual usage by 100 % or
more.
 Thus , soft drink consumption may be obtained by asking:
How often do you consume soft drinks in a typical week?
 _____________less than once a week?

 _____________1 to 3 times per week
 _____________4 to 6 times per week
 ____________7 or more times per week.
The inability to remember leads to errors of omissions, telescoping, and creation.
 Omissions are the inability to recall an event that actually took place.
 Telescoping takes place when an individual telescopes or compresses time by
remembering an event as occurring more recently than it actually occurred.
 For example, a respondent reports three tips to supermarket in the last two weeks
when, in fact, one of these trips was made 18 days ago.
 Creation error takes place when a respondent “remembers “an event that did not
actually occur.
The ability to remember an event is influenced by:
 The event itself,

 The time elapsed since the event, and
 The presence or absence of events that would aid memory.
9. Can The Respondents Articulate? Respondents may be unable to articulate certain types of
responses. For example, if asked to describe the atmosphere of the department store they
would prefer to patronize, most respondents may be unable to phrase their answers. On the
other hand, if the respondents are provided with alternative descriptions of store atmosphere,
they will be able to indicate the one they like the best. If the respondents are unable to
articulate their responses to a question, they are likely to ignore that question and may refuse
to respond to the rest of the questionnaire. Thus, the respondents should be given aids such as
pictures, maps, and descriptions to help them articulate their responses.
10. Overcoming Unwillingness to Answer
Even if respondents are able to answer a particular question, they may be unwilling to do so ,
either because too much effort is required , the situation or context may not seem appropriate
for disclosure , no legitimate purpose or need for the information requested is apparent , or the
information requested is sensitive.
 Context: some questions may seem appropriate in certain contexts but not in others.
 For example, questions about personal hygiene habits.
 Legitimate purpose: respondents are also unwilling to divulge information that they
do not see as serving a legitimate purpose.
 Why should firm marketing cereals want to know their age, income, and
occupation?
 Sensitive information: respondents are unwilling to disclose, at least accurately,

sensitive information because this may cause embarrassment or threaten the
respondent’s prestige or self –image.
 If pressed for the answer, respondents may give biased responses, especially during
personal interviews.
 Sensitive topics include money, family life, political and religious beliefs, and
involvement in accidents or crimes.
Increasing the Willingness of Respondents
Respondents may be encouraged to provide information that they are unwilling to give by the
following techniques:
1) Place sensitive topics at the end of the questionnaire. By then, initial mistrust has been
overcome, rapport has been created, the legitimacy of the project has been established, and
respondents are more willing to give information.
2) Preface the question with a statement that the behaviour of interest is common. For example,
before requesting information on credit, say, “recent studies show that most Americans are in
debt.” This technique, called the use of counter biasing statements.
Choosing Questions Structures
A question may be unstructured or structured.
Unstructured questions (UQ)
 UQ are open –ended questions that respondents answer in their own words.
 They are also referred to as free-response or free –answer questions.
The following are some examples:
 What is your occupation?

 What do you think of people who patronize discount department stores?
 Who is your favorite political figure?
Structured Questions (SQ)
 SQ is questions that prespecifiy the set of response alternatives and the response
format.
 A structured question could be multiple choices, dichotomous, or a scale.
Multiple Choices
In multiple choices –questions, the researcher provides a choice of answers and respondents are
asked to select one or more of the alternatives given.
Do you intend to buy a new car within the next six months?
______ definitely will not buy.
________Probably will not buy.
______ Undecided
______ probably will buy.
_______Definitely will buy.
_______Other (please specify).
Advantages
 Overcome the disadvantages of open-ended questions, because interviewer bias is

reduced and these questions are administered quickly.
 Also, coding and processing of data are much less costly and time consuming.
 In self-administered questionnaires, respondent cooperation’s is improved if the
majority of the questions are structured.
Disadvantages
 Considerable time is required to design effective multiple-choice questions.

 Exploratory research using open-ended questions may be required to determine the
appropriate response alternatives.
 Even if an “other (please specify)”category is included, respondents the list of
possible answers produces biased responses.
 There is also the potential for order bias. (Order or position bias is a respondent’s
tendency to check an alternative merely because it occupies a certain position or
is listed in a certain order.)
Dichotomous Questions (DQ)
 A DQ is a structured question with only two response alternatives, such as yes and
no; agree or disagree, and so on.
 Often the two alternatives are supplemented by a neutral alternative, such as “no
opinion”, “don’t know,” “both” or “none”.
 Do you intend to buy a new car within the next six months?
 _______Yes
 _______No
 _______Don’t Know
Scale (See Chapter on Measurement)
Scale is the generation of a commitment upon which measured objects are located.
Do you want to buy a new car with in the next six months?
Definitely Probably Won’t Undecided Probably Will Definitely Will

Won’t Buy Buy Buy Buy
1 2 3 4 5
Choosing Questions Wording
Question wording is the translation of the desired question content and structure into words that
respondents can clearly and easily understand.
To avoid these problems, we offer the following guidelines:
1) Define the issue,

2) Use ordinary words,
3) Avoid implicit assumptions,
4) Avoid leading questions,
5) Avoid implicit alternatives,
6) Avoid implicit assumptions,
7) Avoid generalizations and estimates, and
8) Use positive and negative statements
1) Define the issue
A question should clearly define the issue being addressed.
For example:
 Which brand of shampoo do you use? …………………….Incorrect.

 Which brand or brands of shampoo have you personally used at home during the
last month? In case of more than one brand, please list all the brands that apply?
……………………………………Correct.
2) Use Ordinary Words
 Ordinary words should be used in a questionnaire and they should match the
vocabulary level of respondents.
 When choosing words, keep in mind that the average in the USA has a high school
level, not a college, education.
 For certain respondent groups, education level is even lower.
 Most respondents do not understand technical marketing words.
 For example, instead of asking:
 “Do you think the distribution of soft drinks is
adequate?”…………….incorrect.
 “Do you think soft drinks are readily available when you want to buy
them?................correct.
3) Avoid Implicit Assumptions
 The words used in questionnaires should have a single meaning that is known to the
respondents.
 A number of words that appear to be unambiguous have different meanings to
different people.
 These includes “ usually”, “ normally”, “ frequently,” “ often, “regularly,”
occasionally,” and “ sometimes”.
Consider the following question:
In a typical month, how often do you shop in department stores?
 ____________Never.
 ____________Occasionally.
 ____________ Sometimes.
 ____________ 3 or 4 times.
 ___________ More than 4 times.
In deciding on the choice of words, researchers should consult a dictionary and thesaurus and ask
the following questions of each word used:
 Does it mean what we intended?

 Does it have any other meanings?
 If so, does the context make the intended meaning clear?
 Does the word have more than one pronunciation?
 Is there any word of similar pronunciation that might be confused with this word?
 Is a supplier word or phrase suggested?
4) Avoid Leading Questions

 A leading question that gives the respondent a clue as to what answer is desired
or leads the respondent to answer in a certain way.
 Do you think that patriotic Ethiopians should buy imported automobiles when
that would put Ethiopian labor out of work?
 ____________yes
 ___________No
 ___________ Don’t Know.
 This question would lead respondents to a “No” answer.
 A better question would be :
 Do you think Ethiopians should buy imported automobiles?
 ____________Yes
 ___________ No
 ___________ Don’t Know.
 Bias may also arise when respondents are given clues about the sponsor of the
project. Respondents tend to respond favorably toward the sponsor.
 The question,
 “Is collegiate your favorite toothpaste?” is likely to bias the
responses in favor of a colligate.
 A more unbiased way of obtaining this information would be to ask,
 “What is your favorite toothpaste brand?” .
 Likewise, the mention of a prestigious or non prestigious name can bias the
responses, as in,
 “Do you agree with Ethiopian Dental association that colligate

is effective in preventing cavities?”
 An unbiased question would be to ask,

 “Is colligate effective in preventing cavities?”
5) Avoid Implicit Alternatives

 Questions should not be worded so that the answer is dependent upon implicit
assumptions about what will happen as consequences.
 Implicit assumptions are assumptions that are not stated in the questions, as in the
following example.
1) Do you like to fly when travelling short
distances:……………….incorrect
2) Do you like to fly when traveling short distances, or would you
rather drives?.........correct .
 In the first question, the alternative of driving is only implicit, but in the second
question, it is explicit.
 The first question is likely to yield a greater preference for flying than the second
question.
6) Avoid Implicit Assumptions
 Questions should not be worded so that the answer is dependent upon implicit
assumptions about what will happen as a consequence.
 Implicit assumptions are assumptions that are not stated in the question, as in the
following example.
1) Are you in favor of a balanced budget? …………..incorrect.
2) Are you in favor of a balanced budget if it would result in an increase
in the personal income tax? ..........correct.
 Implicit in question 1 are the consequences that will arise as a result of a balanced
budget.
 There might be a cut in defense expenditures, increase in personal income tax, cut in
social programs, and so on.
 Question 2 is a better way to word this question.
 Questions 1 ‘s failure to make its assumptions explicit would result in
overestimating the respondents support for a balanced budget.
7) Avoid Generalizations and Estimates
 Questions should be specific, not general.
 Moreover, questions should be worded so that the respondent does not have to make
generalization or compute estimates.
 Suppose we were interested in households annual per capit expenditure on groceries.
 If we asked respondents:
 “What is the annual per capit expenditure on groceries in your
household?”……………..incorrect.
 A better way of obtaining the required information would be to ask the respondents
two simple questions:
 “What is the monthly or weekly expenditure on groceries in your
household?”
 “How many members can then perform the necessary
calculations?”………………….correct.
8) Dual statements : Positive and Negative Statements
 Many questions, particularly those measuring attitude and lifestyles, are
worded as statements to which respondents indicate their degree of agreement
or disagreement.
 Evidence indicates s that the response obtained is influenced by the
directionality of the statements: whether they are stated positively or
negatively.
 In these cases it is better to use dual statements, some of which are positive and
the others negative.
 Two different questions could be prepared.
 One questionnaire would contain half negative and half positive statements in
an interspersed way.
 The direction of these statements would be reversed in the other questionnaire.
(See summated likert scale).
Determining the Order of Questions
Opening questions
 The opening questions can be crucial in gaining the confidence and cooperation of
respondents.
 The opening questions should be interesting, simple, and nonthreatening.
 Questions that ask respondents for their options can be good opening questions,
because most people like to express their opinions.
 “Opening opinion question opens the door to cooperation.”
 To begin with, I‘d like to know much do you like living in this (town/city)?
 Would you say you like it a lot, a little, or not too much?”
 A lot _____________
 A little ___________
 Not too much ________
 Don’t Know ___________
9.4 Type of Information in a Questionnaire
The type classification information obtained in a questionnaire may be classified as:
1. Basic information: relates directly to the research problem.

2. Classification information: consisting of socioeconomic and demographic characteristics, is
used to classify the respondents and understand the result.
3. Identification information: a type of information obtained in a questionnaire that includes
name, address, e-mail address, and phone numbers.
Difficult Questions
 Difficult questions or questions that are sensitive, embarrassing, complex, or dull

should be placed late in the sequence.
 After rapport has been established and the respondents become involved, they are
less likely to object to these questions.
 Thus, in the department store project, information about credit card and debt was
asked at the end of the section on basic information.
 Likewise, income should be the last question in the classification section, and
telephone number the final item in the identification section.
Effect of Subsequent Questions
 Questions asked early in a sequence can influence the responses to subsequent

questions.
 As a rule of thumb, general questions should precede specific questions.
 Thus, in the department store project, information about credit card debt was asked
at the end of the section on basic information.
 Likewise, income should be the last question in the classification section, and
telephone number the final item in the identification section.
Effect on Subsequent Questions
 Questions asked early in a sequence can influence the response to subsequent

questions.
 As a rule of thumb, general questions should precede specific questions.
 This prevents specific questions from biasing responses to general questions.
Consider the following sequence of questions:
Q1: “What considerations are important to you in selecting a department store?””

Q2: in selecting a department store, how important is convenience of location?”
 Note that the first question is general, whereas the second is specific.
 This is the correct sequence.
 If the questions were asked in the reverse order , respondents would be clued
about convenience of location and would likely to give this response to the
general question.
 Funnel approach is a synergy for ordering questions in a questionnaire in which
the sequence starts with general questions that are followed by progressively
specific questions in order to prevent specific questions from biasing general
question.
Pretesting
 Refers to the testing of the questionnaire on a small sample of respondents to

identify and eliminate potential problems.
 Even the best questionnaire can be used in the field of survey without adequate
pretesting.
 As a general rule, a questionnaire should not be used in the field survey without
adequate pretesting.
 A pretest should be extensive.
 All aspects of the questionnaire should be twisted, including question content,
wording, sequences, form and layout, question difficulty, and instructions.
 The respondents in the pretest should be similar to those who will be included in
the actual survey in terms of background characteristics, familiarity with the
topic, and attitudes and behaviors of interest.
 In other words, respondents for the pretest and for the actual survey should be
drawn from the same populations.
 Pretests are best done by personal interviews, even if the actual survey is to be
conducted by mail, telephone, or electronic means, because interviewers can
observe respondents reactions and attitudes.
 After the necessary changes have been made, another r pretest could be conducted
by mail, telephone, or electronic means if those methods are to be used in the
actual survey.
 The latter pretests should reveal problems peculiar to the interviewing method.
 To the extent possible, a pretest should involve administering the questionnaire in
an environment and context similar to that of the actual survey.
9.5 Questionnaire Design Check List
Step 1: Specify the information needed.
 Ensure that the information obtained fully address all the components of the
problem. Review components of the problem and the approach, particularly the
research question, hypothesis, and the information needed.
 Prepare a set of dummy tables.
 Have a clear idea of the target populations.
Step 2: specify the type of interviewing method.
 Review the type of interviewing determined based on considerations.
Step 3: Determine the content of individual questions.
 Is the question necessary?

 Are several questions needed instead one to obtain the required information in an
unambiguous manner?
 Do not double –barreled questions.
Step 4: design the questions to overcome the respondent’s inability and unwillingness to
answer.
 Is the respondent informed?
 If respondents are not likely to be informed, filter questions that measure
familiarity, product use, and past experience should be asked before questions
about the topics themselves.
 Can the respondent remember?
 Avoid errors of omissions, telescoping, and creation.
 Questions that do not provide the respondent with cues can underestimate the
actual occurrence of an event.
 Can the respondent articulate?
 Minimize the effort required of the respondents.
 Is the context in which the questions are asked appropriate?
 Make the request for information seem legitimate.
 If the information is sensitive.
 Place sensitive topics at the and of the questionnaire.
 Preface the question with a statement that the behaviour of interest is
common.
 Ask the question using the 3rd person technique.
 Hide the question is a group of other questions that respondents are
willing to answer.
 Provide response categories rather than asking for specific figures.
 Use randomized techniques, if appropriate.
Step 5: Decide on the Question Structure
 Open-ended questions are useful in exploratory research and as opening

questions.
 Use structured questions wherever possible.
 In multiple –choice questions, the response alternatives should include the set
of all possible choices and should be manually exclusive.
 In a dicthomus question, if a substantial proportion of the respondents can be
expected to be neutral, include a neutral alternative.
 Consider the use of the split ballot technique to reduce order bias in
dichotomous and multiple-choice questions.
 If the response alternative is numerous, consider using more than one
question to reduce the information processing demands on the respondents.
 Use positive and negative statements.
Step 7: Arrange The Question In Proper Order.
 The opening questions should be interesting, simple, and nonthreatening.

 Qualifying questions should serve as the opening questions.
 Basic information’s should be obtained first, followed by classifications, and, finally,
identification information.
 Difficult, sensitive, or complex questions should be placed late in the sequences.
 General questions should precede the specific question.
 Questions should be asked in a logical order.
 Branching questions should be designed carefully to cover all possible contingencies.
 The question being branched should be place d as close as possible to the questions
causing the branching , and the branching questions should be ordered so that the
respondents can not anticipate what additional will be required.
Step 8: Identify the Form and Lay Out
 Divide a questionnaire into several parts.

 Question in each part should be precoded.
 The questionnaires themselves should be numbered serially.
Step 9: Reproduce The Questionnaire.
 The questionnaire should have a professional appearance.

 Booklet format should be used for long questionnaire.
 Each question should be reproduced on a single page or double -page spread.
 Vertical response columns should be used.
 Grids are useful when there are a number of related questions that use the same set of
response categories.
 The tendency to crowed questions to make the questionnaires look shorter should be
avoided.
 Directions or instructions for individual questions should be placed as close to the
questions as possible.
Step 10: Eliminate Bugs to Pretesting
 Pretesting should be done always.

 All aspects of the questionnaire should be tested, including question content,
wording, sequence, form and layout, question difficulty and instructions.
 The respondents in the pretest should be similar to those who will be included in the
actual survey.
 Begin the pretest by using personal interviews.
 Pretest should also be conducted by mail or telephone if those methods are to be
used in the actual survey.
 A variety of interviewers should be used for pretests.
 The pretest of interview sample size is small varying from 15 to 30 respondents for
the initial testing.
 Use protocol analysis and debriefing to identify problems.
 After each significant revision of the questionnaire, another pretest should be
conducted, using a different sample of respondents.
 The responses obtained from the pretest should be coded and analyzed.
Observational Forms
 Forms for recording observational data are easier to construct than the questionnaires.
 The researcher need not be concerned with the psychological impact of the questions and
the way they are asked.
 The researcher need only develop a form that identifies the required information
clearly , makes it easy for the field worker to record the information accurately , and
simplifies the coding , entry, and analysis of data.
 Observational forms should specify the who, what, when, where, why, and way of
behaviour to be observed.
 In the department store project, an observational form for the study of purchase would
include space for all of the following information.
Project Research
Observations
Who: purchases, browsers, males, females, parents with children, children alone.
What: products /brands considered, product/brands purchased, size, price of package inspected,
influence of children or other family members.
When: day, hour, date of observation.
Where: inside the store, checkout counter, or type of department within the store.
Why: influence of price, brand name, package size, promotion, or family members on the
purchase.
Way: personal observer disguised as sales clerk, undisguised personal observer, hidden camera,
or obtrusive mechanical device.
 The form and layout as well as the reproduction of observational forms should
follow the same guidelines discussed for questionnaires.
 A well designed form permits field workers to record individual observations,
but not to summarize observations as that could lead to error.
 Finally, like questionnaires, observational forms also require adequate pretesting.
9.5Critical Thinking Discussion Questions
1. What is meant by question bias? Write two biased questions.

2. Explain the client’s role during questionnaire development.
3. indicate the function of:
a) screening question
b) warm-ups
c) transitions
d) “skip” question and
e) classification questions
4. Differentiate the funnel approach from the work approach to questionnaire design.
5. Using the quality of service provided by the library of the College as the topic of a
survey, define and give examples of questions that:
a) Are loaded
b) Are leading
c) Are double barreled, and
d) Use assumed criteria
6. What is meant when questions:

a) Overstate the condition,
b) Require the respondent to guess a generalization
c) Use a specific example to represent a general class, and
d) Use a complex sentence.
7. Describe pre-coding and give examples of the pre-coding for a closed-ended question
and scaled-response questions.
8. Why should the researcher expend so much effort on the cover letter or opening
comments of a questionnaire?
9. Distinguish anonymity from confidentiality.
Chap- 11 The Data –Preparation Process
Chapter objectives:
After completing this chapter, the student will be able to:
 Prepare a preliminary plan for data Analysis
 Develop a Questionnaire checking
 Edit the questionnaire for consistency
 Code unstructured and un-coded questionnaires
 Manipulate of scale values to ensure comparability with other scales

or otherwise make the data suitable for analysis.
 Perform proper Data cleaning activities
 Select a data analysis strategy
10.1 Major Steps in Data Preparation
The Data –Preparation Process is shown in the figure:
Preparing Preliminary Plan of Data Analysis
Questionnaire Checking
Editing
Coding
Transcribing
Data Cleaning
Statistically Adjusting the Data
Selecting a Data Analysis Strategy
Step 1: Questionnaire Checking
 Questionnaire checking involves a check of all questionnaires for

completeness and interviewing quality.
 Often these checks are made while fieldwork is still underway.
 If the field work was contracted to a data –collection agency, the
researcher should make an independent check after it is over.
A questionnaire returned from the field may be unacceptable for several

reasons.
 Parts of the questionnaire may be incomplete.

 The pattern of responses may indicate that the respondent did not
understand or follow the instructions. For example, skip patterns may
not have been followed.
 The responses show little variance. For example, a respondent has
checked only 4s on a series of 7-point rating scales.
 The returned questionnaires are physically incomplete: one or more
pages are missing.
 The questionnaire is received after the pre-established cutoff date.
 The questionnaires are answered by someone who does not qualify for
participation.
 If quotas or cell group’s sizes have been imposed, the
acceptable questionnaires should be classified and counted
accordingly.
 Any problems in meeting the sampling requirements
should be identified and corrective action taken , such as
conducting additional interviews in the under presented
cells , before the data are edited .
Step 2: Editing: Editing is the review of the questionnaires with the objectives
of increasing accuracy and precision. It consists of screening questionnaires to
identify illegible, incomplete, inconsistent, or ambiguous responses.
 Responses may be illegible if they have been poorly recorded.

 This is particularly common in questionnaires with a large number
of unstructured questions.
 The data must be legible if they are to be properly coded.
 Likewise questionnaires may be incomplete to varying degrees.
For example , a respondent reports an annual income of less than
$20,000, yet indicates frequent shopping at prestigious departments
stores such as Tana Department stores.
Treatment of Unsatisfactory Responses
Unsatisfactory responses are commonly handled by returning to the field to get

better data, assigning missing values, or discarding unsatisfactory
respondents.
i) Returning To The Field: The questionnaires with unsatisfactory

responses may be returned to the field, where the interviewers re
contact the respondents. This approach is particularly attractive for
business and industrial marketing surveys, where the sample sizes
are small and the respondents are easily identifiable. However, the
data obtained the second time may be different from those obtained
during the original survey. These differences may be attributed to
changes over time or differences in the mode of questionnaires
administration (telephone vs. in-person interview).
ii) Assigning Missing Values: If returning the questionnaires to the field
is not feasible, the editor may assign missing values to unsatisfactory
responses. This approach may be undesirable if:
 The number of respondents with unsatisfactory responses is
very small.
 The proportion of satisfactory responses for each of these
respondents is small, or
 The variables with unsatisfactory responses are not the key
variables.
iii) Discarding Unsatisfactory Respondents: In this approach, the
respondents with unsatisfactory responses are simply discarded. This
approach may have merit when
 The proportion of unsatisfactory respondents is small-less
than 10%,
 The sample size is large.
 The unsatisfactory respondents do not differ from
satisfactory respondents in obvious ways such as
demographics, product usage characteristics,
 The proportion of unsatisfactory responses for each of these
respondents is large, or ,
 Responses on key variables are missing.
However, unsatisfactory respondents may differ from satisfactory respondents
in systematic ways, and the decision to designate a respondent as
unsatisfactory may be subjective. Both these factors bias the results. If the
researcher decides to discard unsatisfactory respondents, the procedure
adopted to identify these respondents and their number should be reported.
Step 3: Coding: assigning a code, usually a number, to each possible

response to each question. The code includes an indication of the column
position or field and data record it will occupy. For example, sex of respondents
may be coded as 1 for Females and 2 for males. A field represents a single
item of data, such as sex of the respondent. A record consists of related fields,
such as sex, marital status, age, household size, occupation, and so forth.
 Often all the data for a respondent will be contained in a single

record, although a number of records may be used for each
respondent.
 If the questionnaire contains only structured questions or very few
unstructured questions, it is precoded.
 This means that codes are assigned before fieldwork is conducted.
 If the questionnaire contains unstructured questions, codes are
assigned after the questionnaires have been returned from the field
-post coding.
Pre-coding refers to assigning a code to every conceivable response before data
collection.
Coding questions: the respondent code and the record number should appear
on each record in the data. However, the record code can be dispensed if there
is only one record for each respondent. Coding of structured questions is
relatively simple, because the response options are predetermined. The
researcher assigns a code for each response to each question and specifies the
appropriate record and columns in which the response codes are to appear.
For example: Do you have a currently valid passport?
1. Yes 2. No (1/54) : For this question, a “Yes “response is coded 1 and
a “No” response 2.
The numbers in the parenthesis indicate that the code assigned will appear on
the first record for this respondent in column 54. Because only one response is
allowed and there are only two possible responses (1 or 2), a single column is
sufficient. In general, a single column is sufficient to code a structured
question with a single response if there are less than nine possible responses.
The coding of unstructured or open-ended questions is more complex.
 Respondent’s verbatim responses are recorded on the
questionnaire.
 Codes are then developed and assigned to these responses.
 Sometimes, based on previous projects or theoretical
considerations, the researcher can develop the codes before
beginning fieldwork.
 Usually this must wait until the completed questionnaires are
received.
 Then, the researcher lists 50 to 100 responses to unstructured
questions to identify the categories suitable for coding.
 Once codes are developed, the coders should be trained to assign
the correct codes to the verbatim responses.
Guidelines suggested for coding unstructured questionnaires

and questionnaires in general:
 Category codes should be mutually exclusive and collectively

exhaustive.
 Categories are mutually exclusive, if each response fits into one and
only one category code.
 Categories should not overlap.
 Categories are collectively exhaustive if every response fits into one
of the assigned category codes.
 This can be achieved by adding an additional category code of
“other” or “none of the above”.
 However, only a few 10% or less of the responses should fall into
this category.
 The vast majority of the responses should be classified into
meaningful categories.
Codebook
A code book contains coding instructions and necessary information about

variables in the data set. A codebook guides the coders in their work and helps
the researcher to properly identify and locate the variables. Even if the
questionnaire has been precoded, it is helpful to prepare a formal codebook. A
Codebook generally contains the following information:
 Column number ,
 Record number,
 Variable number,
 Variable name ,
 Question number, and
 Instructions for coding.
Step 4: Transcribing: Transcribing data involves transferring the coded data

from the questionnaire or coding sheets onto the disks or magnetic tapes or
directly into computers by keypunching. If the data have been collected via
CATI or CAPI, this step is unnecessary because the data are entered directly
into the computer as they are collected. Besides keypunching, the data can be
transferred by using mark sense forms, optical scanning, or computerized
sensory analysis.
Step 5: Data Cleaning: Data cleaning includes consistency checks and

treatment of missing responses. Although preliminary consistency, checks have
been made during editing, the checks at this stage are more thorough and
extensive, because they are made by computer.
Consistency Checks:
 is a part of the data-cleaning process that identifies data that are out of
range, logically inconsistent, or have extreme values.
 Data with values not defined by the coding scheme are inadmissible. For
example a respondent reports both unfamiliarity with, and frequent
usage of, same product.
 The necessary information –respondent code, variable code , variable
name, record number, column number, and inconsistent values can be
printed to locate these responses and take corrective action.
 Finally extreme values should be closely examined.
 Not all extreme values result from errors, but they may point to problems
with the data.
 For example, extreme values should be closely examined. Not all extreme
values result from errors, but they may point to problems with the
data.
 For example, an extremely low evaluation of a brand may be the result of
the respondent indiscriminately circling 1s (on a 1 to -7 rating scale) on
all attributes of this brand.
Step 6: Treatment of Missing Responses: Missing responses represent

values of a variable that are unknown, either because respondents provided
ambiguous answers or their answers were not properly recorded. Treatment of
missing responses poses problems, particularly if the proportion of missing
responses is more than 10%.
The following options are available for the treatment of missing responses.
 Substitute a Neutral Value: a neutral value, typically the mean

response to the variable, is substituted for the missing responses.
Thus, the mean of the variable remains unchanged and other
statistics, such as correlations, are not affected much. Although this
approach has some merit, the logic of substituting a mean value say
( 4 ) for respondents who, if they had answered, might have used
either high ratings (6 or 7 ) or low ratings ( 1 or 2) is questionable.
 Substitute an Imputed Response: the respondents pattern of
responses to other questions are used to impute or calculate a
suitable response to the missing questions. The researcher
attempts to infer from the available data the responses the
individuals would have given if they had answered the questions.
This can be done statistically by determining the relationship of the
variable in question to other variables, based on the available data.
For example, product usage could be related to household size for
respondents who have provided data on both variables. The missing
product usage response for a respondent could then be calculated,
given that the respondent’s household size. However, this approach
requires considerable effort and can introduce serious bias.
Sophisticated statistical procedures have been developed to
calculate imputed values for missing responses.
Step 7: Statistically Adjusting the Data: Procedures for statistically

adjusting the data consist of Weighting, Variable Re Specification, and
Scale Transformation.
These adjustments are not always necessary but can enhance the quality of
data analysis.
i) Weighting: is a statistical adjustment to the data in which each case or

respondent in the data base is assigned a weight to reflect its importance
relative to other cases or respondents.
 The effect of weighting is to increase or decrease the number of

cases in the sample that possess certain characteristics.
 Weighting is most widely used to make the sample data more
representative of a target population on specific characteristics.
 For example, it may used to give greater importance to cases or
respondents with higher quality data.
 Yet another use of weighting is to adjust the sample so that greater
importance is attached to respondents with certain characteristics.
 If a study is conducted to determine what modifications
should be made to an existing product, the researcher might
want to attach greater weight to the opinions of heavy users of
the product. This could be accomplished by assigning weights
of 3.0 to heavy users, 2.0 to medium users and 1.0 to light
users and nonusers. Weighting should be applied with caution
because it destroys the self-weighting nature of the sample
design.
ii) Variable Respecification (VR) : VR involves the transformation of data

to create new variables or the modification of existing variables so that they are
more consistent with the objectives of the study. The purpose of respecification
is to create variables that are consistent with the objectives of the study.
For example, suppose the original variable was product usage, with 10
response categories. These might be collapsed into 4 categories, heavy,
medium, light, and nonuser. Or the researcher may create an index of
information search (IIS), which is the sum of information customers seek
from dealers, promotional materials, the internet, and other
independent sources.
 An important respecification procedure involves the use of dummy

variables for re specifying categorical variables.
 Dummy variables are also called binary, dichotomous,
instrumental, qualitative variables.
 They are variables that may take on only two values as 0 or 1.
 The general rule is that to re specify categorical variables with K
categories, k-1 dummy variables are needed.
 The reason for having K-1, rather than K, dummy variables is that
only K-1 categories are independent.
 Given the sample data, information about the Kth category can be
derived from information about the other K-1 categories.
 Consider sex, a variable is needed.
 Information on the number or percentage of males in the sample
can be readily derived from the number or percentage of females.
i) Scale Transformation (ST): ST is a manipulation of scale values to
ensure comparability with other scales or otherwise make the data
suitable for analysis. Frequently, different scales are employed for
measuring different variables.
 For example, image variables may be measured on a 7-point
semantic differential scale, attitude variables on a continuous
rating scale, and lifestyles variables on a 5-ponit likert scale.
 Therefore, it would not be meaningful to make comparisons
across the measurement scales for any respondent.
 To compare attitudinal scores with lifestyles or image scores, it
would be necessary to transform the various scales.
 Even if the same scale is employed for all the variables, different
respondents may use the scale differently.
 For example, some respondents consistently use the upper end
of a rating scale, whereas, others consistently use the lower
end.
 These differences can be corrected by appropriately
transforming the data.
Step 8- Selecting a Data Analysis Strategy: The selection of a data

analysis strategy should be based on the earlier steps of the marketing
research process , known characteristics of the data , properties of statistical
techniques , and the background and philosophy of the researcher.
 Data analysis is not an end in itself. Its purpose is to produce
information that will help address the problem at hand.
 The selection of a data analysis strategy must begin with a

consideration of the earlier steps in the process problem definition (
step I), development of an approach ( Step II), and research design ( step
III).
 The preliminary plan of data analysis prepared as part of the research

design should be used as a spring board.
 Changes may be necessary in light of additional information generated in

subsequent stages of the research process.
 The next step is to consider the known characteristics of the data. The
measurement scales used exert a strong influence on the choice of
statistical techniques.
In addition, the research design may favor certain techniques. For example,
analysis of variance is suited for analyzing experimental data from
causal designs.
>>> Selecting a Data Analysis Strategy >>>
Earlier steps (I, II, and III)
Of the marketing Research Process
Of the data
Known Characteristics of the Data
Properties of statistical Techniques
Background and Philosophy of the researcher
Data Analysis
The insights into the data obtained during data preparation can be valuable for
selecting a strategy for analysis. It is also important to take into account the
properties of the statistical techniques, particularly their purpose and
underlying assumptions.
Some statistical techniques are appropriate for examining differences in

variables, others for making predictions. The techniques also involve different
assumptions, and some techniques can withstand violations of the underlying
assumptions better than others.
Finally, the researcher‘s background and philosophy affect the choice of a data
analysis strategy. The experienced, statistically trained researcher will employ
a range of techniques, including advanced statistical methods. Researchers
differ in their willingness to make assumptions about the variables and their
underlying populations. Researchers who are conservative about making
assumptions will limit their choice of techniques to distribution-free methods.
In general, several techniques may be appropriate for analysis the data from a
given project.
10.2 Computer Programs for Data Preparation
SPSS
 Out- of- range values can be selected using the SELECT IF or

PROCESS if value statements.
 These cases, with the identifying information (subject ID, record No;
variable name, variable value), can then be printed using the PRINT
or WRITE commands.
 As a further check, the LIST command can be used to display the values
of variables for each case. SPSS data Entry simplifies the process of
entering new data files.
 It facilitates data cleaning and checking for logical inconsistencies.
SAS
 The IF, IF-THEN, and IF-THEN/ELSE statements can be used to

select cases with missing or out-of –range values.
 The SELECT statement is useful for printing suspicious input lines.
 The LOSTCARD statement can be used to identify missing records in
the data.
 The PRINT and PRINTTO procedures can be used to identify cases
and print variables values.
 In addition, the OUTPUT and PUT statements can be used to write the
values of variables.
MINTAB
 There are control statements that permit the control of the order of
commands in a macro.
 The IF commands allows implementation of different blocks of
commands.
 This includes IF, ELSEIF, and ENDIF.
EXCEL
 The IF statement can be used to make logical checks out-of-range

values.
 The IF statements can be accessed under INSERT> FUNCTION >IF.
Chap-12 Data Analysis & Interpretation
Chapter objectives
After successful completion of this chapter the student will be able to:
 Describe objectives of data analysis
 Examine descriptive statistics
 Examine inferential statistics
 Guidelines how to process data using SPSS
12. 1 Basic Objectives of Data Analysis
There are three objectives in data analysis:
1. Getting a Feel for the Data: The feel for the data will give preliminary ideas of how
good the scale are , how well the coding and entering of data have been done , and so on.
 Suppose an item tapped on a 7-point scale has been improperly coded and /or
entered as 8; this will be highlighted by the maximum values on the descriptive
statistics and the error can be rectified.
 The mean, the range, the standard deviation, and the variance in the data will give
the researcher a good idea of how the respondents have reacted to the items in the
questionnaires and how good the items and measures are.
 If the response to each individual item can in a scale does not have a good spread or
range and shows very little variability, then the researcher would suspect that the
particular question was probably not properly worded and respondents did not quite
understand the intent of the question.
 Biases, if any, could also be detected if the respondents have tended to respond
similarly to all items-that is, stuck to only certain points on the scale.
 The maximum and minimum scores, mean, standard deviation, variance, and other
statistics can be easily obtained, and these will indicate whether the responses range
satisfactorily over the scale.
 Remember that if there is no variability in the data, then no variance can be
explained.
 Researchers go to great lengths obtaining the central tendency, the range, the
dispersion, and other statistics for every single item measuring the dependent and
independent variables, especially when the measures for a concept are newly
developed.
It is always prudent to obtain:
 The frequency distributions for the demographic variables,
 The mean, standard deviation, range, and variance on the other dependent &
independent variables , and
 An inter correlation matrix of the variables, irrespective of whether or not the
hypotheses are directly related to these analyses.
 These statistics give a feel for the data.
 In other words, examination of the measure of central tendency, and how
clustered or dispersed the variables are, gives a good idea of how well the
questions were framed for tapping the concept.
 The correlation matrix will give an indication of closely related or unrelated the
variables under investigation are.
 If the correlation between two variables happens to be high –say, over .75 –we
would start to wonder whether they are really two different concepts, whether
they are measuring the same concept.
2. Testing the Goodness of the Data: Testing the goodness of data can be accomplished by
submitting the data for factor analysis, obtaining the Cronbach’s alpha or the split-half
reliability of the measures, and so on. Establishing the goodness of data lends credibility to
all subsequent analysis and findings. Hence, getting a feel for the data becomes the necessary
first step in all data analysis. Based on this initial feel further detailed analysis may be done
to test the goodness of the data.
The reliability and validity of the measures can now be tested.
Reliability: the reliability of a measure is established by testing for both consistency and
stability. Consistency indicates how well the items measuring a concept hang together as a set.
Cronbach’s alpha is a reliability coefficient that indicates how well the items in a set are
positively correlated to one another. Cronbach’s alpha is computed in terms of the average
intercorrelations among the items measuring the concept.
The closer cronbache’s alpha is to 1, the higher the internal consistency reliability. Split-half
reliability coefficient reflects the correlations between two halves of a set of items, the
coefficients obtained will vary depending on how the scale is split. Sometimes split-half
reliability is obtained to test for consistency when more than one scale, diamensions, or factor, is
assessed. The items across each of the diamensions or factors are split, based on some
predetermined logic. In almost every case, Cronbach’s alpha is an adequate test of internal
consistency reliability.
Validity: factorial validity can be established by submitting the data for factor analysis.
 Criterion – related validity: can be established by testing for the power of the
measure to differentiate individuals who are known to be different.
 Convergent-validity: can be established when there is high degree of correlation
between two different sources responding to the same measure. For example: both
supervisions and subordinates respond similarly to a perceived reward system
measure administered to them.
 Discriminant validity: can be established when two distinctly different concepts are
not correlated to each other as for example, courage and honesty; leadership and
motivation; attitudes and behaviors.
3. Testing the Hypothesis Developed for The Research: Hypothesis testing is achieved by
choosing the appropriate menus of the software programs, to test each of the hypotheses
using the relevant statistical test.
 The results of these tests will determine whether or not the hypothesis is
substantiated.
 Once the data are ready for analysis that is, out- of -range /missing responses, etc,
are cleared up, and the goodness of the measures is established, the researcher is
ready to test the hypothesis already developed for the study.
12.2 Descriptive Statistics: Measures of Central Tendencies and Dispersion
Descriptive statistics such as frequencies, the mean, and the standard deviation, which provide
descriptive information of a set of data. Descriptive statistics involve transformation of raw data
into a form that would provide information to describe a set of factors in a situation.
This is done through ordering and manipulation of the raw data collected. Descriptive statistics
are provided by frequencies, measures of central tendency, and dispersion.
Frequencies: simply refers to the number of times various subcategories of a certain

phenomenon occurs, from which the percentage and the cumulative percentage of their
occurrence can be easily calculated.
Example:
 An MNC president wants to know how many African Americans, Hispanics, Asians, whites,
and “others” are on its payroll.
 A marketing manager wants to know many units of each brand of coffee are sold in a
particular region during a given period
 A tax consultant desires to keep count of the number of times different sizes of firms-small,
medium and large are audited.
In all the foregoing cases, it may be noted that we desire to obtain the frequencies on a
nominally scaled variable.
Measures of Central Tendency
The Mean: the mean or average is a measure of central tendency that offers a general picture of
the data without unnecessarily inundating one with each of the observations in the data set.
Example: the production department might keep detailed records on how many units of a
product are being produced each day. However, to estimate the raw materials inventory, all that
the manager might want to know is how many units per month, on an average, the department
has been producing over the past 6 months.
The Median: is a set of observation would not lend itself to a meaningful representation through
either the mean or the median, but can be signified by the most frequently occurring
phenomenon.
Example: in a department where there are 10 white women, 24 white men, 3 African American
women, and 2 Asian women , the most frequently occurring group is the mode…….the
Whiteman.
Measures of Dispersion
Dispersion is the variability that exists between in a set of observation.
Two sets of data might have the same mean, but the dispersions could be different. For example,
if company A sold 30, 40, and 50 units of a product during the months of April, May, and June
respectively, and the company B sold 10, 40, and 70 units during the same period, the average
units sold per month by both companies is the same-40 units –but the variability or the dispersion
in the later company is larger.
The three measurements of dispersion connected with the mean are the range, the variance, and
the standard deviation, which are explained below.
Range: refers to the extreme values in a set of observations. The range is between 30 and 50 for
company A (a dispersion of 20 units), while the range is between 10 and 70 units (a dispersion of
60 units) for company B.
Variance: the variance is calculated by subtracting the mean from each of the observations in
the data set, taking the square of this difference, and dividing the total of these by the number of
observations. In the above example, the variance for each of the two companies is:
Variance for Company A= (30-40)2 + (40-40)2 + (50-40)2 = 66.67
Variance for Company B= (10-40)2 + (40-40)2 + (70-40)2 = 600
As we can see, the variance is much larger in company B than company A. It makes it more
difficult for the manager of company B to estimate how much goods to stock than it is for the
manager of company A. Thus, variance gives an indication of how dispersed the data in a data
set are.
Standard Deviation: another measure of dispersion for interval and ratio scaled data ,offers an
index of the spread of a distribution or the variability in the data .It is very commonly used to
measure of dispersion, and is simply the square root of the variance. In the case of the above two
companies, the standard deviation for companies A & B would be 66.67 and 600 or 8.67 and
24.495, respectively.
The mean and the standard deviation are the most common descriptive statistics. The standard
deviation, in conjunction with the mean, is very useful tool because of the following statistical
rules, in a normal distribution.
 Practically all observation falls within three slandered deviation of the average or the
mean.
 More than 90% of the observation is within two standard deviations of the mean.
 More than half of the observation is within one standard deviation of the mean.
Other Measures of Dispersion
When the median is the measure of central tendency, percentiles, deciles, and quartiles become
meaningful. Just as the median divides the total realm of observations into two equal halves, the
quartile divides it into four equal parts, the decile into 10, and the percentile to 100 equal parts.
The percentile is useful when huge masses of data, such as the GRE or GMAT scores, are
handled. When the area of observations is divided into 100 equal parts, there are 99 percentile
points.
Any given score has a probability of .01 that it will fall in any of those points. If John‘s score is
in the 16th percentile, it indicates that 84% of those who took the exam scored better than he did,
while 15% did worse.
Often times we are interested in knowing where we stand in comparison to others-are we in the
middle, in the upper 10 or 25% or in the lower 20 or 25%, or where? For instance, if in a
company –administered test, Mr Tesfaye scores 78 out of a total of 100 points , he would be
unhappy if he were in the bottom 10% among his colleges-test takers , but he would be
reasonably pleased if he were in the top 10%, despite the fact that his scores remains the same.
His standing in relation to others can be determined by the central tendency median and the
percentile he falls in
Inter Quartile Range
The measure of dispersion for the median, interquartile range consists of the middle 50% of the
observations-observations excluding the bottom and top 25% quartiles. The interquartile range
could be very useful when comparisons are made among several groups. For instance, telephone
companies can compare long-distance charges of customers in several areas by taking samples of
customer bills from each of the cities to be compared. By plotting the first and third quartiles and
comparing the median and the spread, they can get a good idea of where billings tend to be
highest, to what extent customers vary in the frequency of use of long –distance calls, and so on.
This is done by the box-and –whisker plot for each area.
12.3 Inferential Statistics
Inferential Statistics is statistics that help to establish relationships among variables and draw
conclusion there from. We might be interested to know or infer from the data through analysis.
 The relationship between two variables for example between advertisements and
sales –between advertisement and sales.
 Differences in a variable among different subgroups –whether women or men buy

more of a product.
 How several independent variables might explain the variance in a dependent

variable –how investments in the stock market are influenced by the level of
unemployment , perceptions of the economy, disposable income and dividend
expectations .
Pearson Correlation
Many times, however, we would be interested in inferential statistics. That is, we might be
interested to know or infer from the data through analysis
 the relationship between two variables (e.g., between advertisement and sales),
 differences in a variable among different subgroups (e.g., whether women or men

buy more of a product),
 how several independent variables might explain the variance in a dependent
variable (e.g. how investments in the stock market are influenced by the level of
unemployment, perception of the economy, disposable incomes, and dividend
expectations).
(e.g., how investments in the stock market are influenced by the level of unemployment,
perceptions of the economy, disposable incomes, and dividend expectations). We will now
discuss some of these inferential statistics.
Figure 12.1 Boxes and Whisker Plot
a. Comparison of telephone bills in three cities.

Los Angeles
San Diego
……
________________________ __________________________________________
X (1) Q1 Q2 Q3 x(n) 2 4 6 8 10 12 14 16 18 20 22 24 26
(a) (b)
Correlations
In a research project that includes several variables, beyond knowing the means and standard
deviations of the dependent and independent variables, we would often like to know how one
variable is related to another. That is, we would like to see the nature, direction, and significance
of the bivariate relationships of the variables used in the study (that is, the relationship between
any two variables among the variables tapped among the variables tapped in the study). A
Pearson correlation matrix will provide this information, that is, it will indicate the direction,
strength, and significance of the bivariate relationships of all the variables in the study.
The correlation is derived by assessing the variations in one variable as another variable also
varies. For the sake of simplicity, let us say awe have collected data on two variables-price and
sales-for two different products. The volume of sales at every price level can be plotted for each
product, as shown in the scatter diagrams if Figure M 2a and M 2b.
Figure 12.2b indicates a discernible pattern of how the two factors vary simultaneously (the trend
of the scatter is that of a downward straight line), whereas figure 12.2a does not. Looking at the
scatter diagram in Figure 12.2b, it would seem there is a direct negative correlation between
price and sales for this product. That is, as the price increases, the sale of the product drops
consistently. Figure 12.2a suggests no interpretable pattern for the other product. A correlation
Coefficient that indicates the strength and direction of the relationship can be computed by
applying a formula that takes into consideration the two sets of figure-in this case, different sales
volume at different prices.
Figure 12.2
(a) Scatter diagram with no discernible patter.

(b) Scatter diagram indicating a downward or negative slope.
Sales
Price Price
(a) (b)
Theoretically, there could be range between-1.0 and 1.0, we need to know if any correlation
found range between two variables is significant or not (i.e. if it has occurred solely by chance or
if there is a high probability of its actual existence). As we know, a significance of p=.05 is the
generally accepted conventional level in social science research. This indicates that 95 times out
of 100, we can be sure that there is a true or significant correlation between the two variables,
and there is only a 5% chance that the relationship does not truly exist. If there is a correlation of
.56(denoted as r=.56) between two variables A and B, with p<.01 then we know that there is a
positive relationship between the two variables and the probability of this not being true is 1% or
less. That is, over 99% of the time we would expect this correlation to exist. The correlation of
.56 also indicates that the variables would explain the variance in one another (to the extent of
31.4% (.56).
We would not know which variable causes which, but we would know that the two variables are
associated with each other. Thus, a hypothesis that postulates a significant positive (or negative)
relationship between two variables can be tested by examining the correlation between the two.
A bivariate correlation analysis, which indicates the strength of relationship between the two
variables, can be generated for variables measured on an interval or ration scale.
Nonparametric tests are also available to assess the relationship between variables not measured
on an interval or ratio scale. Spearman’s rank correlation and Kendall’s rank correlation are used
to examine relationships between two ordinals Variables.
Table 12.1: Contingency Table of Skin Color and Job Type
Job Type
Skin Color White Collar Blue Collar Total
White 30 5 35
None white 2 18 20
Total 32 23 55
See Table 12.3 which shows the different types of statistical analyses that data can be subjected
to, when the independent and the dependent variables are measured on different scales.
Relationship between Two Nominal Variables: X2 Test
We might sometimes want to know if there is a relationship between two nominal variables of
whether they are independent of each other.
As examples:
1. Is viewing television advertisement of a product (yes/no) related to buying that product

by individuals (buy/don’t buy)?
2. Is the type of job done by individuals (white-color jobs vs. blue-collar jobs) a function of
the color of their skin (white vs. non white)? Such comparisons are possible by
organizing data by groups or categories and seeing if there are any statistically
significant relationships. For example, we might collect data from a sample of 55
individuals whose color of skin and nature of jobs, culled from a frequency count, might
be illustrated as in Table 12.2 in a two-by-two contingency table.
Just by looking at Table 12.2, a clear pattern seems to emerge that those who are White hold
white- collar jobs. Only a few of the nonwhites hold white-collar jobs.
Thus, there does seem to be a relationship between the color of the skin and the type of job
handled; the two do not seem to be independent. This can be statistically confirmed by the
chi-square (x2) test- a nonparametric test-which would indicate whether or not the observed
pattern is due to chance. As we know, nonparametric tests are used when normality of
distributions cannot be assumed as in nominal or ordinal data.
The x2 test compares the expected frequency (based on probability) and the observed
frequency, and the x2 statistics is obtained by the formula:
X2=∑ (0i-E)2
Ei
Where x2 is the chi-square statistic; 0i is the observed frequency of the ith cell; and Ei is the
expected frequency. The x2 statistic with its level of significance can be obtained for any set of
nominal data through computer analysis.
Thus, in testing for differences in relationships among nominally scaled variables, the x 2 (chi-
square) statistic comes in handy. The null hypothesis would be set to state that there is no
significant relationship between two variables (color of skin and nature of the job, in the
above example), and the alternative hypothesis would be that there would be a significant
relationship.
The chi-square statistic is associated with the degrees of freedom (df), which denotes whether or
not a significant relationship exists between two nominal variables. Degrees of freedom is 1
(one) less than the number of cells in the columns and rows. If there are four cells (two in a
column and two in a row), then the degree of freedom would be ((2-1) x (-1)).
X2 statistic can also be used for multiple levels of two nominal variables. For instance, one
might be interested to know if four groups of employees-production. Sales, marketing, and R&D
personnel-react to a policy in four different ways (i.e., with no interest at all, with mild interest,
moderate interest, and intense interest). Here the X2 value for the test of independence will be
generated by cross-tabulating the data in 16 cells-that is, classifying the data in terms of the four
groups of employees and the four categories of interest. The degrees of freedom here will be 9
((4-1) (4-1)).
The x2 test of significance thus helps us to see whether or not two nominal variables are related.
Besides the X2 test, other tests, such as the Fisher exact probability test and the Cochran Q test
are used to determine the relationship between two nominally scaled variables.
Significant Mean Differences between Two Groups: The-Test
There are many instances when we would be interested to know whether two groups are different
from each other on a particular interval-scaled or ratio-scaled variable of interest. For example,
 Would men or women press their case for the introduction of flextime at the
workplace to the same extent, or would their needs be different?
 Do MBAs perform better in organizational settings than business students with only a
bachelor’s degree?
 Do individuals in urban areas have a different investment pattern of their savings than
those in semi-urban area?
 Do CPAs perform better than non-CPAs in accounting tasks? To find answers to such
questions, a t-test is done to see if there are any significant differences in the means
for two groups in the variable of interest.
That is, a nominal variable that is split into two subgroups (as for example, smokers and
nonsmokers, employees in the marketing department and those in the accounting department;
younger and older employees) is tested to see if there is a significant mean difference between
the two split groups on a dependent variable, which is measured on an interval or ratio scale (as
for instance, extent of well-being; pay; or comprehension level).
The t-test takes into consideration the means and standard deviations of the two groups on the
variable and examines if the numerical difference in the means is significantly different from o
(zero) as postulated in our null hypothesis. We examines if the numerical difference in the
means is significantly different from 0(zero) as postulated in our null hypothesis
When we compare the mean differences between two different groups on a variable, we do a t-
test on two independent samples. We can also do a t-test to examine the differences in the same
group before and after a treatment.
For example, would a group of employees perform better after undergoing training than they did
before? In this case, the formula for the t-test is adjusted to take into account correlation between
the two scores, if any. In other word, the adjusted t-test for the matched sample or other type of
dependent samples reflects the true mean differences.
The Mann-Whitney U test is a nonparametric test for examining significant differences when the
dependent variable is measured on an ordinal scale and the independent variable on a nominal
scale.
Significant Mean Differences: Among Multiple Groups: ANOVA
Whereas the t-test would indicate whether or not there is a significant mean difference in a
dependent variable between twp grips, an analysis of variance (ANOVA) helps to examine the
significant mean differences among more than two groups on an interval or ratio-scaled
dependent variable.
For example, would there be a significant difference in the amount of sales by the
following four groups of salespersons:
 Those who are sent to training schools, those who are given on-the-job training during
field trips, those who have been tutored by sales manager, and those who have had
none of the above? Or
 Would the rate of promotion be significantly different for those who have assigned
mentors, choose their own mentors, and have no mentors in the organizational
system?
The results of ANOVA show whether or not the means of the various groups are significantly
different from one another, as indicated by the F statistic. The F statistic shows whether two
sample variances differ from each other or are from, the same population. The F distribution is
a probability distribution of sample variances and the family of distributions changes with the
changes in the sample size. Details of the F statistic may be seen in Table IV at the end of the
book.
When significant mean differences among the groups are indicated by the F statistic, there is
no way of knowing from the ANOV results alone as to where they lie, that is, whether the
significant difference is between Groups A and B, or between B and C, or A and C, and so on. It
would therefore be unwise to use multiple t-tests, taking two groups at a time, because the
greater the number of t-tests done, the lower the confidence we can place on results. For
example, three t-tests done simultaneously decrease the confidence level from 95% to 86% (.95).
However, several tests, such as Scheffe’s test, Duncan Multiple Range test, Tukey’s test, and
Student-Newman-Keul’s test are available and can be used, as appropriate, to detect where
exactly the mean differences lie.
The Kruskal-Wallis one-way analysis of variance is the nonparametric test used when the
dependent variable is on an ordinal scale, and the independent variable is nominally scaled.
Tables 12.3 and 12.4 tests provide information on the statistical techniques and tests used, as
well the different nonparametric tests.
Table 12.3 Statistical Techniques and Classified According To Type, Number and Measurement
Scale Of Variables
Criterion Variables
One Two or More
Nominal Ordinal Interval Nominal Ordinal Interval
Chi-square Sign test Analysis of Multiple

variance discriminate
Test for Median test
analysis
independence
Mann-Whitney
U test
Cohran Q Kruskal- Wallis

one-way
test
analysis of
Fisher exact variance
Variants
Nominal
probability
One
Spearman’s Analysis of
rank correlation variance with
trend analysis
Kendall’s rank
Ordinal
correlation
Analysis of Regression Analysis of Multiple

variance analysis regression
Interval
variance
analysis
Friedman two- Analysis of Analysis of

way analysis of variance variance
variance (factorial
Nominal
design)
Ordinal
Multiple Multiple Multiple Canonical

discriminate regression discrimi correlation
Two or More
analysis nate
analysis
analysis
Interval
“Adapted from R.L.Baker & R.E Schulz (Eds).Instructional product research. New York: Van
Nostrand Co., 1972, p. 110.
Multiple Regression Analysis
Whereas the correlation coefficient r indicates the strength of relationship between two variables, it
gives us no idea of how much of the variance in dependent or criterion variable will be explained
when several independent variables are theorized to simultaneously influence it. For example, when
the variance in a dependent variable X (say performance) is expected to be explained by four
independent variables, A,B,C and D (say, pay, task difficulty, supervisory support, and organizational
culture), it should be note that
Not only are the four independent or predictor variables correlated to the dependent variable in varying
degrees, but they might also be inter correlated (i.e., among themselves).
For example, task difficulty is likely to be related to supervisory support, pay might be correlated
to task difficulty, and all three task difficulties, supervisory support, and pay-might influence the
organizational culture. When these variables are jointly regressed against the dependent variable in
an effort to explain the variance in it, the individual correlation collapse into what is called a multiple r
or multiple correlation.
The square of multiple r, R-square or R2 as it is commonly know, is the amount of variance explained
in the dependent variable by the predictors. Such analysis, where more than one predictor is jointly
regressed against the criterion variable, is known as multiple regression analysis. When the R-square
vale, the F statistic, and its significant level are known, we can interpret the results.
For example, if the R2 is .63 with an F value of say, 25.56, and a significance level of p<.001, then we
can say that 63% of the variance has been significantly explained by the set of predictors. There is
less than.001% chance or this not holding true.
Table 12.4: Use of Some Nonparametric Tests
Test When Used Function
Chi-square With nominal data for one Test for independence of variable
Sample or two or more variables.
Independent samples Help when data fall into two
Cochran Q With more than two related natural categories.
Samples measured on nominal
Scale.
Fisher exact with two independent sample More useful than x2 when
Probability measured on nominal scale. expected frequencies are
small.
Sign test With two related samples A good test for ranked data.
Measured on ordinal scale.
Media test With one sample, to see if In a symmetric distribution,
randomly drawn measurement the mean and median will be
are from a population with a the same.
specified median.
Mann-Whitney U With two independent samples Analogue of the two
Tests on ordinal data. independent sample t-tests.
Kruskal-Wallis with more than two independent An alternative to one-way
One-way ANOVA samples on an ordinal scale. ANOVA where normality
of distributions cannot be
assumed.
Friedman two-way with more than two related A good alternative to two way
ANOVA sample on ordinal data. ANOVA where normality
cannot assumed.
Kolmogorov-Smirnov With one sample or Is a more powerful test than X 2
two independent samples or Mann-Whitney U.
measured on an ordinal
scale.
In sum, multiple regression analysis is done to
 Examine the simultaneous effects of several independent variables on a dependent variable

that is interval scaled.
 In other word, multiple regression analysis aids in understanding how much of the variance
in the dependent variable is explained by a set of predictors.
 If we want to know which among the set of predictors is the most important in explaining
the variance, which the next, and so on, a stepwise multiple regression analysis can be done.
 If we want to know whether a set of job-related variables (e.g., job challenge, job variety,
and job stress) would significantly add to the variance explained in the dependent variable
(say, job satisfaction), over and above that explained by a set of organizational factors (e.g.,
participation in decision making, communication, supervisory relationship), a hierarchical
regression analysis van be done.
 Multiple regressions are also done to trace the sequential antecedents that cause the
dependent variable through what is known as path analysis.
 As stated in an earlier chapter, this tracing of sequential antecedents is possible even in cross-
sectional data.
Other Multivariate Tests and Analyses
Multivariate analyses examine several variables and their relationship simultaneously, in contrast
to bivariate analyses where one variable at a time is examined for generalization form the sample
to the population.
The multivariate techniques for generalization from the sample to the population. The
multivariate techniques are now presented superficially to enable you to have some idea of their
use.
 Multivariate analysis of variance (MANOVOA),
 discriminate analysis,
 canonical correlations;
 factor analysis,
 cluster analysis, and
 Multidimensional scaling.
MANOVA
 is similar to ANOVA,with the difference that ANOVA tests the mean differences of more
than two groups on one dependent variable, whereas MANOVA tests mean differences
among groups across several dependent variables simultaneously, by using sums of squares
and cross-product matrices.
 Just as multiple t-tests would bias the results (as explained earlier), multiple ANOVA
tests, and using one dependent variable at a time, would also bias the results, since the
dependent variables are likely to be interrelated.
 MANOVA circumvents this bias by simultaneously testing all the dependent variables,
canceling out the effect of any inter correlations among them.
 In MANOVA tests, the independent variable is measured on a nominal scale and the
dependent variables on an interval or ratio scale.
The null hypothesis tested by MANOVA is: µ1= µ2= µ3=……… µn,
The alternate hypothesis is: µ1= µ2= µ3=………. µn.
Discriminant Analysis
 Helps to identify the independent variables that dis-criminate a nominally scaled

dependent variable of interest-say those who are high on a variable from those who are low
on it.
 The linear combination of independent variables indicates the discriminating function

showing the large difference that exists in the two group means.
 In other words, the independent variables measured on an interval or ratio scale

discriminate the groups of interest to the study.
Canonical Correlation
 Examines the relationship between two or more dependent variables and several
independent variables; for example, the correlation between a set of job behaviors (such as
engrossment in work, timely completion of work and number of absences) and their
influence on a set of performance factors (such as quality of work, the output, and rate of
rejects).
 The focus here is on delineating the job behavior profiles associated with performance
that results in high-quality production.
Other types of statistical analyses such as factor analysis, cluster analysis, and multidimensional
scaling help us to understand how the variables under study form a pattern or structure, in
contrast to focusing on predicting the dependent variable or tracing relationships.
Factor Analysis
 Helps to reduce a vast number of variables (for example, all the questions tapping several
variables of interest in a questionnaire) to a meaningful, interpretable, and manageable set of
factors.
 A principal-component analysis transforms all the variables into a set of composites

variables that are not correlated to one another.
 Suppose we have measured in a questionnaire the four concepts of mental health, job
satisfaction, life satisfaction, and job involvement, with 7 questions tapping each.
 When we factor analyze theses 28 items, we should find four factors with the right
variables loading of each factor, confirming that we have measured the concepts correctly.
Cluster Analysis
 CA is used to classify objects or individual into mutually exclusive

and collectively exhaustive groups with high homogeneity within clusters and low
homogeneity between clusters.
 In other words, cluster analysis helps to identify objects that are

similar to one another, based on some specified criterion.
 For instance, if our sample consists of a mix of respondents with
different brand preferences for a product, cluster analysis will cluster individuals by their
preferences for each of the different brands.
Multidimensional Scaling
 Groups objects in multidimensional space. Objects that are perceived by respondents to

be different are distanced, and the greater the perceptual differences, the greater the
distance between the objects in the multidimensional space.
 In other words, multidimensional scaling provides a spatial portrayal of respondents’

perception of products, services, or other items of interest, and highlights the perceived
similarities and differences.
 In sum, multivariate techniques such as MANOVA, Discriminant analysis, and canonical

correlation help us to analyze the influence of independent variables on the dependent
variable in different ways.
 Other multivariate techniques such as factor analysis, cluster analysis, and

multidimensional scaling offer meaningful insights into the data set by forming patterns
of the data in one form or the other.
 It is advantageous that several univariate, bivariate, and multivariate techniques are

available to analyze sample data, so we can generalize the results obtained from the
sample to the population at large.
 It is, however, important to pay attention to what each hypothesis is, and use the correct
statistical technique to test it, rather than apply advanced inappropriate techniques.
Analysis of Qualitative Data
As we know, qualitative data can be obtained through many sources, prime among them being
in- depth interviews, participant or non participant observations, films and videotapes, projective
tests, case studies, and documents and archival data.
Description of the matter under study is the main essence of qualitative research and a range of
interpretive techniques can be used to decode, translate, decipher patterns, and discover the
meaning of phenomena that occur. The data culled can be categorized and coded according to
some meaningful classification scheme. Frequency counts can thereafter be taken, and X2 or
other appropriate non parametric tests done.
As an example, a manager might be concerned about the productivity at the workplace,

especially since a diverse group of individuals work together. The researcher who assists the
manager might want to know how people of different ethnic origins might perceive their White
bosses. Would these individuals feel they are respected and treated well at the workplace, that
they are not being stereotyped in different ways, and that the differences in ethnicity are valued
rather than devalued? In addition, the researcher might want to know if they express any special
needs based on their parenting status. For instance, women with infants and young children
might like flextime or flexible workplace or part time jobs, which might improve their
productivity.
The researcher might talk to several employees about these issues, and make a note of the ethnic
origin, parenthood status, and responses to a number of open ended questions. These interview
data may be later tabulated and coded, and then entered in the computer for non parametric
analysis. For example, if a Hispanic woman feels that communication with the boss is a problem
for her, this could be coded as a communication concern.
If an African American says that he is being discriminated against in the nature of the tasks
assigned to him then it could be coded under “discrimination/task,” and so on, can then be
submitted for cross tabulation and a X2 test.
Table 12.5 illustrates a tabulation of the responses obtained from 25 employees to the open
ended, unstructured interview, which posed the question: “What is your reaction to the
computerized production system recently introduced?” Frequency counts can be obtained based
on these tabulations and the applicable nonparametric tests used to interpret data.
When information is gathered from such sources as newspapers, journal articles, and audio and
videotapes, it can be classified, tabulated, and analyzed to understand phenomena, explain them,
or foretell future trends. Naisbitt’s well known Forecast of the future (see Megatrends) could
have been the result of engrossing himself in such an exercise. In analyzing qualitative
information, the researcher engages in an in depth probe and subjectively interprets the data in an
effort to account for much of the variation in the phenomenon of interest.
Table 12.5: Tabulation of qualitative Data obtained from 25 interviewees
Nature Physical Psychological Substantive
of Responses
Favorable # Relieves physical @ Don’t have to * Production will increase.

exhaustion worry about
** Just in time systems can be easily
personal
# Will reduce muscular incorporated.
responsibility for
pains.
meeting targets + Less supervision needed.
### Can sleep better at
@@ Mind is free to
night.
think about other
things as well.
Unfavorable $ Sedentary life not good & will the heavy investment really
for physical fitness. pay off in the long run?
X Sooner or later
= Muscles will get flabby there will be layoffs. ^ Maintenance costs can be very
high.
Xx I am not sure
what I am now! % Too much time will be spent on
training mean time, production will
Xxx Do I have to
suffer.
learn new things
now? At my age
will I be able to?
Respondents Respondents Respondents
#6, 8, 15, 22 @1, 11, 16, 17 * 4, 7, 10
## 8, 15, 19 @@ 3, 8, 9, 13, 16 ** 7, 12, 18
### 6, 8, 15, 19 $ 2, 20, 24 + 10, 12, 14, 5
=9
X 1, 9, 21 &10, 18, 25 Top Managers: 4, 7, 10
Xx 2, 3, 22, 24 ^4, 12, 18 Middle Managers: 12, 14, 18, 25
Blue collar: All the rest

Xxx 9, 23 % 7, 12, 14
Events, objects, persons, words, and syntax used in the various sources are frequently carefully
analyzed for their content, from which several inferences are drawn and projections made for the
future. Solutions for the rectification for some types of problems faced in organizations are also
possible through content analysis of case studies, audio and videotape reviews, and such others.
Content analysis involves the quantification of the qualitative information obtained through a
systematic analysis of the relevant information, thus providing a means for submitting it to
statistical analysis. For example, a content analysis of the feedback on the effectiveness of
different types of carefully manipulated media advertisements on TV, radio, newspaper, and web
sites can be examined as to its efficacy on recall and subsequent purchase of a product. It is also
possible to convert the qualitative data into interval like data by developing some justifiable
rational scheme, as per the following illustration.
Illustrative Example: Let us suppose that five open ended questions are asked to understand how
members feel about the organizational climate and we want to set up a numerical scale for the
responses received for this variable. We may adopt the following categorization and coding scheme for
the purpose.
1. if only one response is favorable, or if all responses are unfavorable, the variable might be
categorized as the “organizational climate is experienced to be very unsatisfactory,” and
assigned code1;
2. if two of the five responses are favorable, the answer might be categorized as “the
organizational climate is experienced as unsatisfactory” and assigned code 2;
3. if three responses are favorable, the response might be categorized as “the organizational
climate is experienced as neither satisfactory nor unsatisfactory,” and assigned code 3;
4. if four responses are favorable, the variable can be categorized as “the organizational climate
is experienced as satisfactory” and coded as 4; and
5. If all five responses are favorable, the response can be categorized as “the experienced
organizational climate is very satisfactory” and the response coded as 5.
These interval like data can then be submitted for different kinds of parametric statistical analysis, as
warranted, to find answers to the issues relating to the research. In sum, while analyzing qualitative data,
the notes transcribed are integrated and categorized under appropriate themes, the response categories then
transformed into numbers, and subjected to appropriate data analysis.
By using multiple methods such as interviewing, observing, and referring to information available with
company, the researcher establishes convergent validity and a sense of reliability for the data.
 The Pearson correlation coefficients are appropriate for interval –and –ratio scaled variables,
and the spearman rank or the Kendall’s Tau coefficients are appropriate when variables are
measured on an ordinal scale.
 Any Bivariate correlation can be obtained by clicking the relevant menu, identifying the
variables, and seeking the appropriate parametric or nonparametric statistics.
MANAGERIAL RELEVANCE
Managers make decisions every day, some of which are routine and some very critical for the organization.
The ability to understand the different types of analysis as well as the probabilities associated with each
projected outcome helps managers to take calculated risks (or avoid them), based on their own natural
inclinations as well as the gravity of the problem situation. If, for instance, the manager decides that
significance level of 90 (or even .80) in the data analytic results is acceptable, then he or she is aware that the
probability of making a wrong decision is 10% (or 20%). Such knowledge is extremely crucial for decision
making on various matters of differing complexity and consequence.
Knowledge of analysis such as multiple regression reminds the manager that multiple factors influence
outcomes and attention has to be paid to all the critical variables indicated by the results of the analysis. The
manager also gains a new appreciation of a scientific; data based information system that would lend itself to
different types of analyses to solve problems in a sophisticated and reliable manner. More advanced
multivariate analyses, when comprehended, offer managers valuable insights into developing strategies for
organizational growth.
Guidelines to Process Data’s Using SPSSS
Checking the Reliability of Measures: Cronbache’s Alpha
 The closer the reliability coefficient gets to 1.0, the better.

 In general, reliabilities less than .60 are considered to be poor, those in the .70,
range, acceptable, and those over .80 good.
 It is important to note that all negatively worded items in the questionnaires should
first be reversed before the items are submitted for reliability test.
 Unless all the items measuring a variable are in the same direction, the reliabilities
obtained will be incorrect.
Reliability Analysis
1. From the menu, choose
Analyse
Scale
Reliability analysis
2. Select the variables constituting the scale

3. Choose model alpha.
Obtaining Descriptive Statistics: Frequency Distributions
 Frequency distribution was obtained for all the personal data or classification variables.
Frequencies
From the menus, choose
Analyze
Descriptive statistics
Frequencies …..
(Select the relevant variable)
Choose needed:
Statistics
Charts….
Format (for the order in which the results are to be displayed)
The frequencies can also be visually displayed as bar charts, histograms, or pie charts by clicking
on statistics in the menu then summarize, then Frequencies, and charts in the frequencies dialog
box and then selecting the needed chart.
Pearson Correlation Matrix
From the menus, choose:
Analyze
Correlate
Bivariate ……
Option………
Select:
 Type of correlation coefficient: select relevant one. For example Pearson,

Kendall’s, Tau, Spearman.
 Test of sigiinificance –two tailed, one –tailed.
T-Test for Difference between Two Groups
(Independent Sample Test)
Choose
Analyse
Compare means
Independent- samples t- test
Select a single grouping variable and click Define groups to specify the two codes
to be compared.
Options…………
(Specify confidence level required - .05, .01, etc.)
Analysis over Variance (ANOVA)
Choose
Analyze
Compare means
One-way ANOVA
(Select the dependent variable‘s and one independent factor variable)
For post hoc test to determine in which of the multiple groups the differences lie click on:
Post hoc ………
(Select from among the many tests such as Bobferoni, scheffe, Tukey, Duncan, as appropriate)
Chi-Square Test
Choose:
Analyze
Descriptive Statistics
Crosstabs………..
(Enter variables in the rows and columns boxes)
Statistics ……………..
Select Chi-Square
Multiple Regression Analysis
Choose
Analyze
Regression
Linear …………
(Enter dependent and independent variables)
SUMMARY
We examined the use of descriptive statistics like the mean, median, and mode as measures of
central tendency and range, standard devastation, variance, and interquartile range as measures
of dispersion. These descriptive statistics help managers to understand and describe the nature of
the phenomena encountered in a situation, whether they relate to people, stocks, production,
events, or any other feature of interest.
We also saw the need for generating frequency distributions in the case of some nominal
demographic data, like educational level and number of organizations in which individuals have
worked. Organizations might also like frequency distributions for certain types of occurrences
such as machine breakdowns due to different specific reasons, or types of accounting errors
made, or the investment portfolio during a given period.
While discussing inferential statistics, we examined:
1. how correlational analysis can be done to test the relationship between two variables,
2. how X2 tests can detect whether two nominal variables are dependent or independent,
3. how to trace significant differences between two groups on a dependent variable,

using the t-test,
4. how to trace differences among several groups, using ANOVA, and
5. How to explain and predict the variance in the dependent variable when multiple
independent variables are theorized to influence it, using multiple regression analysis.
We noted the roles of the X2, t, and f statistic as tests of significance for different types of data
analyses. We also briefly described the use of multivariate analysis such as MANOVA,
Discriminant analysis, and canonical correlation. In addition, we saw that techniques such as
factor analysis, cluster analysis, and multidimensional scaling help to detect patterns in the
collected data.
We also examined how qualitative data are handled. A sophisticated categorization of the content
under different heads for example, under male and female responses as to how household finance
is handled, which members of the family usually buy the necessities and luxury items, and so on
can open up a vista of ideas to financial institutions, retailers, service agencies, and others, to
develop strategies. We also saw that development and adoption of a good and useful coding
system using creative classification schemes can lead to valuable information that can foster
further research.
Having recapitulated some statistical terms and tests, and refreshed our memory of these here,
discussions on how the data are actually analyzed will become clearer and more easily
understood
We observed the various statistical analysis and tests used to examine different hypothesis to
answer the research question. We also learned how the computer results are interpreted .an
important point to note is that data analysis should be based on testing hypothesis that have
been already formulated. It would be incorrect to change our original hypothesis to suit the
results of data analysis. It is however, acceptable to develop inductive hypothesis and later test
them through further research. We also looked at some of the emerging software programs that
help with questionnaire design and administration, data gathering and analysis.
We examined descriptive statistics which consists of the mean, median, and the mode as
measures of central tendency and the range, slandered deviation, variance, and interquartile
range as measures of dispersion. These descriptive statistics help managers to understand and
describe the nature of the phenomena encountered in a situation, whether they relate to people,
stocks, production, events, or any other feature of interest.
In inferential statistics, we examined: how exceptional analysis can be done to test the
relationship between two variables; how X2 tests can detect whether two nominal variables are
dependent or independent; how to trace significant differences between groups on a dependent
variable, using the t-test; how to trace differences among the groups, using ANOVA, and how to
explain and predict the variance in the dependent variable when multiple independent variables
are theorized to influence it, using multiple regression analysis.
Critical Thinking Discussion for Questions
1. What kinds of biases do you think could be minimized or avoided during the data analysis
stage of research?
2. When we collect data on the effects of treatment in experimental designs, which statistical
test would be most appropriate to test the treatment effects?
3. A tax collector wonders whether he should be more selective about the class of clients he
serves so as to maximize his income. He usually deals with four categories of clients: the
very rich, rich, upper class, and middle class. He has records of each and every client served,
the taxes paid by them, and how much he has charged them. Since many particulars in
respect of the clients vary……number of dependents , business deductibles etc irrespective
of the category they belong to, he would like an appropriate analysis to be done to see
which among the four categories of clientele be should choose to continue to serve in the
future. What kind of analysis should be done in the above case and why?
4. Which measures of central tendency and dispersion are appropriate in the following cases,
and why?
a. The ages of individuals who are grouped as follows:
 Under 25 ………3
 25-35…………120
 36-55………....80
 Over 55 ……..22
b. The performance ratings on a 100 –point scale given by the head of the
department to the top six performers:
 Top scorer ……87%
 Second………...82
 Third……………81
 Fourth…………76
 Fifth…………….74
 Sixth…………….68%
c. The weights of eight boxes of raw materials purchased:
275, 263, 298, 197, 275, 287, 263, and 243 pounds.
5. What is the chi-square test? State a research hypothesis that would call for a X2 test.
6. If you want to know whether three groups of employees –those who have served the
organization from 4-6 years, 7 to 9 years, and 10 to 12 years –are to be classified as
different in the number of trips they have taken outside the city on business work, what
statistical test would you use and why.
7. Explain in your own words what multiple regression analysis is. Give an organizational
situation that statistical test would you use and why?
8. The vice president of Lucas International was perplexed by the rate of turnover in the
company during the past 18 months or so. She suspected that tree possible factors contributed
to this the lower salaries paid to staff compared to industry average, the location of the
company, and the extent of bureaucracy that pervaded the system. She was not sure if there
were any differences among the four categories of employee’s managers, clerical staff,
machine operators, and secretarial staff in their intentions to quit in the next 6 months. “It
would be helpful to know how many of each category of staff are currently in the
organization, and to have a profile of their ages, educational qualifications, and experience
with the organization, “she thought. Furthermore, she wanted to know which of the
employees were more disgruntled the older or the younger. She put her assistant who had
taken a course on research methods to work, to gather the necessary data and give her the
needed information. Indicate the variables on which the assistant would gather data, and
what kinds of analyses he will be submitting the data to, to submit a report to the VP. (It
would help you to first list the information that the VP wants and then proceed with the
exercise.)
9. What is the chi-square test? State a research hypothesis (not in the examples given in the
book) that would call for a X2 test.
10. If you want to know whether three groups of employees those who have served the
organization from 4 to 6 years, 7 to 9 years, and 10 to 12 years are to be classified as
different in the number of trips they have taken outside of the city on business work, what
statistical test would you use and why?
11. Explain in your own words what multiple regression analysis is. Give an organizational
situation that would call for the use of multiple regression analysis.
Chap-13 Report Preparation and Presentation
Objectives
After completing this unit the student will be able to:
 Comprehend different report writing formats
 Prepare a research report keeping scientific standards.
 Examine guidelines for presentation.
12.1 Standardized Reporting Formats
Researchers differ in the ways they prepare a research report. The personality,
background, expertise, and responsibility of the researcher, along with the
decision maker (DM) to whom the report is addressed, interact to give each
report a unique character. Yet there are guidelines for formatting and writing
reports and designing tables and graphs.
The standardized reporting format has two major parts: Prefatory Parts
/Preliminary Pages & Main Bodies / main text
Prefatory Parts /Preliminary Pages
In the preliminary pages the report should carry a title and date, followed by
acknowledgements in the form of “preface “or “foreword”. Then, there should be
a table of contents followed by list of tables and illustrations so that the
decision maker or anybody interested in reading the report can easily locate the
required information in the report.
I) Title page
II) Title fly page
III) Letter of transmittal
IV) Letter of authorization
V) Table of contents
VI) List of tables
VII) List of graphs
VIII) List of appendices
IX) List of exhibits
X) Executive summary
 Objectives
 Major findings
 Conclusions
 Recommendations
Report Parts / Main Body /Main Text
The main text provides the complete outline of the research report along with
all details. Title of the research study is repeated at the top of the first page of
the main text and then follows the other details on pages numbered
consecutively, beginning with the second page. Each main section of the report
should begin on a new page. The main text of the report should have the
following sections.
XI) Introduction / Back Ground Of The Study
 Background to the problem/ study
 Statement of the problem
XII) Research Design/Research Methodology
 Type of research design
 Information needs
 Data collection from secondary sources
 Data collection from primary sources
 Scaling techniques
 Questionnaire development and pretesting
 Sampling techniques
 Fieldwork
XIII) Analysis of data presentation of finding:
 This section constitutes the main body of the report
wherein the results of the study are presented in clear
and non-technical terms with liberal use of all sorts of
illustrations such as charts, diagrams and the like
ones.
XIV) Limitation and Caveats
 Sample size limitation
 Sample selection limitation
 Other limitations ( frame error, timing, analysis , etc )
XV) Conclusions and Recommendations
 Conclusion- detailed summary of the findings and the
policy implications drawn from the results be explained.
 Recommendation
XVI) Bibliography /references various sources consulted be prepared
and attached.
XVII) Appendices
 Questionnaires and forms
 Technical appendices – detailed explanation of a
statistical tool such as conjoint analysis /Statistical
output
 Other appendices as necessary such as a map of the
area in which the survey took place
12.2 The Research Report Writing Process
Organization
Gather materials and data
Consider over all Format
Make detailed Outline
Writing First Draft
Rewriting
Improve Readability
Correct Grammar and spelling
Evaluate appropriateness
Evaluate content
Final Word Processing Circulating Or Publishing
12.3 Research Presentation
Materials for Oral Presentation
 Presentation outline
 Visuals
 Management or executive summary
 Copies of the final report
Question To Be Kept In Mind by the Presenter
 What do the data really mean?
 What impact do they have?
 What do we need to do, given the information we now have?
 How can future studies of this nature be enhanced?
 What can make information such as this more useful?
Ways or Methods to Communicate Better
 Prepare yourself by organizing primary and secondary data for

your presentation
 Get to know your audience members and their interests before you
make a presentation.
 Know your objectives. Ask yourself: why am I making the
presentation? Develop a communication strategy of how to
combine the interest of your audience with your own goal. Practice
the communication concept.
 Use notes. Memorize the opening if you must.
 Just be yourself. Nobody expects you to be Jay Leno, Bob Hope or
Billy Graham.
 Start by outlining the entire presentation in the form of four or five
key topics on the screen. It helps your audience see where things
fit together and where the presentation is going.
 Begin with your most dramatic and convincing point or quickly
build up to a climax so that you receive the full attention of the
audience from the start.
 Think of your presentation as a service. Look at it from your
audience members viewpoint s. continuously asks yourself: how
does the presentation help the audience? The organization? My
own operation? What is in it for all? Establish mutual benefits.
Think of the plus-plus relationship in transactional analysis.
 Keep it simple and easy to understand. Use short sentences:
subject verb, object.
 Do not discuss too many points and details: the main mission of
your presentation may get lost.
 Anticipate objections. Recognize them if you cannot fight them.
Starting an objection calmly takes the emotion out of it. You also
see how that you are aware of it.
 End with a positive note. Summarize what the listeners might lose
and what they will gain.
 Remember, a presentation is not sermon. It is sharing ideas with
your audience –ideas that may affect their jobs, their future.
 Don’t talk down to your audience. Use “we “instead of “I”.
 Talk directly to your audience. Don’t lose personal contact by
looking out of the window or at your shoes. Look people straight in
the eyes.
 Use charts and figures. Don’t overload them. Keep them simple. A
chart or figure should not say all there is to say. It can later be
distributed.
 When you use charts or figures, talk to the audience, not to the
chart or figure.
 Look at your watch. Finish your presentation on time.
Critical Thinking Questions for Discussion
1. Identify basic component of a research report?
2. What is the difference in writing a company report and a thesis?
3. What are the most important issues to be considered while writing the final report for a
research project?
4. Is writing for publication different from writing up the thesis? How?
5. How do you divide your time a 30- minute presentation? suggest how to divide your time
 Presenting Objectives And Research Questions
 Presenting How You Carried Out The Study
 Presenting Findings And Conclusions
 Questions And Answers Sessions
Chap-14 Code of Ethics of the American Marketing Association
The American marketing association , in furtherance of its central objectives of the advancement of
science in marketing and in recognition of its obligation to the public ,has established these principles
of ethical practice of marketing research for the guidance of its members. In an increasingly complex
society, marketing research is more and more dependent upon marketing information intelligently and
systematically obtained. The consumer is the source of much of this information .Seeking the
cooperation of the consumer in the development of information, marketing management must
acknowledge its obligation to protect the public from misrepresentation and exploitation under the
guise of research.
Similarly the research practioners has an obligation to the discipline he practices and to those who
provide support for his practice –an obligation to adhere to basic and commonly accepted standards
of scientific investigation as they apply to the domain of marketing research.
It is the intent of this code to define ethical standards required of marketing research in satisfying this
obligation.
Adherence to this code will assure the user of marketing research that the research that the research
that the research was done in accordance with acceptable ethical practices. Those engaged in research
will find in this code an affirmation of sound and honest basic principles which have developed over the
years as the profession has grown. The field interviewers who are the point of contact between the
profession and the consumer will also find guidance in fulfilling their vitally important role.
For Research Users, Practioners and Interviewers
1. No individual or organization will undertake any activity which is directly or

indirectly represented to be marketing research , but which has as its real
purpose the attempted sales of merchandise or services to some or all of the
respondents interviewed in the course of the research.
2. it is a respondent has been led to believe , directly or indirectly , that he is
participating in a marketing research survey and that his anonymity will be
protected, his name shall not be made known to anyone outside the research
organization or research department , or used for other than research
purposes.
For Research Practioners
1. There will be no intentional or deliberate misrepresentations of research

methods or results. An adequate description of methods employed will be
made available upon request, be made available to buyers of research.
2. The identity of the survey sponsor and /or the ultimate client for whom a
survey is being done will be held in confidence at all times, unless this
identity is to be revealed as part of the research design. Research
information shall be held in confidence by the research organization or
department and not used for personal gain or made available to any
outside party unless the client specifically authorizes such releases.
3. A research organization shall not undertake studies for competitive clients
when such studies would jeopardize the confidential nature of client-agency
relationships.
For Users of Marketing Research
1. A user of research shall not knowingly disseminates conclusions from a

given research project or service that are inconsistent with or not warranted
by the data.
2. To the extent that there is involved in a research project a unique design
involving techniques, approaches or concepts not commonly available to
research practioners , the prospective user of a research shall not solicit
such a design from one practioners and deliver it to another fro execution
without the approval of the design originator.
For Field Interviewers
1. Research assignments and materials received, as well as information

obtained from respondents, shall be held in confidence by the interviewer
and revealed to no one except the research organization conducting the
marketing study.
2. No information gained through a marketing research activity shall be used,
directly or indirectly, for the personal gain or advantage of the interviewer.
3. Interviews shall be conducted in strict accordance with specifications and
instructions received.
4. An interviewer shall not carry out two or more interviewing assignments
simultaneously unless authorized by all contractors or employees
concerned.
5. Members of the American marketing association will be expected to conduct
themselves in accordance with provisions of this code in all of their
marketing research activities.
Code of Ethics
The code of professional ethics and practice of the
Marketing research association, INC. is subscribed to as follows
1. To maintain high standards of competence and integrity in marketing and

survey research.
2. To exercise all reasonable care and to observe the best standards of
objectivity and accuracy in the development, collection, processing and
reporting of marketing and survey research information.
3. To protect the anonymity of respondents and hold all information’s
concerning an individual respondent privileged ,such that this information is
used only within the content of the particular study.
4. To thoroughly instruct and supervise all persons for whose work I am
responsible in accordance with study specifications and general research
techniques.
5. To observe the rights of ownership of all materials received from and /or
developed for clients, and to keep in confidence all research techniques, data
and other information considered confidential by their owners.
6. To make available to clients such details on the research methods and
techniques of an assignment as may be reasonably required for proper
interpretation of the data providing this reporting does not violate the
confidence of respondents or clients.
7. To promote the trust of the public for marketing and survey research
activities and to avoid any procedure which misrepresents the activities of a
respondent, the rewards of cooperation or the uses of the data?
8. To refrain from referring to membership in this organization as proof of
competence, since the organization does not so certify any person or
organization.
9. To encourage the observance of the principles of this code among all the
people engaged in marketing and survey research.
Code of Ethics in Marketing Research
Code of Ethics is a set of guidelines that states the standards and operating
procedures for ethical practices by researchers.
Rights and Obligations of the Respondent
 The obligation to be truthful
 Privacy
 Deceptions
 The right to be informed
Rights and Obligations of the Respondent
 The purpose of research is research
 Objectivity
 Avoid misrepresenting research
 Protect the rights to confidentiality of both subjects & clients
 Avoid dissemination of faulty conclusion
 Competitive research proposals.
Rights and Obligations of the client (sponsor)
 Ethical behavior between buyer and seller
 An open relationship with research suppliers
References
Aeker, Kumar, Day, Marketing Research: 6th ed, John Wiley and Sons, Inc., 1999.
Alley, Michael (2008) The Craft of Scientific Presentations: Critical steps to succeed and
critical errors to avoid. New York, Springer Verlag,LLC.
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Bell J. (1993) Doing Your Research Project. A Guide for First-Time Researchers in Education
and Social Science, Buckingham: Open University Press. See Part two: Selecting methods
of data collection pp. 61-122
Berg, Bruce L. (1995). Qualitative Research Methods for the Social Sciences. 2nd ed. Boston:
Allyn & Bacon.
Boyd, Westfall, Stasch, Marketing research: 7th ed, Richard D. Irwin, Inc., Homewood, Illinois,
1999.
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De Marrais, K & Lapan, S.D. (eds.) (2004). Foundations for Research: Methods of Inquiry in
Education & the Social Sciences. Mahwah: Lawrence Erlbaum Associates.
Fisher R A (1959). Statistical Methods & Scientific Inference. New York: Hafner Publishing.
Gates, Nandan, Barringer Marketing research essentials: 2nd ed, 1998.colin fisher and Etal
(2007), Researching & Writing A Dissertation: A Guide Book For Business Students,
Prentice Hall, 2nd ed.
Gay, L.R.; Mills, G.E.; & Airasian, P. (2009). Educational Research: Competencies for
Analysis and Applications (9th ed.). New Jersey: Pearson.
Jackson, Sherri (2007) Research Methods: A Modular Approach Cengage Learning.
Krueger R (1994) Focus Groups. A Practical Guide for Applied Research, 2nd edition, Sage:
London.
Marczyk, G.; DeMatteo, D.; and Festinger, D. (2005). Essentials of Research Design and
Methodology. New Jersey John Wiley & Sons, Inc.
Mitchell, M.L. & Jolley, J.M. (2004). Research Design (5th ed.). Wadsworth: Thomson.
Naresh K. Malhotra, Marketing Research: 2nd ed, 1999.
Pervez G & Kjell G. ( 2005 ), Research Methods In Business Studies : A Practical Guide ,
prentice Hall , 3rd ed.
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Sage
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McMillan Publishing Co, 1999.
Tull, Albaum, Green, Research for Marketing Decision: 5th ed.

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Introduction to Research Methods

Business research is an organized , systematic , data based , critical , objective

Managers in organizations constantly engage themselves in studying and

 Do managers identify where exactly the problem lies ,

Research Methods in Business Studies: A Practical Guide (PGS)–Dr Getie A. Page 1

This teaching material is organized under 13 chapters:

(Dr. Getie A.)

Research Methods in Business Studies: A Practical Guide (PGS)–Dr Getie A. Page 2

1.1 What Is Research?

problem. Research is an organized and systematic way of finding answers to questions.

 directed toward the solution of a problem;

 is based upon observable experience or empirical evidence;

 demands accurate observation and description;

 involves gathering new data from primary or first-hand sources or using

existing data for a new purpose;

 is characterized by carefully designed procedures, always applying rigorous

 is characterized by patient and unhurried activity;

 is carefully recorded and reported;

 sometimes requires courage;

Research Methods in Business Studies: A Practical Guide (PGS)–Dr Getie A. Page 3

be helpful in predicting future occurrences;

procedures employed, the data collected, and the conclusion reached.

The purpose of scientific research is problem solving – practical or theoretical nature.

 Seeking solutions to practical or theoretical problems involves:

 Describing phenomena/pictorial account of the phenomena

 Explaining phenomena/cause -and -effect relationships/

 Predicting phenomena/predicting what will happen in the future/

 Controlling phenomena/intervention packages

 Comparing phenomena/comparing 2 or more groups on a certain behavior or

even within the same group

Business Research is an organized, systematic, data based on critical, objective, scientific

make informed decisions to successfully deal with problems.

The basic differences between research methods and research methodology

 A method is a particular research technique or way to gather evidence about a

Research Methods in Business Studies: A Practical Guide (PGS)–Dr Getie A. Page 4

 Methodology describes “the theory of how inquiry should proceed”

 Methodology encompasses our entire approach to research – how we design and

implement research studies.

solve problems “research methods play several roles, such as:

 “logic” or ways of reasoning to arrive at solutions;

 Rules of intersubjectivity, i.e. outsiders should be able to examine and evaluate

 R recognition of information needs

 E ffective decision making

 S ystematic and objective

 E xude or disseminate information

 R commendations for action

Research Methods in Business Studies: A Practical Guide (PGS)–Dr Getie A. Page 5

knowledge or understanding. This makes research an end in itself. ( Basic Research).

1.3 What are the basic Features of Scientific Research?

1.4 Working Assumption of Science

 Rationality- a view that reasoning is the basis for solving problems.

 Regularity- a belief that phenomena exist in recurring patterns that conform to

 Discoverability- the belief that is possible to find solution to questions posed.

1.5 Characteristics of Scientific Methods

Two general traits characterize the scientific method:

 Validity: is the characteristics used to describe research that measures what

it claims to measure For example , to measure TV-viewing audiences

Research Methods in Business Studies: A Practical Guide (PGS)–Dr Getie A. Page 6