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Essentials of Marketing Research
Fourth Edition

Joseph F. Hair, Jr.


University of South Alabama

Mary Celsi
California State University–Long Beach

David J. Ortinau
University of South Florida

Robert P. Bush
Houston Baptist University

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ESSENTIALS OF MARKETING, FOURTH EDITION

Published by McGraw-Hill Education, 2 Penn Plaza, New York, NY 10121. Copyright © 2017 by McGraw-Hill
Education. All rights reserved. Printed in the United States of America. Previous editions © 2013, 2010, and
2008. No part of this publication may be reproduced or distributed in any form or by any means, or stored in a
database or retrieval system, without the prior written consent of McGraw-Hill Education, including, but not
limited to, in any network or other electronic storage or transmission, or broadcast for distance learning.

Some ancillaries, including electronic and print components, may not be available to customers outside the
United States.

This book is printed on acid-free paper.

1 2 3 4 5 6 7 8 9 QVS 21 20 19 18 17 16

ISBN 978-0-07-811211-9
MHID 0-07-811211-7

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All credits appearing on page or at the end of the book are considered to be an extension of the copyright page.

Library of Congress Cataloging-in-Publication Data


Hair, Joseph F., author.
Essentials of marketing research / Joseph F. Hair, Jr., University of South Alabama, Mary W. Celsi,
California State University/Long Beach, David J. Ortinau, University of South Florida, Robert P. Bush,
Houston Baptist University.
Fourth edition. | New York, NY : McGraw-Hill Education, [2017]
LCCN 2016030404 | ISBN 9780078112119 (alk. paper)
LCSH: Marketing research.
LCC HF5415.2 .E894 2017 | DDC 658.8/3—dc23 LC record available at https://lccn.loc.gov/2016030404

The Internet addresses listed in the text were accurate at the time of publication. The inclusion of a website does
not indicate an endorsement by the authors or McGraw-Hill Education, and McGraw-Hill Education does not
guarantee the accuracy of the information presented at these sites.

mheducation.com/highered

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Dedication

To my wife Dale, our son Joe III, wife Kerrie, and grandsons Joe IV and Declan.
—Joseph F. Hair, Jr., Mobile, Alabama
To my father and mother, William and Carol Finley.
—Mary Wolfinbarger Celsi, Long Beach, CA
To my late mom, Lois and my sister and brothers and their families.
—David J. Ortinau, Tampa, FL
To my late wife Donny Kathleen, and my two boys, Michael and Robert, Jr.
—Robert P. Bush, Sr., Houston, TX

iii

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About the Authors

Joseph F. Hair is Professor of Marketing and the Cleverdon Chair of Business at the Uni-
versity of South Alabama, and Director of the DBA degree program in the Mitchell College
of Business. He formerly held the Copeland Endowed Chair of Entrepreneurship at Lou-
isiana State University. He has published more than 60 books, including market leaders
Multivariate Data Analysis, 7th edition, Prentice Hall, 2010, which has been cited more than
125,000 times; Marketing Research, 4th edition, McGraw-Hill/Irwin, 2009; Principles of
Marketing, 12th edition, Thomson Learning, 2012, used at over 500 universities globally; A
Primer in Partial Least Squared Structural Equation Modeling (PLS-SEM), 2nd edition,
Sage, 2017; and Essentials of Business Research Methods, 3rd edition, Taylor & Francis,
2016. In addition to publishing numerous referred manuscripts in academic journals such as
Journal of Marketing Research, Journal of Academy of Marketing Science, Journal of Busi-
ness/Chicago, Journal of Advertising Research, and Journal of Retailing, he has presented
executive education and management training programs for numerous companies, has been
retained as consultant and expert witness for a wide variety of firms, and is frequently an
invited speaker on research methods and multivariate analysis. He is a Distinguished Fellow
of the Academy of Marketing Science, the Society for Marketing Advances (SMA), and has
served as president of the Academy of Marketing Sciences, the SMA, the Southern Mar-
keting Association, the Association for Healthcare Research, the Southwestern Marketing
Association, and the American Institute for Decision Sciences, Southeast Section. Professor
Hair was recognized by the Academy of Marketing Science with its Outstanding Marketing
Teaching Excellence Award, and the Louisiana State University Entrepreneurship Institute
under his leadership was recognized nationally by Entrepreneurship Magazine as one of the
top 12 programs in the United States.

Mary W. Celsi is a Professor of Marketing at California State University, Long Beach. She
has published research in several top journals, including Journal of Marketing, Journal of
Consumer Research Journal of Retailing, California Management Review, and Journal
of the Academy of Marketing Science. She has expertise in qualitative and quantitative
research methods. Her publications span a wide range of interests, from internal marketing
to digital marketing and consumer culture theory. Her research has been cited more than
5,000 times in scholarly publications.

David J. Ortinau is Professor of Marketing at the University of South Florida (USF).


His Ph.D. in Marketing is from Louisiana State University. He began his teaching ca-
reer at Illinois State University and after completing his degree moved to USF in Tampa.
Dr. Ortinau continues to be recognized for both outstanding research and excellence in
teaching at the undergraduate, graduate, and doctorate levels. His research interests range
from research methodologies and scale measurement development, attitude formation,
and perceptual differences in retailing and services marketing environments to interac-
tive electronic marketing technologies and their impact on information research problems.

iv

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About the Authors v

He consults for a variety of corporations and small businesses, with specialties in customer
satisfaction, service quality, service value, retail loyalty, and imagery. Dr. Ortinau has pre-
sented numerous papers at national and international academic conferences. He continues
to make scholarly contributions in such prestigious publications as the Journal of the Acad-
emy of Marketing Science, Journal of Retailing, Journal of Business Research, Journal of
Marketing Theory and Practice, Journal of Healthcare Marketing, Journal of Services
Marketing, Journal of Marketing Education, and others. He is a co-author of marketing
research textbooks titled Marketing Research: In a Digital Information Environment,
4e (2009) as well as guest co-editor of several JBR Special Issues on Retailing. He is an
editorial board member for JAMS, JBR, JGSMS, and JMTP as well as an Ad Hoc reviewer
for several other journals. He has multiple “Outstanding Editorial Reviewer” Awards from
JAMS, JBR, and JMTP, and recently served as the JBR co-associate editor of Marketing
and is a member of JMTP Senior Advisory Board. Professor Ortinau remains an active
leader in the Marketing Discipline. He has held many leadership positions in the Society
for Marketing Advances (SMA), including President; Founder and Chairman of Board of
the SMA Foundation; and is a 2001 SMA Fellow. He has been chair of the SMA Doctoral
Consortiums in New Orleans, Orlando, and Atlanta. Dr. Ortinau has been an active mem-
ber of the Academy of Marketing Science (AMS) since the early 1980s, serving AMS in a
wide variety of positions such as 2004 AMS Conference Program co-chair, AMS Doctoral
Colloquium, Meet the Journal Editorial Reviewers, and special sessions on Research Meth-
ods as well as How to Publish Journal Articles. Recently, Dr. Ortinau served as the Pro-
gram Co-chair of the 2016 AMS World Marketing Congress in Paris, France and became a
member of AMS Board of Governors.

Robert P. Bush is a Professor of Marketing, and Associate Dean of the Archie W. Dunham
College of Business, Houston Baptist University. He formerly held the Alumni and Friends
Endowed Chair in Business at Louisiana State University at Alexandria. Throughout his
academic career, he has served as reviewer and special editor for several major Marketing
Journals. He has authored, edited, or coauthored six textbooks, published over 25 articles
in leading Marketing Journals, and has over 30 publications in national and international
proceedings.

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Preface

We have prepared this edition with great optimism, but at the same time some degree of
trepidation. We live in a global, highly competitive, rapidly changing world that increas-
ingly is influenced by information technology, social media, artificial intelligence, and
many other recent developments. The earlier editions of our text Essentials of Marketing
Research became a premier source for new and essential marketing research knowledge.
Many of you, our customers, provided feedback on previous editions of this book as well
as our longer text, Marketing Research. Some of you like to do applied research projects
while others emphasize case studies or exercises at the end of the chapters. Others have
requested additional coverage of both qualitative and quantitative methods. Students and
professors alike are concerned about the price of textbooks. This fourth edition of Essen-
tials of Marketing Research was written to meet the needs of you, our customers. The text
is concise, highly readable, and value-priced, yet it delivers the basic knowledge needed for
an introductory text. We provide you and your students with an exciting, up-to-date text,
and an extensive supplement package. In the following section, we summarize what you
will find when you examine, and we hope, adopt, the fourth edition of Essentials.

Innovative Features of this Book


First, in the last few years, data collection has migrated quickly to online approaches, and
by 2015 reached about 80 percent of all data collection methods. The movement to online
methods of data collection has necessitated the addition of considerable new material on
this topic. The chapters on sampling, measurement and scaling, questionnaire design, and
preparation for data analysis all required new guidelines on how to deal with online related
issues. Social media monitoring and marketing research online communities are expanding
research methods and are addressed in our chapter on qualitative and observational research.
Second, to enhance student analytical skills we added additional variables to the con-
tinuing case on the Santa Fe Grill and Jose’s Southwestern Café. Also, there is now a
separate data set based on a survey of the employees of the Santa Fe Grill. Findings of the
Santa Fe Grill customer and employee data sets are related and can be compared qualita-
tively to obtain additional insights. The competitor data for the continuing case enables
students to make comparisons of customer experiences in each of the two restaurants and
to apply their research findings in devising the most effective marketing strategies for the
Santa Fe Grill. The exercises for the continuing case demonstrate practical considerations
in sampling, qualitative and observational design, questionnaire design, data analysis and
interpretation, and report preparation, to mention a few issues. Social media monitor-
ing and marketing research online communities are expanding research methods and are
addressed in our chapter on qualitative and observational research.
Third, we have updated the Marketing Research Dashboards in each chapter to
include new features that focus on timely, thought-provoking issues in marketing research.
Examples of topics covered include ethics, privacy and online data collection, particularly

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Preface vii

clickstream analysis, the role of Twitter and Linked-In in marketing research, and improv-
ing students’ critical thinking skills.
Fourth, other texts include little coverage of the task of conducting a literature review to
find background information on the research problem. Our text has a chapter that includes
substantial material on literature reviews, including guidelines on how to conduct a litera-
ture review and the sources to search. Because students rely so heavily on the Internet,
the emphasis is on using Google, Yahoo!, Bing, and other search engines to execute the
background research. In our effort to make the book more concise, we integrated secondary
sources of information with digital media searches. This material is in Chapter 3.
Fifth, our text is the only one that includes a separate chapter on qualitative data analysis.
Other texts discuss qualitative data collection, such as focus groups and in-depth interviews, but
then say little about what to do with this kind of data. In contrast, we dedicate an entire chapter
to the topic that includes interesting new examples and provides an overview of the seminal
work in this area by Miles and Huberman, thus enabling professors to provide a more balanced
approach in their classes. We also explain important tasks such as coding qualitative data and
identifying themes and patterns. An important practical feature in Chapter 9 of the third edition
is a sample report on a qualitative research project to help students better understand the differ-
ences between quantitative and qualitative reports. We also have an engaging, small-scale quali-
tative research assignment on product dissatisfaction as a new MRIA at the end of the chapter
to help students more fully understand how to analyze qualitative research. We think you and
your students will find this assignment to be an engaging introduction to qualitative analysis.
Sixth, as part of the “applied” emphasis of our text, Essentials has two pedagogical
features that are very helpful to students’ practical understanding of the issues. One is the
boxed material mentioned above entitled the Marketing Research Dashboard that sum-
marizes an applied research example and poses questions for discussion. Then at the end
of every chapter, we feature a Marketing Research in Action (MRIA) exercise that enables
students to apply what was covered in the chapter to a real-world situation.
Seventh, as noted above, our text has an excellent continuing case study throughout
the book that enables the professor to illustrate applied concepts using a realistic example.
Our continuing case study, the Santa Fe Grill Mexican Restaurant, is a fun example stu-
dents can relate to given the popularity of Mexican restaurant business themes. As men-
tioned above, for this edition we added an employee data set so students can complete a
competitive analysis, including application of importance-performance concepts, and also
relate the employee findings to the customer perceptions. Because it is a continuing case,
professors do not have to familiarize students with a new case in every chapter, but instead
can build on what has been covered earlier. The Santa Fe Grill case is doubly engaging
because the story/setting is about two college student entrepreneurs who start their own
business, a goal of many students. Finally, when the continuing case is used in later chap-
ters on quantitative data analysis, a data set is provided that can be used with SPSS and
SmartPLS to teach data analysis and interpretation skills. Thus, students can truly see how
marketing research information can be used to improve decision making.
Eighth, in addition to the Santa Fe Grill case, there are four other data sets in SPSS
format. The data sets can be used to assign research projects or as additional exercises
throughout the book. These databases cover a wide variety of topics that all students can
identify with and offer an excellent approach to enhance teaching of concepts. An over-
view of these cases is provided below:

Deli Depot is an expanded version of the Deli Depot case included in previous edi-
tions. An overview of this case is provided as part of the MRIA (Marketing Research
in Action) feature in Chapter 10. The sample size is 200.

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viii Preface

Remington’s Steak House is introduced as the MRIA in Chapter 11. Remington’s


Steak House competes with Outback and Longhorn. The focus of the case is analyzing
data to identify restaurant images and prepare perceptual maps to facilitate strategy
development. The sample size is 200.
QualKote is a business-to-business application of marketing research based on an
employee survey. It is introduced as the MRIA in Chapter 12. The case examines the
implementation of a quality improvement program and its impact on customer satis-
faction. The sample size is 57.
Consumer Electronics is based on the rapid growth of the digital recorder/player mar-
ket and focuses on the concept of innovators and early adopters. The case overview
and variables as well as some data analysis examples are provided in the MRIA for
Chapter 13. The sample size is 200.

Ninth, the text’s coverage of quantitative data analysis is more extensive and much
easier to understand than other books’. Specific step-by-step instructions are included on
how to use SPSS and SmartPLS to execute data analysis for many statistical techniques.
This enables instructors to spend much less time teaching students how to use the software
the first time. It also saves time later by providing a handy reference for students when
they forget how to use the software, which they often do. For instructors who want to cover
more advanced statistical techniques, our book is the only one that includes this topic. In
the fourth edition, we have added additional material on topics such as common methods
bias, selecting the appropriate scaling method, and a table providing guidelines to select
the appropriate statistical technique. Finally, we include an overview of the increasingly
popular variance based approach to structural modeling (PLS-SEM) and much more exten-
sive coverage of how to interpret data analysis findings.
Tenth, as noted earlier, online marketing research techniques are rapidly changing the
face of marketing, and the authors have experience with and a strong interest in the issues
associated with online data collection. For the most part, other texts’ material covering
online research is an “add-on” that does not fully integrate online research considerations
and their impact. In contrast, our text has extensive new coverage of these issues that is
comprehensive and timely because it was written in the last year when many of these
trends are now evident and information is available to document them.

Pedagogy
Many marketing research texts are readable. But a more important question is, “Can
students comprehend what they are reading?” This book offers a wealth of pedagogical
features, all aimed at answering the question positively. Below is a list of the major peda-
gogical elements available in the fourth edition:
Learning Objectives. Each chapter begins with clear Learning Objectives that stu-
dents can use to assess their expectations for and understanding of the chapter in view
of the nature and importance of the chapter material.
Real-World Chapter Openers. Each chapter opens with an interesting, relevant
example of a real-world business situation that illustrates the focus and significance
of the chapter material. For example, Chapter 1 illustrates the emerging role of social
networking sites such as Twitter in enhancing marketing research activities.
Marketing Research Dashboards. The text includes boxed features in all chapters
that act like a dashboard for the student to understand emerging issues in marketing
research decision making.

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Preface ix

Key Terms and Concepts. These are boldfaced in the text and defined in the page
margins. They also are listed at the end of the chapters along with page numbers to
make reviewing easier, and they are included in the comprehensive marketing research
Glossary at the end of the book.
Ethics. Ethical issues are treated in the first chapter to provide students with a basic
understanding of ethical challenges in marketing research. Coverage of increasingly
important ethical issues has been updated and expanded from the second edition, and
includes online data collection ethical issues.
Chapter Summaries. The detailed chapter Summaries are organized by the Learning
Objectives presented at the beginning of the chapters. This approach to organizing
summaries helps students remember the key facts, concepts, and issues. The Summa-
ries serve as an excellent study guide to prepare for in-class exercises and for exams.
Questions for Review and Discussion. The Review and Discussion Questions are care-
fully designed to enhance the self-learning process and to encourage application of the
concepts learned in the chapter to real business decision-making situations. There are two
or three questions in each chapter directly related to the Internet and designed to provide
students with opportunities to enhance their digital data gathering and interpretative skills.
Marketing Research in Action. The short MRIA cases that conclude each of the chap-
ters provide students with additional insights into how key concepts in each chapter can be
applied to real-world situations. These cases serve as in-class discussion tools or applied
case exercises. Several of them introduce the data sets found on the book’s Web site.
Santa Fe Grill. The book’s continuing case study on the Santa Fe Grill uses a single
research situation to illustrate various aspects of the marketing research process. The Santa
Fe Grill continuing case, including competitor Jose’s Southwestern Café, is a specially
designed business scenario embedded throughout the book for the purpose of questioning
and illustrating chapter topics. The case is introduced in Chapter 1, and in each subsequent
chapter, it builds on the concepts previously learned. More than 30 class-tested examples
are included as well as an SPSS and Excel formatted database covering a customer survey
of the two restaurants. In earlier editions, we added customer survey information for
competitor Jose’s Southwestern Café, as well as employee survey results for the Santa Fe
Grill, to further demonstrate and enhance critical thinking and analytical skills.

McGraw-Hill Connect®: connect.mheducation.com


Continually evolving, McGraw-Hill Connect® has been redesigned to provide the only true
adaptive learning experience delivered within a simple and easy-to-navigate environment,
placing students at the very center.

∙ Performance Analytics—Now available for both instructors and students, easy-to-


decipher data illuminates course performance. Students always know how they are
doing in class, while instructors can view student and section performance at-a-glance.
∙ Mobile—Available on tablets, students can now access assignments, quizzes, and results
on-the-go, while instructors can assess student and section performance anytime, anywhere.
∙ Personalized Learning—Squeezing the most out of study time, the adaptive engine
within Connect creates a highly personalized learning path for each student by identify-
ing areas of weakness and providing learning resources to assist in the moment of need.

This seamless integration of reading, practice, and assessment ensures that the focus is on
the most important content for that individual.

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x Preface

LearnSmart®
LearnSmart, the most widely used adaptive learning resource, is proven to improve grades.
By focusing each student on the most important information they need to learn, Learn-
Smart personalizes the learning experience so they can study as efficiently as possible.

SmartBook®
SmartBook—an extension of LearnSmart—is an adaptive eBook that helps students focus
their study time more effectively. As students read, SmartBook assesses comprehension
and dynamically highlights where they need to study more.

Instructor Library
The Connect Instructor Library is your repository for additional resources to improve student
engagement in and out of class. You can select and use any asset that enhances your lecture.

Instructor’s Resources. Specially prepared Instructor’s Manual and Test Bank and
PowerPoint slide presentations provide an easy transition for instructors teaching with
the book the first time.
Data Sets. Six data sets in SPSS format are available in the Connect Library, which
can be used to assign research projects or with exercises throughout the book. (The
concepts covered in each of the data sets are summarized earlier in this Preface.)
SmartPLS Student Version. Through an arrangement with SmartPLS
(www.smartple.de), we provide instructions on how to obtain a free student ver-
sion of this powerful new software for executing structural modeling, multiple
regression, mediation, and many other interesting types of analyses. Specific instruc-
tions on how to obtain and use the software are available in the Connect Library.
SPSS Student Version. This powerful software tool enables students to analyze up
to 50 variables and 1,500 observations. SPSS data sets are available that can be used
in conjunction with data analysis procedures included in the text. Licensing informa-
tion is available from IBM Analytics for Education: www.ibm.com/analytics/us/en
/industry/education

Acknowledgments
The authors took the lead in preparing the fourth edition, but many other people
must be given credit for their significant contributions in bringing our vision to real-
ity. We thank our colleagues in academia and industry for their helpful insights
over many years on numerous research topics: David Andrus, Kansas State Uni-
versity; Barry Babin, Louisiana Tech University; Joseph K. Ballanger, Stephen F.
Austin State University; Ali Besharat, University of South Florida; Kevin Bittle,
Johnson and Wales University; Mike Brady, Florida State University; John R.
Brooks, Jr., Houston Baptist University; Mary L. Carsky, University of Hart-
ford; Gabriel Perez Cifuentes, University of the Andes; Vicki Crittenden, Boston
College; Diane Edmondson, Middle Tennessee State University; Keith Ferguson,
Michigan State University; Frank Franzak, Virginia Commonwealth University;
Susan Geringer, California State University, Fresno; Anne Gottfried, University of
Southern Mississippi; Timothy Graeff, Middle Tennessee State University; Dana Harrison,

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Preface xi

East Tennessee State University; Harry Harmon, Central Missouri State University;
Lucas Hopkins, Florida State University; Gail Hudson, Arkansas State
University; Beverly Jones, Kettering University; Karen Kolzow-Bowman, Morgan State
University; Michel Laroche, Concordia University; Bryan Lukas, University of Melbourne;
Vaidotas Lukosius, Tennessee State University; Lucy Matthews, Middle Tennessee State
University; Peter McGoldrick, University of Manchester; Martin Meyers, University of
Wisconsin, Stevens Point; Arthur Money, Henley Management College; Vanessa Gail
Perry, George Washington University; Ossi Pesamaa, Jonkoping University; Emily J.
Plant, University of Montana; Michael Polonsky, Deakin University; Charlie Ragland,
Indiana University; Molly Rapert, University of Arkansas; Mimi Richard, University of
West Georgia; John Rigney, Golden State University; Jeff Risher, Kennesaw State Uni-
versity; Wendy Ritz Fayetteville State University; Jean Romeo, Boston College; Lawrence
E. Ross, Florida Southern University; Phillip Samouel, Kingston University; Carl Saxby,
University of Southern Indiana; Donna Smith, Ryerson University; Marc Sollosy, Marshall
University; Bruce Stern, Portland State University; Goran Svensson, University of Oslo;
Armen Taschian, Kennesaw State University; Drew Thoeni, University of North Florida ;
Gail Tom, California State University, Sacramento; John Tsalikis, Florida International
University; Steve Vitucci, University of Central Texas; Tuo Wang, Kent State University;
David Williams, Dalton State University;

Our sincere thank goes also to the helpful reviewers who made suggestions and shared
their ideas for the fourth edition:

Mary Conran Lee Ann Kahlor


Fox School of Business at Temple University University of Texas at Austin
Curt John Dommeyer Sungho Park
California State University at Northridge Arizona State University

Finally, we would like to thank our editors and advisors at McGraw-Hill Education. Thanks
go to Laura Hurst Spell, sponsoring editor; Elizabeth Schonagen, marketing manager; and
Jenilynn McAtee, project manager.
Joseph F. Hair, Jr.
Mary W. Celsi
David J. Ortinau
Robert P. Bush

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Brief Contents

Part 1 The Role and Value of Marketing


Research Information 1
1 Marketing Research for Managerial
Decision Making 2
2 The Marketing Research Process
and Proposals 24
Part 2 Designing the Marketing Research
Project 47
3 Secondary Data, Literature Reviews,
and Hypotheses 48
4 Exploratory and Observational Research
Designs and Data Collection Approaches 74
5 Descriptive and Causal Research Designs 106
Part 3 Gathering and Collecting
Accurate Data 133
6 Sampling: Theory and Methods 134
7 Measurement and Scaling 158
8 Designing the Questionnaire 190
Part 4 Data Preparation, Analysis,
and Reporting the Results 219
9 Qualitative Data Analysis 220
10 Preparing Data for Quantitative Analysis 246
11 Basic Data Analysis for Quantitative Research 272
12 Examining Relationships in Quantitative
Research 316
13 Communicating Marketing Research Findings 352
Glossary 382
Endnotes 400
Name Index 404
Subject Index 406
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Contents

Part 1 The Role and Value of Marketing 2 The Marketing Research Process
and Proposals 24
Research Information 1
Solving Marketing Problems
1 Marketing Research for Managerial Using a Systematic Process 25
Decision Making 2 Value of the Research Process 26
Geofencing 3 Changing View of the Marketing
The Growing Complexity of Marketing Research Process 26
Research 4 Determining the Need for
MARKETING RESEARCH DASHBOARD: Information Research 27
CONDUCTING INTERNATIONAL MARKETING RESEARCH
MARKETING RESEARCH 4 DASHBOARD: DECISION
The Role and Value of Marketing Research 6 MAKERS AND RESEARCHERS 28
Marketing Research and Overview of the Research Process 29
Marketing Mix Variables 6 Transforming Data into Knowledge 30
Marketing Theory 9 Interrelatedness of the Steps and the
MARKETING RESEARCH DASHBOARD: Research Process 31
THE PERFECT PRICING EXPERIMENT? 10 Phase I: Determine the Research Problem 31
The Marketing Research Industry 10 Step 1: Identify and Clarify
Types of Marketing Research Firms 10 Information Needs 32
Changing Skills for a Changing Industry 11 Step 2: Define the Research Questions 34
Ethics in Marketing Research Practices 12 Step 3: Specify Research Objectives
Ethical Questions in General and Confirm the Information Value 36
Business Practices 12 Phase II: Select the Research Design 36
Conducting Research Not Meeting Step 4: Determine the Research
Professional Standards 13 Design and Data Sources 36
Abuse of Respondents 14 MARKETING RESEARCH DASHBOARD:
Unethical Activities of the MEASURING EFFECTIVENESS
Client/Research User 15 OF ONLINE ADVERTISING FORMATS 37
MARKETING RESEARCH DASHBOARD 15 Step 5: Develop the Sampling
Unethical Activities by the Respondent 16 Design and Sample Size 38
Marketing Research Codes of Ethics 16 Step 6: Examine Measurement
CONTINUING CASE STUDY: THE SANTA Issues and Scales 38
FE GRILL MEXICAN RESTAURANT 17 Step 7: Design and Pretest
Emerging Trends 17 the Questionnaire 39
Marketing Research in Action 18 Phase III: Execute the Research Design 39
Continuing Case: The Santa Fe Grill 18 Step 8: Collect and Prepare Data 39
Summary 20 Step 9: Analyze Data 39
Key Terms and Concepts 20 Step 10: Interpret Data to
Review Questions 21 Create Knowledge 40
Discussion Questions 21 Phase IV: Communicate the Results 40
Appendix A 22
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xiv Contents

Step 11: Prepare and Present Summary 70


the Final Report 41 Key Terms and Concepts 71
Develop a Research Proposal 41 Review Questions 71
Marketing Research in Action 42 Discussion Questions 71
What Does a Research Proposal Look Like? 42
Summary 44 4 Exploratory and Observational
Key Terms and Concepts 45 Research Designs and Data
Review Questions 45 Collection Approaches 74
Discussion Questions 46 Customer Territoriality in “Third Places” 75
Value of Qualitative Research 76
Part 2 Designing the Marketing Overview of Research Designs 77
Overview of Qualitative and Quantitative
Research Project 47 Research Methods 77
3 Secondary Data, Literature Reviews, Quantitative Research Methods 77
and Hypotheses 48 Qualitative Research Methods 78
Will Brick-and-Mortar Stores Qualitative Data Collection Methods 81
Eventually Turn into Product Showrooms? 49 In-Depth Interviews 81
Value of Secondary Data and Focus Group Interviews 82
Literature Reviews 50 Phase 1: Planning the Focus
Nature, Scope, and Role of Group Study 85
Secondary Data 50 Phase 2: Conducting the Focus
Conducting a Literature Review 51 Group Discussions 87
Evaluating Secondary Data Sources 51 Phase 3: Analyzing and Reporting
Secondary Data and the Marketing the Results 89
Research Process 53 Advantages of Focus Group
Internal and External Sources Interviews 89
of Secondary Data 54 Purposed Communities/Private
Internal Sources of Secondary Data 54 Community 89
External Sources of Secondary Data 54 Other Qualitative Data Collection
CONTINUING CASE STUDY: Methods 91
THE SANTA FE GRILL MEXICAN Ethnography 91
RESTAURANT USING Case Study 91
SECONDARY DATA 58 Projective Techniques 92
MARKETING RESEARCH CONTINUING CASE:
DASHBOARD: TRIANGULATING THE SANTA FE GRILL 92
SECONDARY DATA SOURCES 62 Observation Methods 93
Synthesizing Secondary Research for the Unique Characteristics of Observation
Literature Review 62 Methods 94
Developing a Conceptual Model 63 Types of Observation Methods 94
Variables, Constructs, and Selecting the Observation Method 96
Relationships 63 Benefits and Limitations of
Developing Hypotheses and Drawing Observation Methods 97
Conceptual Models 64 Social Media Monitoring and the
CONTINUING CASE STUDY: THE SANTA Listening Platform 97
FE GRILL MEXICAN RESTAURANT Netnography 99
DEVELOPING RESEARCH QUESTIONS Marketing Research in Action 100
AND HYPOTHESES 67 Reaching Hispanics through Qualitative
Hypothesis Testing 67 Research 100
Marketing Research in Action 69 Summary 102
The Santa Fe Grill Mexican Restaurant 69 Key Terms and Concepts 103

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Contents xv

Review Questions 104 Population 137


Discussion Questions 104 Sampling Frame 138
Factors Underlying Sampling
5 Descriptive and Causal Theory 138
Research Designs 106 Tools Used to Assess the Quality
Magnum Hotel’s Loyalty Program 107 of Samples 139
Value of Descriptive and Causal Survey MARKETING RESEARCH IN ACTION
Research Designs 108 CONTINUING CASE STUDY: THE SANTA
Descriptive Research Designs FE GRILL 139
and Surveys 108 Probability and Nonprobability Sampling 140
Types of Errors in Surveys 109 Probability Sampling Designs 140
Sampling Errors 109 MARKETING RESEARCH DASHBOARD:
Nonsampling Errors 110 SELECTING A SYSTEMATIC RANDOM
Types of Survey Methods 110 SAMPLE FOR THE SANTA FE GRILL 142
Person-Administered Surveys 111 MARKETING RESEARCH
Telephone-Administered Surveys 112 DASHBOARD: WHICH IS
Self-Administered Surveys 115 BETTER—PROPORTIONATELY OR
Selecting the Appropriate Survey Method 118 DISPROPORTIONATELY STRATIFIED
Situational Characteristics 118 SAMPLES? 145
Task Characteristics 119 Nonprobability Sampling Designs 146
Respondent Characteristics 120 Determining the Appropriate
Causal Research Designs 122 Sampling Design 148
The Nature of Experimentation 123 Determining Sample Sizes 148
Validity Concerns with Experimental Probability Sample Sizes 148
Research 124 CONTINUING CASE STUDY:
MARKETING RESEARCH DASHBOARD: THE SANTA FE GRILL 149
RETAILERS USE EXPERIMENTS Sampling from a Small Population 150
TO TEST DISCOUNT STRATEGY 125 MARKETING RESEARCH
Comparing Laboratory and Field DASHBOARD: USING SPSS
Experiments 126 TO SELECT A RANDOM SAMPLE 150
Test Marketing 127 Nonprobability Sample Sizes 151
Marketing Research Dashboard 128 Other Sample Size Determination
Riders Fits New Database into Approaches 151
Brand Launch 128 MARKETING RESEARCH DASHBOARD:
Summary 130 SAMPLING AND ONLINE SURVEYS 151
Key Terms and Concepts 131 Steps in Developing a Sampling Plan 152
Review Questions 131 Marketing Research in Action 154
Discussion Questions 132 Developing a Sampling Plan for a
New Menu Initiative Survey 154
Part 3 Gathering and Collecting Summary 155
Accurate Data 133 Key Terms and Concepts 156
Review Questions 156
6 Sampling: Theory Discussion Questions 156
and Methods 134
Mobile Web Interactions Explode 135 7 Measurement and Scaling 158
Value of Sampling in Marketing Santa Fe Grill Mexican Restaurant:
Research 136 Predicting Customer Loyalty 159
Sampling as a Part of the Value of Measurement in
Research Process 136 Information Research 160
The Basics of Sampling Theory 137 Overview of the Measurement Process 160

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xvi Contents

What Is a Construct? 161 Step 4: Determine Layout and


Construct Development 161 Evaluate Questionnaire 203
Scale Measurement 163 MARKETING RESEARCH DASHBOARD:
MARKETING RESEARCH DASHBOARD: SMART QUESTIONNAIRES
UNDERSTANDING THE DIMENSIONS ARE REVOLUTIONIZING SURVEYS 204
OF BANK SERVICE QUALITY 163 Step 5: Obtain Initial
Nominal Scales 164 Client Approval 207
Ordinal Scales 164 Step 6: Pretest, Revise, and
Interval Scales 165 Finalize the Questionnaire 207
Ratio Scales 166 Step 7: Implement the Survey 207
Evaluating Measurement Scales 167 The Role of a Cover Letter 208
Scale Reliability 167 MARKETING RESEARCH DASHBOARD:
Validity 168 COVER LETTER USED WITH THE
Developing Scale Measurements 169 AMERICAN BANK SURVEY 209
Criteria for Scale Development 169 Other Considerations in Collecting Data 210
Adapting Established Scales 172 Supervisor Instructions 210
Scales to Measure Attitudes and Behaviors 173 Interviewer Instructions 211
Likert Scale 173 Screening Questions 211
Semantic Differential Scale 174 Quotas 211
Behavioral Intention Scale 176 Call or Contact Records 211
Comparative and Noncomparative Marketing Research in Action 212
Rating Scales 177 Designing a Questionnaire to
Other Scale Measurement Issues 180 Survey Santa Fe Grill Customers 212
Single-Item and Multiple-Item Scales 180 Summary 217
Clear Wording 180 Key Terms and Concepts 218
Misleading Scaling Formats 181 Review Questions 218
Marketing Research in Action 184 Discussion Questions 218
What Can You Learn from a Customer
Loyalty Index? 184 Part 4 Data Preparation, Analysis,
Summary 186
and Reporting the Results 219
Key Terms and Concepts 187
Review Questions 187 9 Qualitative Data Analysis 220
Discussion Questions 188 Why Women are “Claiming
the Throttle” 221
8 Designing the Questionnaire 190 Nature of Qualitative Data Analysis 222
Can Surveys Be Used to Develop Qualitative versus Quantitative Analyses 222
University Residence Life Plans? 191 The Process of Analyzing
Value of Questionnaires in Qualitative Data 223
Marketing Research 192 Managing the Data
Pilot Studies and Pretests 192 Collection Effort 223
Questionnaire Design 193 Step 1: Data Reduction 223
Step 1: Confirm Research Step 2: Data Display 230
Objectives 193 Step 3: Conclusion Drawing/
Step 2: Select Appropriate Verification 231
Data Collection Method 194 Writing the Report 235
Step 3: Develop Questions Analysis of the Data/Findings 236
and Scaling 194 Conclusions and Recommendations 237
MARKETING RESEARCH DASHBOARD: CONTINUING CASE: SANTA FE GRILL:
“FRAMING” YOUR QUESTIONS CAN USING QUALITATIVE RESEARCH 238
INTRODUCE BIAS! 198 Marketing Research in Action 239

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Contents xvii

A Qualitative Approach to Understanding Measures of Dispersion 277


Product Dissatisfaction 239 SPSS Applications—Measures of
Summary 240 Dispersion 278
Key Terms and Concepts 241 Preparation of Charts 281
Review Questions 242 How to Develop Hypotheses 281
Discussion Questions 242 MARKETING RESEARCH DASHBOARD:
Appendix A 243 STEPS IN HYPOTHESIS DEVELOPMENT
Advertising’s Second Audience: AND TESTING 282
Employee Reactions to Organizational Analyzing Relationships of
Communications 243 Sample Data 283
Sample Statistics and Population
10 Preparing Data for Quantitative
Parameters 283
Analysis 246
Choosing the Appropriate Statistical
Scanner Data Improves Understanding
Technique 283
of Purchase Behavior 247
Univariate Statistical Tests 286
Value of Preparing Data for Analysis 248
SPSS Application—Univariate
Validation 249
Hypothesis Test 287
Editing and Coding 251
Bivariate Statistical Tests 287
Asking the Proper Questions 251
Cross-Tabulation 288
Accurate Recording of Answers 251
MARKETING RESEARCH DASHBOARD:
Correct Screening Questions 252
SELECTING THE SANTA FE GRILL
Responses to Open-Ended Questions 255
CUSTOMERS FOR ANALYSIS 288
The Coding Process 256
Chi-Square Analysis 290
MARKETING RESEARCH DASHBOARD:
Calculating the Chi-Square Value 291
DEALING WITH DATA FROM DATA
SPSS Application—Chi-Square 292
WAREHOUSES 258
Comparing Means: Independent
Data Entry 259
Versus Related Samples 293
Error Detection 259
Using the t-Test to Compare
Missing Data 259
Two Means 294
Organizing Data 261
SPSS Application—Independent
Data Tabulation 261
Samples t-Test 295
One-Way Tabulation 261
SPSS Application—Paired
Descriptive Statistics 264
Samples t-Test 296
Graphical Illustration of Data 264
Analysis of Variance (ANOVA) 297
Marketing Research in Action 267
SPSS Application—ANOVA 298
Deli Depot 267
n-Way ANOVA 300
Summary 270
SPSS Application—n-Way
Key Terms and Concepts 271
ANOVA 301
Review Questions 271
Perceptual Mapping 304
Discussion Questions 271
Perceptual Mapping Applications
11 Basic Data Analysis for Quantitative in Marketing Research 305
Research 272 CONTINUING CASE STUDY:
Data Analysis Facilitates Smarter Decisions 273 THE SANTA FE GRILL 305
Value of Statistical Analysis 274 Marketing Research in Action 306
Measures of Central Tendency 274 Examining Restaurant Image Positions—
MARKETING RESEARCH DASHBOARD: Remington’s Steak House 306
SPLITTING THE DATABASE INTO SANTA Summary 313
FE’S AND JOSE’S CUSTOMERS 276 Key Terms and Concepts 313
SPSS Applications—Measures of Review Questions 314
Central Tendency 276 Discussion Questions 314

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xviii Contents

12 Examining Relationships 13 Communicating Marketing


in Quantitative Research 316 Research Findings 352
Data Mining Helps Rebuild Procter & It Takes More than Numbers to
Gamble as a Global Powerhouse 317 Communicate 353
Examining Relationships Value of Communicating
between Variables 318 Research Findings 354
Covariation and Variable Relationships 319 Marketing Research Reports 354
Correlation Analysis 322 MARKETING RESEARCH DASHBOARD:
Pearson Correlation Coefficient 323 CRITICAL THINKING AND MARKETING
SPSS Application—Pearson RESEARCH 357
Correlation 323 Format of the Marketing
Substantive Significance of the Research Report 357
Correlation Coefficient 325 Title Page 358
Influence of Measurement Scales on Table of Contents 358
Correlation Analysis 326 Executive Summary 358
SPSS Application—Spearman Introduction 359
Rank Order Correlation 326 Research Methods and Procedures 360
What Is Regression Analysis? 327 Data Analysis and Findings 361
Fundamentals of Regression Analysis 328 Conclusions and Recommendations 372
Developing and Estimating the Limitations 374
Regression Coefficients 330 Appendixes 374
SPSS Application—Bivariate Common Problems in Preparing
Regression 330 the Marketing Research Report 374
Significance 332 The Critical Nature of Presentations 375
Multiple Regression Analysis 333 Guidelines for Preparing Oral
Statistical Significance 334 Presentations 375
Substantive Significance 334 Guidelines for Preparing the Visual
Multiple Regression Assumptions 335 Presentation 376
SPSS Application—Multiple Marketing Research in Action 377
Regression 335 Who Are the Early Adopters of
What Is Structural Modeling? 339 Technology? 377
An Example of Structural Modeling 341 Summary 380
Marketing Research in Action 345 Key Terms and Concepts 381
The Role of Employees in Developing a Review Questions 381
Customer Satisfaction Program 345 Discussion Questions 381
Summary 348
Glossary 382
Key Terms and Concepts 349
Endnotes 400
Review Questions 349
Name Index 404
Discussion Questions 349
Subject Index 406

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Another random document with
no related content on Scribd:
The result was a more crushing victory for the Catholics than
they had ever won before. Of 152 Representatives they elected
no less than 104. The Liberal party was almost annihilated,
securing but 20 seats in the Chamber; while the Socialists
rose to political importance, winning 28 seats. This
representation is said to be not at all proportioned to the
votes cast by the several parties, and it lent force to the
demand for a system of proportional representation, as the
needed accompaniment of plural voting, which had been urged
when the constitution was revised. In the Senate the
Conservatives obtained 52 seats and the Liberals 24. In the
next year an electoral law relating to communal councils was
passed. In this law, the principle of proportional
representation was introduced, along with that of cumulative
or plural voting. Compulsory voting, enforced by penalties
more or less severe, was also a feature of the law. In
November, the first election under it was held, and again the
Socialists made surprising gains, at the expense of the
Radical party, the Catholics and Liberals generally holding
their ground.

BELGIUM: A. D. 1895.
New School Law.
Compulsory religious teaching restored.

See (in this volume)


EDUCATION: A. D. 1895 (BELGIUM).

BELGIUM: A. D. 1897.
Industrial combinations.

See (in this volume)


TRUSTS: IN EUROPEAN COUNTRIES.

BELGIUM: A. D. 1897 (July).


British notice to terminate existing commercial treaties.
See (in this volume)
ENGLAND: A. D. 1897 (JUNE-JULY).

BELGIUM: A. D. 1898 (June).


The Sugar Conference at Brussels.

See (in this volume)


SUGAR BOUNTIES.

BELGIUM: A. D. 1898 (July-December).


In the Chinese "battle of concessions."

See (in this volume)


CHINA: A. D. 1898 (FEBRUARY-DECEMBER).

BELGIUM: A. D. 1899 (May-July).


Representation in the Peace Conference at The Hague.

See (in this volume)


PEACE CONFERENCE.

BELGIUM: A. D. 1899-1900.
Threatened revolution.

An explosion of discontent with the working of the electoral


provisions of the new constitution (see above) occurred in
June, and created for a time an exceedingly dangerous
situation. It was precipitated by an attempt on the part of
the government to pass a bill providing for proportional
representation in certain districts, which was expected to
increase the advantage already possessed by the Clerical or
Catholic party. Excitement in the Chamber of Deputies reached
such a height on the 28th of June that fighting among the
members occurred, and soldiers were called in. That night and
the next day there was serious rioting in Brussels; barricades
were built; sharp battles between citizens and soldiers were
fought, and a general strike of working men was proposed. On
the 30th, the government arranged a compromise with the
Socialist and Liberal leaders which referred the question of
proportional representation to a committee in which all
parties were represented. This quieted the disorder. In due
time the committee reported against the measure which the
government had proposed; whereupon a change of ministry was
made, the new ministry being expected to bring forward a more
satisfactory plan of proportional representation. It produced
a bill for that purpose, the provisions of which failed to
give satisfaction, but which was passed, nevertheless, near
the end of the year.

Commenting, in July, on the disturbances then just quieted in


Belgium, the "Spectator," of London, remarked: "The recent
explosion of political feeling in Belgium was a much more
serious event than was quite understood in this country. It
might have involved all Europe, as, indeed, it may even yet.
There was revolution in the air, and a revolution in Belgium
would gravely affect the military position both of France and
Germany, would rouse keen suspicions and apprehensions in this
country, and would perturb all the dynasties with fears of
coming change. The new electoral bill drove the Liberals and
Socialists of the little kingdom into one another's arms—both
believing that it would give the Clericals a permanent hold on
power—and whenever these two parties are united they control
the majority of the Belgian people. That majority is a most
dangerous one. It controls all the cities, and it includes
hundreds of thousands of men who resent their economic
condition with justifiable bitterness, and who are penetrated
with a tradition of victories achieved by insurrection. At the
same time they have no pacific vent for their discontents, for
the suffrage gives double votes to the well-to-do, and secures
to both Liberals and laborers on all economic or religious
questions a certainty of defeat. With the inhabitants of the
cities all rioting and killing the officials, the government
would have been compelled to resort to force, and it is by no
means clear that force was decidedly on their side. The
Belgian army is not a caste widely separated in feeling from
the people; it has no instinctive devotion to the Clerical
party, and it has no great soldier whom it admires or to whom
it is attached. The king is distrusted and disliked both
personally and politically; and the dynasty, which has no
historic connection with Belgium, has never taken root in the
soil as the Bernadottes, for example, have done in Sweden. If
the revolutionists had been beaten, they would have appealed
to France, where Belgium is regarded as a reversionary estate;
while if they had been victorious, they might—in our judgment,
they certainly would—have proclaimed a republic. … The danger
has, we suppose, for the moment been smoothed away; but it has
not been removed, probably can not be removed, while the
conditions which produce it continue to exist. The Belgians,
who are commonly supposed to be so prosperous and pacific, are
divided by differences of race, creed, and social condition
more violent than exists in Ireland, where at all events, all
alike, with insignificant exceptions, speak one tongue.
{51}
The French-speaking Belgians despise the Flemish-speaking
Belgians, and the Flemish speaking Belgians detest the
French-speaking Belgians, with a rancor only concealed by the
long habit of living and acting together,—a habit which,
remember, has not prevented the same contempts and aversions
from continuing to exist in Ireland. The Clericals and the
Secularists hate each other as only religious parties can
hate; far more than Catholics and Protestants in any of the
countries where the two creeds stand side by side. The
Secularist seems to the Clerical a blasphemer, against whom
almost all devices are justifiable, while the Clerical is held
by the Secularist to be a kind of evil fool, from whom nothing is
to be expected except cunningly concealed malignity. The
possessors of property expect that the 'ugly rush' which used
to be talked of in England will occur tomorrow, while the wage
receivers declare that they are worked to death for the
benefit of others, who will not leave them so much as a living
wage. All display when excited to a noteworthy fierceness of
temper, a readiness to shed blood, and a disposition to push
every quarrel into a sort of war,—tendencies visible
throughout the history of the country."

At the parliamentary election in June, 1900, under the new law


providing for proportional representation, the Socialists
gained seventeen seats from the Clerical party.

BELGIUM: A. D. 1900.
Relations with the Congo State.

See (in this volume)


CONGO FREE STATE: A. D. 1900.

BELL TELEPHONE SYSTEM, Recent development of.

See (in this volume)


SCIENCE, RECENT: ELECTRICAL.

BELMONT, Battle of.

See (in this volume)


SOUTH AFRICA (THE FIELD OF WAR):
A. D. 1899 (OCTOBER-DECEMBER).

BENIN:
Massacre of British officials.
Capture of the town.

See (in this volume)


NIGERIA: A. D. 1897.

BERGENDAL FARM, Battle of.

See (in this volume)


SOUTH AFRICA (THE FIELD OF WAR): A. D. 1900 (JUNE-
DECEMBER).
BERING SEA QUESTIONS.

"Several vexatious questions were left undetermined by the


decision of the Bering Sea Arbitration Tribunal.

See, in volume 5,
UNITED STATES OF AMERICA: A. D. 1886-1893.

The application of the principles laid down by that august


body has not been followed by the results they were intended
to accomplish, either because the principles themselves lacked
in breadth and definiteness or because their execution has
been more or less imperfect. Much correspondence has been
exchanged between the two Governments [of Great Britain and
the United States] on the subject of preventing the
exterminating slaughter of seals. The insufficiency of the
British patrol of Bering Sea under the regulations agreed on
by the two Governments has been pointed out, and yet only two
British ships have been on police duty during this season in
those waters. The need of a more effective enforcement of
existing regulations as well as the adoption of such
additional regulations as experience has shown to be
absolutely necessary to carry out the intent of the award have
been earnestly urged upon the British Government, but thus far
without effective results. In the meantime the depletion of
the seal herds by means of pelagic hunting [that is, in the
open sea] has so alarmingly progressed that unless their
slaughter is at once effectively checked their extinction
within a few years seems to be a matter of absolute certainty.
The understanding by which the United States was to pay and Great
Britain to receive a lump sum of $425,000 in full settlement
of all British claims for damages arising from our seizure of
British sealing vessels unauthorized under the award of the
Paris Tribunal of Arbitration was not confirmed by the last
Congress, which declined to make the necessary appropriation.
I am still of the opinion that this arrangement was a
judicious and advantageous one for the Government, and I
earnestly recommend that it be again considered and
sanctioned. If, however, this does not meet with the favor of
Congress, it certainly will hardly dissent from the
proposition that the Government is bound by every
consideration of honor and good faith to provide for the
speedy adjustment of these claims by arbitration as the only
other alternative. A treaty of arbitration has therefore been
agreed upon, and will be immediately laid before the Senate,
so that in one of the modes suggested a final settlement may
be reached."

Message of the President of the United States to Congress,


December, 1895.

The treaty thus referred to by the President was signed at


Washington, February 8, 1896, and ratifications were exchanged
at London on the 3d of June following. Its preamble set forth
that, whereas the two governments had submitted certain
questions to a tribunal of arbitration, and "whereas the High
Contracting Parties having found themselves unable to agree
upon a reference which should include the question of the
liability of each for the injuries alleged to have been
sustained by the other, or by its citizens, in connection with
the claims presented and urged by it, did, by Article VIII of
the said Treaty, agree that either party might submit to the
Arbitrators any questions of fact involved in said claims, and
ask for a finding thereon, the question of the liability of
either Government on the facts found to be the subject of
further negotiation: And whereas the Agent of Great Britain
did, in accordance with the provisions of said Article VIII,
submit to the Tribunal of Arbitration certain findings of fact
which were agreed to as proved by the Agent of the United
States, and the Arbitrators did unanimously find the facts so
set forth to be true, as appears by the Award of the Tribunal
rendered on the 15th day of August, 1893: And whereas, in view
of the said findings of fact and of the decision of the
Tribunal of Arbitration concerning the jurisdictional rights
of the United States in Behring Sea, and the right of
protection of property of the United States in the fur-seals
frequenting the islands of the United States in Behring Sea,
the Government of the United States is desirous that, in so
far as its liability is not already fixed and determined by
the findings of fact and the decision of said Tribunal of
Arbitration, the question of such liability should be
definitely and fully settled and determined, and compensation
made, for any injuries for which, in the contemplation of the
Treaty aforesaid, and the Award and findings of the Tribunal
of Arbitration, compensation may be due to Great Britain from
the United States: And whereas it is claimed by Great Britain,
though not admitted by the United States, that prior to the
said Award certain other claims against the United States
accrued in favour of Great Britain on account of seizures of
or interference with the following named British
sealing-vessels, to wit: the 'Wanderer,' the 'Winifred,' the
'Henrietta,' and the 'Oscar and Hattie,' and it is for the
mutual interest and convenience of both the High Contracting
Parties that the liability of the United States, if any, and
the amount of compensation to be paid, if any, in respect to
such claims, and each of them should also be determined under
the provisions of this Convention—all claims by Great Britain
under Article V of the modus vivendi of the 18th April, 1892,
for the abstention from fishing of British sealers during the
pendency of said arbitration having been definitely waived
before the Tribunal of Arbitration"—therefore the two nations
have concluded the Convention referred to, which provides that
"all claims on account of injuries sustained by persons in
whose behalf Great Britain is entitled to claim compensation
from the United States, and arising by virtue of the Treaty
aforesaid, the Award and the findings of the said Tribunal of
Arbitration, as also the additional claims specified in the
5th paragraph of the preamble hereto, shall be referred to two
Commissioners, one of whom shall be appointed by Her Britannic
Majesty, and the other by the President of the United States,
and each of whom shall be learned in the law."

Great Britain, Parliamentary Publications


(Papers by Command: Treaty Series, Number 10, 1896).

{52}

Judges William L. Putnam, of the United States, and George E.


King, of Canada, were subsequently appointed to be the two
commissioners provided for in the treaty. Meantime each
government had appointed a number of men of science to
investigate the condition of the herds of fur-seals on
Pribilof Islands, President David S. Jordan, of Leland
Stanford Junior University being director of the American
investigation and Professor D'Arcy W. Thompson having charge
of the British. The two bodies of investigators reached quite
different conclusions. Professor Jordan, in a preliminary
statement, announced; "There is still a vast body of fur seals
on the islands, more than the commissioners were at first led
to expect, but the number is steadily declining. The only
cause of this decline is the killing of females through
pelagic sealing. The females are never molested on the
islands, but three-fourths of those killed in Bering sea are
nursing females. The death of the mother causes the death of
the young on shore, so that for every four fur seals killed at
sea three pups starve to death on shore. As each of those
females is also pregnant, a like number of unborn pups is
likewise destroyed." His formal report, made in January, 1897,
was to the same effect, and led to the following conclusion:
"The ultimate end in view should be an international
arrangement whereby all skins of female fur seals should be
seized and destroyed by the customs authorities of civilized
nations, whether taken on land or sea, from the Pribilof herd,
the Asiatic herds, or in the lawless raiding of the Antarctic
rookeries. In the destruction of the fur seal rookeries of the
Antarctic, as well as those of the Japanese islands and of
Bering sea, American enterprise has taken a leading part. It
would be well for America to lead the way in stopping pelagic
sealing by restraining her own citizens without waiting for
the other nations. We can ask for protection with better grace
when we have accorded, unasked, protection to others." The
report of Professor Thompson, made three months later, agreed
but partially with that of the American experts. He admitted
the extensive starving of the young seals, caused by the
killing of the mothers, but contended that the herd was
diminishing slightly, if at all, and he did not favor drastic
measures for the suppression of pelagic sealing.

The government of the United States adopted measures in


accordance with the views of Professor Jordan, looking to an
international regulation of the killing of seals. Hon. John W.
Foster was appointed a special ambassador to negotiate
arrangements to that effect. Through the efforts of Mr.
Foster, an international conference on the subject was agreed
to on the part of Russia and Japan, but Great Britain declined
to take part. While these arrangements were pending, the
American Secretary of State, Mr. Sherman, addressed a letter
to the American Ambassador at London, Mr. Hay, criticising the
conduct of the British government and its agents in terms that
are not usual among diplomats, and which excited much feeling
when the letter was published in July. This called out a reply
from the British Colonial Secretary, Mr. Chamberlain, in which
he wrote: "When Her Majesty's government sent their agents to
inquire into the actual facts in 1896, it was found that, in
spite of the large catch of 1895, the herd actually numbered
more than twice as many cows as it had been officially
asserted to contain in 1895. The result of these
investigations, as pointed out in Lord Salisbury's dispatch of
May 7, has further been to show that pelagic sealing is much
less injurious than the practice pursued by the United States'
lessees of killing on land every male whose skin was worth
taking. If the seal herd to-day is, as Professor Jordan
estimates, but one-fifth of what it was in 1872-74, that
result must be, in great measure, due to the fact that, while
the islands were under the control of Russia, that power was
satisfied with an average catch of 33,000 seals; subsequently
under the United States' control more than three times that
number have been taken every year, until the catch was,
perforce, reduced because that number of males could no longer
be found.

"Last year, while the United States government were pressing


Her Majesty's government to place further restrictions on
pelagic sealing, they found it possible to kill 30,000 seals
on the islands, of which Professor Jordan says (in one place
in his report) 22,000 were, to the best of his information,
three-year-olds, though (in another place) he estimated the
total number of three-year-old males on the islands as 15,000
to 20,000. If such exhaustive slaughter is continued, it will,
in the light of the past history of the herd, very quickly bring
about that commercial extermination which has been declared in
the United States to be imminent every year for the last
twelve years. Enough has perhaps been said to justify the
refusal of Her Majesty's government to enter on a precipitate
revision of the regulations."

{53}

The two countries were thus being carried into serious


opposition, on a matter that looks contemptible when compared
with the great common interests which ought to bind them in
firm friendship together. But, while the government of Great
Britain declined to enter into conference with those of
Russia, Japan and the United States, on general questions
relating to the seals, it assented at length to a new
conference with the United States and Canada, relative to the
carrying out of the regulations prescribed by the Paris
tribunal of 1893. Both conferences were held at Washington in
October and November of 1897. The first resulted in a treaty
(November 6) between Russia, Japan, and the United States,
providing for a suspension of pelagic sealing during such time
as might be determined by experts. The other conference led,
after some interval, to the creation of a Joint High
Commission for the settlement of all questions in dispute
between the United States and Canada, the sealing question
included.

See (in this volume)


CANADA: A. D. 1898-1899.

So far as concerned its own citizens, the American government


adopted vigorous measures for the suppression of pelagic
sealing. An Act of Congress, approved by the President on the
29th December, 1897, forbade the killing of seals, by any
citizen of the United States, in any part of the Pacific Ocean
north of 35 degrees north latitude. The same act prohibited
the importation into the United States of sealskins taken
elsewhere than in the Pribilof Islands, and very strict
regulations for its enforcement were issued by the Treasury
Department. No sealskins, either in the raw or the
manufactured state, might be admitted to the country, even
among the personal effects of a traveller, unless accompanied
by an invoice, signed by an United States Consul, certifying
that they were not from seals killed at sea. Skins not thus
certified were seized and destroyed.

In his annual report for 1898, the United States Secretary of


the Treasury stated that no pelagic sealing whatever had been
carried on by citizens of the United States during the season
past; but that 30 British vessels had been engaged in the
work, against 32 in the previous year, and that their total
catch had been 10,581, against 6,100 taken by the same fleet
in 1897. The number of seals found on the Islands was reported
to be greatly reduced.

BERLIN: A. D. 1895.
Census.
See (in this volume)
GERMANY: A. D. 1895 (JUNE-DECEMBER).

BERLIN: A. D. 1896.
Industrial exposition.

An exposition of German industries and products was opened at


Berlin on the 1st of May, 1896. which excited wide interest
and had an important stimulating effect in Germany.

BERLIN: A. D. 1900.
Growth shown by the latest census.

See (in this volume)


GERMANY: A. D. 1900 (DECEMBER).

BERLIN: A. D. 1901.
The Berlin and Stettin Ship Canal.

See GERMANY: A. D. 1901 (JANUARY).

BETHLEHEM, Capture of.

See (in this volume)


SOUTH AFRICA (THE FIELD OF WAR): A. D. 1900 (JUNE-
DECEMBER).

BIAC-NA-BATO, Treaty of.

See (in this volume)


PHILIPPINE ISLANDS: A. D. 1896-1898.

BIBLE LANDS, Archæological exploration in.

See (in this volume)


ARCHÆOLOGICAL RESEARCH: BABYLONIA: AMERICAN
EXPLORATION.
BICOLS, The.

See (in this volume)


PHILIPPINE ISLANDS: THE NATIVE INHABITANTS.

BIDA, British subjugation of.

See (in this volume)


AFRICA: A. D. 1897 (NIGERIA).

BIG SWORD,
BIG KNIFE SOCIETY.

See (in this volume)


CHINA: A. D. 1900 (JANUARY-MARCH).

BISMARCK, Prince Otto von: Death.

See (in this volume)


GERMANY: A. D. 1898 (JULY).

BLACK FLAG REBELLION.

See (in this volume)


CHINA: A. D. 1898 (APRIL-JULY).

BLANCO, General Ramon, Captain-General of Cuba.

See (in this volume)


CUBA: A. D. 1896-1897.

BLANCOS.

See (in this volume)


URUGUAY: A. D. 1896-1899.
BLOEMFONTEIN:
Taken by the British.

See (in this volume)


SOUTH AFRICA (THE FIELD OF WAR): A. D. 1900 (MARCH—
MAY).

BLOEMFONTEIN CONFERENCE, The.

See (in this volume)


SOUTH AFRICA (THE TRANSVAAL): A. D. 1899 (MAY-JUNE).

BLUEFIELDS INCIDENT, The.

See (in this volume)


CENTRAL AMERICA (NICARAGUA): A. D. 1894-1895.

BOARD SCHOOLS, English.

See (in this volume)


ENGLAND: A. D. 1896-1897.

BOERS.

See (in this volume)


SOUTH AFRICA (THE TRANSVAAL).

BOHEMIA:
Recent situation in the Austro-Hungarian Empire.

See (in this volume)


AUSTRIA-HUNGARY: A. D. 1895-1896, and after.

BOHEMIA: A. D. 1897.
The language decrees.

See (in this volume)


AUSTRIA-HUNGARY: A. D. 1897; and 1898.

BOLIVIA: A. D. 1894-1900.
The dispute with Chile concerning Atacama.

See (in this volume) CHILE: A. D. 1894-1900.

BOLIVIA: A. D. 1899.
Revolution.

The government of President Alonzo (elected in 1896) was


overthrown in April, 1899, by a revolutionary movement
conducted by General José Manuel Pando, who was elected
President by the legislative chambers in the following
October.

BOMBAY: A. D. 1896-1901.
The Bubonic Plague.

See (in this volume)


PLAGUE.

BOMBAY: A. D. 1901.
Census returns.
Decrease of population.

A telegram from Bombay, March 6, 1901, reports that "the


census returns show the city of Bombay has 770,000
inhabitants, a decrease of over fifty thousand in ten years,
mainly due to the exodus of the last two months on account of
the plague. Partial returns from the rural districts show
terrible decreases in population through famine."

BORDA, President: Assassination.

See (in this volume)


URUGUAY: A. D. 1896-1899.
BORIS, Prince: Conversion.

See (in this volume)


BALKAN AND DANUBIAN STATES (BULGARIA).

{54}

BOSTON: A. D. 1895-1899.
The municipal experiments of Mayor Quincy.

First elected Mayor of Boston in 1895, and reelected in 1897,


the two terms of the administration of Mayor Josiah Quincy
were made remarkable by the number, the originality and the
boldness of the experiments which he introduced in extension
of the functions of municipal government. They consisted on
the one hand in the substitution, in certain branches of
public work, of direct labor for the contract system, and on
the other in the provision of new facilities for promoting
popular health, recreation, and instruction. He established a
municipal printing office, a municipal department of
electrical construction, and another municipal department
which conducts every kind of repairing work that the city
requires; all of these to supersede the old system of
contracts and jobs. He instituted a great number and variety
of public baths,—floating baths, beach baths, river baths and
swimming pools. He opened playgrounds and gymnasiums, both
outdoor and indoor. He carried the city into the work of the
fresh air missions for poor children. He reorganized the
administration of public charities. He placed the artistic
undertakings of the city under the supervision of a competent
board. He instituted cheap concerts of a high order, as well
as popular lectures. Boston at length took alarm at the extent
of the ventures of Mayor Quincy, complained of the cost, and
refused him reelection for a third term. But the Boston
correspondent of a New York journal opposed in politics to
Mayor Quincy, writing on the 15th of December, 1900, testifies
that "most of the experiments are working well, and a study of
them cannot fail to be beneficial to those who have the
government of other cities in their hands. … The madness of
Mayor Quincy had evidently a method. It seems to have made
permanent a good many excellent institutions. Some good
citizens say that things were done too quickly, that they cost
too much money, that the Mayor was always robbing Peter to pay
Paul, as it were. But, after all, it seems cause for
thankfulness that they were done at all."

BOSTON: A. D. 1899.
Completion of the Subway.

In this year the city of Boston completed a very important


public improvement, undertaken in 1895, and carried out under
the direction of a commission appointed that year. This was
the construction of a Subway under Boylston and Tremont
streets, and under various streets in the northern district,
for the transit of electric cars through the crowded central
parts of the city. The section of Subway from Park Square to
Park Street was finished in the fall of 1897; the remainder in
1899. The entire length of underground road is one and
two-thirds miles. The cost of work done was $4,686,000: cost
of real estate taken, $1,100,000. The legislative Act
authorizing the work provided further for the construction of
a tunnel to East Boston, and for the purchase of rights of way
for an elevated road to Franklin Park, with new bridges to
Charlestown and West Boston.

BOWER, Sir Graham:


Testimony before British Parliamentary Committee on
the Jameson Raid.

See (in this volume))


SOUTH AFRICA (THE TRANSVAAL): A. D. 1897 (FEBRUARY-
JULY).
BOXERS, The Chinese:
The secret society and the meaning of its name.

See (in this volume)


CHINA: A. D. 1900 (JANUARY-MARCH), and after.

BRADFORD'S HISTORY:
Return of the manuscript to Massachusetts.

See (in this volume)


MASSACHUSETTS: A. D. 1897.

BRAZIL: A. D. 1897.
Conflict with the "Fanatics."

A religious enthusiast, called Conselheiro (Counsellor), who


had made his appearance in the State of Bahia and gathered a
great number of followers, began in 1897 to become dangerous
to the government, which he denounced as atheistic; his
following grew disorderly, and political malcontents were
taking advantage of the disturbance which he caused. Attempts
on the part of the government to stop the disorder were
fiercely resisted, and its conflict with "the Fanatics," as
Conselheiro and his followers were known, soon became a very
serious war, demanding many thousands of troops, and spreading
over wide regions of the country. Amazonian bands of women
fought with "the Fanatics," and were among the most dreaded
forces on their side. The headquarters and stronghold of the
movement were finally taken in July, after an obstinate
defense, and in October Conselheiro was killed; after which
the rebellion came to an end.

BRAZIL: A. D. 1898.
Election of Dr. Campos Salles to the Presidency.

The nomination and election of Dr. M. F. de Campos Salles, who


was inaugurated President of the United States of Brazil on
the 15th of November, 1898, "marks the decided distinction of
parties in Brazil. Previously, there had been various
divergencies among the Republicans, but no distinct party
differences. But at that time there arose a party advocating
the selection of a candidate who would favor the national
against the foreign (naturalized) element; one who would have
influence with the few remaining advocates of the monarchical
government; who would give preference to a military over a
civil government; finally, one who would introduce into the
government the system called 'Jacobinism,' a designation which
the new party did not refuse to accept. Dr. Campos Salles was
the candidate of the moderate Republicans or Conservatives,
who were organized under the name of the Republican party,
with a platform demanding respect for the constitution and
declaring for the institution of such reforms as only reason
and time should dictate. The sympathies of the conservative
element and of foreigners who had interests in the country
were with the candidate of this party and gave him their
support. The election of Dr. Campos Salles inspired renewed
confidence in the stability of Brazil, a confidence which was
at once manifested by the higher quotation of the national
bonds, by an advance in the rate of exchange, and by greater
activity in business throughout the country. Brazil, in spite
of all hindrances, has prospered since 1889."

Bulletin of the Bureau of American Republics,


December, 1898.

{55}

BRAZIL: A. D. 1900.
Arbitration of the French Guiana boundary dispute.
Award of the Swiss Government.

A dispute with France concerning the boundary of the French


possessions in Guiana, which Brazil inherited from Portugal,
and which dates back to the 17th century, was submitted at

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