Dr.

SANGEETA
ASSISTANT PROFESSOR
SCHOOL OF MANAGEMENT
MAHARAJA AGRASEN UNIVERSITY
BADDI
HYPOTHESIS
Hypothesis is a tentative explanation that accounts for
a set of facts and can be tested by further
investigation.

Simple term: Assumption

Example: It may rain today.

Singular: Hypothesis
Plural : Hypotheses
Parameters of Hypothesis
Ask yourself questions.
Be logical and use precise language.
Must be testable with research and
experimentation
Ask yourself questions.

Brainstorm.

Define the
independent and
dependent variables
very specifically.
Be logical and use precise language.

State your hypothesis

as concisely, and to
the point, as possible.
Must be testable with research and experimentation

Any hypothesis will need proof.

 Example: I may want to drink
root beer all day, not green tea. If
you're going to make me change
my ways, I need some sound
reasoning and experimental proof
- perhaps case studies of others
who lost weight, cleared up their
skin, and had a marked
improvement in their immunity
by drinking green tea.
Types of Hypothesis:

Null Hypothesis (H0)

Alternate Hypothesis (H1) :
(a) Directional Hypothesis and
(b) Non-directional Hypothesis.
HYPOTHESIS
Null hypothesis
A null hypothesis is a statement that there is no actual
relationship between variables. (Ho).
A null hypothesis may read, “There is no difference
between…..”.
Example - There is no significant difference in the
anxiety level of children of High IQ and those of low
IQ.
HYPOTHESIS
Alternate Hypothesis:
It is established only when a null
hypothesis is rejected. Often an
alternative Hypothesis is the desired
conclusion of the investigator
Accept or Reject ?
HYPOTHESIS
Alternate Hypothesis
Directional Hypothesis
A directional states which way you think the results are
going to go.
Example : Children with high IQ will exhibit more
anxiety than children with low IQ.
HYPOTHESIS
Non- Directional Hypothesis:
It simply states that there will be a difference
between the two groups/conditions but does not
say which will be greater/smaller,
quicker/slower etc.
Example: There is a difference in the anxiety
level of the children of high IQ and those of low
IQ .
Relationship between H0 & H1
HYPOTHESIS
The hypothesis gives direction to the collection and
interpretation of data.
Consider the example of a simple association between
two variables, Y and X.
1. Y and X are associated (or, there is an association
between Y and X).
2. Y is related to X (or, Y is dependent on X).
3. As X increases, Y decreases (or, increases in values of X
appear to effect reduction in values of Y)
Some other types of Hypothesis:
Simple Hypothesis
Complex Hypothesis
Empirical Hypothesis
Logical Hypothesis
Statistical Hypothesis
Simple Hypothesis

prediction of the relationship between two

variables: the independent variable and
the dependent variable.
Example: Drinking sugary drinks daily
leads to weight gain .
Complex Hypothesis

examines the relationship between two or

more independent variables and two or
more dependent variables.
Example: Higher the illiteracy in a society,
higher will be poverty and crime rate.
Empirical Hypothesis/Working Hypothesis

When a theory is being put to the test,

using observation and experiment. It's no
longer just an idea or notion.

Example: Roses watered with liquid

Vitamin B grow faster than roses watered
with liquid Vitamin E.
Logical Hypothesis
It is a proposed explanation possessing
limited evidence.

Example: Cactus experience more

successful growth rates than tulips on
Mars.
Statistical Hypothesis

It is an examination of a portion of a

population.

Example: If you wanted to conduct a study

on the life expectancy of Haryana, you would
want to examine every single resident of
Haryana. This is not practical. Therefore, you
would conduct your research using a
statistical hypothesis, or a sample of the
Haryana population.
Steps to formulate Hypothesis
Part-1 Preparing to Write a Hypothesis

1. Select a topic
2. Read existing research
3. Analyze the literature
4. Generate questions
5. Look for clues as to what the answer might be
Part-2 Formulating the Hypothesis

1. Determine your variables

2. Generate a simple hypothesis
3. Decide on direction
4. Get specific
5. Make sure it is testable
6. Write a research hypothesis
7. Contextualize your hypothesis
8. Test your hypothesis
1.Determine your variables
2.Generate a simple hypothesis
3.Decide on direction
4.Get specific

Where necessary, specify the population (i.e. the

people or things) about which you hope to
uncover new knowledge.
5.Make sure it is testable
6.Write a research hypothesis
7.Contextualize your hypothesis
8.Test your hypothesis
Hypotheses Testing

Significance level - 5% or 1%
• This figure is used as a cut-off point to reject the null hypothesis (eg.
that there is no difference between groups) and accept the alternative
hypothesis (i.e. that there is a 'significant' difference between groups).

•In the social sciences, conventional cut-off points are '0.05' or '0.01',
representing a 5% and 1% chance of being wrong when claiming that the
results are significant, respectively.

•For smaller data set i.e. 30 – alpha 0.01level is considered and for larger
data set (hundred or thousands) – alpha 0.05 level is considered.

•The significance level is also known as "alpha” and "type I error."

Hypotheses Testing
TYPE 1 AND TYPE II ERROR
Decision and Interpretation

 If the probability (p value) of the test statistic is less than or

equal to the probability of the alpha (α) i.e. 0.05 or 0.01, we
reject the null hypothesis and conclude that our data supports
the research hypothesis. We conclude that there is a
relationship between the variables.

 If the probability of the test statistic is greater than the

probability of the alpha error rate, we fail to reject the null
hypothesis. We conclude that there is no relationship between
the variables, i.e. they are independent.
To write a null hypothesis, ask a question and
rephrase it to a statement that assumes no
relationship between the variables.
Examples:

Q1:   Are teens better at math than adults?

H0: Age has no effect on mathematical ability.

Q2:  Do teens use smart phones to access the internet more than adults?
H0: Age has no affect on how smart phones are used for internet access.

Q3:  Do cats care about the color or their food?

H0: Cats express no food preference based on color.
Dell Case

Problem Statement

To understand the internet usage pattern,

customer satisfaction and repurchase
intentions of Dell consumers.
Objectives
1. To study the hourly usage pattern of the Dell consumers on
Internet.
2. To study the purpose of internet usage of the Dell consumers.
3. To study the overall satisfaction level of the Dell consumers.
4. To study the likeliness of repeat purchase of Dell products.
5. To study the effect of Demographic variables (Gender, age &
income) on satisfaction level of Dell consumers.
6. To examine the relationship between customer satisfaction and
repurchase intentions of Dell consumers.
7. To ascertain the effect of change in prices of Dell computers on
consumers purchase decision.
8. To identify the impact of customer satisfaction on repurchase
intentions of Dell consumers.
Hypotheses
 H5(A): There is a significant difference between gender and
satisfaction level of Dell consumers.
 H5(B): There is a significant difference among age groups and
satisfaction level of Dell consumers.
 H5(c): There is a significant difference among income groups
and satisfaction level of Dell consumers.
 H6: There is a significant relationship between satisfaction
level and repurchase intentions of Dell consumers.
 H7: There is a significant effect of change in price on
consumer purchase decision of Dell computers.
 H8: There is a significant impact of customer satisfaction on
repurchase intentions of Dell consumers.
Links for Research Papers
 HRM:
file:///C:/Users/DELL/Downloads/16233-18177-1-SM.pdf
 Finance:
https://www.researchgate.net/publication/287997000_Causality_Relationsh
ip_between_Financial_Development_and_Economic_Growth_in_Jordan_S
upply-Leading_and_Demand-Pulling_Hypotheses_Test
 Marketing:
https://www.academia.edu/43691870/THE_IMPACT_OF_MARKETING_
MIX_IN_FASCINATING_CUSTOMERS_PERCEPTION_CASE_STUDY
_ON_ONLINE_BANKS_IN_BANGLADESH
 Engineering: