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INTRODUCTION TO
BUSINESS RESEARCH

By Eyoel E.( Asst.prof)

 What Is Research ?

The term ‘research’ is made up of two terms “ re”

that means ‘again’ AND ‘ search’ meaning- to
look for.
Therefore, research is all about looking for some
thing new.
 It means an enquiry or investigation regarding any

phenomena or event in order to discover facts.

What is Research?

 Research is an organized and systematic

way of finding answers to questions or
solutions to problems.
1. Systematic because there is a definite set of scientific
procedures and principles which the researcher will
need to follow in order to get reliable and accurate
results.
2. Organized because there is a structure or method for
doing research.
 The research process has a number of steps to guide

the researcher
3.Finding answers/ solutions
 because every research seeks to answer a question or
to solve problems.
 Sometimes the answer is no, but it is still an answer.
4.Question/ Problems
 are central to research.
 If there is no question/problem, then how do we
begin the research?
 Research is focused on relevant, useful, and
important questions or problems which need answer
or solution.
 Without a question, research has no focus, drive, or
purpose.
 Contd…

 It is the process by which we produce

knowledge.
 It is founded on scientific methods, which
are in turn supported by philosophical
principles about the nature of knowledge
and how we construct that knowledge.
 Research is a voyage of discovery or a
journey/ movement from the known to
unknown

INFORMATION KNOWLEDGE

METHODOLOGY
 Why research?
 The world we live in is filled with
unanswered questions, unresolved
problems.
Why?
 Everywhere our knowledge is incomplete
and problems are waiting to be solved.
 Innumerable questions go on arising in our

mind.
 Research is vital, because
 it is the best tool for understanding
human beings and their relationships
with others.
 it supports in

 identifying challenges and providing best

solutions, and
 producing new knowledge for improved

technologies and better approaches to

public.
Contd…
 Thanks to the fruits of
research,
 we have
 better quality of life;
 longer life-span and
 better control over events.
 Motives of Research
 Curiosity about unknown
 Desire to face a challenge in solving the unsolved
problem
 Desire to understand the cause and effect of
widespread problems of human beings
 Desire to discover new and/or test old scientific
procedure as an efficient way to gain useful and
fundamental knowledge
 Obligations
 Business Research

 Business research deals with business

phenomena such as the price or supply of a
commodity, or sales forecasts for a particular
item, knowledge about market behavior,
marketing strategies required to achieve a
goal, and so on.
 Why is Business Research
Conducted?
 To gain a competitive advantage.
 To test new products and services.
 To solve a management/organizational problem.
 To provide information which may help to avoid future
business problems.
 To forecast future sales.
 To better understand shifts in consumer attitudes and
tastes.
 To enhance profitability.
 To reduce operational costs.
 To enable management to prioritize strategic options for
the future
 Who does Business Research?
 A very wide array of organizations and individuals do
research.
 Government departments
 Manufacturing or service companies
 Research companies
 Consultancy companies
 Academics
 Voluntary organizations
 Advertising agencies
 Market research companies
1.6 Types of Research
Research classified by:

 Application
 Objectives
 Approach
 Time Dimension
Classification of research by application:
1.Basic research:
 is also known as Pure or fundamental
research.
 undertaken for increasing knowledge.
 is undertaken for the sake of knowledge
without any intention to apply it into
practice
 is conducted to satisfy any curiosity, such as:
 what makes things happen,
 why society changes and
 why social relations are in a certain way.
1. Its aim is to generate a body of knowledge.
2. Applied research
 is carried on to find solution to a real-life
problem requiring an action or policy decision.
 is problem-oriented / action-directed.

 deals with practical problems.

 is use of basic research or past theories,

knowledge and methods for solving an existing

problem.
 its immediate purpose is to find solution to

practical problems.
3. Action Research:
• is type of applied research
 is a form of self-reflective enquiry undertaken
by participants in serial situations in order to
solve and improve their own social problems
and practices .
 Its findings are to be evaluated in terms of local
applicability and improvement in practices.
 Example:
 Involvement of classroom teachers to solve their
classroom problems.
4. Empirical Research:
 research based on experimentation or

observation (evidence) which is mostly

conducted to test a hypothesis.
 could be mostly conducted using pure

experimental or quasi-experimental methods

 Pure Experimental method: where the researcher

manipulates one variable, and control/ randomizes the

rest of the variables.
 Quasi experimental method: is one that looks a bit like
an experimental but lacks the key ingredient -- random
assignment.
Research Types by Objectives:

1. Descriptive research:

 The major purpose is

 describing the state of affairs as it exists at present

 designed to gather descriptive information and provides

information for formulating more sophisticated studies.
 data are collected by using one or more appropriate
methods:
 Observation
 Interviewing and
 (mail) questionnaire
Descriptive research
 attempts to systematically describe a situation, problem,
phenomenon,
 provides information about living condition of a
community, or describes about the issue under
investigation..
 addresses about what is going on.
 focuses on particular aspects or dimensions of the
problems studied.
 Example: what are the living conditions in the farming
communities in Ethiopia.
2. Correlational research:
attempts to discover or establish the existence of


a relationship/ interdependence between two or

more aspects of a situation.
3. Explanatory research:
 attempts to clarify why and how there is a relationship
between two or more aspects of a situation or
phenomenon.
 For example:
 A marketing manager wants to know if the sales of the
company will increase if the company doubles the
advertising dollars
4. Exploratory research:
 is also called formulative research.
 is a preliminary study of unfamiliar problems about
which the researcher has little or no knowledge.
 is similar to a medical doctor’s initial investigation of
a patient
 is undertaken to explore an area where little is known
 Example: New product development

 In practice, most studies are a combination

of the first three categories.
Type of research by Approach
1. Quantitative:
 to determine the extent of a problem or the
existence of a relationship between aspects of
a phenomenon by quantifying the variation.
 Methods include survey.

– For example,

– a researcher may ask, ‘to what extent have

students adopted mobile phones?
– Hypothesis: Students who obtain Grade A never
miss a class.
2. Qualitative:
o to explore the meanings, attitudes, values, beliefs
people associate with a phenomenon in order to
establish a better understanding, rather than to test to
support or disprove a relationship.
o Useful for describing social phenomena or the nature
of the variation.
o Methods include case study
– For examples, a researcher may ask:
• ‘what is the working condition in the banking industry?
• What are the perceptions of traditional medicines among
nurses?
 3. Mixed-Methods:
 combines the strengths of both
quantitative and qualitative research
 What are the type of primary schools
in the city of Addis and the extent of
their popularity in the city?
 Triangulation Methods
The term ‘triangulation’
 is used when a combination of qualitative and
quantitative forms of inquiry are used.
 There are three types of triangulation
(Patton, 1999; Denzin, 1978):
 Method triangulation
 Investigator triangulation
 Theory triangulation
.
 Methods triangulation
 the use of multiple research methods to study a
phenomenon.
 E.g: Document examination, observation,
interview….
 Investigator triangulation
 the use of multiple investigators (multiple
researchers, in collecting and interpreting the data.
 Theory triangulation
 the use of multiple theories and perspectives to help
interpret and explain the data.
Type of research by Time Dimension
 Time influences research in manner in
which data is collected with respect to time.
 As a result, the number of different
types of research, namely:
1. Cross-Sectional Study
2. Longitudinal Study
o Panel
o Cohort
Cross-sectional Study
 A researcher collects information from a sample
drawn from a population.
 The data you obtain is derived from a cross-
section of the population at one point of time.
Longitudinal Study - Panel
 Researcher can identify a sample from the beginning
and follow the specific respondents over a specified
period of time to observe changes in specific
respondents and highlight the reasons why these
respondents have changed.
 Example: Age vs Volunteering: Same units over time
Longitudinal Study - Cohort
 Although the population remains the same, different
respondents are sampled each time.
 The researcher’s aim here is to see if there are
changes in perceptions or trends that occur in the
study.
 Example: Age vs Volunteering- Same units over time
 Survey and Case study
Survey

 is a method of research involving

collection of data directly from a
population or a sample thereof at
a particular time.
 requires

 expert and imaginative planning,

 careful analysis and

 rational interpretation of the findings.

 In Survey

 Data may be collected by

 Observation, or
 Interviewing, or

 Questionnaires

 Analysis of data may be made

 by using simple or complex statistical
techniques depending upon the
objectives of the study.
The purposes of survey
 To provide information to the
concerned bodies.
 To explain certain phenomena

 causal relationship between variables.

 To make comparisons of
demographic groups, or real groups.
 For making predictions

 because it is concerned with cause and

effect relationships.
 The quality of survey depends upon
 The thoroughness of the planning,
 The soundness of sampling,

 The adequacy and reliability of

data,
 The quality of analysis and

 The interpretation of the findings.

Case study
 is an in-depth comprehensive study of
 a person,
 a social group,
 an episode,
 a process,
 a situation,
 a program,
 a community,
 an institution or
 any other social unit.
 is one of the most popular types of research
methods.
 Case study
 is studying everything about something

rather than something about everything

(as in the case of a statistical method) .
 Its purpose may be to understand

 the life cycle of the unit under study, or

 the interaction between factors that explain status or
the development over a period of time.
 Example:
 a study of the financial health of a business
undertakings.
 a study of employees participation in management in a
particular enterprise.
 A study of life-style of working women, etc
 CHARACTERSTICS OF A GOOD
RESEARCH

 Systematic
 Logical
 Empirical
 Replicable
 Use of multiple methods
 Research process

 Steps
I. Identify and Defining the research problem

II. Review of literature

Theoretical review
Empirical review
III. Formulation of hypothesis
 Contd…
IV. Research design
 sampling design

Data collection design

Data analysis design

V. Execution
VI. Data analysis ( test hypothesis , if any)
VII. Interpret and report
 ASSIGMENT #1

RESEARCH METHODS Vs RESEARCH METHODOLOGY