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RESEARCH METHODS IN

MANAGEMENT

Course Contents:
SECTION -I
INTRODUCTION TO RESEARCH
METHODS IN MANAGEMENT :
1. Meaning, Nature, Scope,
Significance,

uses and limitations.


2. Interaction between Management and

Research.

3. Scientific Method and Research

Process.
4. Problem formulation and statement of

Research objectives.
SECTION II
RESEARCH DESIGN & METHODS OF
DATA COLLECTION :
1. Research Designs Exploratory Res.

Descriptive Research, Experimental


Research designs.
2. Basic Methods of Collection of Data;
Observation and Survey Method.
3. Search of Secondary Data.
4. Questionnaire Design.
5. Attitude Measurement Techniques.
6. Administration of Surveys.

SECTION - III : SAMPLE DESIGN.


1. Sampling Concepts- Sampling
Different Methods of sampling.
2. Sample size decisions.
SECTION - IV : DATA ANALYSIS.
1. Data processing- Editing, Coding,

Classification, Tabulation, and Cross

Tabulation.

2. Techniques of Data Analysis


3. Hypothesis Testing.
4. Tests of significance and analysis of
associations.
5. Advanced Techniques for data analysis.
SECTION - V :INTERPRETATION AND
REPORT WRITING:
1. Meaning of Interpretation.
2. Significance of Report Writing.

3. Layout of the Research Report


(contents or chapters)
4. Precautions for Writing Research
Reports.
5. Research Applications
In addition to above, there will be
appropriate number of sessions for
survey purpose.

REFERENCES:
1. Kothari C.R., Research Methodology,
New Age International Publishers, New
Delhi, 2009 edition.
2. Choudhary C.M., Research
Methodology, RBSA Publishers, Jaipur.
3. Rajendra Nargundkar, Marketing
Research Texts and Cases- Tata
McGraw Hill Publishing Co. Ltd. 2002.

4. Aaker Kumar, Dey Marketing


Research , Seventh Edition, John Wiley
and Sons Inc.
5. Cooper Schindler Business
Research Methods, Sixth Edition, Tata
McGraw Hill.
6. Boyd, Westfall, Stasch, Marketing
Research, Text and Cases Seventh
Edition , AITBS, New Delhi, 1996.

7. Luck-Rubin, Marketing Research,


Sixth Edition, Prentice Hall of India, Tull &
Hawkins, Fifth edition, Maxwell
Machmillan International.
8. Richard I. Levin, David S. Rubin,
Statistics for Management, Prentice Hall,
India.

INTRODUCTION TO RESEARCH
METHODS IN MANAGEMENT.

1. MEANING & DEFINITION OF


RESEARCH.
2. NATURE OF RESEARCH.
3. USE OF RESEARCH.
4. LIMITATIONS IN RESEARCH.

MEANING OF RESEARCH:
- Research in general refers to a search
for knowledge.
- Finding solution to a problem is a
research.
- Research is an Art of scientific
investigation.

DEFINITIONS BY AUTHORS:
1. As per Websters Dictionary:

A careful critical inquiry or


examination in seeking facts for
principles, careful investigation in
order to ascertain something.

2. As per Advanced Learners Dictionary


of Current English:- A careful investigation or inquiry
specially through search for new
facts in any branch of knowledge.

3. As per Redmon and Mory:


Systematized effort to gain new
knowledge is known as research.

Research always starts with a question or


a problem.
Its purpose is to find answers to questions
through the application of the scientific
method.
It is a systematic and intensive study
directed towards a more complete
knowledge of the subject studied.

Research is based on some facts or on


problems.
For doing research collection of data and
processing of data is done to know the
results.
The search for knowledge through
objective and systematic method of finding
solution to a problem is called Research.

Research can be classified into two broad


categories:

(1) Basic Research, and

(2) Applied Research.


Basic research is sometimes called
fundamental research or theoretical
research, or pure research.

Applied Research, which is also called


decisional research, on the other hand,
proceeds with a certain problem and it
specifies alternative solutions and the
possible outcomes of each alternative.

SALIENT FEATURES OF
RESEARCH:
(1) objective of Research:

The objective or purpose of any


research is to find out facts. On the
basis of facts inferences (conclusions)
are drawn. Ultimately the real situation
is known through Research.
(2) Reliability and Validity:

Truth is the foundation of


Research. This can be established on

the basis of facts and evidence. Evidence


is based on sufficient and reliable data.
The reliability and validity can be attained
when the error of sampling is minimized.
(3) Verification of Data:
Any conclusion drawn by a Researcher
is subject to the quality of verification.

Verification pre-supposes the


phenomenon of research being observed
and measured.

If a research is not based on


observation and measurement, the
verification of data will not be possible and
inferences (or conclusions) or findings
drawn from such studies will not serve the
purpose.

(4). Accuracy:
In any type of research study, census
or sampling methods are used.
Researcher or Investigator should be wellversed with the techniques/methods used
for collecting information or data.

Complete accuracy can be attained


when standard tools are used for
collecting, recording and analyzing the

Information or data.
(5) Impartiality:

If the data are partial, it will lead to a


wrong information with wrong result.

Thus, a research should be impartial


while collecting data. Partiality leads to
wrong information and it fails to give fruitful
results to the Investigator/Researcher.

(6) Scientific Approach:

Traditional (old) culture of research


was different as compared with todays
modern or scientific research.

Today, scientific methods are used in


research to attain reliable results or
findings.
(7) Recording and Reporting:

Every term used in research should

Be well defined. Every procedure should


also be described in detail. Any limiting
factor should also be mentioned and taken
into account. Various references used
(i.e. Books, periodicals, journals, Articles,
web-site etc.) in research should be
carefully and systematically
documented/recorded. Results of
research should be properly recorded.

Conclusions and generalizations


should be drawn with due care with the
limitations of Methodology and data
available for research.

All these data can be used as a source


of investigation for further research, in
future.

TYPES OF RERSEARCH:

1.
2.
3.
4.
5.
6.

Descriptive and Analytical Research


Applied and Fundamental Research
Qualitative & Quantitative Research
Conceptual and Empirical Research
Survey and Evaluation Research
Other types of Research.

DESCRIPTIVE vs. ANALYTICAL


RESEARCH
Descriptive Research includes Surveys
and Fact-finding enquiries of different
kinds.
The purpose of DR is to know the present
state of affairs as it exists at present.
The main characteristic of this method is
that the researcher has no control over the
variables.

Researcher can report- what has


happened or what is happening.
Examples: (i) Frequency of shopping;

(ii) Preferences of people.


Method of Descriptive Research is Survey
methods (all methods of surveys).
- Survey may be for comparison of two
items.

- Survey may be for finding correlation between


two items.
Example:- Age group of MBA students of Two
Institutions.
Age group of Male or Female students in one
Institution.
In Analytical Research, the researcher has to
use facts or information which is already
available with him and he has to analyze

those facts (or data) or information to


make a critical evaluation of the material.
Example: There are 60 students in
PGDBM. Facts available is about their
qualification i.e.
B.Com./B.Sc./B.V.Sc,/B.A./B.E./B.Pharm.
Researcher can analyze these data as
under:-

Stream

No.

Ist

IInd Percentage

1. B.Com. 30 25 5
50%
2. B,Sc.
23 20 3
39%
3. B.V.Sc.
2
1 1
3%
4. B. Pharm. 1
1
2%
5. B.E.
2
2
3%
6. B.A.
2
2
3%
---------------------------------------------------60
51 9
100
----------------------------------------------------

2. APPLIED vs. FUNDAMENTAL


RESEARCH
Applied Research means action research.
Fundamental Research means basic or
pure research.
Applied research aims at finding a solution
for an immediate problem facing a society
or an industries/business organization.
Fundamental research is mainly
concerned with generalizations or with
formulation of a theory.

Collecting data for knowledge is pure


research.
Example: Going to Bharatpur at Ghana
Birds Century. Observing and collecting
data on different types of Birds, their size,
Shape, colour, habits, nest, taking photo
etc. is known as fundamental research.
Differentiating between Local & migrated
Birds.

Research concerning some natural


phenomenon is known as fundamental
research.
Other examples can be:
- (i) Human Behaviour
- (ii) Human Habits
- (iii) Human Psychology
- (iv) Human Priorities.

Applied Research:

Where research is connected with


Economic, Social, Political ,Business
problem and certain solution to the
problem is done, it is known as Applied
Research.

The aim of applied research is to


discover a solution for some pressing
practical problem.

Examples:
(i) Liking of people about a particular
Newspaper - Rajasthan Patrika
- Dainik Bhasker
- Times of India
- Dainik Nav Joyti - Hindustan Times
- Nav Bharat Times - Economic Times
(ii) Liking of Society about some
consumer products :
(i) Buiscuits: Britania, Marie Gold etc.

(ii) Shoe Company: Bata, Reebok, CSC,


(iii) Motor Cycle : Suzuki, Rajdoot,Honda,
Splender, Bullet etc.
(iv) Ghee/Butter : Saras, Amul, Anik,
Krishna, Milk-food, etc.
(v) Political Party : Congress, BJP, DMK,
JD, Lok Dal, others.

Liking of consumer products may be :


- About Quality,
- Size/Colour
- Price/Cost
- Taste/Flavour
- Packaging
- Comfort etc.

3. QUANTITATIVE vs.
QUALITATIVE RESEARCH
Quantitative Research is based on the
number or measurement of quantity or
amount. It can be expressed in terms of
quantity say 10,20,50,100,1000 and so on.
Qualitative Research is concerned with
quality phenomenon. Research study
relating to Quality or kind of Material is
known as Qualitative Research (based on
its performance).

Quality may indicate - Desires, Motives, Opinion, or Attitude.


QR also study the reasons for Human
Behaviour and liking and dis-likings have
reasons for it. Example : Organic and
Inorganic Foods( Vegetables & Fruits),
Free from Chemicals.
Thus, QR is also known as Motivational
Research.

How people feel or what they think about a


particular subject matter or institution is also a
qualitative research.
Example: There are many Management
Education Institutions in Jaipur and
- What do you think about IRM, and other Instt.
- What do you compare about IRM with others.
- How do you rate IRM with other Institutions.

People think about quality of the subject


matter.(Faculty, Library, Teaching, etc.).
It may be a product or may be an
Institution.(Popular for Placements).
Here, the Behaviour of Consumer(user) is
reflected. So the Human Behaviour is
directly connected with quality of things.
People have liking and disliking about a
particular thing based on their behaviour.

Due care is required to be taken in Qualitative


Research.
4. CONCEPTUAL vs. EMPIRICAL
RESEARCH:

Conceptual research is based on some


theory which is existing and is in practice. So
whatever theory is existing further research is
done to know new concepts in it. Fresh opinion
may be taken on any past studies, will be CR.

Re-interpretation on existing theory is


made under Conceptual Research.

Empirical Research( Data based) is


based on Experiments or observation or
experiencing something. It is data-based
research, with conclusions which are
capable of being verified by observation or
by experiments.

For Example: Concept & Theory says


that Maruti 800 Car can run at a speed of
120 km/hour. (M/Cycle :90km in a litre).
By using the Car on experimental basis or
test drive basis, the speed can be
observed and verified or further
improvement can be done by changing the
mechanism or change in fuel combination.

5. OTHER TYPES OF
RESEARCH:
(a) Laboratory Research (For testing
Chemical or other reactions on something.
(b) Diagnostic Research (to know
causes/investigating the reasons). Blood Test to
know the sugar and other contents (clinical
Research).
(c) Historical Research (Documents, structure
etc. or ideas of the past. Forts, Monuments,
Sculptures, Coins, manuscript etc.

RESEARCH APPROACHES:

There are different approaches or


methods of doing research. There are Two
Basic Approaches in Research:
(A) Quantitative Approach.
(B) Qualitative Approach
(A) QUANTITATIVE APPROACH:
(i) It involves generation of Data in
quantitative form. Data can be analysed in
various forms and findings may arrive at.

(ii) Characteristics of data & their


relationship of population is find out.
(iii) Generally, in Quantitative Research
Survey is done & sample of population is
studied. (Liking of Coca-Cola/ Pepsi).
(iv) Literacy level, Average number of
persons in a family, are quantitative.
(iv) Survey can be done through
questionnaire/Observation method.

(B) QUALITATIVE APPROACH:


Qualitative approach of Research is
undertaken to know : (a) Attitude of population (about use of some
product Say : Colgate Toothpaste);
(b) Opinion of population (about any political
party or group of people);
(c) Behaviour of population (about some
product e.g. T.V./Fridge/WM/Vehicle).

In all above approaches interview or depth


interview of a focus-group (identified
persons) is taken.
SIGNIFICANCE OF RESEARCH:
Significance means importance or
usefulness of research.
Why Research ? Or
What is the use of Research?

The Answer is
Research is used to solve the problems in
the Society/Business/Govt. Organization.
By the use of Research, operational
problems of Business/Govt. is solved.
Research helps in forming Economic
Policy for both Govt. and in Business.

Needs & Desires of the people are known


through Survey and Research. Then,
Govt. look at the availability of
Resources/Revenues to meet the needs
of the people.
NEEDS MAY BE :
-Need of Buses on a particular rout.
-Availability of Food-grains for public.

- Need of Road, Water Supply by Govt.


- Need of Market in the Colonies (HB).
- Need of Dairy Booth for Milk Supply.
- Need of School/College/ Tech.Edu.Ins.
- Any other need of Public/Business.
For all above needs, the Govt. sees the
availability of things and funds.
The cost of needs is assessed.

Probable income/revenue generation is


also looked into. (Charges/Taxes)
Through Research, alternative policies
can be decided that which activity/need
will be fulfilled by whom i.e. by Govt. or by
Private People or under Public-PrivatePartnership (PPP).
For Example: To run Roadways/Hospitals
Or Collection of Electricity/Telephone Bills.

Economic Activities are undertaken by Govt. on


the basis of Surveys & decisions are taken by
Govt. for Public interest. (Collection of Bill
through e-Governance system)
Like wise for Business activities, Govt. allows to
business people to do an Economic Activity.
For Example: (i) Procurement of Food-grain:
-50% is done by Govt./Govt. Agencies &
-50% is done by Private Business people

(ii) Construction of Houses:


- 50% is done by Govt. Agencies;
Housing Boards, HUDCO,UIT/JDA
DRDA or Gram Panchayat etc.
- 50% is done by Private Builders or
.Cooperative Societies.
(iii) Educational Institutions:
- Govt. & Private both are doing.

(iv) Generation of Electricity & Distribution

to public:

-Both Govt. and Private Sector is doing.


(v) For distribution of Cooking Gas the Govt.

have given this work to Private Agency.

- For other activities also the Govt. and


Private sector is engaged in all types of
Economic Activities for public. The needs are
identified through Research i.e. survey
method.

Research has its special significance in


solving various operational and planning
problems of Business and Industry.

MARKET RESEARCH is done : - For Development of Market,


- For Business Decisions,
- For Policy Formulation for purchase,
production and sales of some product.

SOCIAL RESEARCH

Social relationship and Problem include : (a) Study of Child Care & Development
especially in Rural or Backward areas.
(b) Study of Mother & Child Care
(especially for pregnant lady and infant).
(c) Health Care and Nutritional Diet in
Rural area.
(d) Primary Education in Rural Area.
(e) Livelihood generation activities

IMPORTANCE OF RESEARCH:
1. Research is important in solving
operational problems of Govt. as well as
that of Business Houses.
2. Research plays an important role in
framing Economic Policy of the Country
which may be related to : - (a) Agricultural Production.
- (b) Price Policy of Commodities.

-(c) Distribution of Essential Commodities


-(d) Import-Export Policy.
-(e) Industrial Policy.
-(f) Economic Reforms through
Privatization.
-(g) Public and Private Participation Policy
-(h) Employment Perspective (areas)

-(i) Poverty Reduction Programme.


-(j) Taxation Policy.
3. Research gives basis to Govt. for taking
decision for development of Big and small
Industries, Farming Development, Size of
Defence Services (increasing number of
Soldiers etc.),or any important area of
Development.

4. Market Research gives information to


Business and Industry to take decisions
for production & Sales i.e. Market
Behaviour (about liking & disliking of
Product by public).
5. Research provides information (various
factors) related to Future Demand of a
product in Business.

6. Business Research shows Need of change


in Budgting, affecting Profit & Loss based on
Sales estimates.
7. Business Research gives information
regarding forecasting of Sales of a product or
services (e.g. Sale of Maruti Car or Honda Motor
Cycle.
8. Research is important for Social Scientists in
studying relationships & seeking answers to
various Social Problems.

9. Research is important for Ph.D.


students or Research Scholars or students
of Management.
10. Research is important for
Philosophers, and thinkers for writing new
ideas & insights for public.
11. Scientific Research is important for
development of Nation in all areas.

Thus, Research is the fountain of


knowledge for the sake of knowledge to
solve different business/Governmental
and Social Problems.

=======
DIFFERENCE BETWEEN Research
Methods (or techniques) and Research
Methodology:

RESEARCH METHODS
Research Methods are all those
methods/Techniques which are used for
conduct of Research.
The methods used in performing research
operations are known as Research
Methods.
Research Methods can be divided in 3
groups:

Group I : COLLECTION OF PRIMARY


DATA
Those methods which are connected with
the Collection of Data. (for collection of
Primary Data).

Primary data are collected where


secondary data are not sufficient to arrive
at the required solution of a problem.
Group II: ANALYSIS OF DATA.

This group consists of those statistical


Techniques which are used for
establishing relationships between the
data and the unknowns (Mean, Mode etc.)
Group III: TESTING OF ANALYSED
DATA:
It consists of those methods which are
used to evaluate the accuracy of the
results obtained( T-test, Z Test, Chi-Sq.).

Methods falling in Group II and III (above)


are generally taken as Analytical Tools of
Research.
RESEARCH METHODOLOGY:

It is a way to solve the research


problem systematically. RM includes the
use of various tests, calculation of Mean,
Mode, the Median or the Standard
Deviation, or Chi-Square Test.

Only relevant research method/s should


be used and applied in research.
Researcher should also know
assumptions, and their use.
Research Methodology may differ from
one problem to other problem (Study).
For selecting any Research Method, the
researcher has to give reasons for it.

Research Methodology has many


dimensions and Research method/s
is/are a part of Research Methodology.
Research Methodology is a wider term as
compared with Research methods.
In Research Methodology, we mention first
about Research Methods, along with its
logic. We also explain that why we are
using a particular method/technique.

Certain Question and Answer will make


more clear about the Research
Methodology, as under : Q. 1. Why a Research Study has been
undertaken ?
Ans. The objective of study should be
highlighted. It may be a comparative
study. (Any two or more products/Brands)

Q. 2. How the Research Problem has been


defined ?
Ans. : What has been done in past and what
scope of study exists, is required to be
highlighted.
Q. 3.: In what way and why the Hypothesis has
been formulated ?
Ans. : To study and compare two area may be
the hypothesis (Purpose of study/Basis of
study).

Q. 4. Which data have been collected out of


many ?
Ans. : We can say that 10% data have been
collected on sampling basis.
Q.5 : Which particular method has been
adopted/selected ?
Ans.: We can say-Random sample/Cluster
sample/Systematic/Deliberate/Area sample
method has been selected (with reason).

Q.6. Why particular technique of Analyzing data


has been used ?
Ans. :We can say about
Mean/mode/median/Standard Deviation /ZTest/T-Test/Chi-square Test have been used
(with reasons).
SCIENTIFIC METHOD OF RESEARCH:
1. It is based on Numerical data evidence.

2. It is based on certain Objective only.


3. It aims at making adequate and correct
statements (information) about population
objects (Targeted populationRural/Urban) ).
4. It gives results on probable predictions.
5. Its methodology used is known to all.
6. It can formulate Scientific Theories.

RESEARCH PROCESS
Research process is also known as Steps
in Research.
Research process consists of series of
actions or steps necessary to carry out
research.
Research process guides a researcher to
conduct research in sequence.

Research Process in Flow Chart


I Define Research Problem (object of study)
2. Review the Literature
(a) Review concepts & Theories
(b) Review previous research findings
3. Formulate Hypothesis (what you want

to do- mention here).


4. Design Research (including sample
design)

5. Collect Data (execution of research)


6. Analyze Data (Test hypotheses,if any)
7. Interprete the Data and Prepare Report

USEFUL PROCEDURAL GUIDELINE


REGARDING RESEARCH PROCESS IS
AS FOLLOWS:

1.
2.
3.
4.

Formulating the Research Problem


Extensive Literature Survey
Developing the Hypothesis
Preparing the Research Design

5. Determining sample Design


6. Collecting the data
7. Execution of the project work.
8. Analysis of data
9. Hypothesis Testing
10.Generalizatin and Interpretation
11.Preparation of the report or

presentation of the results i.e. formal


write-up of conclusions reached by
research.
BRIEF DETAILS ABOUT THESE 11
POINTS: - Identify the problem, you want to study.
- Aspect of a subject matter that you would
like to study (or inquire into).

- See that it is feasible to study the


problem or subject matter you have
selected for study.
- Two steps are involved here (in
formulating the research problem:
(a) Understand the problem thoroughly,
(b) Rephrasing (or re-defining) the same
into meaningful terms.

Thus, discuss the issue with friends and


your Faculty Guide, and the Administrative
Heads of Institution/Company/Corporate
House etc. where you will conduct
Research Work.
You are required to read two types of
Literature : (a) Conceptual Literature
(theory based) and (b) Empirical Literature
(Studies made earlier on the subject).

So, check-up Statement of Objective


(Title of your Research) because it will
determine the data which are to be
collected.
2. EXTENSIVE LITERATURE SURVEY:

Collect the literature available from


Books, Reports, which is relevant to your
study.

DESIGNING THE RESEARCH


METHODOLOGY:
Research Methodology depends on TWO
FACTORS:
(1) Target Population ( Urban, Semiurban or Rural).
(2) Importance of decision which will be
taken based on the Research.

Major parts of Research Methodology are:


1. Research Method (method to be used

for data collection).

(a) Secondary Data (available record),

Research starts with secondary data.

(b) Primary Data: (ending research with

Primary data.

Primary source (for data) may be :(i) Customers


(ii) Buyers
(iii) Users/Consumers
(iv) Dealers
(v) Distributors
(vi) Retailers
(vii) Other Respondents

2. Sampling Plan.
3. Questionnaire Design.
4. Field Work-Plan
5. Analysis Plan.
Data collection from Respondents can be
done by many different methods. The
major methods, commonly used are: (1) Survey Method,

(2)
(3)
(4)
(5)
1.

Observation Method,
Experimentation method,
Qualitative &Quantitative Techniques.
Other Techniques or methods.
SURVERY METHOD:

By Telephone (Advantage &


Disadvanatage Low cost but is fast)
By Mail (It is a slow method & Time
consuming, non-respondents are more)

In Person :- Question can be explained


to respondent, facial reaction & body
language can be observed.
- By E-mail (using Internet):
-It does not represent true sample.
-May have computer/Laptop or not.
-For speedy work Telephone & e-mail
would be excellent methods.

Personal Interviews are the preferred


method for doing surveys in India.
Other methods (i.e. mail & Telephone)
may be useful will depend on target
population and the objectives of the
Research.
2. OBSERVATION METHOD:
- In this method consumers behaviour is
recorded.

- Recording can be done by noting on


papers by some other person, or
- A video Camera can record a
customers behaviour where he/she buys
a product say a Garment, then PRICE, COLOUR, FABRIC may reveal his
facial expression i.e. Buying Behaviour.

On the basis of video tap- one can


interpret for the purchase factors,
purchase behaviour, brand preference,
price and colour preference age factor
also reflect behaviour.
It gives more accurate information. It is an
expensive method.

3. EXPERIMENTATION METHOD:
-It is a quantitative research method.
- It involves more control over the cause
and effect when compared to survey
method.
-In experiments, we try to measure the
effect of one or more variables by
changing the level of some variables and
measuring the effects.

For Example: If an advertisement is


released in Newspaper and we measure
the brand awareness of the advertised
brand (of a product say- Mobile set)
among a sample of target respondents
say in any area/colony. This type of
knowing would be termed as experiment.
Other Example: A product test could be

designed as an experiment for any


product : For sale of different variety of
TEA or COFFEE, if consumers who are
coming for purchase of Grocery Items at a
Grocery Shop, are served with free
sample of TEA or COFFEE. It will be an
experiment by the Company to know the
test of consumers for TEA or COFFEE.

QUALITATIVE TECHNIQUES:

When quantitative surveys are


inadequate, Qualitative techniques are
used to know the minds of respondents
(Public).

Interviews with open-ended questions


are asked. Unstructured Questions
may be asked to know his/her views.

What do you expect from a Refrigerator ?


What needs does it fulfill ?
Here, the behavioural aspect of public is
known.
Sample size in qualitative techniques is
usually small. It needs to be done by
experts only (Sociologist or
Psychologist).

Example of TVS moped, when it was


launched, was compared with Bajaj
Scooter. Later on the Scooty was
launched after changing the design of
TVS.
SPECIALIZED TECHNIQUES used by
Market Researchers.
There are 3 specialized techniques :

1. A Consumer Panel
2. Retail Audit
3. TV Audience Measurements.
1. A CONSUMER PANEL (List is there):

(a) A sample of consumers is chosen for


keeping a record of what they buy in a
given period of time.
(b) What TV shows they watch in a given
period of time. Say between 7-9 pm.

(c) They have to record this information


in a diary ( say on Daily/Weekly basis) and
hand it over to the marketing research
agency for tabulation and analysis.
(d) The special feature of this is that the
sample remains the same for 1/3/6
months or even sometime for one year.
(e) Usually, there is a payment for being
part of such a sample (for extra efforts ).

2. RETAIL AUDIT: (At retail outlet):


A retail audit measures what brands are
sold and their quantity is sold in a
particular period. It could be done weekly.
In India, ORG is a company which
routinely performs retail audits. It is a
measurement done at the retail level.
Locality-wise information of sale of a
product can also be done.

Usually, such audits are best done by a


third party (Independent agency), to
reduce chances of bias, rather than the
Marketing Company.
Some times such studies are undertaken
by the Company for its own brands at
either consumer level or retail level.
Such studies are generally done after
launch of a new product.

3. TV- AUDIENCE MEASUREMENTS:

These days, millions of rupees are


spent on Advertising on TV. It is important
for the marketer to know who is watching
the TV shows on which time & channel.

Advertisements are given on the TV


channel and programme which is seen by
the family is known by the Ad. Company.
Such people are called Peoplemeters.

PLAN FOR SAMPLE, FIELD WORK AND


ANALYSIS:
The next stage in Marketing research
study is the plan for : 1. Sampling
2. Field work
3. Analysis.
This work needs accuracy of the study.

1. SAMPLING PLAN : What will be sample


composition and size.
What is total population (say 10,000)
Take few percentage point as sample.
What is target population ( say 10%=1000)
Two precautions should be taken to ensure a
good sample:
(a) Use a probabilistic (sample to be proving as true)
sampling technique which is not biased.

(b) Try and divide the population to be


sampled into segments or strata :(i) Users/non-users.
(ii) Classes based on Age, income etc.
(iii) Ensure that each segment gets
represented in the final sample
Limitations, if any, should be taken care of.

1.
FIELD WORK PLAN:
1. Decide the sampling centers (Cities,
towns, area, colony/localities etc. (Rural)
2. Decode sample size for each City,
town, area, colony/localities.(A, B, C, D)
3. Decide that who will do the field work
for collecting data. (Self/Employed
worker)
4. Decide field area i.e. Homes, Offices,

5. Dealers etc.
6. Decide what is to be collected, its
format of recording.
7. Format of interview is generally, a
questionnaire. Field workers are using
questionnaire in most cases.
8. Assume here that the questionnaire is
as per requirement of the study/research.

9. There should be a well planned


schedule so that all field work is
completed in an definite time.
10. Decide cross check of the data
collected to test the data so collected.
11. When data is to be collected from field
under supervision of an Supervisor
through research executives then,

The Supervisor should brief the field workers


that how the data is to be collected.
Briefing session is conducted where field
workers are required to be recruited (on
temporary basis) for field work. Mock
interviews are conducted as a part of practice
for collection of data in field. Questionnaires are
filled by the field workers.

The time limit for collection of data in field


should be taken care of ( 3 days, 7 days).
If possible, a pilot study of a small
sample should be performed, before
starting regular field work.
Pilot study may be for one day to know
difficulties & clarifications on various
points faced during field study.

ANALYSES PLAN AND EXPECTED


OUTCOME:
Analysis is based on the answers given to
questions in Questionnaire. Analysis plan
should be prepared well in advance.
There are normally two very basic kinds
of analyses in a Marketing Research
study. These are :

1. Simple Tabulation
2. Cross Tabulation.
1.SIMPLE TABULATION :
a) This involves counting the number of
responses in each category for a question,
and putting it in a frequency table form.
b) This can be used to compute percentages,
by dividing the number of responses by the
sample size.
c) Simple tabulation is done for each question

in the questionnaire.
2. CROSS TABULATION :
Cross tabulation is done when counting
simultaneously, answers to two or more
different questions on a questionnaire.
While doing cross tabulation, it is also
necessary that the two questions
(variables) that we are cross-tabulating
must be related to or associated with each

Other. For instance, in the purchase of a


Bathing Soap- Question may be as under:
How frequently respondents buy a Bathing Soap
? (once/twice/thrice in month)
Which fragrance of the soap is preferred?
(Reply may be :
Rose/Jasmine/Lavender/Sandle etc. etc.
It is possible to compute cross tabulation data
for any two questions on a Questionnaire.

BUDGET & COST ESTIMATION:


There are three basic parameters for
estimating cost:
1. Sample size.( small/big sample)
2. Geographical area and location of each

respondents.
3. Who will do the field work.

If it is a industrial field work then Research


Executive from Industry will conduct field work
and it will be a costly affair.
Whereas for consumer product or service
studies, it is done by hiring temporary field
workers, which is a less expensive compared to
industrial field work.
Travel cost, communication cost and daily
wage is included in the cost of field work

Along with Stationery cost.


PRESENTATION, REPORT AND
MARKETING ACTION:
After the Tabulation and Analysis is
completed, the next step is a presentation
of the major findings to the sponsor of the
study. This includes a presentation of all
the major Tabulations

(frequency tables) and cross-tabulations in


percentage (%) terms.
It may also include a summary of major
findings, and some recommendations.

A formal report usually follows the


presentation. This would normally contain
the following:
1. Executive Summary
2. Table of contents

3. Introduction
4. Research objectives
5. Research methodology,

- Sample design,

- Field work plan and dates

- Analysis/expected outcome plan

- Questionnaire copy (as annexure)

6. Analysis,
- Simple Tabulation
- Cross Tabulation
- Any special analysis.
7. Findings
8. Limitations
9. Recommendations for action
10. Bibliography/List of references. =====

DATA COLLECTION:

SOURCES OF SECONDARY DATA:


Two sources : (i) Internal & (ii) External
Internal source: within Firm
Three major sources of External data are :
1. Census Data and other Govt. Publications
2. Non-Governmental Publications.
3. Commercial Information Syndicated
services, Data bases (Reports of Industries).

General points for Researcher:


(1). Researcher should design the data
collection Project.
(2). For Exploratory Research collection
of Secondary Data (through survey) is
essential.
(3). How secondary data will be collected,
should be mentioned in the detailed data
collection scheme.

(4). The best design which serves the


purpose/objective of research is selected.
1. Census Data & Govt. Publications:
(a) Census data conducted every 10
years throughout the country (size of
population, Age, Sex, occupation, Income
etc. are given in it).

-Source: Registrar General of India.

(b) Statistical Abstract India - Annually.

Source: Central Statistical Organization


(CSO) Indian Economy.
(c) Annual Survey of selected Industries
Source: CSO Number of Units.
(d) Monthly Survey of selected Industries.

Source: CSO.
(e) Foreign Trade of India Monthly Statistics.

Source: Director General of Coml.


Intelligence

(f) Wholesale Price Index- weekly All India


Consumer Price Index:

Source: Ministry of Commerce and Industry


(Food Articles).
(g) Economic Survey Annual Publication

Source: Deptt. Of Eco. Affairs, Mini. Of


Finance. (Growth in various sectors).
(h) National Sample Survey (NSS) :
Source: Min. of Planning (Social, Eco. Agr.etc).

Other Important Govt. Publications:


1. Basic Statistics Relating to Indian
Economy (By Planning Commission).
2. India Pocketbook of Economic
Information (By Ministry of Finance).
3. Agricultural Situation in India (By the
Ministry of Food & Agriculture).
4. Reserve Bank of India Bulletin (By RBI)
5. Reports by all the Ministries for their
relevant Sector/Areas.

SECONDARY DATA- NON-GOVERNMENTAL


PUBLICAGTIONS:
1. Company Working results- Stock Exchange
Directory.
Source: Bombay Stock Exchange
2. Status Reports by various Commodity Boards:
Source: The Commodity Board of the Industry
Association like Jute,/Cotton,/Sugar/ Boards etc.

3. Industry Association on problems faced


by Private Sector etc.
Source: FICCI, ASSOCHAM, AIMA
4. Export Related data- Commodity wise.
Source: Leather Exports Promotion
Council, Apparel Export Promotion , ,
Council, Handicrafts/Tea/Spices,etc. Exim
Bank etc.

5. Crop Survey Annual Reports.


Source: ORG (Operations Research
Group).
TWO BASIC METHODS OF
COLLECTION OF DATA:
1. Observation Method.
2. Questionnaire Method (or Survey

method or Interview method).

In observation method, the Respondent is


simply observed and his actions are
recorded either by physically watching him
or through certain mechanical or
Electronic device (Video Camera).
QUESTIONNAIRE METHOD:- In this method, Respondent is
questioned directly about his attitudes,
opinions and demographics.

Advantages & Disadvantages of


Data Collection method:

1. Questionnaire Method:
(A) Advantages:
`(i) All types of Res. Problems can be
addressed.
(ii) It records not only factual data but also
records attitude and opinion.
(iii) Less time consuming.

(iv) Less expensive than observation

method.
(v) It is very structured so chances of

incorrect recording is less.


(vi) A large number of respondents can be

contacted from all over the country at

the same time.

(B) Disadvantages:

(i) Respondents have reached to a

level of saturation.

(ii) Respondents might not respond

with the actual feelings or facts.


(iii) Respondents may refuse to answer

to certain questions.
(iv) His responses may be biased.

Observation method: Advantages:


(i) The respondent is observed directly so
that no chances of bias.
(ii) Willingness of the respondent is not a
problem because we can observe it.
(iii) Social research studies are using
observation as the first step to understand
the behaviour of people (Rural, Urban etc.)
(iv) Studies involving plants, Animals, or

Small Babies would have to opt for the


observation method (more suitable).
Disadvantages: (i) Action of the respondent do not provide
any reasons for his behaviour or his
attitudes and opinion.
(ii) It is expensive and time consuming to
set up and undertake observation studies.

(iii) The data collected is completely


dependent on skills of the observer and
the manner in which he records and
interprets them.
(iv) The studies are not very reliable or
valid since the same results might not hold
true for different observations or two
similar respondents.

(v) Very few respondents can be


contacted owing to time constraints.

Model MCQs
1. The main purpose of research is :
(a) Expansion of Knowledge
(b) To solve any practical problem
(c) To suggest & provide alternative solutions
(d) To provide final answers scientifically to
solve problem.

2. Communication between the Manager


and the researcher is :
(a) Applied Research
(b) Basic Research
(c) Research Process.
(d) Marketing Research

3. Research is understood as :
(a)
(b)
(c)
(d)

Collection of data
Systematic Collection of information.
Identifying a problem
Gathering information

4. As a researcher, identifying the


characteristic features of scientific method:
(a)
Direct observation of phenomena
(b)
Clearly define variables & method
(c)
Self-correction process
( d)
All of the above

5. In a research process, scientific inquiry


is based on :
(a)
Thinking
( b)
Reasoning
(c)
Research
(d)
None of the above.

6. What are the two major characteristics


of the Scientific method :
(a)
Validity
(b)
Reliability
(c )
a &b above
(d)
None of the above

7. Which research aims at enlarging the


boundaries of knowledge :
(a)
Applied Research
(b)
Basic Research.
(c)
Decisional Research
(d)
None of the above

8. If a research is designed to obtained a


preliminary investigation, it is known as :
(a)
Applied Research
(b)
Exploratory Research.
(c)
Conclusive Research
(d)
None of the above

9. Which statement is submitted to the


client before a project :

(a)
(b)
( c)
(d)

Research Design
Research objectives
Research Proposals
None of the above

10. The basic requirement in a Research


Process is :
(a)
Identifying the Problem
(b)
Design the objectives
(c)
Communicate the research

Objectives
(d )
All the above

11. If a researcher wants to conduct a


field survey, which approach should he
follow:
.(a)
Sample Survey
(b)
Census Survey
(c)
Population
(d)
All the above

12. The Survey Researcher is concerned


with :(a)
(b)
(c)
(d)

Sampling
Questionnaire Design
Questionnaire Administration
All the above.

13. Survey Research means:


(a) A method of collecting primary data

for marketing decisions. (b) A method of collecting secondary

data for marketing decisions.


(c) A method of collecting information

about a problem.
(d) None of the above.

14. The sequence of the questionnaire


depends on the following :
(a)
Method of Research
(b)
Objectives of Research.
(c)
Sample size
(d)
(a) & (b) above

15. A Questionnaire generally contains:

(a)
(b)
(c)
(d)

Structured Questions
Un-structured Questions
Combination of both (a) & (b)
All of the above.

16. The first step in the Marketing


Research is : (a)
.(b)
(c)
(d)

Research Objective
Problem Definition
Collecting information
Exploratory Research

17. The end product of an Exploratory


Research is :- (a)
(b)
. (c)
(d)

Research Objectives
More information
A set of Hypothesis
More confusion

18. The least expensive type of research


is :- .(a)
(b)
(c)
(d)

Survey of Secondary Data


Case-study Method
Statistical Method
Experimentation

19. If the value of information is found to


be positive:
( a)
The Researcher should go ahead

with the research


(b)
Stop the Research
(c)
Conduct an Exploratory Research
(d)
None of the above

20. The research type which has the


lowest interviewer bais is :

(a)
(b)
(c)
(d)

Case-Study
Focus Group
Survey of Secondary Data
Statistical Method.

21. When a relatively small number of


respondents is to be contacted in the
urban area in upper-income socioeconomic classes, the best mode for
communication is :
(a) Personal Survey (b) Mail Survey
(c) Telephone Survey, (d) All the above

22. When the questions require a prompt,


spontaneous response from the respondent, the
best method available is :
(a) Structured- non-disguised mail method
(b) Structured- non-disguised Personal

method
(c) Structured- non-disguised Telephone

method,
(d) None of the above

23. The sampling method which is the


least time and cost consuming out of
those indicated below is : (a)
Cluster Sampling
(b)
Area Sampling
(c)
Systematic Sampling
(d)
Quota Sampling.

24. A sampling unit is necessarily a part of


: .(a)
The sampling frame
(b)
The Population
(c)
The sample
(d)
The Target Market

25. Simple Random Sampling should


always yield more precise estimates than
Cluster Sampling in Consumer Research
studies. This statement is :
(a)
Always True
.(b)
False
(c)
Partly True
(d)
Cant say

=======

General guidelines for preparation of a


Questionnaire:
1. The Respondent must understand the
meaning of Question.
2. The language used in questionnaire
must be simple to be understood by
common man or house-wife or least
educated person to answer.
3. Difficult words should be avoided.

4. A questionnaire must be easy to code.


5. A questionnaire should not be two long to
answer in terms of time.
6. A questionnaire, if possible, should be
interesting, and should serve its purpose.
7. Questions can be scaled on one of the four
scales: (i) Nominal (name) (ii) Ordinal(1 st ,20th
etc) (iii) Interval ( time- space between two)

(iv) Ratio (number of times 1:2 or 1:4)


Depending on the nature of the variables.

For Example: Age can be measured in


years or in categories of years as under:
5 to 10 years.
10 to 15 years
15 to 20 years and so on.
8. Question can be either closed-ended
or open-ended. These are also known as
Structured and Un-structured questions.

Quantitative studies normally use Structured


or closed-ended questions, where all
responses fall into pre-determined categories.
For example: Income of respondents may
be :(a)
Rs. 10,000 to 15,000 p.m.
(b)
Rs. 15,000 to 20,000 p.m.
(c)
Rs. 20,000 to 25,000 p.m.
(d)
Rs. 25,000 to 35,000 p.m.
(e)
Rs. 35,000 and above p.m.

9. Questions can also be either direct or


disguised (with concealment).
Questions may be in Dichotomous
(divided in to two parts) i.e. YES/NO.
Or Multiple choice (polytomous) questions
may also be there which are nothing but
further extension of dichotomous
questions.

:
10.There may be ranking type questions
or Rating type :
Rank -1
or Grade A
Rank -2
or Grade B
Rank -3
or Grade C
Rank -4
or Grade D
In Marketing Research ranking on Brands or
Product choice is taken from respondents.

11.Reliability and Validity are two tests of


a good Questionnaire.
12.Designing a Questionnaire is an Art.
Help of common sense should be taken
up by researcher.
13.Practice with designing questionnaires
is the best way to perfect the art.

*******

SECTION III: SAMPLE DESIGN


COVERAGE IN TOPIC:
1. Concept of Sampling & Meaning
2. Population and sampling
3. Sampling frame
4. Sampling Unit (the respondent we want
to meet may be a family or an Individual.
5. Methods of Sampling Two Types:
Probability Sampling and Non-Probability.

1. SAMPLING CONCEPT:
A Sample out of population is a predefined set
of potential respondents in a geographical
area.
The most common sampling element in
Marketing Research is Human Respondent
who could be :
- Consumer,
- A potential Consumer,
- A Dealer or Retailer
- A person exposed to an advertisement.

Other sampling may be from :


-Companies, or
- Families, or
- Households, or
- Retail-Stores and so on.
2. POPULATION :
Population means not the entire population of
a given geographical area. But it is a set of
potential respondents in a geographical
area.

For Example :
(a) All mothers who buy branded BABYFOOD in a given area ( say in a district or
a city area).
(b) All teenagers who watch MTV in the
country.
(c) All adult males who use the Shaving
Cream PALMOLIVE.

(d) All College going students who use

LAPTOPS.
3. SAMPLING FRAME:
Sampling frame means a subset of the
defined target population, from which we
can select a sample for our research.
Example: Use of Telephone Directory of
Jaipur to be used as Adult Residents of
Jaipur

A sampling frame is usually a practical


listing of the population, or a definition of
the persons or areas which can be used
for the sampling exercise. In Jaipur- Persons can be Doctors, Engineers,

Advocates, Professors,

Govt. Employees etc.


Areas may be -- C-Scheme, Bani-Park,

Raja- Park, Bapu Nagar etc.

4. SAMPLING UNIT:
In Marketing Research, there is a multi-stage
selection of sample unit.
Ist Stage Select Area - Bani Park
IInd Stage Specific block- Near Collectorate
IIIrd Stage may select -Names of Apartm.

Apartments- Street/Lane H.No.


IVth Stage Reach to Indvi. Respondent
(Example of SHG-Bank Linkage)

SAMPLE SIZE CALCULATION :


Question : What should be the size of

sample in Research Studies ?


Ans.: Sample size determination is based

on or will depend on following:

(a) a blend of using different formulae,

(b) experience of similar studies,

(c) Time & Budget constraints,


(d) Few other elements
Number of segments of the Target
Population or Number of centers of
study.
(e) Analysis Requirement.

5. METHODS OF SAMPLING:

There are two Techniques of sampling


:- (a) Probability Sampling

(b) Non-Probability Sampling.


(a) Probability Sampling:- In probable
sampling technique each sampling unit
(household or individual) has a known
probability of being included in the sample.

Probability of inclusion in sample sometimes it is


equal and sometime it is unequal. Probable
samples are unbiased.

The major types of probability sampling


techniques are as under :

1. Simple Random Sampling.


2. Stratified random sampling
3. Cluster sampling
4. Systematic sampling
5. Multistage or Combination sampling.

(b) Non-probability sampling Techniques:

(1) Quota Sampling ( a fixed number)

(2) Judgment sampling

(3) Convenience Sampling

(4) Snowball Sampling.


Now, we will discuss these sampling
techniques in detail one by one as under:

1. SIMPLE RANDOM SAMPLING:


When we select randomly the required
number of sample of unit out of a total
number of units, it is termed as simple
random sample. (any 5 students in class)
For example : the average income level of
100 employees of a Company can be
known by writing number 1 to 100 on a slip
of paper and their income is written on it by
them.Then, if we need a quick estimate

then we have to decide with a sample of


any 5 slips of paper out of 100 (after
mixing them by shuffling) and use these
employees as our sample for knowing
their average income. It is known as
simple random sampling.

For the same information if we


interview all the 100 employees, and
collect the information then it will take

more time.

Simple Random sample is more useful where


exact number of respondents are not known and
we require certain sample.
2. STRATIFIED RANDOM SAMPLING:

In this technique, the total target population is


divided into Strata or Segments on the basis of
some important variables (Variables may be
Age, Income, education level Science,
Commerce, Arts, Engineering etc.).

For Example: a consumer population may


be divided into Age brackets of below 25
years, 25 to 40 years and above 40 years.
Then, a sample is taken from each of the
segment defined (3 segments). Then as
per need sample can be taken from each
segment. This type of sampling is known
as Stratified Random Sampling.

Example:2: Total population of a Block or


Area is 50,000. Block or Area is divided
into 10 segments. 5% sample is decided
to be taken by the Researcher. Total
sample would be 2,500. Thus, 250
sample from each segment (10) will be
taken.

We can take proportionate sample also


based on population of the Block or Area.

Most of the population do not fall into


extreme zones, and generally Stratified
Sampling is the most efficient method
of probabilistic sampling, if it is
feasible.
3. CLUSTER SAMPLING/AREA
SAMPLING:

In Cluster Sampling a group of


objects/Units for sampling is selected.

A Cluster is a group of sampling units or


elements, which can be identified, listed, and a
sample of which can be chosen.
(Example: Selection of MBA students from
different MBA/PGDM Institutions in Jaipur)
Cluster represents
-(i) Geographical Areas,( say a
village/Block/Town/District etc.)
-(ii) Membership of some Group: CA, CS
Members of Lions Club etc.
-(iii) Members of Church

(iv) Members of Sports Club.


(v) Members of some Social Organization
e.g. Agrawal Samaj/Jain Samaj etc.
(vi) MP/MLA etc.
Marketing Researchers use cluster of
Households, located in a city or block or
colony or any specified area.
When the Clusters are selected on the basis of
Geographical area, it is also called Area
Sampling. You can define the area.

In Cluster Sampling the Researcher


should:
(i) Prepare a list of all available clusters
(ii) All Clusters should be numbered as

1,2,3,4,5,6,7,8,9,10,11,12, and so on.


(iii) A sample of clusters (number to be
decided by Researcher) should be
randomly drawn say- 2,4,6,8,10,12 etc. or
1,3,5,7,9,11 etc.

(iv) All sampling units/elements such as


Household in the selected clusters should be
chosen to be a part of the sample.
Advantage of Cluster Sampling:

It is usually low cost oriented;

It is convenient to Researcher;
Disadvantage:- Members of cluster tend to be
similar same socio-economic background,
similar tastes, and buying behaviour.

4. SYSTEMATIC SAMPLING:

Systematic Sampling is just like simple


random sampling. Here we decide
sample size. We divide the total
population into parts.
Example of IRM:
IRM, Jaipur have 360 students in the
Institute. For research purpose, we need
a sample of 20 students out of 360.

The sampling fraction is 360/20 which


means 1 out of every18 students will be
selected on an average basis. We divide
the list of 360 into 18 parts. Out of the first
18 students we choose any one at
random.
Let us say, we choose student Number 9
(all students are listed from No.1 to 360).

We choose student numbers 9 + 18 then


9 + 18 + 18 and so on in a systematic
sampling plan.
Thereafter the selected students will be
numbered as
9,27,45,63,81,99,117,135,153,171,189,
207, 225,243, 261, 279, 297, 315 ,333,
and 351 (total 20 students).

All these 20 students will be sample for


the study which is known as systematic
sampling.
5. MULTI-STAGE OR COMBINATION
SAMPLING:
(a) In this type of Sampling combination of
any two or more than two sampling
methods is used, e.g. Combination of
Cluster sampling and Stratified random

(segment) sampling.
(b) We have combined TWO or more
different methods of probability sampling.
(c) This type of sampling is used when it
is done at National Level Research.
In such a research, we may divide India
into 5 Metro Clusters, then 20 Class A
towns/Cities, and then 200 Class B
towns/Cities.

At Ist Stage:
5 Metro Clusters

20 Class A Towns/Cities

200 Class B Towns/Cities


At 2nd Stage:

1 Metro Cluster

3 Class A Towns/Cities

10 Class B Towns/Cities

In 2nd Stage we may have sample plan as


Stratified/Segment Sampling.
In 3rd Stage we may decide about Household Income or Age of Respondents where
the cluster sampling can be used by the
researcher.

Thus, at different stages, we may use


different sampling methods to complete
the Research work.

NON-PROBABILITY SAMPLING
TECHNIQUES:
Question : When we use Non-probability

Sampling Technique/Method?
Answer: When it is not feasible to use
probability based methods, researcher
may use Non-probability methods.

For approximate sampling sometimes


Researcher use the Non-probability
Sampling methods, and these are as
under :-

1. Quota Sampling :- Quota sampling


is just like Segment sampling. As per the
judgment and Researcher the sample is
taken in quota sampling method.

2. Judgment Sampling:- The


Researcher choose the sample as per his
choice and judgment. Thus, biasness of
Researcher is there.

3. Convenience Sampling:- This type


of sampling is taken by Researcher as per
his convenience. Example: TV
Reporters take sample interview in the
market which is convenient to him.
Whosoever meets the TV reporter, he
takes interview and record the matter.
Proper identification or selection is not
done in this method.

4. Snowball Sampling :- One respondent


is selected to generate names of others is
called snowballing. In this type of sampling
the respondents are having net-working
and they all know each other. This type of
sampling is done where population is small
and are selective.

For Example : 1. Golf-players.

2. Pilots of Airlines


3. Owners of Honda City Car.

4. Owners of Mercedeze Benz Car.


ERRORS IN MARKETING RESEARCH:
Two Types of Errors may be there:
(i) Sampling Error: Such error is done
by the Researcher. It is controllable.
(ii) Non-sampling Error:- Error done by
Interviewer, or data entry operator or the
Researcher himself.

Examples of such Errors:


(1) Interchange of column Yes or No.
(2) Not filling data in field.
(3) Cheating by Interviewer (data filled
without taking interview of the
respondents.

=======

RURAL MARKETING RESEARCH


MAJOR CHALLENGES/ DIFFICULTIES
IN RURAL MAARKETING RESEARCH
ARE AS UNDER:
1. High distribution cost (mgt. cost is high)
2. Cost per contact is more in Rural area
3. Communication problem exists
4. Limited knowledge of Rural Market
5. Difficulty to understand the Psychology

of the Rural Consumer.


6. Lack of Commitment & Competence in
Distributors and Retailers alongwith Rural
Consumers.
7. Lack of proper budgetory allocations for
Rural Marketing Research.
8. Sale of Spurious (not guinine/original) i.e.
Duplicate products which is a big challenge
in Rural Market.

But great opportunities are there:


(i) There exists a big market in Rural Area
(ii) Opportunities are increasing in Rural
market every year.
(iii) Serious efforts are needed to capture
this market, through Strategic
Marketing Research.

(iv) Potential in Rural Market is because of


(a) Rising Rural prosperity (per capita
income is increasing).
(b) Increasing Rural consumption and
(c) Lesser dependence on Agriculture
and Monsoon.
(d) Marketing efforts by different Orgns.

Question: What are various sources for

Rural Market Research ?


Answer : Rural database is available
with following institutions for Rural Market
Study/Research:
1. NCAER : National Council of Applied

Economic Research.
2. NSS : National Sample Survey.

3. CMIE : Center for Monitoring Indian


Economy.
4. IMRB : Indian Market Research
Bureau.
5. IRMA : Institute of Rural Management,
Anand (since 1980).
6. HTA : Hindustan Thompson
Associates (since1972).

7. MART :

8. HLL :
9. RC&M :

Marketing & Research Team,


Delhi.
Hindustan Lever Limited.
Rural Communication and
Marketing, New Delhi.

RURAL MARKET RESEARCH


Basic difference in Rural & Urban Research:
1. Area in Rural is large and heterogeneous,
hence data collection is difficult task.
2. Rural areas are highly under-researched,
and conducting research in rural area is not a
easy task.
3. The manner in which data is collected from
the rural areas are quite different from the ones
that are required for Urban markets.

4. Thus, for collection of data in Rural


area, different activities have to be
undertaken by the Researcher Company.
5. Extensive efforts are required in Rural
areas research, as compared to Urban.
EVOLUTION OF RURAL MARKETING
RESEARCH:
Phase 1 Prior to 1980s
Phase 2 -- The Decade 1980- 1990

Phase - 3.
The Decade 1990-2000
Phase - 4.
The years since 2000 to date
Phase I First of all Rural market was studied
by Hindustan Thompson Associate (HTA) who
developed the Thompson Rural Market Index
in 1972. Market potential available in each
district was studied by HTA. Potential available
was based on the needs of people and needs

In Agriculture Sector.

Needs

Agril. Inputs - Durable goods


FMCG Companies planned to penetrate deep
into the Rural Markets. They started going
from District level to individual village level.

Phase II & III (1980 to 1990 & to 2000):


IRMA (Institute of Rural Management,
Anand) initiated a course in Rural
Marketing in 1980. The course included
Marketing of Urban Consumer products &
services to Rural India.

Rural exposure to students through


Survey in Village for a specific
product/Services was started. Field visits

Were made by students. Case Studies


were developed on Rural Consumers.
HINDUSTAN LEVER started focusing on
the growing rural market in India in 1983.
At that time it was fould that vast-untapped
opportunities are available in Rural
Market. HLL and COLGATE PALMOLIVE
were in Rural Market and they were

Imparting Training to their staff for Rural


Marketing i.e. how to tap Rural Market.

The gist of Rural Marketing Research


during 1980 to 1990 and up to 2000 was
as under:
1. Educational Programmes on Rural
Marketing were only available at IRMA.
2. Training materials developed at IRMA

Were pm marketing of consumer products


to Rural India.
3. A series of Articles were written &
published in newspapers & Magazines by
IRMA students who joined Marketing
Companies.

Mr. Mukunda Das, Somnath Sen,


Sanjay Chandwani on Rural Consumers,
Rural Distribution & Rural Mkg. Stratgies

Published articles in the Newspapers.


4. IRMA Alumni initiated Trg. Prog. For
Companies targeting the Rural Markets.
5. Several Institutions, including NGOs
initiated Pilot Projects on going-rural with
their products.
6. Tapping the opportunities in Rural
Markets increased with faster shift of
channels of communication in Rural India.

Phase IV :The year since 2000 to date

Training in Rural Marketing was felt in


21st Century at Corporate Level. Great
need of Marketing Professionals was also
felt at all levels.

International Companies were reaching


in Urban India. FMCG Companies felt to
move to RURAL INDIA to sell their product
first.

Rural Marketing Information System


was developed and HRD for Rural
Marketing was realized by the Corporate
world.

Under Marketing Research the


Consumer Behaviour is important.

HLL is the leading player in the field of


Market Research in India, including Rural
Market Research.

Example of LIFEBUOY Soap is there.

Marketing Research changed the


contents in soap product along with its
colour, size and shape to launch the
product in Urban and Rural Area.
SOURCES & METHODS OF DATA
COLLECTION (About Rural Markets):
1. Primary Data through Survey,
questionnaire, Group Discussions &

Experimenting etc. is done.


2. Secondary Data: Published data of
Govt. Organizations, Research Bodies or
Institutions, Research Consultancy
Organizations is used, for Rural Market
Research.
Data Collection Approaches in Rural
Areas:

For data collection, a Researcher has

To : - Make clear the Rural people about


concept of Market Research.
- Rural people have sufficient time.
- Remove their hasitation to reply to
questions of Researcher/Survey person.
- Make them clear the objective & purpose
of Research.

- Develop the rapport with Rural people.


- Researcher should take help of local
people who are leaders or known persons.

For collection of data from the Rural


Areas, the Researcher can employee the
following approaches :
(a) Ensure the support of opinion Leaders:

(i) Sarpanch, (ii) School Teacher,

(iii) Educated Farmers


(iv) Respected Elderly person
First the researcher should
convince/educate these opinion leaders
about the benefits of Research. Then
these leaders will convince local rural
people to respond to the Researcher.

(b) Behave in the manner the Rural


people they like you:

The Researcher/Investigator should


dress, speak, act and behave in a manner
that is liked by the Rural people. For
example:

- Greet with folded hands Namaskar

- Try to speak in Hindi or local dilect.

- Dress-up in simple way.


- Have rural feelings (manners of rural

people).

- Do not hurt any one, they are sensitive


(c) Being at the Right Place.

Researcher should collect data from


such places where rural people likely to
visit in a good number, so that data
collection can be done with efficiently.

These places could be as under:(i) The Village Chopal


(people use to come to Chopal)
(ii) Retail outlets (Retailer can influence
the people & ask them to respond to
Researcher.
(iii) Fairs/Melas
(iv) Haats : A large number of people

visit the Haats. Researcher can have


good number of respondents at a single
location.

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