Business Research Methods

William G. Zikmund

Chapter 4: The Business Research Process

Information
Reduces uncertainty Helps focus decision making

Types Of Research
Exploratory Descriptive Causal

Uncertainty Influences The Type Of Research

CAUSAL OR DESCRIPTIVE
COMPLETELY CERTAIN ABSOLUTE AMBIGUITY

EXPLORATORY

Degree of Problem Definition

Exploratory Research (Unaware of Problem) Our sales are declining and we dont know why. Would people be interested in our new product idea? Descriptive Research (Aware of Problem) Causal Research (Problem Clearly Defined)

What kind of people are buying Will buyers purchase more of our product? Who buys our our products in a new package? competitors product? Which of two advertising What features do buyers prefer campaigns is more effective? in our product?

Exploratory Research
Secondary data Experience survey Pilot studies

Exploratory Research
Initial research conducted to clarify and define the nature of a problem Does not provide conclusive evidence Subsequent research expected

Descriptive Research
Describes characteristics of a population or phenomenon Some understanding of the nature of the problem

I keep six honest serving men, (they taught me all I knew), their names are what, and why, and when, and how, and where and who. --Rudyard Kipling

Descriptive Research Example

Weight Watchers average customer Woman about 40 years old Household income of about $50,000 At least some college education Trying to juggle children and a job

Descriptive Research Example

Mens fragrance market 1/3 size of womens fragrance market But growing at a faster pace Women buy 80 % of mens fragrances

Causal Research
Conducted to identify cause and effect relationships

Identifying Causality
A causal relationship is impossible to prove. Evidence of causality:
1. The appropriate causal order of events 2. Concomitant variation--two phenomena vary together 3. An absence of alternative plausible explanations

Stages of the Research Process

Problem Discovery and Definition Discovery and Definition

Research Design

and so on Conclusions and Report

Sampling Data Processing and Analysis Data Gathering

Research Stages
Cyclical process - conclusions generate new ideas Stages can overlap chronologically Stages are functionally interrelated
Forward linkages Backward linkages

Problem Discovery and Definition

Problem discovery
Sampling

Selection of exploratory research technique

Selection of exploratory research technique

Probability

Nonprobability

Secondary (historical) data

Experience survey

Pilot study

Case study

Data Gathering Data Processing and Analysis

Collection of data (fieldwork) Editing and coding data Data processing

Problem definition (statement of research objectives)

Research Design

Selection of basic research method

Conclusions and Report

Interpretation of findings

Experiment
Laboratory Field Interview

Survey
Questionnaire

Observation

Secondary Data Study

Report

The Business Research Process

Problem Discovery Selection of Sample Design

Exploratory Research

Collection of the Data

Selection of the Basic Research Method

The Research Process (cont.)

Editing and Coding Report

Data Processing

Interpretation of the Findings

Stages In The Research Process

Problem Discovery and Problem Definition Research Design Sampling Data Gathering Data Processing and Analysis Conclusions And Report

Problem Discovery And Definition

First step Problem, opportunity, or monitor operations Discovery before definition Problem means management problem

The formulation of the problem is often more essential than its solution Albert Einstein

State the research questions and research objectives

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Hypothesis
A statement that can be refuted by empirical data

If you do not know where you are going, any road will take you there.

Secondary (historical) historical) Data

Pilot Study

Experience Survey

Case Study

Exploratory Research

Exploratory Research Techniques Two Examples

Secondary data (historical data)
Previously collected Census of population Literature survey

Pilot study
A number of diverse techniques

Focus Group Interview

Research Design
Master plan Framework for action Specifies methods and procedures

Basic Research Methods

Surveys Experiments Secondary data Observation

Selecting a Sample
Sample: subset of a larger population. population. SAMPLE

POPULATION

Sampling
Who is to be sampled? How large a sample? How will sample units be selected?

Data Gathering Stage

Data Processing and Analysis

Conclusions And Report Writing

Effective communication of the research findings

Research Proposal
A written statement of the research design that includes a statement explaining the purpose of the study. Detailed outline of procedures associated with a particular methodology

Research Program Strategy

Defining Problem Results in Clear Cut Research Objectives

Symptom Detection Analysis of the Situation

Problem Definition Statement of Research Objectives

Exploratory Research (Optional)