Name: Umair Zafar Reg No:46441

Course: Quantitative Research Method Instructor: Lubna Khan

Section B: Theoretical Questions;

Q # 1)

Answer.

Hypothesis is a proposed explanation for a phenomenon. It explains what exactly happen.

Hypothesis should be clear and understandable. It should be testable and measurable. Hypothesis
should contain dependent and independent variable.

1. Hypothesis: The leadership has a positive effect on employee performance.

Alternate Hypothesis: The leadership does not have a positive effect on employee
performance

2. Hypothesis: The organizational culture has a positive effect on employee performance

Alternate Hypothesis: The organizational culture does not have a positive effect on
employee performance

3. Hypothesis: The leadership has a positive effect on employee creativity

Alternate Hypothesis: The leadership does not have a positive effect on employee creativity

4. Hypothesis: The organizational culture has a positive effect on employee creativity

Alternate Hypothesis: The organizational culture does not have a positive effect on
employee creativity

5. Hypothesis: The employee creativity has a positive effect on employee performance

Alternate Hypothesis: The employee creativity does not have a positive effect on employee
performance
Q # 2)

Answer.

The coefficients become delicate to little changes in the model. Multicollinearity diminishes the
exactness of the gauge coefficients, which debilitates the measurable force of your regression
model. You probably won't have the option to confide in the p-qualities to recognize autonomous
factors that are measurably critical. Multicollinearity alludes to a circumstance wherein in excess
of two logical factors in a various regression model are profoundly straightly related. We have
amazing multicollinearity if, for instance as in the condition over, the relationship between two
autonomous factors is equivalent to 1 or −1.

1) It is brought about by an incorrect utilization of faker factors.

2) It is brought about by the incorporation of a variable which is figured from other factors
in the informational collection.

3) Multicollinearity can likewise result from the redundancy of a similar sort of factor.

4) Generally, happens when the factors are profoundly connected to one another.

Q # 3)

Answer.

Stationarity is a significant idea in time arrangement examination. Stationarity implies that the
measurable properties of a period arrangement (or rather the cycle creating it) don't change over
the long run. Stationarity is significant on the grounds that numerous helpful scientific instruments
and factual tests and models depend on it. A no fuss verifies whether your time arrangement is
non-fixed is to survey rundown measurements. You can part your time arrangement into (at least
two) parcels and look at the mean and change of each gathering. If they contrast and the thing that
matters is genuinely huge, the time arrangement is likely non-fixed.
 Section C: Empirical Questions;

Q # 1)

Answer.

Cointegration test can be performed the arrangement or factors are fixed. Cointegration is applied
to build up a since quite a while ago run relationship between variables. In other words, the
technique permits us to appraise the since quite a while ago run boundaries or balance in
frameworks with unit root variables

Null Hypothesis

Ho= there is no Cointegration between variables

H1= Cointegration exist.

Hypothesized no Eigen value Trace Stats 0.05 CV Probability

None 0.377 39.59 47.85 0.23

At most 1 0.264 20.154 29.79 0.41

At most 2 0.147 7.547 15.49 0.51

At most 3 0.024 1.005 3.84 0.31

In view of the cointegration yield above as uncovered, the choice is finished utilizing follow and
Eigen esteems and the P-values for both are more noteworthy than 0.05 significant level (P>0.05)
and this discloses to us we don't dismiss the invalid speculation and it demonstrate that factors
cointegrate and this suggests a since quite a while ago run connection between the factors.
Q # 2)

Answer.
For this test critical Chi square significance level 0.001

From the given table

Respondent 80 has significance 0.0001

0.0001 < 0.001

Respondent 172 has significance 0.0003

0.0003 < 0.001

These two respondents have less significance then the critical Chi square significance

So, these two respondents have outliers, the first and 5th respondent exhibited outliers and is
advisable to be removed.

Q # 3)

Answer
Multiple regression analysis and Reliability analysis are performed.

B. P=0.000<0.01 significant level for Organization culture, P=0.078<0.10 significant level for Job
stress and P=0.005<0.01 significant level for Intrinsic motivation but the VIF (variance inflation
factor) for Intrinsic motivation is greater than 10 which indicate a severe multicollinearity and
hence there is need to drop intrinsic motivation variables so as to correct the multicollinearity so
as to avoid misleading results. However, organization culture is statistically significant at 1%
significant level while job stress is statistically significant at 10% significant level and therefore
have significant impact on employee’s performance.

Meanwhile, the reliability test outcome as we can see in table 2 tells us that attitude and
consumption shows that reliability value is more than 0.7 while behavior =0.52<0.7 which means
that behavior is not well constructed and not well representing. The overall reliability =0.98 shows
a high level of internal consistency which means that the research instrument is good and reliable.
Q # 4)

Answer

The validity of a variable is signified by the amount of accuracy by which the variable can be
measured. The validity of the variable can be reinforced by providing higher number of
observations for a given a set of variables to substantiate the data obtained from the research.

It is important to ensure construct validity of a variable because the validity of the variable needs
many recorded parameters to be measured in order to confirm the variables significance. If the
variable data is not backed by enough number of values, the variable can be discarded to be true
to the observations recorded during the study.

As per the table given in the question, the variables do not ensure the validity because each of the
variables like Self-efficacy, Intrinsic motivation, extrinsic motivation and employee satisfaction
were expected to be reinforced 5 components for a sample space. In order to validate the variable,
a lot of data elements are missing from the components and hence this reduces the validity of the
variable.