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BUSINESS RESEARCH METHODS UNIT 1

Business Research Methods Code: 4.2

Unit 1 :Introduction to Research

Research meaning: Research simply means a search for facts — answers to questions and
solutions to problems. It is a purposive investigation. It is an “organized inquiry.”

Research is a systematic search for an answer to the question or a solution to the problem.

It seeks to find explanations to unexplained phenomenon, to clarify the doubtful propositions and
to correct the misconceived facts.

How is this search made?


What are possible methods or approaches?

Curiosity or inquisitiveness is a distinctive feature of human beings. Curiosity to know about


ourselves, our institutions, our environment, our planet, other planets, and the universe is
inherent in us. Innumerable questions go on arising in our mind:
 What are the parameters of sound health of a person?
 How do problems of health arise?
 What are the remedies?
 What is the shape of the earth?
 How do solar and lunar eclipses arise?
 How is rain formed?
 Why are places like Ootacamund, Simla cooler than their nearby places?

 Is there any life in other planets?


 What are stars?
 Why day and night alternate?
 Why the mode of life and activities of human beings vary from place to place?
 Why there is no communal harmony in certain places?

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Notes Compiled by
M.S.Kokila
Senior Assistant Professor,
New Horizon College, Marathalli, Bangalore
BUSINESS RESEARCH METHODS UNIT 1

Whenever such questions arise we seek answers to them. Whenever we encounter problems, we
try to find solutions to them. Seeking answers to questions and finding solutions to problems
have been the basis of human progress

Definition of Research:
Research simply means a search for facts — answers to questions and solutions to problems. It is
a purposive investigation. It is an “organized inquiry.”
It seeks to find explanations to unexplained phenomenon, to clarify the doubtful propositions
and to correct the misconceived facts. How is this search made? What are possible methods or
approaches?

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Notes Compiled by
M.S.Kokila
Senior Assistant Professor,
New Horizon College, Marathalli, Bangalore
BUSINESS RESEARCH METHODS UNIT 1

Characteristics of Research

The above definitions reveal the various characteristics of research:


1. Research is a systematic and critical investigation into a phenomenon.
2. It is not a mere compilation, but a purposive investigation; it aims at describing, interpreting
and explaining a phenomenon.
3. It adopts scientific method
4. It is objective and logical, applying possible tests to validate the measuring tools and the
conclusions reached.
5. It is based upon observable experience or empirical evidence.
6. Research is directed towards finding answers to pertinent questions and solutions to problems.
7. It emphasizes the development of generalization, principles or theories.
8. The purpose of research is not to arrive at an answer, which is personally pleasing to the
researcher, but rather one, which will stand up the test of criticism

Objectives or Purposes of Research

The objectives or purposes of research are varied. They are:


1. Research extends knowledge of human beings, social life and environment. Scientists and
researchers build up the wealth of knowledge through their research findings.
They search answers for various types of questions: What, Where, When, How and Why of
various phenomena, and enlighten us. The bodies of knowledge have been developed by research
in general and pure or fundamental research in particular.
2. Research unravels the mysteries of nature; brings to light hidden information that might
never be discovered fully during the ordinary course of life
3. Research establishes generalizations and general laws and contributes to theory building
in various fields of knowledge.

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Notes Compiled by
M.S.Kokila
Senior Assistant Professor,
New Horizon College, Marathalli, Bangalore
BUSINESS RESEARCH METHODS UNIT 1

Our knowledge of isolated events is connected together to draw generalizations and general
laws.
Ex: Law of gravitation, Law of demand, and principles of organization such as unity of
command and scalar principle, the theory of consumer behaviour and motivation theories are
some examples for such generalizations, laws and theories
3. Research verifies and tests existing facts and theory and these help improving our
knowledge and ability to handle situations and events. It initiates, it formulates, it deflects,
and it clarifies theory.
4. General laws developed through research may enable us to make reliable predictions of
events yet to happen.
5. Research aims to analyse inter-relationships between variables and to derive causal
explanations; and thus enables us to have a better understanding of the world in which we
live.
6. Research also aims at developing new tools, concepts, and theories for a better study of
unknown phenomena. It helps for planning
9. Research aids planning and thus contributes to national development.
10. Applied research aims at finding solutions to problems…. socio-economic problems (e.g.,
social unrest, unemployment, poverty) health problems, human relations problems in
organizations and so on. Thanks to the fruits of research, we have better quality of life, longer
life span and better control over events.

Business Research: Is described as the systematic and objective procedure for producing
information for help in making business decisions. It helps in managerial decisions process for
all aspects of a business.

Scope of business research

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Notes Compiled by
M.S.Kokila
Senior Assistant Professor,
New Horizon College, Marathalli, Bangalore
BUSINESS RESEARCH METHODS UNIT 1

Research approaches

a) Arbitrary method( Unscientific)


b) Scientific method

a) Arbitrary method/ Unscientific method


Arbitrary method of seeking answers to questions is based on imagination, opinion, blind
belief or impressions.
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Notes Compiled by
M.S.Kokila
Senior Assistant Professor,
New Horizon College, Marathalli, Bangalore
BUSINESS RESEARCH METHODS UNIT 1

Ex: It is believed that the shape of the earth was flat


A big snake swallowed the sun or moon causing solar or lunar eclipse
Similarly we form our own impressions about various phenomena and issues.

Demerits
a) The opinions, impressions varies from person to person
b) It is vague and inaccurate.

b)Scientific method:
Scientific method is a systematic rational approaches to seeking facts.
It eliminates the draw backs of the arbitrary method.
It is objective, precise, and arrives at conclusions on the basis of verifiable evidences.
Therefore search for facts should be scientific method rather than arbitrary

Types of Research
1. Fundamental research
2. Applied research
3. Action research
4. Descriptive
5. Qualitative
6. Quantitative
7. Exploratory
8. Longitudinal
9. Cross sectional
10. Field research
11. Laboratory research
12. Causal research
13. Inductive research
14. Deductive research
15. Experimental research
16. Historical research
17. Diagnostic research

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Notes Compiled by
M.S.Kokila
Senior Assistant Professor,
New Horizon College, Marathalli, Bangalore
BUSINESS RESEARCH METHODS UNIT 1

1. Fundamental research/ Pure/ Basic Research


 Fundamental, or basic, research is designed to help researchers better understand
certain phenomena in the world; it looks at how things work.
 This research attempts to broaden your understanding and expand scientific theories
and explanations. It is undertaken for the sake of knowledge without any intention
to apply it in practice
Ex:

Einstein Theory of Relativity, Newton’s Contribution and Galileo contribution

2. Applied research

Applied research is designed to identify solutions to specific problems or find answers to


specific questions. Applied research is to find solution to the real life problem. It is
problem oriented and action oriented. The objective of applied research is to find solution
for an immediate problem.

For instance, applied research may include a study on ways to increase student
involvement in the classroom. This research focuses on a defined problem and is
solution-based.

Action research:

It is a type of evaluation study. It is a concurrent evaluation study of an action program


launched for solving a problem / for improving an existing solution.

Ex

Action program undertaken by the Government for the welfare activities like

a) Land reform programs


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Notes Compiled by
M.S.Kokila
Senior Assistant Professor,
New Horizon College, Marathalli, Bangalore
BUSINESS RESEARCH METHODS UNIT 1

b) Agricultural extension programs


c) Social welfare programs
d) Human Resource Development programs.

Descriptive research
It describes the characteristics of the population or phenomena being studied.
It describes the state of view as it exists. It is a fact finding investigation.
It aimed at casting light on current issues or problems through a process of data collection.
It primarily focus on describing the nature of demographic segment without focusing why the
phenomenon occurs.

Ex: Research conducted to find the consumption of soft drinks among the people with respect to
the socio economic factors like age, gender, education level, income etc…..

Diagnostic research
This study is directed towards discovering
“ What is happening” ?
“Why it is happening” ?
“What can be done”?
It aims at identifying the causes of the problem, and the possible solutions for it

Experimental research
It is designed to assess the effect of particular variable phenomena by keeping the other variables
constant or controlled.
It aims at determining whether and in what manner variables are related to each other.

Historical research
It is a study of past records and other information sources, studies about origin and development
of any institution or movement etc.

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Notes Compiled by
M.S.Kokila
Senior Assistant Professor,
New Horizon College, Marathalli, Bangalore
BUSINESS RESEARCH METHODS UNIT 1

Qualitative research
Qualitative research involves nonnumeric data, such as opinions and literature.
Examples of qualitative data may include:
 Focus groups
 Surveys
 Participant comments
 Observations
 Interviews
Businesses often use qualitative research to determine consumer opinions and
reactions.

For instance, a marketing organization may present a new commercial to a focus group
before airing it publicly to receive feedback( test marketing)
The company collects non numeric data—the opinions of the focus group participants—
to make decisions.

Quantitative research

Quantitative research depends on numerical data, such as statistics and measurements.


For example, a car manufacturer may compare the number of sales of red sedans
compared to white sedans.
The research uses objective data( numeric data)—the sales figures for red and white
sedans—to draw conclusions.

Mixed research
Mixed research includes both qualitative and quantitative data.
Consider the car manufacturer comparing sedan sales. The company could also ask car
buyers to complete a survey after buying a red or white sedan that asks how much the
color impacted their decision and other opinion-based questions.

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Notes Compiled by
M.S.Kokila
Senior Assistant Professor,
New Horizon College, Marathalli, Bangalore
BUSINESS RESEARCH METHODS UNIT 1

Exploratory research
It is a preliminary study of an unfamiliar problem, which the researcher has little or no
knowledge. It is similar to doctor’s investigation to a patient suffering from an
unfamiliar malady for getting more clues and identifying it.
The objective of Exploratory research is:
 To generate new ideas
 To gather more information for clarifying objects
 To determine whether the study is feasible or not.

For instance, If the owner of ice cream parlor , wants to introduce new flavor of ice
cream in order to increase his sales. Hence he will conduct an exploratory research to find
out whether expanding range of flavors or any other factors will improve his sales.

Longitudinal research

Longitudinal research focuses on how certain measurements change over time without
manipulating any variables.

For instance, a researcher may examine if and how employee satisfaction changes in the
same employees after one year, three years and five years with the same company.

These are the studies in which an event or occurrence is measured Notes again and again
over a period of time. This is also known as 'Time Series Study'. Through longitudinal
study, the researcher comes to know how the market changes over time.

Cross-sectional research

Cross-sectional research studies a group or subgroup at one point in time.

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Notes Compiled by
M.S.Kokila
Senior Assistant Professor,
New Horizon College, Marathalli, Bangalore
BUSINESS RESEARCH METHODS UNIT 1

Participants are generally chosen based on certain shared characteristics, such as age,
gender or income, and researchers examine the similarities and differences within groups
and between groups.

For example, a company may research the sales techniques of its top 10% of salespeople
and compare them to the techniques used by its bottom 10% of salespeople. This can help
provide the company insights into the most successful and least successful sales methods.

Field research

Field research takes place wherever the participants or subjects are, or "on
location." This type of research requires onsite observation and data collection.

For instance, a manufacturing plant may hire an environmental engineering firm


to test the air quality at the plant to ensure it complies with all health and safety
requirements. The researchers would travel to the plant to collect samples.

Laboratory research

Laboratory research takes place in a controlled laboratory setting rather than in


the field. Often, the study demands strict adherence to certain conditions, such as
elimination of variables or timing conditions. Laboratory research includes chemical
experimentation and pharmacological research.

Causal research

Causal research, also called explanatory research, seeks to determine cause and effect
relationships between variables. This research is designed to identify how much one
variable may cause a change in the other. Causal research is important for evaluating
current processes and procedures and determining if and how changes should take place.

Inductive research

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Notes Compiled by
M.S.Kokila
Senior Assistant Professor,
New Horizon College, Marathalli, Bangalore
BUSINESS RESEARCH METHODS UNIT 1

Inductive research, also known as theory-building research, is designed to


collect data that may help develop a new theory about a process or phenomenon.

This type of research examines observations and patterns and offers several hypotheses to
explain these patterns. Inductive research moves from the specific to the general.

Deductive research

Deductive, or theory-testing, research is the opposite of inductive research and moves


from the broad to the specific. Researchers choose a hypothesis and test its accuracy
through experimentation or observation.

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Notes Compiled by
M.S.Kokila
Senior Assistant Professor,
New Horizon College, Marathalli, Bangalore
BUSINESS RESEARCH METHODS UNIT 1

Research Process

1. Identify the research problem

The first and foremost task in the entire process of scientific research is to identify a
research problem.

research problem is of primary concern to a researcher.

A research problem is a perceived difficulty, a feeling of discomfort, or a discrepancy


between a common belief and reality.

Examples of Research problem

Absenteeism
Labor turnover( attrition)
Job satisfaction etc……
But the core question is: whether all problems require research.

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Notes Compiled by
M.S.Kokila
Senior Assistant Professor,
New Horizon College, Marathalli, Bangalore
BUSINESS RESEARCH METHODS UNIT 1

A well-defined statement of the problem will lead the researcher to:


 Formulate the research objectives
 Understand the background of the study, and
choose a proper research methodology

Step 2 : Reviewing the literature


A literature review is a comprehensive summary of previous research on a topic.
A review of previous documents on similar or related phenomena is essential even for
the beginning researchers. A review of relevant literature is an integral part of the
research process. It enables the researcher to formulate his problem in terms of the
specific aspects of the general area of his interest that has not been so far researched.

Benefits of Review of literature


 It avoids duplication of the work that has been done in the recent past.
 It helps the researcher discover what others have learned and reported on the
problem.
 It enables the researcher to become familiar with the methodology followed by others.
 It allows the researcher to understand what concepts and theories are relevant to his
area of investigation.
 It allows the researcher to understand if there are any unanswered research
questions.
 It might help the researcher to develop an analytical framework.
 It will help the researcher consider the inclusion of variables in his research that he
might not have thought about.

Step 3: Step #3: Setting Research Questions, Objectives, and Hypotheses


After discovering and defining the research problem, researchers should make a formal
statement of the problem leading to research objectives.

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Notes Compiled by
M.S.Kokila
Senior Assistant Professor,
New Horizon College, Marathalli, Bangalore
BUSINESS RESEARCH METHODS UNIT 1

 A research objective will precisely say what should be researched,


 Delineate( Outline) the type of information that should be collected,
 and provide a framework for the scope of the study..

Research questions:
A research question is a question that a researcher wants to answer.
RQ 1: Why employees absent themselves frequently ?
RQ2: Why employees take off on Mondays, or week end?

Research Objectives:
It is a concrete statement describing what the researcher is trying to achieve.
In short research objective is the description of what is to be achieved by the study.
research objective should be SMART
S : Specific
M : Measurable
A :Attainable
R : Realistic
T : Time bound.

Ex: of Research Objectives


1. To study the demographic factors of the employees in the organisation.
2. To study the Reason for the absenteeism of employees.
3. Evaluate employee’s awareness regarding impact of absenteeism on productivity.
4. To suggest suitable remedies to reduce employee absenteeism.

Research hypothesis:
A research hypothesis is a conjectural statement, a logical supposition, a reasonable guess, and
an educated prediction about the nature of the relationship between two or more variables that
we expect to happen in our study.

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Notes Compiled by
M.S.Kokila
Senior Assistant Professor,
New Horizon College, Marathalli, Bangalore
BUSINESS RESEARCH METHODS UNIT 1

A hypothesis is an unproven statement or proposition / assumption of the study, that can be


tested using a statistical techniques or supported by empirical data

Examples of hypothesis
Hypothesis is denoted by H 0
H01 : There is no significant relationship between Gender and employee absenteeism
H02: There is no significant relationship between Job satisfaction and employee absenteeism

Step 4: Choosing the research design


The research design is the blueprint or framework for fulfilling objectives and answering
research questions. It is a master plan specifying the methods and procedures for collecting,
processing, and analyzing the collected data.

There are four basic research designs that a researcher can use to conduct their study;
 Descriptive research design
 Exploratory research design
 Causal research design
The type of research design to be chosen from among the above 3 methods depends primarily
on four factors:
 The type of problem
 The objectives of the study,
 The existing state of knowledge about the problem that is being studied, and
 The resources are available for the study.

Step 5: Deciding the sample design


Sampling is an important and separate step in the research process
Sample design refers to the methods followed in selecting a sample from the population
sampling refers to the selection of a smaller group of participants from the population of interest

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Notes Compiled by
M.S.Kokila
Senior Assistant Professor,
New Horizon College, Marathalli, Bangalore
BUSINESS RESEARCH METHODS UNIT 1

 Such a complete enumeration is referred to as a census. A census method is that process


of the statistical list where all members of a population are analysed
Ex: If a school wants to find the satisfaction of amenities provided in the canteen. Then all
the students in the school will be taken for the study.

A research population is also known as a well-defined collection of individuals or objects


known to have similar characteristics. All individuals or objects within a certain population
usually have a common, binding characteristic or trait.

A sample is a part of the population, carefully selected to represent that population.


If certain statistical procedures are followed in selecting the sample, it should have the same
characteristics as the population. These procedures are embedded in the sample design.

Step 6: Collecting Research data


Research data is any information that has been collected, observed, generated or created to
validate original research findings. There are many ways to collect data. The approach selected
depends on the objectives of the study, the research design, and the availability of time, money,
and personnel

2 types of data collection


a) Primary data: Data collected by the researcher for the first time or first hand information
through survey, observation, interview schedule etc.
b) Secondary data: the data used by the researcher which was already collected by
someone else , which data in Books, Journals, magazines, newspaper etc.

Data refers to collections of facts and individual pieces of information. Data analysis is the act of
turning raw, messy data into useful insights by cleaning the data up, transforming it,
manipulating it, and inspecting it.

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Notes Compiled by
M.S.Kokila
Senior Assistant Professor,
New Horizon College, Marathalli, Bangalore
BUSINESS RESEARCH METHODS UNIT 1

Data analysis usually involves :

 Reducing accumulated data to a manageable size,


 Developing summaries,
 Searching for patterns,
 Applying statistical techniques for understanding and
 Interpreting the findings in light of the research questions.

Data processing generally begins with the editing and coding of data.
Data are edited to ensure consistency across respondents and to locate omissions if any.

Step #8: Writing Research Report – Developing Research Proposal, Writing Report,
Disseminating and Utilizing Results

 The entire task of a research study is accumulated in a document called a proposal or


research proposal/ research report.
 The end goal of a scientific study is to interpret the results and draw conclusions.
 To this end, it is necessary to prepare a report and transmit the findings and
recommendations to administrators, policymakers, and program managers to make a
decision.
Research Design

Research design is simply a plan for a study.


This is used as a guide in collecting and analyzing the data.
It can be called a blue print to carry out the study.
It is like a plan made by an architect to build the house, if a research is conducted without a blue
print, the result is likely to be different from what is expected at the start

The blue print includes


Methods used to collect data
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Notes Compiled by
M.S.Kokila
Senior Assistant Professor,
New Horizon College, Marathalli, Bangalore
BUSINESS RESEARCH METHODS UNIT 1

Tools used to collect the data such as questionnaire


Type of sampling methods used.

Need for Research Design


Before starting the research process, efficient and appropriate research design should be
prepared.
A research design is needed because of the following benefits it provides:
 It helps in smooth functioning of various research operations.
 It requires less effort, time and money.
 It helps to plan in advance the methods and techniques to be used for collecting and
analysing data.
 It helps in obtaining the objectives of the research with the availability of staff, time
and money.

The researcher should consider the following factors before creating a research design:
• The method for obtaining information source
• Skills of the researcher and the co-ordinating staff
• Problem objectives
• Nature of the problem
• Time and money available for the research work

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Notes Compiled by
M.S.Kokila
Senior Assistant Professor,
New Horizon College, Marathalli, Bangalore
BUSINESS RESEARCH METHODS UNIT 1

Types of Research Design

Types of Research Design

Exploratory

Descriptive

causal

1. An exploratory research is conducted when it is necessary to understand the general


nature of the problem, identify possible alternatives to the solution, as well as relevant
variables that need to be taken into account.
Exploratory research is a methodology approach that investigates research questions that have
not previously been studied in depth. It provides the relevant variable that need to be considered.
In this type of research, there is no previous knowledge available to the researcher. research
methods are flexible, qualitative and unstructured. The researcher in this method does not know
"what he will find".

The major emphasis in exploratory research is on converting broad, vague problem


statements into small, precise sub-problem statements, which is done in order to formulate
specific hypothesis

Examples:
Your university dining hall is considering adding vegan versions of its meals to its daily menu,
something it has never offered before. In this scenario, very little information is available to
point out, what is the actual cause of the problem.

We can say that the major purpose of exploratory research is to identify the problem more
specifically. Therefore, exploratory study is used in the initial stages of research.

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Notes Compiled by
M.S.Kokila
Senior Assistant Professor,
New Horizon College, Marathalli, Bangalore
BUSINESS RESEARCH METHODS UNIT 1

Under what circumstances is exploratory study ideal? The following are the circumstances in
which exploratory study would be ideally suited:
1. To gain an insight into the problem
2. To generate new product ideas
3. To list all possibilities. Among the several possibilities, we need to prioritize the
possibilities which seem likely
4. To develop hypothesis occasionally.
5. To establish priorities so that further research can be conducted.

6. Exploratory studies may be used to clarify concepts and help in formulating precise
problems.

Exploratory study is also used to increase the analyst's familiarity with the problem. This is
particularly true, when the analyst is new to the problem area

Example: A market researcher working for (new entrant) a company for the first time .

Example: The management is considering a change in the contract policy, which it hopes, will
result in improved satisfaction for channel members.

An exploratory study can be used to clarify the present state of channel members' satisfaction
and to develop a method by which satisfaction level of channel members is measured .

Characteristics of Exploratory Stage

1. Exploratory research is flexible and very versatile.


2. For data collection structured forms are not used.
3. Experimentation is not a requirement.
4. Cost incurred to conduct study is low.
5. This type of research allows very wide exploration of views.
6. Research is interactive in nature and also it is open ended.

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Notes Compiled by
M.S.Kokila
Senior Assistant Professor,
New Horizon College, Marathalli, Bangalore
BUSINESS RESEARCH METHODS UNIT 1

Techniques used in exploratory research


a) Literature search
b) Experience survey
c) Focus group
d) Case studies

Literature Survey
This refers to "referring to a literature to develop a new hypothesis". The literature referred are –
trade journals, professional journals, market research finding publications, statistical publications
etc.
For example, suppose a problem is "Why are sales down?" This can quickly be analyzed with
the help of published data which should indicate, "whether the problem" is an "industry problem"
or a "firm problem".

Experience Survey:
In experience surveys, it is desirable to talk to persons who are well informed in the area being
investigated. These people may be company executives or persons outside the organisation.
Here, no questionnaire is required. The approach adopted in an experience survey should be
highly unstructured, so that the respondent can give divergent views.

Example:
(a) A group of housewives may be approached for their choice for a "ready to cook product".
(b) A publisher might want to find out the reason for poor circulation of newspaper
introduced recently
He might meet
(i) Newspaper sellers
(ii) Public reading room

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Notes Compiled by
M.S.Kokila
Senior Assistant Professor,
New Horizon College, Marathalli, Bangalore
BUSINESS RESEARCH METHODS UNIT 1

(iii) General public


(iv) Business community, etc.
(v) These are experienced persons whose knowledge researcher can use .

Focus Group: Another widely used technique in exploratory research is the focus group.
In a focus group, a small number of individuals are brought together to study and talk about
some topic of interest. The discussion is co-ordinated by a moderator. The group usually is of 8-
12 persons. While selecting these persons, care has to be taken to see that they should have a
common background and have similar experiences in buying .

During the discussion, future buying attitudes, present buying opinion, etc., are gathered

Case Studies:

Analysing a selected case sometimes gives an insight into the problem which is being
researched. Case histories of companies which have undergone a similar situation may be
available.

These case studies are well suited to carry out exploratory research. However, the result of
investigation of case histories are always considered suggestive, rather than conclusive.

In case of preference to "ready to eat food", many case histories may be available in the form of
previous studies made by competitors. We must carefully examine the already published case
studies with regard to other variables such as price, advertisement, changes in the taste, etc.

2. Descriptive Research Design

The name itself reveals that, it is essentially a research to describe something.

For example, it can describe the characteristics of a group such as – customers, organisations,
markets, etc.

Descriptive research provides "association between two variables" like income and place of
shopping, age and preferences.
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Notes Compiled by
M.S.Kokila
Senior Assistant Professor,
New Horizon College, Marathalli, Bangalore
BUSINESS RESEARCH METHODS UNIT 1

What descriptive research cannot indicate is that it cannot establish a cause and effect
relationship between the characteristics of interest. This is the distinct disadvantage of
descriptive research.

Descriptive study requires a clear specification of "Who, what, when, where, why and how" of
the research.

For example, consider a situation of convenience stores (food world) planning to open a new
outlet. The company wants to determine, "How people come to patronize a new outlet?"

Some of the questions that need to be answered before data collection for this descriptive study
are as follows:

1. Who? Who is regarded as a shopper responsible for the success of the shop, whose
demographic profile is required by the retailer?
2. What? What characteristics of the shopper should be measured?
3. Is it the age of the shopper, sex, income or residential address?
4. When? When shall we measure?
5. Should the measurement be made while the shopper is shopping or at a later time?
6. What is the purpose of measurement? Based on the information, are there any strategies

7. which will help the retailer to boost the sales? Does the retailer want to predict future
sales based on the data obtained?

When to use Descriptive Study?

1. To determine the characteristics of market such as:

a) Size of the market


(b) Buying power of the consumer
(c) Product usage pattern
(d) To find out the market share for the product
(e) To track the performance of a brand.

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Notes Compiled by
M.S.Kokila
Senior Assistant Professor,
New Horizon College, Marathalli, Bangalore
BUSINESS RESEARCH METHODS UNIT 1

2. To determine the association of the two variables such as Ad and sales.


3. To make a prediction. We might be interested in sales forecasting for the next three
years, so that we can plan for training of new sales representatives.
4. To estimate the proportion of people in a specific population, who behave in a
particular way?

Example: What percentage of population in a particular geographical location would be


shopping in a particular shop?
Hypothesis study at the descriptive research stage (to demonstrate the characteristics of
the group)

Type of Descriptive studies

Types of Descriptive Studies

Types of
Descriptive
studies

Cross-sectional
Longitudinal study
study

Longitudinal Study:
These are the studies in which an event or occurrence is measured again and again over a period
of time. This is also known as 'Time Series Study'.
Through longitudinal study, the researcher comes to know how the market changes over time.

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Notes Compiled by
M.S.Kokila
Senior Assistant Professor,
New Horizon College, Marathalli, Bangalore
BUSINESS RESEARCH METHODS UNIT 1

Longitudinal survey research involves conducting survey research over a continuum of time and
spread across years and decades. The data collected using this survey research method from one
time period to another is qualitative or quantitative. Respondent behavior, preferences, attitudes
are continuously observed over time to analyze reasons for a change in behavior or preferences.
For example, suppose a researcher intends to learn about the eating habits of teenagers. In that
case, he/she will follow a sample of teenagers over a considerable period to ensure that the
collected information is reliable. Often, cross-sectional survey research follows a longitudinal
study.

Longitudinal studies involve panels. Panel once constituted will have certain elements. These
elements may be individuals, stores, dealers, etc.

The panel or sample remains constant throughout the period. There may be some dropouts and
additions. The sample members in the panel are being measured repeatedly. The periodicity of
the study may be monthly or quarterly etc .

Types of Panel
There are two types of panels:
• (a) True panel (b) Omnibus panel.
(a) True panel: This involves repeat measurement of the same variables.
Example: Perception towards frozen peas or iced tea. Each member of the panel is examined at
a different time, to arrive at a conclusion on the above subject.

(b) Omnibus panel: In omnibus panel too, a sample of elements is being selected and
maintained, but the information collected from the member varies.
At a certain point of time, the attitude of panel members "towards an advertisement" may be
measured. At some other point of time the same panel member may be questioned about the
"product performance".

26
Notes Compiled by
M.S.Kokila
Senior Assistant Professor,
New Horizon College, Marathalli, Bangalore
BUSINESS RESEARCH METHODS UNIT 1

Cross-sectional Study:
A cross-sectional study is a type of research design in which you collect data from many
different individuals at a single point in time. In cross-sectional research, you
observe variables without influencing them.

Cross-sectional survey research: Researchers conduct a cross-sectional survey to collect


insights from a target audience at a particular time interval. This survey research method is
implemented in various sectors such as retail, education, healthcare, SME businesses, etc. Cross-
sectional survey research can either be descriptive or analytical. It is quick and helps researchers
collected information in a brief period. Researchers rely on cross-sectional survey research
method in situations where descriptive analysis of a subject is required.

Cross-sectional study is one of the most important types of descriptive research, it can be done in
4 ways:
i) Field study
ii) Field survey
iii) Survey
iv) Observational studies.

Ways of conducting cross sectional


studies
Field study

Observation Cross Field


sectional
al studies studies survey

Survey

27
Notes Compiled by
M.S.Kokila
Senior Assistant Professor,
New Horizon College, Marathalli, Bangalore
BUSINESS RESEARCH METHODS UNIT 1

(a) Field study: This includes a depth study. Field study involves an in-depth study of a problem,
such as reaction of young men and women towards a product

Example: Reaction of Indian men towards branded ready-to-wear suit.


Field study is carried out in real world environment settings.
Test marketing is an example of field study.

(b) Field survey:


Large samples are a feature of the study. The biggest limitations of this survey are cost
and time. Also, if the respondent is cautious, then he might answer the questions in a different
manner. Finally, field survey requires good knowledge like constructing a questionnaire,
sampling techniques used, etc.
Example:
Suppose the management believes that geographical factor is an important attribute in
determining the consumption of a product, like sales of a woolen wear in a particular location.
Suppose that the proposition to be examined is that, the urban population is more likely to use
the product than the semi-urban population.
(i) Urban population which uses the product - Category I
(ii) (ii) Semi-urban population which uses the product - Category II
(iii) (iii) Urban population which does not use the product - Category III
(iv) (iv) Semi-urban population which does not use the product - Category IV.

c) Survey
The survey is a research technique in which data are gathered by asking questions of
respondents.
Survey research is one of the most important areas of measurement in applied social research.
The broad area of survey research encompasses any measurement procedures that involve asking
questions of respondents.

28
Notes Compiled by
M.S.Kokila
Senior Assistant Professor,
New Horizon College, Marathalli, Bangalore
BUSINESS RESEARCH METHODS UNIT 1

A "survey" can be anything form a short paper-and-pencil feedback form to an intensive one-on-
one in-depth interview.

Types of Surveys Surveys can be divided into two broad categories: the questionnaire and the
interview.
Questionnaires are usually paper-and-pencil instruments that the respondent completes.
Interviews are completed by the interviewer based on the respondent says.

d) Observation Studies
Observation, as the name implies, is a way of collecting data through observing. This data
collection method is classified as a participatory study, because the researcher has to immerse
herself in the setting where her respondents are, while taking notes and/or recording. Observation
data collection method may involve watching, listening, reading, touching, and recording
behavior and characteristics of phenomena.

Observation as a data collection method can be structured or unstructured. In structured or


systematic observation, data collection is conducted using specific variables and according to a
pre-defined schedule. Unstructured observation, on the other hand, is conducted in an open and
free manner in a sense that there would be no pre-determined variables or objectives.

III. Causal research design:


Causal research design can be defined as a research method that is used to determine the
cause and effect relationship between two variables. This research is used mainly to
identify the cause of the given behavior. Using causal research, we decide what variations
take place in an independent variable with the change in the dependent variable.

The meaning of causal research is to determine the relationship between a cause and
effect. It is also known as explanatory research. A variation in an independent variable is
observed, which is assumed to be causing changes in the dependent variable. The
29
Notes Compiled by
M.S.Kokila
Senior Assistant Professor,
New Horizon College, Marathalli, Bangalore
BUSINESS RESEARCH METHODS UNIT 1

changes in the independent variable are measured due to the variation taking place in the
dependent variable.

For example, when a company wants to study the behavior of their consumers towards
the changing price of their goods, they use causal research.

Advantages of causal researches

1. Causal research helps identify the causes behind processes taking place in the system. Having
this knowledge helps the researcher to take necessary actions to fix the problems or to
optimize the outcomes.
2. Causal research provides the benefits of replication if there is a need for it.
3. Causal research helps identify the impacts of changing the processes and existing methods.
4. In causal research, the subjects are selected systematically. Because of this, causal research is
helpful for higher levels of internal validity.

Disadvantages of causal research

1. The causal research is difficult to administer because sometimes it is not possible to control
the effects of all extraneous variables.
2. Causal research is one of the most expensive research to conduct. The management requires a
great deal of money and time to conduct research.
3. One disadvantage of causal research is that it provides information about your plans to your
competitors. For example, they might use the outcomes of your research to identify what you
are up to and enter the market before you.
4. The findings of causal research are always inaccurate because there will always be a few
previous causes or hidden causes that will be affecting the outcome of your research. The
results of your research can be contaminated as there will always be a few people outside your
market that might affect the results of your study.

30
Notes Compiled by
M.S.Kokila
Senior Assistant Professor,
New Horizon College, Marathalli, Bangalore
BUSINESS RESEARCH METHODS UNIT 1

5. Another disadvantage of using causal research is that it takes a long time to conduct this
research. The accuracy of the causal research is directly proportional to the time you spend on
the research as you are required to spend more time to study the long-term effects of a
marketing program.
6. Coincidence in causal research is the biggest flaw of the research. Sometimes, the coincidence
between a cause and an effect can be assumed as a cause and effect relationship.
7. Sometimes, it is easy for a researcher to identify that two variables are connected, but to
determine which variable is the cause and which variable is the effect is challenging for a
researcher.

Examples of Causal Research

1. To test the market for a new product by collecting data about its sales potential.
2. To check the performance or effectiveness of a new advertising campaign to decide whether
to continue it or not.
3. To measure the improvement in the performance of employees after providing them training
on a new skill.
4. To examine the effects of re-branding initiatives based on the level of loyalty of customers

31
Notes Compiled by
M.S.Kokila
Senior Assistant Professor,
New Horizon College, Marathalli, Bangalore
BUSINESS RESEARCH METHODS UNIT 1

Research methods Vs Research


methodology
Research Method Research Methodology

Research method seeks to answer: what Research methodology seeks to answer:


did the researcher use to complete his how did the researcher complete his
research. study.

Research methods are the techniques and Methodology explains and justifies the
tools by which you research a subject or a techniques and tools by which you may
topic. proceed with your research.

Research methods involve the tasks of Research methodology involves the


conducting experiments, tests, surveys, learning of various techniques to conduct
and the like utilizing the knowledge and research and acquiring knowledge to
skills learned through research perform tests, experiments, surveys, and
methodology. critical analysis.

32
Notes Compiled by
M.S.Kokila
Senior Assistant Professor,
New Horizon College, Marathalli, Bangalore
BUSINESS RESEARCH METHODS UNIT 1

Research methods Research methodology


The research method aims Research methodology
at finding solutions to ensures the employment
research problems. of the correct procedures
to solve the problems.
Research methods are the Research methodology
end of any scientific or paves the way to choose
non-scientific research. appropriate research
methods and thus is the
beginning of any research.

33
Notes Compiled by
M.S.Kokila
Senior Assistant Professor,
New Horizon College, Marathalli, Bangalore
BUSINESS RESEARCH METHODS UNIT 1

34
Notes Compiled by
M.S.Kokila
Senior Assistant Professor,
New Horizon College, Marathalli, Bangalore
BUSINESS RESEARCH METHODS UNIT 1

35
Notes Compiled by
M.S.Kokila
Senior Assistant Professor,
New Horizon College, Marathalli, Bangalore

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