TO DO LIST

CHAPTER-3

1. What is research.
2. Why we need to do it.
3. Why research philosophy,
4. Read about Research philosophy , why we have certain view point how the
world works and what constitute acceptable knowledge.
5. What is research paradigm, ontology, epistemology and axiology?
6. What is objective and subjective debate.
7. What is positivism, interpretivism, pragmaticism.
8. Mono method, mix method, multi method.
9. What is the research strategy, deductive, inductive?
10.Qual and Quant?
11.Theoretical framework.
12.Conceptual framework?
13.Type of measurement scales, Nominal, ordinal, Interval and ratio?
14.Likert scales why? What is equi distance scale?
15.What is population? Hotels? Cities? How you ll get list?
16.Which one you wills elect and why?
17.Sampling types, which one to use and when.
18.Probability/ Non probability?
19.Data collection techniques.
20.Sample size? Population?
21.Sampling frame?
22.Population generalizability?
23.Theoretical generalizability?
24.Sampling unit?
25.Types of each? And justification of using each?
26. What is construct? Variable? Conceptual Definition? Operational
Definition?
27.Uni dimensional and Multi-dimensional?
28.Adopt/ Adept?
29.Questionnaire design?
30.Random error and systematic errors?
31.Social desirability question?
32.Double barrel questions?
33.Open ended/ close ended?
34.Pre-testing/ Pilot testing?
35.Reverse questions?
36.1st order 2nd order?
37.Pre-testing.
38.Content validity?
39.Face validity?
40.Pilot testing?
41.What is reliability?
42.What is validity?
43.What is EFA and CFA? When to use which one?
44.What is moderation?
45.What is mediation”? Types?
46.Why moderator is added?
47.Why mediator is added?
48.Direct effect
49.Indirect effect.
50.VAF?
51.How to test each?
52.Data screening
53.Missing values, why, treatment, impact?
54.Outliers? Why? What do?
55.Data normality? Consequences? How to detect?
56.Linearity?
57.Suspicious response?
58.Common method bias.
59.First generation techniques?
60.Second generation?
61.Univariate and multivariate analysis?
62.SEM
63.Types of SEM, CB-SEM and PLS-SEM
64.Parametric and non parametric.
65.What is prediction?
66.Assumptions of Both?
67.Why we use PLS-SEM or CB-SEM?
68.Software’s used for each type?
69.Advantages of each/Justification?
70.What is measurement model.
71.Alpha/ CR/ Rho?
72.AVE?
73.Factor loadings?
74.Validity?
75.F and L?
76.Cross loadings?
77.HTMT?
78.What is structural Model.
79.What is reflective/ formative?
80.Collinearity? Why, how to detect? Consequences?
81.R square?
82.F square?
83. Q square?
84.q square?
85. Beta/ Confidence interval? P-value? Significance?
86.One tail?
87.Two tail? Directional hypothesis?
88.Algorithm.
89.Bootstrapping?
90.Pls-MGA.
91.PLS Predict.
92.Non -linear relationships.
93.CTA-PLS.
94.Permutation?
95.IMPMP
96.Observed heterogeneity
97.Unobserved heterogeneity
98.Endogeneity
Takaful Industry Outlook  Global Takaful share in Islamic finance industry is : 1.3% / 26.11 Billion USD
 4 Countries have 85.6% share
 Saudia 38%, Iran 34%, Malaysia 6.9% and UAE 6.3%
 In south east Asia Family takaful dominates
 Penetration is very low ( swiss re)
 Penetration rate: Takaful 1.9%, Emerging 3.2%, global 6.3%.
 Penetration Rate: Family 0.3%, Emerging market life 1.7%.
Pakistan  207M population 2nd after Indonesia
 96.4% Muslimas
0-14 years: 30.76% 
15-24 years: 20.94% 
25-54 years: 38.04% 
55-64 years: 5.7%  
65 years and over: 4.56%
 GDP 305 Billion USD
agriculture: 24.4% (2016 est.)
industry: 19.1%  (2016 est.)
services: 56.5%  (2017 est.)
Takaful laws 2005
 Finance and Insurance 2.0%
 Insurance 0.9% Penetration ( Premium/GDP) , India 3.3%
 Takaful 0.03%
 Life: 71%
 Non life : 28%
 National Financial inclusion strategy 2015-20, Strategic plane for Islamic
banking 2014-2018 , SBP Vision 2020, 2016-2020.pakista’s vision 2025
plan.
Research Design  Purpose ( Exploratory, Descriptive, case study, Hypothesis testing)
Hypothesis: explains nature of relationship
 Type of Investigation: ( Clarification, correlation, causal)
Correlation: Association of important variables / Simultaneous
 Study Settings: ( Contrived and non contrived)
 Non contrived: natural environment
 Unit of analysis: Individuals, Dyads, Groups, organizations
Individuals :
 Time Horizon: ( Cross sectional and longitudinal)
Cross sectional: one shot, once,

Non probability Sampling  Convenience and Purposive

Purposive (Judgmental)  Under purposive, Judgmental, snow ball, quota.
 Suitable for theoretical generalizability (Calder et al, 1981).
 No sampling frame for individua’s not having takaful
Sample size  5 times observations ( Hair et al., 2006).
 5/10/15 cases per parameter ( Kline 2011).
 G power ( Effect size 0.05, power 0.80/0.95, 7 predictors)
Items Adapted
Content validity Through literature
Pre-Testing Small group ( Experts)
Face validity Sample of respondents to gauge their reaction to the items.
Pilot-Testing 100 respondents ( Alpha> 0.7, internal consistency established)
Data collection Self-administered / survey explaining objectives of study
Common Method Variance (CMV)
PLS-SEM ( Non-parametric)
Measurement Model
Reliability ( Indication of goodness of
measure (Cavana et al., 2001, stable
and consistent results)
Validity
Convergent : set of indicators measures
the same construct are in agreement
Discriminant: All constructs are
distinct. ( Vertical )
T vales
Hypothesis
Theory
Literature
Bootstrapping
Collinearity
Significance of relationships
R square ( Coefficient of
determination)
F square ( Cohen, 1988)
Q2 predictive relevance
Effect size q2
Mediation
 When data collected from the same respondents for all variables.
 Variance explained by the measurement method rather than constructs
 Harman’s single factor ( Podaskoff et al, 2003)
 Using factor analysis without rotation
 1st factor should explain variance <50%
For prediction , explain the variance in target construct , less restrictions, Two stage
( Anderson and Garbing’s, 1988).
Factor loadings ( Item level) >0.708 indicator reliability , (correlation between
constructs and measured variables)
CR ( construct level) > 0.708 ( Extent to which construct is measured by its items)
Alpha: to extent set of items measure the same underlying construct)
AVE > 0.5 (Convergent)
Discriminant ( F & L, Correlations between latent variables and square root of the
AVE) AVE > correlations
cross loadings,
HTMT
One tale, directional hypothesis , Critical t-values 1.28 < 0.10, 1.645<0.05, 2.33<0.01
H0: no relationship
HA: relationship exists ( Alternative)
Theoretical support, logical explanation, uniqueness of hypo, statement
Will tell which variable comes first
Type of relationship +/ -
Provide normality of data, approximate t -values. Calculate standard errors
Standard deviation: quantifies variations within set of measurements
Standard errors: quantifies variations within means of multiple set of measurements.
Type1: Rejection of True Null
Type 2: Failure to reject a false Null.
Lateral collinearity , ( predictor-criterion collinearity), <5, ( Hair , or <3.3
( Diamantopoulos)
Alpha=0.05 There are < 5% chance that result are due to chance.
Results are not due to chance and are statistically significant.
95% confidence level
Shows Predictive Accuracy
Combined effect of exogenous variables on the endogenous variables.
Range From 0-1
R2 Increase with the addition of predictor variable.
Adjusted R2 is better measure.
Effect size = R2 incl-R2 excl/1-R2incl (0.35, substantial, 0.15 moderate, 0.02 weak)
Effect of each predictor
Using blindfolding procedure which is resampling technique
Value >0 shows exogenous variable have predictive relevance
Contribution of Exogenous construct to endogenous constructs Q2 value.
Preacher’s and Hayes (2004:2008) method of bootstrapping the indirect effect.
Mediator explains why a relationship exists.
Provides better explanation.
Can be introduced when there is consistently strong relationship between Iv and DV.
Baron and Kenny causal step approach is criticize due to low power, Type 1 error.
Just an indirect effect is enough.
Bootstrapping in non parametric approach.
Segmentation Approach: 3 Hypothesis
Transmittal Approach: Only indirect effect.
VAF= Indirect effect/ Direct+ Indirect
Moderation
Conceptual Definition
Operational Definition
Reflective
Literature Review
Conceptual Design
Conceptual Framework
Multi Group Analysis
Importance performance
Research Paradigm
Research philosophy
Ontology: Nature of reality
Epistemology: What constitutes the
knowledge
Ontology
Researcher’s view of the nature of
reality
Epistemology
What constitutes acceptable
knowledge
Axiology Data collection technique
Quantitative research
Moderator is an IV
Effects the strength or direction of the relationship.
Can be categorical and continuous
Can be incorporated when there is weak/inconsistent/ contradictory results between two
variables.
1. Product indicator ( for reflective and categorical)
It has weak statistical power—Type 1 and type 2 error, collinearity
2. Two-stage approach. ( When exogenous or moderator is formative)
3. Orthogonal Approach ( Minimize estimation bias,
Meanings of construct in abstract and theoretical terms.
How to measure the construct
Based on Theoretical Justification
Summed to cover past literature
Proposed relationship among study variables /
Something that is constructed not found
You build structure and coherence
Combination of experiential knowledge and prior theory
Establish measurement invariance ( To establish group difference is not due to
distinctive contents/ meanings)
1. Configural invariance ( Identical indicators, Identical data, identical algorithm
settings).
2. 5% quantile is equal or smaller than C value and P>0.05
3. Step-3 P- value >0.05
Total effect shows importance and average latent variable scores shows performance
Belief system and world view that guides the investigation ( Guba and Lincon)
1. Development of knowledge and nature of that knowledge
2. Contains important assumptions the way you view the world
3. These assumptions will underpin your research strategy and the method you
choose as a part of that strategy.
4. Choice depends upon the questions you pose.
5. Two major ways of thinking about philosophy, ontology and epistemology
The assumptions how the world works?
Objectivism: Social entities exists in reality independent of the social actors
Subjectivism: social phenomena are created from the perception and consequent action
of the social actors ( Social constructivism)
Observable: ( Positivism)
In depth information : ( Interpretivism)
Positivism Interpretivism
External, Objective, Independent of Socially constructed, subjective, may
social actors change, multiple
Only observable phenomenon Focus on details of situation, reality behind
these details, subjective meanings
Highly structured, large sample, Small sample, in-depth investigation,
generally quantitative qualitative
Refers to the systematic empirical investigation of social phenomena via statistical or
 mathematical techniques.

Framework for research design Just like your research requires a conceptual framework, your research design
would also require a framework to add to the rigour and completeness of the
design.