Chapter 4

Theoretical Framework & Hypothesis

Development
 Theoretical Framework
Theoretical framework is the research model and assumptions
that underline the present research which is based on certain
theories, ideas, or models that has been established and
captured from existing literature or past studies that are
related to the current research.

Represents your beliefs on how certain phenomena (or

variables or concepts) are related to each other (a model) and
an explanation of why you believe that these variables are
associated with each other (a theory).

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 Theoretical Framework
The FIVE basic features in Theoretical Framework:
Relevant variables (independent, dependent, moderating,
intervening/mediating) should be identified and labeled.
Should state how two or more variables are related to one
another.
State the relationships among the variables: formulate
hypotheses.
Should be a clear explanation/assumptions of why we should
expect these relationships to exist.
A schematic diagram of the theoretical framework should be
presented.

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 Theoretical Framework
How to Develop the Theoretical Framework?
1. Have clear a objective of the research.
2. Review the literature.
3. Review the past studies that are similar or related to your present
study.
4. Identify (develop) the best model that suits your research.
5. Ask yourself whether it needs to be modified or can it fit nicely to
your research.
6. Identify the research variables (independent, dependent,
moderating, intervening/mediating).
7. Identify the theories involved.
8. Draw the framework
9. Write and explain the framework

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 Example of Theoretical Framework
IV IVV DV

Reward Job
Motivation
Performance

Trust
MV

https://www.youtube.com/watch?v=dPr8F6rbfdw
https://www.youtube.com/watch?v=XrsKVsGtQlY
 Variables
 Any concept or construct that varies or changes in value

 Main types of variables:

 Dependent / response variable
 Independent / predictor /explanatory variable
 Moderating / contingent variable
 Mediating / intervening variable
 (In)dependent variables
Dependent variable (DV)
Is of primary interest to the researcher. The goal of the
research project is to understand, predict or explain the
variability of this variable.

Independent variable (IV)

Influences the DV in either positive or negative way. The
variance in the DV is accounted for by the IV.
 Example

Reward Motivation

IV DV
 Moderator
Moderating variable (MV)
Moderator is qualitative (e.g., gender, race, class) or
quantitative (e.g., level of reward) variable that affects the
direction and/or strength of relation between independent
and dependent variable.

Has a strong contingent effect on the IV–DV relationship.

That is, the presence of a third variable (the MV) modifies
the original relationship between the IV and DV.
 Example

Reward Motivation

IV DV

Trust

MV
 Mediating/Intervening Variable
 Mediating / Intervening variable (IVV)
 surfaces between the time the IV start operating to
influence the DV and the time their impact is felt on it.
 Example
Time: t1 t2 t3

Job
Reward Motivation
Performance
IV IVV DV
 Research Hypothesis
 https://www.youtube.com/watch?v=bp2fbzWZDmA

 A proposition that is empirically testable. It is an empirical

statement concerned with the relationship among variables.

 Good hypothesis:
 Must be adequate for its purpose
 Must be testable
 Must be based on theory(s)

 2 types:
 Null (H ) – There is no relationship/effect ...
0
 Alternative (H ) – There is a relationship/effect ...
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 Research Hypothesis
 Format can be:
1. If–then statements
2. Directional
3. Non-directional

 Examples:
1. If the reward is given, then the workers will be motivated.
2. The higher the reward, the higher the workers’
motivation.
3. There is a significant relationship between reward and
motivation . @ Motivation relates with reward.
 Example
Hypotheses for the following framework:

Self-efficacy Job
Satisfaction
Optimism

H0: There is no relationship between self-efficacy and job satisfaction

H1: There is a relationship between self-efficacy and job satisfaction

H0: Optimism is not related to job satisfaction

H2: Optimism is related to job satisfaction
 Example

Job Feedback

Employee
Satisfaction Job
Performance
Motivation

Personality

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 Example
Research Hypotheses

H1: Job feedback is related to job satisfaction.

H2: The higher the employee satisfaction, the higher the job
performance.

H3: There is positive relationship between motivation and job

satisfaction.

H4: Personality has a significant relationship with job satisfaction.

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 Example
Hypotheses for the following framework:

Motivation Employee
Engagement

Gender

H0: Gender will not moderates the relationship between motivation

and employee engagement
H1: Gender moderates the relationship between motivation and
employee engagement
 Example
Hypotheses for the following framework:

Service Customer Customer

Quality Satisfaction Loyalty

H0: CS will not mediates the relationship between SQ and CL

H1: CS mediates the relationship between SQ and CL
 Testing of Hypothesis
 In order to test a hypothesis, the researcher determines the sample,
measuring instruments, design and procedures that will her or him to collect
the necessary data. Data collected are then analyzed in a manner to
determine the validity of the hypothesis.

 Analysis of the data does not result in a hypothesis being proven or not
proven, but only supported or not supported. The steps to be followed in
hypothesis testing are:

1. State the null and alternate hypotheses.

2. Choose the appropriate statistical test depending on whether the collected
data are parametric (interval or ratio scale) or nonparametric (nominal or
ordinal).
3. Determine the level of significance desired (p=0.05, or more).
4. See if the output results from the analysis indicate the significance level is
met.