BUSINESS

RESEARCH
METHOD
CONCEPTS
AND
VARIABLES
 Concept
 Things we observe  Observable
realities  physical or abstract
 For purposes of identification of a
reality we try to give a name to it.
 By using name we communicate
with others. Part of language
 Names are constructs.
 These constructs are concepts.
Concepts are mental
images of reality
 Concept is an idea expressed as
symbol or in words.
 Words are also symbols.
 Agreement to represent ideas by
sounds or written words.
 Concepts can be symbols.
An Abstraction of reality

 Table, leadership, productivity, morale

are all labels given to some phenomenon
(reality) 
 Concepts stand for phenomenon not the
phenomenon itself.
 It may be called an abstraction of
empirical reality.
 Concepts are
Abstractions of Reality
Abstract
Level CONCEPTS

Empirical OBSERVATION OF OBJECTS

Level AND EVENTS (REALITY)
Degree of Abstraction
 Moving up the ladder of
abstraction, the basic concept
becomes more abstract, wider in
scope, and less measurable.
A Ladder Of Abstraction
For Concepts

Increasingly more abstract

Vegetation

Fruit

Banana

Reality
 Sources of
Concepts
 We create concepts from personal
experience. Mass, speed, family.
 We borrow from other disciplines.
 We develop a specialized jargon or
terminology for a particular subject.
 Importance to
Research
 Concepts are basic to all thought and
communication.
 Special problems grow out of the need for
concept precision and inventiveness.
 We use concepts in hypothesis formulation.
 Definitions
 Confusions about the meanings of
concepts can destroy the value of a
study.
 Definitions are one way to reduce this
danger.
 Two types of definitions: 1.
Dictionary (theoretical) definition 2.
Operational definition.
Dictionary definition
 Also called as
Conceptual/Theoretical/Nominal
 Concept is defined with a synonym.
Use other constructs to explain a
construct.
 How to define a “customer,” “client,”
“a satisfied worker”?
Operational Definition
 Working definition: stated in terms of
specific testing or measurement criteria.
 Concrete indicators that can be
observed/measured. Specify empirical
indicators.
We use both the
definitions in research

 Observational phenomenon 
Construct  Conceptual def. 
operational definition  data.
VARIABLE
 Variable
 A central idea in research.
 Variable is a concept that varies.
 Anything (concept/term) that can take on differing
or varying values. 2+ values. Could be numerical.
 Variation can be in quantity, intensity, amount, or
type. Examples
 Production units, Absenteeism, Gender, Religion,
Motivation, Grade, Age. Autumn
Types of Variable
Continuous and
Discontinuous Variable
 Can the values be divided into
fractions?
 Discontinuous  Discrete
categories. Categorical.
Classificatory.
 Dependent and
Independent Variable
 DV  Outcome variable  effect
variable (Y). Variation in Y is
influenced by some other factor (s)
 IV  (X) that influences the Y.
 The variance in Y is accounted for by
X.
Explaining X and Y variables

X variable Y variable
 Presumed cause  Presumed effect
 Stimulus  Response
 Predicted from  Predicted to
 Antecedent  Consequence
 Manipulated  Measured outcome
 Predictor  Criterion
 Moderating Variable
 A variable that moderates the strength of
X – Y relationship.
 Strong relationship between the library
facility (X) and performance of students
(Y). Depends on the “interest and
inclination” of students (MV). Modifies the
original relationship.
 Relationship is contingent on another
variable.
 Intervening Variable
 Surfaces between the time X starts
influencing the Y. Time factor. In fact is a
function of X.
 IV  IVV  DV. IVV may be DV for IV in the
first place, then it is IV for DV.
 4-day workweek (IV) will lead to higher
productivity (DV) by increasing job
satisfaction (IVV).
Extraneous
Variables
 Infinite number of EV exist that
may effect XY relationship.
Confounding factors.
 To be identified by the
researcher.
Whether a variable is
X or Y or moderating
or intervening is
determined by the
researcher.
 Relationship of
Variables
 Relationship among variables. Logical.
 A statement concerned with the theoretical
relationship among variables is a
proposition.
 If the relationship refers to an observable
reality, then the proposition may be
testable  call it a hypothesis.
RESEARCH
METHODS