8760 Applications of Business Research-2

COURSE OUTLINES

Unit I

Definition and Applications of Business Research

Unit II

Research Design

Unit III

Sampling

Unit IV Introduction to Hypothesis Testing

1

Q: 1 Please write in the paper:

Do you think what is research?

RESERACH

Re ---------------- Search

Re means (once more, afresh, anew) OR (back; with return to a previous state)

Search means (look thorough or go over thoroughly to look something) OR (examine to find anything concealed)

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SAMSUNG CEO WANTS TO LAUNCH ITS

COMPANY IN PAKISTAN?

4

HE IS IN A PROCESS OF

DECISION MAKING

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CONCEPTS OF RESEARCH

•Consider the following case which is an example of

research:

•A general manager, of a car producing company

which is quite old ,was concerned with the complaints

received from the car users that the car they produce

have some problems with rating sound at the dash

board and the rear passenger seat after few thousand

kilometers of driving.

•

CONCEPT…

He enquired with customers to know their behaviour of driving and to identify the lot where the problem existed

He obtained information from the company workers to identify the various factors influencing the problem.

He then formulated the problem and generated guesses (hypotheses).

He constructed a checklist and obtained requisite information from a representative sample of cars.

He analyzed the collected data, interpreted the results in the light of his hypotheses and reached conclusions.

CONCEPT…

Notice in the example above that the

researcher went through a sequence of steps

which were in order and thus systematic.

Secondly, the researcher did not just jump at the

conclusions, but used a scientific method of

inquiry in reaching at conclusions.

The two important characteristics of research

are: it is systematic and secondly it follows a

scientific method of enquiry.

WHAT IS RESEARCH

Collecting data in an organized and controlled

manner so as to arrive at valid decisions.

Analyzing data appropriate to the problem.

Drawing conclusions and making

generalizations.

Business research involves establishing objectives and

gathering relevant information to obtain the answer to a

business issue. You can conduct business research to answer

a business-related question, such as: What is the target

market of my product? Business research can also be used to

solve a business-related problem, such as determining how to

decrease the amount of excess inventory on hand. Adequate

planning and information-gathering are essential to derive

results for your business.

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HIGH QUALITY RESEARCH!

It is based on the work of others.

It can be replicated (duplicated).

It is generalizable to other settings.

It is based on some logical rationale and tied to

theory.

It is doable!

It generates new questions or is cyclical in

nature.

It is incremental.

THEN WHAT IS BAD RESEARCH?

The opposites of what have been discussed.

Looking for something when it simply is not to

be found.

Plagiarizing other people's work.

Falsifying data to prove a point.

Misrepresenting information and misleading

participants.

WHY DO WE NEED RESEARCH?

To get PhDs, Masters and Bachelors degree

To provide solutions to complex problems

To investigate laws of nature

To make new discoveries

To develop new products

To save costs

To improve our life

Human desires

PURPOSE OF RESEARCH

Market point of view, since research has to be

seen from some angle:-

Gauge the market mood

Forecast the future scenario

Give direction to co’s marketing efforts & saves

from making a mistake

Thus a art of scientific investigation or

systematic efforts to gain new knowledge.

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RESEARCH CHARACTERISTICS

1. Originates with a question or problem.

2. Requires clear articulation of a goal.

3. Follows a specific plan or procedure.

4. Often divides main problem into subproblems.

5. Guided by specific problem, question, or hypothesis.

6. Accepts certain critical assumptions.

7. Requires collection and interpretation of data.

8. Cyclical (helical) in nature.

SCOPE OF BUSINESS RESEARCH

It covers a wide range of phenomenon

For managers: the purpose of research is to

fulfill the need for knowledge of the

organization, the market, the economy, or any

other area of uncertainty

For development and implementation of plans

and strategies

It helps decision makers to shift from intuitive

information gathering to systematic and

objective investigation

Business research encompasses all functional

specialties: financial, economic, marketing,

production

CONSTRUCTS

A construct is an image or idea specifically

invented for a given research or a theory

building purpose

Construct is formed by combining the simpler

concepts

EXAMPLE

A human resource analyst in a software

company that employs technical writers is

analysing task attributes of a job in need of a

redesign

She knows that job description of a technical

writer consist of three components-

presentation quality, language skill, and job

interest

CONSTRUCT COMPOSED OF CONCEPTS IN A JOB

REDESIGN

Vocabulary Syntax

Spelling

Typing

speed

Format

accuracy

Manuscrpit

error

Job Interest

Construct

Lang. Skill

Construct

Presentation quality

Construct

Most

Concrete

Most

Abstract

Level of

Abstractio

n

DEFINITIONS

Nominally

definitions are “dictionary” definitions of

concepts

Operationally

definitions describe how concepts are or will be

measured for research purposes

OPERATIONAL DEFINITION

A very clear and very precise explanation of the

items being measured or the terms that are

used to ensures comprehensible knowledge of

the terminology and the ability to operate a

process, procedure, or service and/or collect

data consistently and reliably.

OPERATIONAL DEFINITIONS

Before we can test our hypotheses we need to establish operational definitions for our variables.

This is the next step after defining concepts in our hypotheses.

Operational definitions are very specific.

There can be disagreement over these operational definitions across researchers. This is permissible as long as the definitions are clear

OPERATIONAL DEFINITION EXAMPLE #1

Hypothesis: "Higher rates of literacy make democracy more likely."

Defining concepts: Literacy: "the completion of enough education to be expected to read." Democracy: "a system of government in which public officials are selected in competitive elections.“

Operational definitions: Literacy: "the % of people in a country that have completed at least 6 years of formal education." Democracy: "a country where the 2nd place finisher for the most powerful political office received at least 25% of the vote."

OPERATIONAL DEFINITION EXAMPLE #2

Hypothesis: "Highly educated people tend to be liberal."

Defining concepts: Highly educated: "at least some college education." Liberal: "believing the government should help those who are less well- off."

Operational definitions: Highly educated: "has completed at least 2 years of education at a college or university." Liberal: "answers 'yes' to the question 'Should the government provide low income housing for poor citizens?'"

APPLICABILITY OF RESEARCH

Research methods are set & developed by R.

methodologists & every profession uses these

methods in varying amounts, thus validity of

findings entirely depends upon the soundness of

the RM adopted.

This applicability is not restricted, usually it is

considered from 4 different perspectives:-

The service providers

The service administrator, manager & planner

The service consumers

The professional 26

SHORTCOMINGS OF BUSINESS RESEARCH

While research is highly useful to guide business decisions,

managers should use it with an awareness of potential

weaknesses. Many errors can arise in the research process. For

example, if a problem is inaccurately stated in a particular

study, the questions researchers ask may not be relevant to the

business’ actual challenges.

In another situation, the variables business researchers are

able to examine may not actually be useful for making

conclusions. It’s important to remember that research is often

only as good as the data available, and that it must sometimes

be used with caution.

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Q:2

Why is it important for

managers to know about

research?

MANAGER AND RESEARCHER.

Solve problems

Decision making tool

Global and domestic competition is more

vigorous

Risk

Organizations are increasingly practicing data

mining and data warehousing

Hire researchers and consultants more

effectively

IMPORTANCE TO RESEARCH

Hypotheses are designed using concept

Measurement concepts are devised to test the

hypothetical statements

Data is gathered by using this measurement

concept

The success of research is on

How clearly conceptualize

And how well others understand the concepts

we use

EXAMPLE

Qs. Give the estimate of your (respondents)

family income.

This question may seem simple but we will get varying and confusing answers unless we restrict and narrow the concept by specifying.

Time period-weekly, monthly, annually

Before or after Income tax

For head of the family only or for all the members.