CHAPTER 3

RESEARCH METHODOLOGY

3.1 Introduction:

Generally, “the research is considered as an endeavor to arrive at answers to

intellectual and practical through the application of scientific methods to the
knowable universe. It is the movement from the known to the unknown”. Research is
defined by different authors. Some of the definitions given by well-known authors are
as follows:

The Webster’s International Dictionary gives a incredibly comprehensive

definition of research as “a careful critical inquiry or examination in seeking facts or
principles; diligent investigation in order to ascertain something”.

According to Clifford Woddy (Kothari, 1998), research comprises “defining

and redefining problems, formulating hypothesis or suggested solutions, collecting,
organizing and evaluating data, making deductions and reaching conclusions, and at
last carefully testing the conclusions to determine whether they fit the formulating
hypothesis.”

According to Robert Ross, “research is essentially an investigation, a

recording and an analysis of evidence for the purpose of gaining knowledge.”

According to John W. Best, “Research may be defined as the systematic and

objective analysis and recording of controlled observations that may lead to the
developments of generalizations, principles, or theories, resulting in prediction and
possibly ultimate control of events”.

“Research is a systematic, controlled empirical and critical investigation of

hypothesis propositions about the presumed relations among natural phenomena”. The
term “systematic, controlled, empirical and critical” describe the characteristic of
scientific method. Whether research needs to be an “investigation of hypothetical
propositions about presumed relations” is debatable.
 According to Redman and Mory (1923), research is a “systematized efforts
to gain new knowledge”. Research does not always call for a hypothesis. It may also
be carried out for the discovery of hypothesis. It may also be designed together with
descriptive information on a phenomenon.

Thus we can define Research Methodology as “the study of methods by which

we gain knowledge. It deals with the cognitive processes imposed on research by the
problems arising from the nature of its subject matter”. The motive of the social
investigator is to uncover truth or facts. It comprises the measures used to generate,
collect and evaluate data. It is an effort to inquire accuracy and also involves conflict
with obstacles, thereby preparing the researcher to take up techniques to counteract
the effects of such hurdles. There are several “tools” utilized by social scientists to
discover genuineness, find the rationalization for the happening of a experience and to
make possible the perceptive of problems and situations which would help scientists
to predict the re-occurrence of a related phenomenon in the future under parallel
conditions. It is a portrayal, description and validation of various methods of
conducting research and is therefore essential for researcher to know not only
methods but also methodology.

This chapter covers the broader perspective of research Methodology

incorporating Research objectives, Research Design, Methods of Data collection,
Sampling Techniques, Sample Size and Statistical Tools used for Data Analysis.

3.2 Objectives of the Study:

The research is undertaken to fulfill the following objectives:-

1. To identify the characteristics of the customers in the rural markets.

2. To explore the present buying behaviour and adaptation capabilities

determining the potential of rural customers for marketers.

3. To explore consumer awareness for HUL and ITC products in selected rural
areas of western U.P

4. To identify the effect of various factors affecting the rural consumer buying
behaviour, towards HUL and ITC products in rural areas of western U.P.
 5. To explore the satisfaction level of the customers associated with HUL and
ITC products in rural areas of western U.P.

6. To identify the impact of promotion and distribution strategies for fast

moving consumer goods of HUL and ITC in rural areas of western U.P.

3.3 Hypotheses of the Study:

Based on the objective of the study following null hypothesis were formulated:

H01: There is no association between income and buying decision.

H02: There is no association between education and buying decision.

H03: There is no association between gender and buying decision.

H04: Income and shopping area where the rural customers purchase the

product are independent.

H05: There is no association between age and source of general information.

H06: There is no association between education and source of general

information.

H07: There is no significant difference in the impact of different marketing

mix components on the buying behaviour of the customers.

3.4 Research Design:

“A research design is a framework or blue print for conducting the research

project. It details the procedures necessary for obtaining the information required to
structure and/or solve research problems. The research design lays the foundation for
conducting the project. The research design is the arrangement of conditions for
collection and analysis of data in a manner that aims to combine relevance to the
research with economy in procedure”.

In accordance with the need of the study, it is a blend of exploratory cum

descriptive research design. The study is based on empirical data thus the research
design is exploratory in nature which are also termed as formulative research studies.
The study is descriptive in the nature due to fact finding with the help of literature
survey and the analysis of demographic profile of the respondents in the particular
area considered for this study. The present study is descriptive also due to the
information gathered to explain the current rural marketing incident, distribution
channels, level of awareness, various factors affecting the buying behaviour of the
customers, motivating factors for switch over and the various promotional activities
being offered by the different manufacturer and marketer of the products at national,
regional and state level in the country. The study is said to be analytical due to the
application of statistical tools used for data analysis. Data has been analysed with the
use of reliability of the study, frequency analysis, cross tabulation, chi square test,
factor analysis and the testing of hypothesis to arrive on conclusions.

3.5 Sampling Design:

“Sampling is cheaper than a census survey. It is more economical to cover a

sample of household than all household in a territory. A sample survey collects more
detailed information than would otherwise be possible in a census survey. Also
information of a more specialized type can be collected through it as the scale of
operation is small”. With regard to the present study following points needs to be
discussed to develop a sampling design:

3.5.1 Population

It is the aggregate of all the elements defined prior to the selection of the
sample. The present study is conducted in western U.P comprising of six divisions
namely:

1. Meerut division
2. Saharanpur division
3. Moradabad division
4. Bareilly division
5. Agra division
6. Aligarh division
Out of which the researcher has randomly selected Moradabad Division,
whose population is finite number of households. The survey specified the relevant
population as under:
 Element: Household

Sample Unit: District, Block, Ward, Household

Extent: Moradabad Division

Time: Since 2010 till the penultimate year of the research

3.5.2 Sampling Frame

“It is the list from which the sample is drawn. In marketing research most of
the frames are from census report, electoral registers, list of members of trade and
industry association, list of members of professional bodies, list of dwelling unit
maintained by local bodies, returns from an earlier survey or a large scale map”.
These lists contain the name of all the items of the universe and each stage of
sampling process requires its own sampling frame.

The present study makes use of list of dwelling units/ households provided by
Nagar Maha Palika or Nagar Nigam of the respective districts. The study undergoes
three stages in sampling process. In the first stage all the five districts of Moradabad
division were selected. The second stage was probability sampling and third stage was
followed by non-probability sampling to make the defined sample size, hence two
sampling frames in each district were considered namely list of ward and list of
household in each selected ward.

3.5.3 Element

An element is the unit about which information is collected. One must be able to
identify it physically. The element chosen in the present study werehousehold as the
consumer resides there.

3.5.4 Sample Unit

It is hat element or elements considered available for selection in some stage of the
sampling process. It can be either geographical unit (State, district, Tehsil, Household,
etc.) or a construction unit (enclave, household, etc.) or a social unit (household,
family, club, resort, etc.) or it may be an individual. For the present study the
sampling unit comprised Districts, Wards, and Households.
3.5.5 Sample Size

It means elements of the target population to be chosen based on the parameters of

interest in the study and optimum sample size of 1000 household were selected
covering 200 household from each selected districts which were five in number. It
was done in two consecutive stages so that requirement of representativeness,
reliability and flexibility are satisfied.

3.5.6 Sampling Method

It indicates how sample units are selected. In the present study multistage sampling
method has been applied and the sample is derived in two consecutive stages. In the
first stage census method covering all five districts in Moradabad division was
adopted, hence the sample was chosen by applying probability sampling at the second
stage and non-probability sampling at the third stage.

Moradabad division is divided into five districts vizAmroha, Sambhal,

Moradabad, Bijnore, Rampur. In the first stage all five districts were considered. In
the second stage 2 blocks from each district and 10 wards from each selected block
were chosen through simple random sampling ( i:e through lottery method). After that
from each selected ward 10 Households were selected based on convenience sampling
to make a total of 200 respondents in respective districts.
 Table 3.1 Detail of Moradabad Division

Division Name of the District Name of Blocks Number of Gram

Panchayats
Amroha 97
Dhanaura 70
Amroha (6 Blocks) Gajraula 67
Gangeshwari 67
Hasanpur 67
Joya 116
Bhagatpurtanda 63
Bilari 77
Chhajlet 78
Moradabad (8 Blocks) Dilari 77
Moradabad Dingpur 94
Division Moradabad 49
Mundapandey 68
Thakurdwara 70
Asmoli 76
Bahjoi 57
Baniakhera 85
Sambhal (8 Blocks) Gunnaur 58
Junawai 59
Panwasa 82
Rajpura 67
Sambhal 83
Afajalganj -
Alhepur 85
Budhanpur 70
Haldaur 87
Jalilpur 94
Bijnore (11 Blocks) Kiratpur 63
Kotwali 114
Mo.Purdewal -
Najibabad 102
Netaur 88
Noorpur 98
Bilaspur 95
Chamraua 71
Milak 118
Rampur (6 Blocks) Saidnagar 68
Shahabad 99
Suar 132
(Source: http://www.up.gov.in)
 Fig 3.1: Details of division selection.
WESTERN UTTAR PRADESH

MEERUT SAHARANPUR MORADABAD BAREILLY AGRA ALIGARH

D1 D2 D3 D4 D5

B B B B B B B
B B B
2 2 2 1 2 1 2
1 1 1

W1 W1 W1 W1 W1 W1 W1 W1 W1 W1

W2 W2 W2 W2 W2 W2 W2 W2 W2 W2

W3 W3 W3 W3 W3 W3 W3 W3 W3 W3

W4 W4 W4 W4 W4 W4 W4 W4 W4 W4

W5 W5 W5 W5 W5 W5 W5 W5 W5 W5

W6 W6 W6 W6 W6 W6 W6 W6 W6 W6

W7 W7 W7 W7 W7 W7 W7 W7 W7 W7

W8 W8 W8 W8 W8 W8 W8 W8 W8 W8

W9 W9 W9 W9 W9 W9 W9 W9 W9 W9

W10 W10 W10 W10 W10 W10 W10 W10 W10 W10
3.6 Locale of the Study:

“ Moradabad division is an administrative geographical unit of Uttar Pradesh

state of India. Moradabad is the administrative headquarters of the division. Currently
the division consists of districts of Moradabad, Bijnore, Rampur, Amroha and
Sambhal. Moradabad district is a part of Moradabad division. As of 2011 it is the
second most populous district of Uttar Pradesh (out of 71), after Allahabad. The
district of Moradabad lies between 28°21´ to 28°16´ north latitude and 78°4´ to 79°
east longitude. According to the 2011 census, the district occupies an area of 3493
km2 and has a population of 4,773,138. The city is known for its export of brass
handicrafts to North America and Europe, and is also thus called "Brass City" or
Peetal Nagri. It has close to four million citizens of various ethnicities and religions.
This gives it a ranking of 26th in India (out of a total of 640). Moradabad has a sex
ratio of 903 females for every 1000 males, and a literacy rate of 58.67%.

Bijnore, or more correctly Bijnore, occupies the north-west corner of the

Moradabad Division (historically, Rohilkhand or Bareilly region), and is a roughly
triangular stretch of country with its apex to the north. According to the 2011 census,
Bijnore district has a population of 3,683,896. This gives it a ranking of 74th in India
(out of a total of 640). Bijnore has a sex ratio of 913 females for every 1000 males,
and a literacy rate of 70.43%. Bijnore district is among the districts of Uttar Pradesh
on verge to become Muslim majority till 2021 census.

According to the 2015 mid census, Rampur district has a population of

8,335,398. This gives it a ranking of 194th in India (out of a total of 640). Rampur has
a sex ratio of 905 females for every 1000 males, and a literacy rate of 75.08%. 60% of
the population of Rampur is Muslim.

According to the 2011 census 'Amroha District' has a population of 1,838,771.

This gives it a ranking of 258th in India (out of a total of 640). Amroha has a sex ratio
of 907 females for every 1,000 males, and a literacy rate of 65.7%. According to
Government of India, the district is one of the Minority Concentrated District in India
on the basis of the 2001 census data on population, socio-economic indicators and
basic amenities indicators. ”
 The district was created by the state government on 23 July 2012 as one of
three new districts in the state. Sambhal is a Muslim dominated area and has a literacy
rate of 57% and sex ratio of 78%.

3.7 Data Collection Method:

Combination of Primary and Secondary methods of data collection has been used to
arrive on a conclusion. Processed data have been collected from the books, journals,
magazine and newspapers and with the help of various online journal and web portal
to conceptualize and make theoretical concepts for this particular study. Based on the
objectives of the study and research design adopted the primary data was collected by
administering a questionnaire personally to the respondents. The questionnaire
prepared was basically structured- disguised type comprising of 25 close ended
questions. However at the preliminary stage there were 40 questions which were
reduced to 25 after conducting a pilot study on 50 respondents. A copy of the
questionnaire is provided in the annexure

3.8 Explanation of the Questionnaire:

The questionnaire consists of total 28 questions, divided into three parts.

Part I: It consist of nine questions reflecting the demographic profile of the

respondents In demographic profile personal information of the respondents have
been taken such as gender, age, educational qualification, occupation, type of family,
total annual income, number of family members, nature of accommodation and main
source of communication.

Part II: This part of the questionnaire comprises 18 questions from Q10 to Q
27 which focuses on the buying behaviour of rural customers. First half of this part of
questionnaire deals with the buying behaviour of the rural customers as well as the
various factors influencing the purchase decisions of the respondents. It also
incorporates information regarding distance of buying place from residential area and
their monthly budget for F.M.C.G. products. The second half of the questionnaire in
this part focuses upon the media habits of the respondents.
 Part III: In this section of likert type questions, there are total 25 questions.
These questions have been divided in to four sections as per 4p’s of marketing,
namely product, price, promotion and place. In each section there are few questions
related to the opinion of rural respondents towards F.M.C.G. products.

3.9 Data Processing and Analysis:

Data processing involves editing, coding and tabulation. After receiving the data
through questionnaire, editing was done wherein each executed questionnaire was
inspected for omission, legibility and consistency in classification. Data was
converted into format (chart) for ease. In this thesis it was done by assigning certain
symbols preferably numerical and alpha numerical to the observations. Simple as well
as cross tables with a total no. of 24 tables were prepared. Each table was analysed
with logic to develop an understanding of data and wherever possible graphical
presentation of the same has been done. The study also makes use of SPSS to test the
null hypothesis.

3.10 Reliability and Validity of the Study:

“The study is valid if its measures actually measure what they claim to and if
there are no logical errors in drawing conclusions from the data” (Garson, 2002).
Various steps have been undertaken guarantee the validity of the study. The questions
have been designed keeping in mind the results of the previous studies and theories.
In addition to this, various experts from academics and marketing were contacted in
order check the content validity of the questionnaire and the components of
questionnaire were tailored as per their advice.

According to Garson (2002), “reliability is a measure if the extent to which

an item, scale or instrument will yield the same score when administered in different
times, location or population, when the two administrations do not differ in relevant
variables”.
 Reliability Statistics
Cronbach’s Alpha Cronbach's Alpha Based on N of
Standardized Items Items

.948 .970 12

Hair et al. (1998) suggests that “the acceptable level of reliability index
should be maintained at a minimum of 0.5 in order to satisfy for the early stages of
research; and over 0.7 is considered to be a good level”

Over all reliability for this study have been intended and originate to be .948 which is
much higher than 0.7 and consequently considered good level for advance
examination of the data.
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