Module 1
Module 1
1
Lecture Outline
Introduction to Research
The scientific approach and alternative approaches
to investigation
Defining and refining the problem
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Chapter 1
Introduction to Research
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Definition of Research
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Definition of Business Research
5
Revise the business model
Steps of business research:
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Activity 1
- Problems in Accounting
- Problems in Finance
- Problems in Management
- Problems in Marketing
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Applied versus Basic Research
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Examples of Basic Research
University professors engage in basic research in an effort to
understand and generate more knowledge about various aspects of
businesses, such as:
- How to improve the effectiveness of information systems.
- How to integrate technology into the overall strategic objectives of an
organization.
- How to increase the productivity of the employees.
- How to increase the effectiveness of small businesses.
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Distinction Between Applied and Basic
Research
Absenteeism
Communication
Motivation
Consumer decision making
Customer satisfaction
Budget allocations
Accounting procedures
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Why managers should know about research
Being knowledgeable about research and research
methods helps professional managers to:
– Identify & effectively solve minor problems in the work setting.
– Know how to discriminate good from bad research.
– Appreciate the multiple influences and effects of factors
impinging on a situation.
– Take calculated risks in decision making.
– Prevent possible vested interests from exercising their influence
in a situation.
– Relate to hired researchers and consultants more effectively.
– Combine experience with scientific knowledge while making
decisions. 16
The Manager–Researcher Relationship
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Internal Researchers
Advantages:
– Better acceptance from staff
– Knowledge about organization
– Would be an integral part of implementation and evaluation of the
research recommendations.
Disadvantages
– Less fresh ideas
– Power politics could prevail
– Possibly not valued as “expert” by staff
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External Researchers
Advantages
– Divergent and convergent thinking
– Experience from several situations in different organizations
– Better technical training, usually
Disadvantages
– Takes time to know and understand the organization
– Rapport and cooperation from staff not easy
– Not available for evaluation and implementation
– Costs
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Chapter 2
Scientific Investigation
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Hallmarks of Scientific Research:
Hallmarks of scientific research:
– Purposiveness
– Rigor
– Testability
– Replicability
– Precision and Confidence (closeness of the findings to “reality”
based on a sample - probability that our estimations are correct)
– Objectivity (drawn conclusion must be based on results)
– Generalizability
– Parsimony (simplicity in explaining the phenomenon/problem)
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Hypothetico-Deductive Research
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Example
A manager may notice that frequent price promotions of a product
have a negative effect on product sales. Based on this observation,
the manager may wonder why price promotions have a negative –
instead of a positive – effect on sales. Interviews with customers
indicate that frequent price promotions have a negative effect on
sales because frequent price promotions negatively affect the
reputation or image of the product.
Based on these interviews, the manager develops a new theory
about why price promotions have a negative effect on sales –
because frequent price promotions have a negative effect on the
reputation of the product! Accordingly, the manager hypothesizes
that frequent price promotions negatively affect the reputation of
the product and hence product sales. The man- ager may verify this
hypothesis by means of deduction. 24
Activity 1
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Alternative approaches to research
Positivism
Constructionism
Critical Realism
Pragmatism
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Positivism
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Constructionism
Criticize the positivists belief that there is an objective truth
Qualitative – interviews
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Critical Realism
Intermediary viewpoint of positivism and constructionism
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The Broad Problem Area
Examples of broad problem areas that a manager could
observe at the workplace:
– Training programs are not as effective as anticipated.
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Preliminary Information Gathering
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Literature Review
A good literature survey:
– Ensures that important variables are not left out of the study.
– Helps the development of the theoretical framework and
hypotheses for testing.
– Ensures that the problem statement is precise and clear.
– Enhances testability and replicability of the findings.
– Reduces the risk of “reinventing the wheel”.
– Confirms that the problem is perceived as relevant and
significant.
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Data sources
Textbooks
Academic and professional journals
Theses
Conference proceedings
Unpublished manuscripts
Reports of government departments and corporations
Newspapers
The Internet
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Searching for Literature
Most libraries have the following electronic resources at
their disposal:
– Electronic journals
– Full-text databases
– Bibliographic databases
– Abstract databases
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The Problem Statement
Examples of Well-Defined Problem Statements
– To what extent do the structure of the organization and type of information
systems installed account for the variance in the perceived effectiveness of
managerial decision making?
– To what extent has the new advertising campaign been successful in creating the
high-quality, customer-centered corporate image that it was intended to
produce?
– How has the new packaging affected the sales of the product?
– What are the effects of downsizing on the long-range growth patterns of
companies?
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Case Study
Class discussion
Q&A
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The Research Proposal
Key elements:
– Purpose of the study
– Specific problem to be investigated.
– Scope of the study
– Relevance of the study
– Research design:
• Sampling design
• Data collection methods
• Data analysis
– Time frame
– Budget
– Selected Bibliography 40
Chapter 4
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Theoretical Framework
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Theoretical Framework
Basic steps:
– Identify and label the variables correctly
– State the relationships among the variables: formulate
hypotheses
– Explain how or why you expect these relationships
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Variable
Any concept or construct that varies or changes in value
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Example – Variable
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(In)dependent Variables
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Example
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Moderators
Moderating variable
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.
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Mediating Variable
Mediating variable
– surfaces between the time the independent variables start
operating to influence the dependent variable and the time their
impact is felt on it.
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Hypothesis
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 better than its rivals
Can be:
– Directional
– Non-directional 50
Activity 3
Give the hypotheses for the following framework:
Service Customer
quality switching
Switching cost
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Activity 4
Give the hypotheses for the following framework:
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Argumentation
The expected relationships/hypotheses are an integration
of:
– Exploratory research
– Common sense and logical reasoning
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Chapter 5
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Research Design
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Purpose of the Study
Exploration
Description
Hypothesis Testing
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Purpose of the Study
Exploratory study:
– is undertaken when not much is known about the situation at hand,
or no information is available on how similar problems or research
issues have been solved in the past.
Example:
– A service provider wants to know why his customers are switching
to other service providers?
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Purpose of the Study
Descriptive study:
– is undertaken in order to ascertain and be able to describe the
characteristics of the variables of interest in a situation.
Example:
– A bank manager wants to have a profile of the individuals who
have loan payments outstanding for 6 months and more. It would
include details of their average age, earnings, nature of occupation,
full-time/part-time employment status, and the like. This might
help him to elicit further information or decide right away on the
types of individuals who should be made ineligible for loans in the
future.
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Purpose of the Study
Hypothesis testing:
– Studies that engage in hypotheses testing usually explain the
nature of certain relationships, or establish the differences among
groups or the independence of two or more factors in a situation.
Example:
– A marketing manager wants to know if the sales of the company
will increase if he doubles the advertising dollars.
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Type of Investigation
Causal Study
– it is necessary to establish a definitive cause-and-effect
relationship.
Correlational study
– identification of the important factors “associated with” the
problem.
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Study Setting
Contrived: artificial setting
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Population to be Studied
Unit of analysis:
– Individuals
– Dyads
– Groups
– Organizations
– Cultures
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Time Horizon
Cross-sectional studies
– Snapshot of constructs at a single point in time
– Use of representative sample
Longitudinal studies
– Constructs measured at multiple points in time
– Use of same sample = a true panel
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