DRS 2013/TRS 3082

Research Methodology/Business Computing

Methodology
Dr. Aye Aye Khin (Ph.D) (Universiti Putra Malaysia)
Senior Lecturer, Economics Unit,
Department of Business Management & Law (DBML)
Faculty of Business Management and Professional Studies (FBMP)

Main Text Book

Sekaran Uma and Bougie Roger (2013), Research
Methods for Business A Skill Building Approach, 5th
Eds John Wiely and Sons Ltd.
Reference Book
Zikmund G. Willims, Babin J. Berry Carr C. Jon, and
Griffin Mitch (2009), Business Research Methods, 8th
eds. South-Western College Pub
Running with SPSS & Excel

Management Science University (MSU)

Email: aakhin@msu.edu.my
Consultation Hour : Monday & Tuesday 4-6 pm

2011 Pearson Addison-Wesley. All rights reserved.

2011 Pearson Addison-Wesley. All rights reserved.

DRS2013/TRS3082
Course Assessment
Assessment Methods

Lecture 1

Type

Percentage

2 Assignments (Week 3-4 & Week 6-8)

Individual

40%

Test 1 (Week 5)

Individual

10%

Mid-term Exam (Week 10)

Individual

20%

Group

10%

Group

20%

Written Exam

30%

1 Project (Presentation) (Week 13)

1 Project (Writing Report) (Week 14)
Final Exam (Week 15-16)

INTRODUCTION &
BASIC CONCEPTS
(Reading: Ch1 Sekaran)

Definition of Research
Search for facts answer to
questions and solutions to
problems. It is a purposive and
organized inquiry.

Definition of Business Research

Business research is defined as
the systematic and objective
process of generating
information for solving a
problem or finding solution to a
complex issue (aid in making
business decisions).

WHAT IS RESEARCH?

WHAT IS RESEARCH?...
There is some agreement that research:

Research means different things to different people, like:

is a process of gathering data

Children at school research their local environment.

is systematic

Housewives research a new receipt/ product promotion,

reviews, questions and synthesizes existing knowledge

Scientists research the effects of genetically modified food.

involves analysis

Management researches employee attitudes and behaviors

possibly increases knowledge

Accountants research budget control systems

is a combination of all of these

Marketers research consumer preference/behaviors

MSU students researchs: hope to extend knowledge in their
subject area.

OUR DEFINITION
Research is a human activity based on intellectual,
investigation and aimed at discovering, interpreting,
revising human knowledge on different aspects of the
world.
The term research describes an entire collection of
information about a particular subject.

Objectives of Business Research

To extend knowledge
To discover new information
To build the theory
To verify and test existing facts and
theory
To analyze inter-relationships
between variables
To find solution to current problems.

TYPES OF RESEARCH

RESEARCH METHODOLOGY
Research methodology provides the tools needed to
produce objective and systematic observations,
called empirical data, and to ensure that inferences
based on these observations are grounded in logic.

Purpose

Process

Outcome

1. Exploratory

1. Quantitative

1. Applied

2. Descriptive

2. Qualitative

2. Basic

3. Analytical

3. Action

4. Predictive

2. DESCRIPTIVE RESEARCH

2. DESCRIPTIVE RESEARCH
Descriptive research describes phenomena as they exist
It is used to identify and obtain information on the characteristics
of a particular issue by demography.
Descriptive research goes further than exploratory research in
examining a problem since it is undertaken to ascertain and
describe the characteristics of the issue

Example: Page 97

It may help to understand areas like:

The absenteeism rate by category of workers
The feelings of workers with a new policy by category
Customers Satisfaction by demographic profile
The data collected are often quantitative.

QUANTITATIVE RESEARCH
Quantitative approach usually starts with a theory or a
statement proposing an association/relationship between
variables.
The researchers will take the objectives.
Favored methods are surveys and experiments.
Will attempt to test hypotheses or statements with a view to
generalizing from the particular.
This approach typically concentrates on measuring or
counting and involves collecting and analyzing numerical
data and applying statistical tests.

Basic Research
Basic research, also called fundamental/
pure research.
Generating scientific knowledge for
future use (Common use).
Attempts to expand the limits of
knowledge.
Not directly involved in the solution to a
practical problem.

Basic Research Example

Is stress correlated with job
satisfaction?
Unemployment Rate and Labour
Productivity
Factors determining stock prices

Applied Research Examples

Price Behaviour of the Malaysian Rubber
Market
Relationship between Money Supply and
Stock Price
Determination of the Factors of Economic
Growth in Indonesia

Applied Research
Applied research is problem-oriented.
The research is carried out to solve a
specific problem that requires a
decision.
Undertaken to solve existing problem.
Conducted when a decision must be
made about a specific real-life problem.

Basic Differences Between

Basic and Applied Research
Applied Research
what is the problem
is an important step in
resolving that problem.
What problems to
analysis may be
outside the individual
researcher domain
Researcher role is
examine analytically
and a course of action
recommended.

Basic Research
Problem based on the
researcher interest to
expand understanding
of the subject
Selection of the
problem is totally the
choice of the
researcher
Some value judgment
may be made, action is
not recommended.

Exhibit 1

The Decision-making Process

Associated with the Development
and Implementation of a Strategy

Some commonly researched areas in business

Exhibit 1: Page 4

Identifying Problem
Research may be used as scanning
activity to provide information about what
is occurring within the organization or in
the business environment.
Example: Analysis the Business
Environment
Privatization and globalization in the
developing countries
Fast economic growth in developing countries
It all leads to demand for Car

Identifying problems and

opportunities
Diagnosis and assessment
Selecting and implementing a course
of action
Evaluating the course of action

Diagnosis and Assessment

Managers need to gain insight about the
underlying factors causing the situation.
They should know what happened, why
and how.
Example: Diagnosis the Demand
What is the expected growth of demand for
car?
What is the purchasing power of the people in
the developing country?
Consumers taste and preference
Competition in the market segment

Selection and Implementation

Research helps to obtain specific
information that will aid in evaluating the
alternatives and in selecting the best
course of action.
Example:
Cost effective model to satisfy the consumers
in the developing country
Place of production or export
Choose a place where potential consumers are
more.

Performance-monitoring
Research
Research that regularly provides
feedback for evaluation and control
Indicates things are or are not going
as planned
Research may be required to explain
why something went wrong.

Evaluation Research
Evaluation research is the formal,
objective measurement and appraisal
of the extent to which a given
activity, project, or program has
achieved its objectives.
Example:
Performance analysis

Determining When to Conduct

Business Research

Time constraints
Availability of data
Nature of the decision
Benefits versus costs

Determining When to Conduct

Business Research
Time
Constraints

Availability of
Data
Yes

Is sufficient time
available before
a managerial
decision
must be made?

Is the information already

on hand
inadequate
for making
the decision?

No

No

Nature of the
Decision
Yes

Yes

Benefits
vs. Costs

Is the decision
of considerable
strategic
or tactical
importance?

Does the value

of the research
information
exceed the cost
of conducting
research?

No

No

Yes

Conducting
Business
Research

Value versus Costs

Potential Value of a Business
Research Effort Should Exceed
Its Estimated Costs

Do Not Conduct Business Research

Value Should Exceed

Estimated Costs
Value
Decreased
uncertainty
Increased likelihood
of a correct decision
Improved business
performance and
resulting higher
profits

Costs
Research
expenditures
Delay of business
decision and
possible disclosure
of information to
rivals
Possible erroneous
research results

Major Topics for Research in

Business
General Business Conditions and
Corporate Research
Financial and Accounting Research
Management and Organizational Behavior
Research
Sales and Marketing Research
Information Systems Research
Corporate Responsibility Research

Why should a Manager

Know Research?
Facilitate good decision making
Become discriminating about research
findings
Issues of inside versus outside researcher
To share relevant information with
researcher
Understand complex issues, variables,
calculate risk, probabilities, etc.

External Researcher
Advantages:
Experience from several situations
Better technical training
Limitations:
Time to understand the organizational system
Cooperation from the staffs is not easy
Not available for evaluation after
implementation
cost

Internal Researcher
Advantages:
Better acceptance from the staff
Knowledge about the organization
Would be integral part of implementation and
evaluation of the research recommendations

Limitations:
Less fresh ideas
Power Politics
May not be valued as experts by staff

Question: The following researches are basic

or applied research? Justify your answer.

Marital status.
Family number.
Behavior of the students.
Important criteria for selecting university.
Annual revenue of TESCO.
improvement of safety in the workplace.
reduction of Infection at a hospital.
Improving work life balance.