Scope and Applications of Research

BUSINESS RESEARCH
Research is simply a process of finding solutions to a problem after a thorough study and analysis of the situation. Perceptions Thirst for knowledge Analyzing data Scientific research Analysis and background check Phd

Objectives of Research

Logic and reasoning Solving the problems Explore the possibility and methodology of doing things Improve the effectiveness of present systems. Test or challenge existing beliefs. Analyze past data for discovering trends, patterns and relationships. Expand the sphere of knowledge

Motivation for Research

Individuals Organizations

Self motivation Regulatory Competition Customer driven Failure Technological Innovations Environmental considerations Social Economic Infrastructure Operations/ Process Driven

Research Characteristics
1.
2. 3. 4. 5. 6. 7.

8.

Originates with a question or problem. Requires clear articulation of a goal. Follows a specific plan or procedure. Often divides main problem into subproblems. Guided by specific problem, question, or hypothesis. Accepts certain critical assumptions. Requires collection and interpretation of data. Cyclical (helical) in nature.

Ideal Research

Scientific and systematic manner Methodology is transparent. Credibility of research. Assumptions stated and sources of data indicated. Scope and limitations are clearly brought out

Challenges of Research

Objectives translated into hypothesis. Relevant literature study. Hypothesis formulation in line with stated objectives. Reliable and adequate data collection Appropriate sampling design Analyzing using appropriate tools Unbiased conclusions

Research Process
1.
2. 3. 4. 5.

6.
7.

Specifying area and objective Defining and refining problem Hypothesis development Preparing research design Collecting data Analyzing data Interpreting the results

Research Process

Research is an extremely cyclic process.

Later

stages might necessitate a review of earlier

work.

This isnt a weakness of the process but is part of the built-in error correction machinery. Because of the cyclic nature of research, it can be difficult to determine where to start and when to stop.

Step 1: A Question Is Raised

A question occurs to or is posed to the researcher for which that researcher has no answer.
This

doesnt mean that someone else doesnt already have an answer.

The question needs to be converted to an appropriate problem statement like that documented in a research proposal.

Step 2: Suggest Hypotheses

The researcher generates intermediate hypotheses to describe a solution to the problem.

This

is at best a temporary solution since there is as yet no evidence to support either the acceptance or rejection of these hypotheses.

Step 3: Literature Review

The available literature is reviewed to determine if there is already a solution to the problem.
Existing

solutions do not always explain new observations. The existing solution might require some revision or even be discarded.

Step 4: Literature Evaluation

Its possible that the literature review has yielded a solution to the proposed problem.
This

means that you havent really done research.

On the other hand, if the literature review turns up nothing, then additional research activities are justified.

Step 5: Acquire Data

The researcher now begins to gather data relating to the research problem.
The

means of data acquisition will often change based on the type of the research problem. might entail only data gathering, but it could also require the creation of new measurement instruments.

This

Step 6: Data Analysis

The data that were gathered in the previous step are analyzed as a first step in ascertaining their meaning.
As before, the analysis of the data does not constitute research.
This

is basic number crunching.

Step 7: Data Interpretation

The researcher interprets the newly analyzed data and suggests a conclusion.
This

can be difficult. Keep in mind that data analysis that suggests a correlation between two variables cant automatically be interpreted as suggesting causality between those variables.

Step 8: Hypothesis Support

The data will either support the hypotheses or they wont.

This

may lead the researcher to cycle back to an earlier step in the process and begin again with a new hypothesis. This is one of the self-correcting mechanisms associated with the scientific method.

Common Methodologies

Methodologies are high-level approaches to conducting research.

The

individual steps within the methodology might vary based on the research being performed.

Two commonly used research methodologies:

Quantitative. Qualitative.

Methodology Comparison
Quantitative

Qualitative

Explanation, prediction Test theories Known variables Large sample Standardized instruments Deductive

Explanation, description Build theories Unknown variables Small sample Observations, interviews Inductive

Types of Research

Basic, Pure ,Conceptual and Fundamental Applied Empirical Historical Scientific Social and Behavioral Business Exploratory Descriptive Causal Normative

Basic research
Attempts to expand the limits of knowledge. Not directly involved in the solution to a pragmatic problem.

BASIC RESEARCH EXAMPLE

Is executive success correlated with high need for achievement? Are members of highly cohesive work groups more satisfied than members of less cohesive work groups? Do consumers experience cognitive dissonance in low-involvement situations?

APPLIED RESEARCH

CONDUCTED WHEN A DECISION MUST BE MADE ABOUT A SPECIFIC REALLIFE PROBLEM

APPLIED RESEARCH EXAMPLE

Should McDonalds add Italian pasta dinners to its menu? Business research told McDonalds it should not.

SCIENTIFIC METHOD

The analysis and interpretation of empirical evidence (facts from observation or experimentation) to confirm or disprove prior conceptions.

The decision-making process associated with the development and implementation of a strategy
Identifying problems and opportunities Diagnosis and Assessment Selecting and implementing a course of action Evaluating the course of action

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.

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

Determining When to Conduct Business Research

Availability of Data Benefits Time Constraints Nature of the Decision vs. Costs
Is sufficient time available before a managerial decision must be made?
Yes

Is the information already on hand inadequate for making the decision?

Yes

Is the decision of considerable strategic or tactical importance?

Does the value Yes of the research information exceed the cost of conducting research?

Yes

Conducting Business Research

No

No

No

No

Do Not Conduct Business Research

Potential value of a business research effort should exceed its estimated costs
Costs Value
Decreased Certainty Increased Likelihood of a Correct Decision Improved Marketing Performance and Resulting Higher Profits Research Expenditures Delay of Marketing Decision and Possible Disclosure of Information to Rivals Possible Erroneous Research Results