This slides explain about the meaning, importance and scope of Business research with detail explanation of research process and types of research

1. Sub Code: 21MBA214
Sub Name: Business Research
Methods
Faculty: Dr. Noor Firdoos Jahan
Dr. Noor firdoos Jahan, RVIM 1

2. MODULE 1: INTRODUCTION TO RESEARCH, TYPES OF RESEARCH, DESIGN AND
DEFINING RESEARCH PROBLEM 05HRS
• What is Research
• Objectives & motivations for research
• Types of Research- Introduction to Qualitative Research, Quantitative
Research
• Defining Business Problem- Problem Formulation, Techniques involved in
defining a problem
Dr. Noor firdoos Jahan, RVIM 2

3. Definition of Business Research
According to McDaniel and Gates___” Business
research is the planning, collection, and analysis of
data relevant to business decision-making and the
communication of the results of this analysis to
management”.
According to Zikmund___” It is a management
tool that companies use to reduce uncertainty. It is a
manager’s source of information about organizational
and environmental conditions, and covers topics
ranging from long-range planning to the most
ephemeral tactical decisions”.
Dr. Noor firdoos Jahan, RVIM 3

4. Business Research Defined
Business research is defined as the
systematic and objective process of
gathering, recording and analyzing data
for aid in making business decisions.
Dr. Noor firdoos Jahan, RVIM 4

5. Nature of business research
• Clearly defined objectives
• Choose the right methodology
• Promoting business
• Covers region in which business
operates
• Judging problems
• Flexibility
• Help determine how to produce
the product
Dr. Noor firdoos Jahan, RVIM 5

6. Importance of BR/
Managerial Value of Business Research
• Product-Oriented firms: Prioritizes decision
making that emphasizes the physical
product design trendiness or technical
superiority. Research focuses on
technicians and experts in the field.
• Production-Oriented firms: Prioritizes
efficiency and effectiveness of the
production processes in making decisions.
Research focuses on line employees,
engineers and other efficiency experts.
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7. • Marketing-Oriented firms: Focuses on how
the firm provides value to customers.
Research focuses on customers
Dr. Noor firdoos Jahan, RVIM 7

8. • Decision making process:
1)Indentifying problems or
opportunities:
2)Diagnosing and Assessing
problems or opportunities.
3)Selecting and implementing a
course of action
4) Evaluating the course of action.
Dr. Noor firdoos Jahan, RVIM 8

9. NEED OF BUSINESS RESEARCH
• Time constraints: If the decision does not need to be taken
immediately then research is needed otherwise not.
• Availability of data: If the required data to conduct the research
is available then research should be conducted otherwise it is
not possible to undertake a research.
• The nature of decision to be made: Deciding about the need of
research also depends upon the nature of the decision to be
made. If the decision is not a routine decision and needs high
investment then research should be undertaken otherwise not.
• Benefits versus Costs: Deciding about the research also depends
upon the benefits and costs associated with the underlying
project. In order to conduct a research for a project, the project’s
benefit must be higher than its cost.
Dr. Noor firdoos Jahan, RVIM 9

10. 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
Dr. Noor firdoos Jahan, RVIM 10

11. Dr. Noor firdoos Jahan, RVIM 11

12. Types of Business
Research
Dr. Noor firdoos Jahan, RVIM 12

13. Basic research is “experimental and theoretical work undertaken
to acquire new knowledge without looking for long-term
benefits other than the advancement of knowledge.”
 It Attempts to expand the limits of knowledge.
 It is not directly involved in the solution to a pragmatic or real
life problem.
 Basic research is conducted to test theory or to discover more
about a concept.
 It focuses on generating fundamental knowledge
BASIC RESEARCH
Dr. Noor firdoos Jahan, RVIM 13

14. Basic Research Example
 Is executive success correlated with high need for
achievement?
Dr. Noor firdoos Jahan, RVIM 14

15. Applied Research
Applied research is research undertaken to solve
practical problems rather than to acquire knowledge for
knowledge sake.
 It is conducted when a decision must be made about a
specific real-life problem.
 Focuses on real-world questions and applications
Dr. Noor firdoos Jahan, RVIM 15

16. Applied Research Examples
 Should McDonalds add Italian pasta dinners to its menu?
 Business research told McDonald’s it should not?
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17. THEORY
Goals of theory:
1)Understanding:
2) Predicting
The meaning of Theory:
A coherent set of general propositions used
to explain the apparent relationships
among certain observed phenomena.
Theories allow generalizations beyond
individuals facts or situations.
Dr. Noor firdoos Jahan, RVIM 17

18. CONCEPT
• A concept (or construct) is a generalized
idea about a class of objects, attributes,
occurrences, or processes that has been
given a name.
• Concepts are the building block of a theory
• Concepts abstract reality. That is, concepts
are expressed in words, letters, signs, and
symbols that refer to various events or
objects. For example assets, liabilities,
customer equity, raw material etc.
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19. CONCEPT
• Ladder of
abstraction
Assets
Plant Machinery
Punch Press
Reality
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20. CONCEPT
• Concepts are abstractions of reality
Observations of objects and events
(reality)
Concepts
Abstract Level
Empirical level
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21. Nature of PROPOSITIONS
• Concepts are the basic units of theory
development. However, theories require an
understanding of the relationship among concepts.
Thus, once reality is abstracted into concepts, the
scientist is interested in the relationship among
various concepts. Propositions are statements
concerned with the logical relationships among
concepts. A proposition explains the logical
linkage among certain concepts by asserting a
universal connection between concepts.
Dr. Noor firdoos Jahan, RVIM 21

22. The Scientific Method
• Definition: The Scientific Method is a set of prescribed
procedures for establishing and connecting theoretical
statements about events for analyzing empirical evidence and
for predicting events yet unknown.
• Following are the steps involved in the application of the
scientific method
1.Assessment of relevant existing knowledge of a
phenomenon
2.Formulation of concepts and propositions
3.Statement of Hypothesis
4.Design of research to test the hypothesis
5.Acquisition of meaningful empirical data
6.Analysis and evaluation of data
7.Proposal of an explanation of the phenomenon and
statement of
new problems raised by the research.
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23. Theory building is a process of
increasing abstraction
Increasingly
more
abstract Theories
Propositions
Concepts
Observation of objects and
events (reality)
Dr. Noor firdoos Jahan, RVIM 23

24. An example of a theory
Labor market conditions,
number of
organizations,
personal
characteristics,and
other partial
dterminantas of ease
of movement
Perceived ease of
movement (e.g.
expectation of finding
alternatives,
unsolicited
opportunities)
Perceived
desirability of
movement
(e.g job
satisfaction)
Equity of pay, job
complexity,
participation in
decision making and
other partial
determinants of
desirability of
movement
Job
performance
s
Intention to
quit
Voluntar
y job
turnover
Dr. Noor firdoos Jahan, RVIM
24

25. Generation of Theory
• Deductive reasoning: The logical process of
deriving a conclusion about a specific instance
based on a known general premise or something
known to be true.
For example: we know that all professors are
human beings. If we also know that Mr.Ahmad is
a professor, then we can deduce that Ahmad is a
human being.
• Inductive reasoning: The logical process of
establishing a general proposition on the basis of
observation of particular facts.
For example: All professors that have ever been
seen are human beings; therefore all professors
are human beings.
Dr. Noor firdoos Jahan, RVIM 25

26. Verifying theory
• In order to make predictions on the basis
of theory, the theory must be tested and
verified first. Once the theory is verified,
we can utilize it to make predictions.
Dr. Noor firdoos Jahan, RVIM 26

27. • Decision making: The process of
resolving a problem or choosing among
alternative opportunities.
• Every decision-making situation can be
classified based on whether it best
represents a problem or an opportunity
and where the situation falls on
continuum from absolute ambiguity to
complete certainty.
Dr. Noor firdoos Jahan, RVIM 27

28. • Certainty: Complete certainty means that
the decision-maker has all information
needed to make an optimal decision.
• Uncertainty: Uncertainty means that the
manager grasps the general nature of
desired objectives but the information about
alternatives is incomplete.
• Ambiguity: Ambiguity means that the nature
of the problem itself is unclear. Objectives
are vague and decision alternatives are
difficult to define.
Dr. Noor firdoos Jahan, RVIM 28

29. TYPES OF BUSINESS
RESEARCH
• Exploratory research: It is conducted to clarify ambiguous situations
or discover ideas that may be potential business opportunities.
Exploratory research is usually conducted when the researcher does not
know much about the problem and needs additional information or
desires new or more recent information.
It is the Initial research conducted to clarify and define the nature of a
problem.
it Does not provide conclusive evidence.
Subsequent research expected.
• Descriptive Research: It describes characteristics of objects,
people,
groups, organizations or environments tries to“paint apicture” about
a given situation.
Dr. Noor firdoos Jahan, RVIM 29

30. TYPES OF BUSINESS
RESEARCH
Descriptive research is undertaken to provide
answers to questions of who, what, where,
when, and how.
Describes characteristics of a population or
phenomenon
Some understanding of the nature of the problem
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31. TYPES OF BUSINESS
RESEARCH
• Causal Research: It allows causal inferences to be made,
seeks to identify cause-and-effect relationships.
• Causal inference: A conclusion that when one thing
happens,
another specific thing will follow.
A causal inference can only be supported when very
specific evidence exists. Three critical pieces of causal
evidence are:
1)Temporal Sequence: It deals with the time order of
events, i.e. the cause must occur before the effect.
2)Concomitant Variance: It occurs when two events “covary” or
correlate meaning they vary systematically.
3)Nonspurious Association: It means that A cause and an
effect is true and not simply due to some other variable. For
example if murder rates increase with increase in ice cream
rates, we cannot say that there is a causality between the
two variables. They may be under effect of a third variable
like weather. Dr. Noor firdoos Jahan, RVIM 31

32. Degrees of Causality
• Absolute causality: Means the cause is
necessary and sufficient to bring about
the effect.
• Conditional causality: Means that a cause
is necessary but not sufficient to bring
about an effect.
• Contributory causality: Means the cause
need be neither necessary nor sufficient
to bring about an effect.
Dr. Noor firdoos Jahan, RVIM 32

33. STAGES IN THE RESEARCH
PROCESS
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34. Define Research
Problem &
Research Objective
[II] Review concepts
and theories
[II] Review previous
research finding
[IV] Design research
(Including Sample
design)
[V] Collect data
(Execution)
[VI] Analyze Data
(Test Hypothesis)
[VII] Interpretation
and Implications
[III]
Formulate Hypothesis
FF
F
F
FF
F
[VIII] Actionable
Proposition
[IX] Report
preparation
Dr. Noor firdoos Jahan, RVIM 34

35. (I) Defining the Research Problem
“ A problem well defined is half solved “
Two steps are involved defining the research problem
a. Understanding the problem thoroughly and
b. Rephrasing the same into meaningful terms from
analytical point of view
Techniques for preliminary investigation
a. Situation Analysis
b. Informal investigations
Researcher can review two types of literature
a. The conceptual literature
b. The empirical literature
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36. (II) Review of theories,
concepts and previous
research finding
•Background of the study
•Research questions
•Formulation of Hypothesis
Dr. Noor firdoos Jahan, RVIM 36

37. (III) Development of Working Hypothesis
Working hypothesis is tentative
assumption
made in order to draw out and test its
logical
or empirical consequences
Approach
1.Discussion with colleagues and experts
2. Examination of data and records
3. Review of the same
4. Exploratory personal investigation
which
involves original field interviews
Dr. Noor firdoos Jahan, RVIM 37

38. (IV) Research Designs (including
sample design)
Research Design is the basic framework
which provides guidelines for the rest
of the research work. It is a map or a
blueprint according to which the
research is to be conducted.
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39. Research design categories
a. Exploratory research
designs
b. Descriptive research
designs
c. Causal research designs
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40. Following points must be considered while selecting
any of the research designs available
1. The means of obtaining the information
2. The availability and skills of the
researcher and his staff
3. Time available
4. Cost factor
5. sampling plan
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41. Sample design
A sample design is a definite plan determined before
any data is actually collected for obtaining a sample
from a given population
It provides answer to the following four questions;
1. What sampling unit should be studied ?
2. What should be the sample size?
3. What sample procedure should be used?
4. What contact method should be used
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42. (IV) Data collection
A. Primary Data Collection Tools
1. By observation
2. Through personal interview
3. Through telephone interviews
4. Through Schedules
5. By mailing questionnaire
B. Secondary Data Collection Tools
1. Printed information
2. Already available information in
other forms
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43. (V) Analysis of data
The researcher should classify the
raw data into some purposeful and
usable categories.
Three operations have to de done
before the raw data is brought in a
form to be analyzed further.
a. Coding
b. Editing
c. Tabulation
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44. After successful completion of
above operations following three
steps are there to follow to
complete Data analysis
1. Hypothesis Testing
a. Chi Square
b. F- test
c. Z test
2. Generalization
3. Interpretation
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45. (VII) Interpretation and
Implications
(VIII) Actionable
Implications
(IX) Report Preparation
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46. Dr. Noor firdoos Jahan, RVIM 46

47. Thank You
Dr. Noor firdoos Jahan, RVIM 47