Business research methodology

Module 1

1.1 Meaning Of Research: Research in simple terms refers to search for knowledge. It is a scientific
and systematic search for information on a particular topic or issue. It is also known as the art of
scientific investigation. Several social scientists have defined research in different ways.
1.2 In the Encyclopedia of Social Sciences, D. Slesinger and M. Stephension (1930) defined research
as “the manipulation of things, concepts or symbols for the purpose of generalizing to extend,
correct or verify knowledge, whether that knowledge aids in the construction of theory or in the
practice of an art”. According to Redman and Mory (1923), research is a “systematized

1.1.1 Objectives Of Research: The objective of research is to find answers to the questions by
applying scientific procedures. In other words, the main aim of research is to find out the truth
which is hidden and has not yet been discovered. Although every research study has its own specific
objectives, the research objectives may be broadly grouped as follows:

1. To gain familiarity with new insights into a phenomenon (i.e., formulative research studies);

2. To accurately portray the characteristics of a particular individual, group, or a situation (i.e.,

descriptive research studies);

3. To analyse the frequency with which something occurs (i.e., diagnostic research studies); and

4. To examine the hypothesis of a causal relationship between two variables (i.e., hypothesis-testing
research studies).

What is primary data? Discuss the various

method of collecting primary data.
data is lets understand the importance of data in a research. What does each and every
research study require to obtain results? It is nothing else but data. It assists in
answering questions, get awareness of a particular issue or test a hypothesis.

When the data is gathered directly by the researcher for the first time it is called primary
data. By nature it is original and is pertinent to a research issue under study. A benefit of
primary data is that researchers are gathering details for the particular purposes of their
study. Here, the researchers gather the data by themselves, with the help of surveys,
interviews and direct observations. Some of the methods for collecting primary data are
as follows:

Interview method

This method is the most common method of primary data collection. The interviewer can
1) pose questions personally 2) ask questions through e-mail 3) get answers through
telephonic conversation.

Questionnaire method

Questionnaires are also one of the most common methods of primary data collection. It
consists of a set of questions pertaining to the research problem. This is more feasible if
 the data are to be gathered from a huge population. The questions in this method can be
either open-ended or close-ended.

Focus group interview

This is also one of the common methods of primary data collection. Here, a small group
of individuals join to talk about the problem.

Schedule method

Sometimes it so happens that the informants are not very much educated. Here the data
cannot be gathered by mailed questionnaire method. Here, scheduled method is used to
gather data. The enumerators send the questionnaires to collect information.

Observation method

This method lets one to assess the dynamics of a situation. This is a systematic way of
data collection. Researchers make use of all their senses to evaluate people in naturally
occurring situations.

1. Secondary Data – refers to the data that the investigator collects from another
source. Past investigators or agents collect data required for their study. The
investigator is the first researcher or statistician to collect this data. Moreover, the
investigator does not have a clear idea about the intricacies of the data. There may
be ambiguity in terms of the sample size and sample technique. There may also be
unreliability with respect to the accuracy of the data.

SECONDARY DATA – SOURCES OF DATA

Discussed below are 2 broad classifications of the sources of secondary data.

Published Sources
There are many national organizations, international agencies and official
publications that collect various statistical data. They collect data related to
business, commerce, trade, prices, economy, productions, services, industries,
currency and foreign affairs. They also collect information related to various
(internal and external) socio-economic phenomena and publish them. These
publications contain statistical reports of various kinds. Central Government
Official Publication, Publications of Research Institutions, Committee Reports and
International Publications are some published sources of secondary data.

Unpublished Sources
Some statistical data are not always a part of publications. Such data are stored by
institutions an private firms. Researchers often make use of these unpublished data
in order to make their researches all the more original.
What are 3 types of survey research and how can they benefit your research?

What are the 3 types of survey research? There happen to be 3 types that we’ll
explore in this blog post. They include: exploratory, descriptive, and casual. Each
type of research serves its own purpose and can be used in certain ways. Utilizing all
types of research at once in your online surveys can help create greater insights and
better quality data.

Exploratory Research

Exploratory research is conducted in order to determine the nature of a problem. It is

intended to explore research questions, but its intent is not to offer final and
conclusive solutions to existing issues. Exploratory research provides researchers
with a better understanding of the problem, but the results of exploratory research
are typically not useful for decision-making alone. Exploratory research can provide
significant insight into a given situation, as the objective is to gather preliminary
information that will help define issues and suggest hypotheses.

Exploratory research can be used in a variety of research methods, including: trial

studies, pilot studies, interviews, case studies, focus groups, and various
experiments. How can exploratory research be used in online surveys? Exploratory
research takes the form of open-ended questions – questions where participants can
leave responses in the format of open text comments. Text comments may not be
statistically measureable (unless properly coded), but they will give you richer, more
quality data that can lead you to uncover new initiatives or issues that should be
addressed.

Conclusive Research
As the term suggests, conclusive research is meant to provide information that is useful in
reaching conclusions or decision-making. It tends to be quantitative in nature, that is to say in the
form of numbers that can be quantified and summarized. It relies on both secondary data,
particularly existing databases that are reanalyzed to shed light on a different problem than the
original one for which they were constituted, and primary research, or data specifically gathered
for the current study.
The purpose of conclusive research is to provide a reliable or representative picture of
the population through the use of a valid research instrument. In the case of formal research, it
will also test hypothesis.
Conclusive research can be sub-divided into two major categories:

1. Descriptive or statistical research, and

2. Causal research
Descriptive Research

The objective of descriptive research, also known as statistical research, is to

describe situations. For example, to describe things like the market potential for a
product or the demographics and attitudes of consumers who buy a certain product
or service.

An online survey is a descriptive research method that produces conclusive data

given its quantitative ability. Unlike exploratory research, descriptive research is
methodically planned, designed, and formatted to collect quantifiable data. Grouping
responses into set choices will provide statistically conclusive data. This allows you
to measure the significance of your results on the overall population, as well as track
the changes of your respondents’ opinions, attitudes, and behaviors over time.

Casual Research

Similar to descriptive reach, casual research also produces quantitative data and is
methodically planned, designed, and formatted, as well as it provides statistically
conclusive data. The objective of causal research is to test hypotheses about cause-
and-effect relationships. For instance, if the objective of your research is to
determine what variable (cause) is causing a certain behavior (effect), casual
research is needed. Casual research can help you understand which variables are
the cause and which variables are the effect, and will help you determine the route of
the relationship between the variables and the effects to be forecasted.

To conduct this type of research in the form of a survey, you will need to establish a
purpose, ask a question (what you need to know), and formulate a hypothesis (what
outcome you expect). Here’s an example:

 Purpose: The purpose is to find out if a popular product label should be

redesigned.
 Question: Will a new label design have a positive effect on sales?
 Hypothesis: The new label design will increase product sales.

Casual research can be very complex and the researcher can never be
completely certain that there aren’t any other factors that may influence the causal
relationship.

The Research Process

Overview
The research process involves identifying, locating, assessing, and analyzing the information you
need to support your research question, and then developing and expressing your ideas. These
are the same skills you need any time you write a report, proposal, or put together a
presentation.
Library research involves the step-by-step process used to gather information in order to write
your paper, create a presentation, or complete a project. As you progress from one step to the
next, it is often necessary to rethink, revise, add additional material or even adjust your topic.
Much will depend on what you discover during your research.
The research process can be broken down into seven steps, making it more manageable and
easier to understand. This module will give you an idea of what's involved at each step in order
to give you a better overall picture of where you are in your research, where you will be going,
and what to expect at each step.

Dissertation markers expect the explanation of research process to be included

in Methodology chapter. A typical research process comprises the following
stages:

1. Selecting the research area. You are expected to state that you have selected
the research area due to professional and personal interests in the area and this
statement must be true. The importance of this first stage in the research
process is often underestimated by many students. If you find research area and
research problem that is genuinely interesting to you it is for sure that the whole
process of writing your dissertation will be much easier. Therefore, it is never
too early to start thinking about the research area for your dissertation.

2. Formulating research aim, objectives and research questions or

developing hypotheses. The choice between the formulation of research
questions and the development of hypotheses depends on your research
approach as it is discussed further below in more details. Appropriate research
aims and objectives or hypotheses usually result from several attempts and
revisions and these need to be mentioned in Methodology chapter. It is critically
important to get your research questions or hypotheses confirmed by your
supervisor before moving forward with the work.

3. Conducting the literature review. Literature review is usually the longest

stage in the research process. Actually, the literature review starts even before
the formulation of research aims and objective; because you have to check if
exactly the same research problem has been addressed before. Nevertheless, the
main part of the literature review is conducted after the formulation of research
aim and objectives. You have to use a wide range of secondary data sources such
as books, newspapers, magazines, journals, online articles etc.

4. Selecting methods of data collection. Data collection method(s) need to be

selected on the basis of critically analyzing advantages and disadvantages
associated with several alternative data collection methods. In studies involving
primary data collection, in-depth discussions of advantages and disadvantages
of selected primary data collection method(s) need to be included in
methodology.

5. Collecting the primary data. Primary data collection needs to be preceded by

a great level of preparation and pilot data collection may be required in case of
questionnaires. Primary data collection is not a compulsory stage for all
dissertations and you will skip this stage if you are conducting a desk-based
research.

6. Data analysis. Analysis of data plays an important role in the achievement of

research aim and objectives. Data analysis methods vary between secondary
and primary studies, as well as, between qualitative and quantitative studies.

7. Reaching conclusions. Conclusions relate to the level of achievement of

research aims and objectives. In this final part of your dissertation you will have
to justify why you think that research aims and objectives have been achieved.
Conclusions also need to cover research limitations and suggestions for future
research.

8. Completing the research. Following all of the stages described above, and
organizing separate chapters into one file leads to the completion of the first
draft. The first draft of your dissertation needs to be prepared at least one month
before the submission deadline. This is because you will need to have sufficient
amount of time to address feedback of your supervisor.

Deductive Research Approach

If you have formulated a set of hypotheses for your dissertation that need to be
confirmed or rejected during the research process you would be following a
deductive approach. In deductive approach, the effects of labour migration
within the EU are assessed by developing hypotheses that are tested during the
research process.
Dissertations with deductive approach follow the following path:
 Deductive process in research approach
The following hypotheses can be developed in order to assess the effects of
labour migration within the EU on the formation of multicultural teams in
UK organizations using a deductive approach:
Hypothesis: Labour migration within the EU contributes to the formation of
multicultural teams in UK

Inductive Research Approach

Alternatively, inductive approach does not involve formulation of hypotheses.
It starts with research questions and aims and objectives that need to be
achieved during the research process.
Inductive studies follow the route below:

Inductive process in research approach

Referring to the example above, the effects of labour migration within the EU
on the formation of multicultural teams in UK organizations can be accessed
through finding answers to the following research questions:
Research question: How does labour migration within the EU effect the
formation of multicultural teams in UK?

Qualitative Research
 Qualitative Research is primarily exploratory research. It is used to gain an
understanding of underlying reasons, opinions, and motivations. It provides insights
into the problem or helps to develop ideas or hypotheses for potential quantitative
research. Qualitative Research is also used to uncover trends in thought and
opinions, and dive deeper into the problem. Qualitative data collection methods vary
using unstructured or semi-structured techniques. Some common methods include
focus groups (group discussions), individual interviews, and
participation/observations. The sample size is typically small, and respondents are
selected to fulfil a given quota.

Quantitative Research
Quantitative Research is used to quantify the problem by way of generating
numerical data or data that can be transformed into usable statistics. It is used to
quantify attitudes, opinions, behaviors, and other defined variables – and generalize
results from a larger sample population. Quantitative Research uses measurable
data to formulate facts and uncover patterns in research. Quantitative data collection
methods are much more structured than Qualitative data collection methods.
Quantitative data collection methods include various forms of surveys – online
surveys, paper surveys, mobile surveys and kiosk surveys, face-to-face interviews,
telephone interviews, longitudinal studies, website interceptors, online polls, and
systematic observations.

Planning a Research Project

Here are the steps you will need to plan your research project.

1. Find a topic to research

2. Start a log book
3. Do some reading and compile a list of at least three good references on
the topic
4. Come up with a question in that area
5. Find a mentor
6. State the hypothesis to be tested (In the format: If…then…because…)
7. Write a proposal for an experiment to test the hypothesis, including Aim,
Materials and Method. Include a discussion of variables - independent,
dependent and controlled. Also include discussion of sample size.
8. Check with your teacher that your proposal is okay before starting
experimentation
9. Think about how to collect results and have tables drawn up
10. Plan how you will graph your results.
11. Consider whether you will need to use statistics
12. Start collecting information for your: Reference list,
Acknowledgements, Introduction etc.
13. Think about how to present the display board

 Research design

Explanatory Research Design

In explanatory research design a researcher uses his own imaginations and ideas. It is based on the
researcher personal judgment and obtaining information about something. He is looking for the
unexplored situation and brings it to the eyes of the people. In this type of research there is no need
of hypothesis formulation.

Descriptive Research Design

In descriptive research design a researcher is interested in describing a particular situation or
phenomena under his study. It is a theoretical type of researcher design based on the collection
designing and presentation of the collected data. Descriptive research design covers the
characteristics of people, materials, Scio-economics characteristics such as their age, education,
marital status and income etc. The qualitative nature data is mostly collected like knowledge, attitude,
beliefs and opinion of the people. Examples of such designs are the newspaper articles, films,
dramas, and documentary etc.

Experimental Research Design

In this type of research design is often uses in natural science but it is different in social sciences.
Human behavior cannot be measured through test-tubes and microscopes. The social researcher use
a method of experiment in that type of research design. One group is subjected to experiment called
independent variables while other is considered as control group called dependent variable. The
result obtained by the comparison of both the two groups. Both have the cause and effect relationship
between each other.

Probability Sampling Methods

1. Simple random sampling

In this case each individual is chosen entirely by chance and each member of the
population has an equal chance, or probability, of being selected. One way of obtaining a
random sample is to give each individual in a population a number, and then use a table
of random numbers to decide which individuals to include.1 For example, if you have a
sampling frame of 1000 individuals, labelled 0 to 999, use groups of three digits from
the random number table to pick your sample. So, if the first three numbers from the
random number table were 094, select the individual labelled “94”, and so on.

As with all probability sampling methods, simple random sampling allows the sampling
error to be calculated and reduces selection bias. A specific advantage is that it is the
most straightforward method of probability sampling. A disadvantage of simple random
sampling is that you may not select enough individuals with your characteristic of
interest, especially if that characteristic is uncommon. It may also be difficult to define a
complete sampling frame and inconvenient to contact them, especially if different forms
of contact are required (email, phone, post) and your sample units are scattered over a
wide geographical area.

2. Systematic sampling
Individuals are selected at regular intervals from the sampling frame. The intervals are
chosen to ensure an adequate sample size. If you need a sample size n from a
population of size x, you should select every x/nth individual for the sample. For
example, if you wanted a sample size of 100 from a population of 1000, select every
1000/100 = 10th member of the sampling frame.
Systematic sampling is often more convenient than simple random sampling, and it is
easy to administer. However, it may also lead to bias, for example if there are
underlying patterns in the order of the individuals in the sampling frame, such that the
sampling technique coincides with the periodicity of the underlying pattern. As a
hypothetical example, if a group of students were being sampled to gain their opinions
on college facilities, but the Student Record Department’s central list of all students was
arranged such that the sex of students alternated between male and female, choosing
an even interval (e.g. every 20thstudent) would result in a sample of all males or all
females. Whilst in this example the bias is obvious and should be easily corrected, this
may not always be the case.

3. Stratified sampling

In this method, the population is first divided into subgroups (or strata) who all share a
similar characteristic. It is used when we might reasonably expect the measurement of
interest to vary between the different subgroups, and we want to ensure representation
from all the subgroups. For example, in a study of stroke outcomes, we may stratify the
population by sex, to ensure equal representation of men and women. The study sample
is then obtained by taking equal sample sizes from each stratum. In stratified sampling,
it may also be appropriate to choose non-equal sample sizes from each stratum. For
example, in a study of the health outcomes of nursing staff in a county, if there are
three hospitals each with different numbers of nursing staff (hospital A has 500 nurses,
hospital B has 1000 and hospital C has 2000), then it would be appropriate to choose
the sample numbers from each hospital proportionally (e.g. 10 from hospital A, 20 from
hospital B and 40 from hospital C). This ensures a more realistic and accurate estimation
of the health outcomes of nurses across the county, whereas simple random sampling
would over-represent nurses from hospitals A and B. The fact that the sample was
stratified should be taken into account at the analysis stage.
Stratified sampling improves the accuracy and representativeness of the results by
reducing sampling bias. However, it requires knowledge of the appropriate
characteristics of the sampling frame (the details of which are not always available), and
it can be difficult to decide which characteristic(s) to stratify by.

4. Clustered sampling

In a clustered sample, subgroups of the population are used as the sampling unit, rather
than individuals. The population is divided into subgroups, known as clusters, which are
randomly selected to be included in the study. Clusters are usually already defined, for
example individual GP practices or towns could be identified as clusters. In single-stage
cluster sampling, all members of the chosen clusters are then included in the study. In
two-stage cluster sampling, a selection of individuals from each cluster is then randomly
selected for inclusion. Clustering should be taken into account in the analysis. The
General Household survey, which is undertaken annually in England, is a good example
of a (one-stage) cluster sample. All members of the selected households (clusters) are
included in the survey.1

Cluster sampling can be more efficient that simple random sampling, especially where a
study takes place over a wide geographical region. For instance, it is easier to contact
lots of individuals in a few GP practices than a few individuals in many different GP
practices. Disadvantages include an increased risk of bias, if the chosen clusters are not
representative of the population, resulting in an increased sampling error.

Non-Probability Sampling Methods

1. Convenience sampling

Convenience sampling is perhaps the easiest method of sampling, because participants

are selected based on availability and willingness to take part. Useful results can be
obtained, but the results are prone to significant bias, because those who volunteer to
take part may be different from those who choose not to (volunteer bias), and the
sample may not be representative of other characteristics, such as age or sex. Note:
volunteer bias is a risk of all non-probability sampling methods.

2. Quota sampling

This method of sampling is often used by market researchers. Interviewers are given a
quota of subjects of a specified type to attempt to recruit. For example, an interviewer
might be told to go out and select 20 adult men, 20 adult women, 10 teenage girls and
10 teenage boys so that they could interview them about their television viewing. Ideally
the quotas chosen would proportionally represent the characteristics of the underlying
population.

Whilst this has the advantage of being relatively straightforward and potentially
representative, the chosen sample may not be representative of other characteristics
that weren’t considered (a consequence of the non-random nature of sampling). 2

3. Judgement (or Purposive) Sampling

Also known as selective, or subjective, sampling, this technique relies on the judgement
of the researcher when choosing who to ask to participate. Researchers may implicitly
thus choose a “representative” sample to suit their needs, or specifically approach
individuals with certain characteristics. This approach is often used by the media when
canvassing the public for opinions and in qualitative research.

Judgement sampling has the advantage of being time-and cost-effective to perform

whilst resulting in a range of responses (particularly useful in qualitative research).
However, in addition to volunteer bias, it is also prone to errors of judgement by the
researcher and the findings, whilst being potentially broad, will not necessarily be
representative.

4. Snowball sampling

This method is commonly used in social sciences when investigating hard-to-reach

groups. Existing subjects are asked to nominate further subjects known to them, so the
sample increases in size like a rolling snowball. For example, when carrying out a survey
of risk behaviours amongst intravenous drug users, participants may be asked to
nominate other users to be interviewed.

Snowball sampling can be effective when a sampling frame is difficult to identify.

However, by selecting friends and acquaintances of subjects already investigated, there
is a significant risk of selection bias (choosing a large number of people with similar
characteristics or views to the initial individual identified).

Bias in sampling
 There are five important potential sources of bias that should be considered when
selecting a sample, irrespective of the method used. Sampling bias may be introduced
when:1

1. Any pre-agreed sampling rules are deviated from

2. People in hard-to-reach groups are omitted
3. Selected individuals are replaced with others, for example if they are difficult to
contact
4. There are low response rates
5. An out-of-date list is used as the sample frame (for example, if it excludes people who
have recently moved to an area)
What is the difference between Research Design and Research Method?

Research design is a plan to answer your research question. A research method is

a strategy used to implement that plan. Research design and methods are
different but closely related, because good research design ensures that the data
you obtain will help you answer your research question more effectively.

Which research method should I choose?

It depends on your research goal. It depends on what subjects (and who) you
want to study. Let's say you are interested in studying what makes people happy,
or why some students are more conscious about recycling on campus. To answer
these questions, you need to make a decision about how to collect your
data. Most frequently used methods include:

1. Observation / Participant Observation

2. Surveys
3. Interviews
4. Focus Groups
5. Experiments
6. Secondary Data Analysis / Archival Study
7. Mixed Methods (combination of some of the above)

One particular method could be better suited to your research goal than others,
because the data you collect from different methods will be different in quality
and quantity. For instance, surveys are usually designed to produce relatively
short answers, rather than the extensive responses expected in qualitative
interviews.

What other factors should I consider when choosing one method over another?

Time for data collection and analysis is something you want to consider. An
observation or interview method, so-called qualitative approach, helps you collect
richer information, but it takes time. Using a survey helps you collect more data
quickly, yet it may lack details. So, you will need to consider the time you have
for research and the balance between strengths and weaknesses associated with
each method (e.g., qualitative vs. quantitative).