Research Methodology

BBA
Semester - IV
Introduction
Outline
• Meaning of Research
• Objectives of Research
• Types of Research
• Significance of Research
• Research Methods versus Methodology
• Research Process
• Criteria of Good Research
• Problems Encountered by Researchers in India
What is Research?
Research comprises defining and redefining problems, formulating
hypothesis or suggested solutions; collecting, organising and evaluating
data; making deductions and reaching conclusions; and at last carefully
testing the conclusions to determine whether they fit the formulating
hypothesis.
- Clifford Woody

In simple words, Research is an original contribution to the existing stock of

knowledge making for its advancement.

The search for knowledge through objective and systematic method of

finding solution to a problem is research.
OBJECTIVES OF RESEARCH
• To gain familiarity with a phenomenon or to achieve new insights into it
(studies with this object in view are termed as exploratory or formulative
research studies);
• To portray accurately the characteristics of a particular individual, situation
or a group (studies with this object in view are known as descriptive
research studies);
• To determine the frequency with which something occurs or with which it
is associated with something else (studies with this object in view are
known as diagnostic research studies);
• To test a hypothesis of a causal relationship between variables (such
studies are known as hypothesis-testing research studies).
TYPES OF RESEARCH
• Descriptive vs. Analytical
Descriptive research includes surveys and fact-finding enquiries of
different kinds. The major purpose of descriptive research is
description of the state of affairs as it exists at present.

In analytical research, on the other hand, the researcher has to use

facts or information already available, and analyse these to make a
critical evaluation of the material.
TYPES OF RESEARCH cont…
• Applied vs. Fundamental
Research can either be applied (or action) research or fundamental (to
basic or pure) research.
Applied research aims at finding a solution for an immediate problem
facing a society or an industrial/business organisation, whereas
fundamental research is mainly concerned with generalisations and
with the formulation of a theory.
TYPES OF RESEARCH cont…
• Quantitative vs. Qualitative

Quantitative research is based on the measurement of quantity or

amount. It is applicable to phenomena that can be expressed in terms
of quantity (numbers).
Qualitative research, on the other hand, is concerned with qualitative
phenomenon, i.e., phenomena relating to or involving quality or kind.
For instance, when we are interested in investigating the reasons for
human behaviour (i.e., why people think or do certain things), we quite
often talk of ‘Motivation Research’, an important type of qualitative
research.
TYPES OF RESEARCH cont…
• Conceptual vs. Empirical

Conceptual research is that related to some abstract idea(s) or theory.

It is generally used by philosophers and thinkers to develop new
concepts or to reinterpret existing ones.
Empirical research relies on experience or observation alone, often
without due regard for system and theory. It is data-based research,
coming up with conclusions which are capable of being verified by
observation or experiment.
TYPES OF RESEARCH cont…
• Some Other Types of Research
One-time research or longitudinal research - In the former case the research
is confined to a single time-period, whereas in the latter case the research is
carried on over several time-periods.
Field-setting research or laboratory research or simulation research -
depending upon the environment in which it is to be carried out.
Clinical or diagnostic research – research follow case-study methods or in
depth approaches to reach the basic causal relations
Historical research - utilizes historical sources like documents, remains, etc.
to study events or ideas of the past, including the philosophy of persons and
groups at any remote point of time.
Significance of Research
• The role of research in several fields of applied economics, whether related to business
or to the economy as a whole, has greatly increased in modern times.
• Research provides the basis for nearly all government policies in our economic system.
• Research has its special significance in solving various operational and planning problems
of business and industry.
• Research is equally important for social scientists in studying social relationships and in
seeking answers to various social problems.
• To those students who are to write a master’s or Ph.D. thesis, research may mean a
careerism or a way to attain a high position in the social structure
• To professionals in research methodology, research may mean a source of livelihood
• To philosophers and thinkers, research may mean the outlet for new ideas and insights
Research Methods versus Methodology
Research methodology is a way to systematically solve the research
problem. It may be understood as a science of studying how research is
done scientifically.

Research methods may be understood as all those methods/techniques

that are used for conduction of research. Research methods or
techniques*, thus, refer to the methods the researchers use in
performing research operations.
Research Methods
Research Process
Criteria of Good Research
• Good research is systematic: It means that research is structured with
specified steps to be taken in a specified sequence in accordance with
the well defined set of rules.
• Good research is logical: This implies that research is guided by the
rules of logical reasoning and the logical process of induction and
deduction are of great value in carrying out research.
Problems Encountered by Researchers in India
• The lack of a scientific training in the methodology of research is a great impediment for
researchers in our country.
• There is insufficient interaction between the university research departments on one side and
business establishments, government departments and research institutions on the other side.
• There is the need for generating the confidence that the information/data obtained from a
business unit will not be misused.
• Research studies overlapping one another are undertaken quite often for want of adequate
information.
• There does not exist a code of conduct for researchers and inter-university and interdepartmental
rivalries are also quite common.
• There is also the difficulty of timely availability of published data from various government and
other agencies doing this job in our country.
• Many researchers in our country also face the difficulty of adequate and timely secretarial
assistance, including computerial assistance.
Defining the Research
Problem
Outline
• What is a Research Problem?
• Selecting the Problem
• Technique involved in Defining a Problem
• An Example
WHAT IS A RESEARCH PROBLEM?
• A research problem, in general, refers to some difficulty which a
researcher experiences in the context of either a theoretical or
practical situation and wants to obtain a solution for the same.
SELECTING THE PROBLEM
• The research problem undertaken for study must be carefully selected. The
problem depends upon the area of interest of the researcher. The following
points may be observed by a researcher in selecting a research problem or
a subject for research:
• Subject which is overdone should not be normally chosen, for it will be a difficult task
to throw any new light in such a case.
• Controversial subject should not become the choice of an average researcher. Too
narrow or too vague problems should be avoided.
• The subject selected for research should be familiar and feasible so that the related
research material or sources of research are within one’s reach.
• The importance of the subject, the qualifications and the training of a researcher, the
costs involved, the time factor are few other criteria that must also be considered in
selecting a problem.
• The selection of a problem must be preceded by a preliminary study.
TECHNIQUE INVOLVED IN DEFINING A PROBLEM
• Statement of the problem in a general way
• Understanding the nature of the problem
• Surveying the available literature
• Developing the ideas through discussions
• Rephrasing the research problem
An Example
Let us suppose that a research problem in a broad general way is as follows:
“Why is productivity in Japan so much higher than in India”?
In this form the question has a number of ambiguities such as: What sort of productivity is being
referred to? With what industries the same is related? With what period of time the productivity is
being talked about? In view of all such ambiguities the given statement or the question is much too
general to be amenable to analysis.
Rethinking and discussions about the problem may result in narrowing down the question to:
“What factors were responsible for the higher labour productivity of Japan’s manufacturing
industries during the decade 1971 to 1980 relative to India’s manufacturing industries?”
This latter version of the problem is definitely an improvement over its earlier version for the
various ambiguities have been removed to the extent possible.
Further rethinking and rephrasing might place the problem on a still better operational basis as
shown below:
“To what extent did labour productivity in 1971 to 1980 in Japan exceed that of India in
respect of 15 selected manufacturing industries? What factors were responsible for the
productivity differentials between the two countries by industries?”
Research Design
Outline
• Meaning of Research Design
• Need for Research Design
• Features of a Good Design
• Important Concepts relating to Research Design
• Developing a Research Plan
RESEARCH DESIGN
The task of defining the research problem is the preparation of the
design of the research project, popularly known as the “research
design”. Decisions regarding what, where, when, how much, by what
means concerning an inquiry or a research study constitute a research
design
Designing decisions
• What is the study about?
• Why is the study being made?
• Where will the study be carried out?
• What type of data is required?
• Where can the required data be found?
• What periods of time will the study include?
• What will be the sample design?
• What techniques of data collection will be used?
• How will the data be analysed?
• In what style will the report be prepared?
Parts of a Research Design
• the sampling design which deals with the method of selecting items
to be observed for the given study;
• the observational design which relates to the conditions under which
the observations are to be made;
• the statistical design which concerns with the question of how many
items are to be observed and how the information and data gathered
are to be analysed; and
• the operational design which deals with the techniques by which the
procedures specified in the sampling, statistical and observational
designs can be carried out.
FEATURES OF A GOOD DESIGN
A good design is often characterised by adjectives like flexible, appropriate,
efficient, economical and so on. Generally, the design which minimises bias
and maximises the reliability of the data collected and analysed is considered
a good design.
A research design appropriate for a particular research problem, usually
involves the consideration of the following factors:
• the means of obtaining information;
• the availability and skills of the researcher and his staff, if any;
• the objective of the problem to be studied;
• the nature of the problem to be studied; and
• the availability of time and money for the research work.
IMPORTANT CONCEPTS RELATING TO
RESEARCH DESIGN
• Dependent and independent variables: A concept which can take on
different quantitative values is called a variable. If one variable
depends upon or is a consequence of the other variable, it is termed
as a dependent variable, and the variable that is antecedent to the
dependent variable is termed as an independent variable. For
instance, if we say that height depends upon age, then height is a
dependent variable and age is an independent variable.
IMPORTANT CONCEPTS RELATING TO
RESEARCH DESIGN cont…
Extraneous variable: Independent variables that are not related to the
purpose of the study, but may affect the dependent variable are termed as
extraneous variables.
Suppose the researcher wants to test the hypothesis that there is a
relationship between children’s gains in social studies achievement and their
self-concepts. In this case self-concept is an independent variable and social
studies achievement is a dependent variable. Intelligence may as well affect
the social studies achievement, but since it is not related to the purpose of
the study undertaken by the researcher.
A study must always be so designed that the effect upon the dependent
variable is attributed entirely to the independent variable(s), and not to some
extraneous variable or variables.
IMPORTANT CONCEPTS RELATING TO
RESEARCH DESIGN cont…
Confounded relationship: When the dependent variable is not free
from the influence of extraneous variable(s), the relationship between
the dependent and independent variables is said to be confounded by
an extraneous variable(s).

Control: One important characteristic of a good research design is to

minimise the influence or effect of extraneous variable(s). The technical
term ‘control’ is used when we design the study minimising the effects
of extraneous independent variables. In experimental researches, the
term ‘control’ is used to refer to restrain experimental conditions.
Developing a Research Plan
Research plan must contain the following items.
1. Research objective should be clearly stated in a line or two which tells exactly what it is that the
researcher expects to do.
2. The problem to be studied by researcher must be explicitly stated so that one may know what
information is to be obtained for solving the problem.
3. Each major concept which researcher wants to measure should be defined in operational terms in
context of the research project.
4. The plan should contain the method to be used in solving the problem. An overall description of the
approach to be adopted is usually given and assumptions, if any, of the concerning method to be used
are clearly mentioned in the research plan.
5. The plan must also state the details of the techniques to be adopted.
6. A clear mention of the population to be studied should be made. If the study happens to be sample
based, the research plan should state the sampling plan i.e., how the sample is to be identified.
7. The plan must also contain the methods to be used in processing the data. Statistical and other methods
to be used must be indicated in the plan.
8. Results of pilot test, if any, should be reported.
9. Time and cost budgets for the research project should also be prepared and laid down in the plan itself.
Sampling Design
Outline
• Census and Sample Survey
• Steps in Sample Design
• Criteria of Selecting A Sampling Procedure
• Characteristics of A Good Sample Design
• Different Types of Sample Designs
• How to Select a Random Sample ?
• Complex Random Sampling Designs
• How to Stratify?
CENSUS AND SAMPLE SURVEY

• All items in any field of inquiry constitute a ‘Universe’ or ‘Population.’

• A complete enumeration of all items in the ‘population’ is known as a
census inquiry.
• When the field of inquiry is large, this method becomes difficult to adopt
because of the resources involved.
• In practical life, considerations of time and cost almost invariably lead
to a selection of respondents i.e., selection of only a few items.
• The respondents selected should be as representative of the total population.
• The selected respondents constitute what is technically called a ‘sample’ and
the selection process is called ‘sampling technique’.
STEPS IN SAMPLE DESIGN
1. Type of universe: clearly define the set of objects, technically called the Universe. The
population of a city, the number of workers in a factory and the like are examples of universes.
2. Sampling unit: Sampling unit may be a geographical one such as state, district, village, etc., or
a construction unit such as house, flat, etc., or it may be a social unit such as family, club,
school, etc., or it may be an individual.
3. Source list: It is also known as ‘sampling frame’ from which sample is to be drawn. It contains
the names of all items of a universe.
4. Size of sample: The number of items to be selected from the universe to constitute a sample.
The size of sample should be optimum.
5. Parameters of interest: One must consider the question of the specific population parameters
which are of interest.
6. Budgetary constraint: Cost considerations, from practical point of view, have a major impact
upon decisions relating to not only the size of the sample but also to the type of sample.
7. Sampling procedure: The researcher must decide the type of sample he will use i.e., he must
decide about the technique to be used in selecting the items for the sample.
CRITERIA OF SELECTING A SAMPLING PROCEDURE
Researcher must keep in view the two causes of incorrect inferences viz., systematic bias
and sampling error.
• A systematic bias results from errors in the sampling procedures, and it cannot be
reduced or eliminated by increasing the sample size. A systematic bias is the result of
one or more of the following factors:
• Inappropriate sampling frame
• Defective measuring device
• Non-respondents
• Indeterminacy principle
• Natural bias in the reporting of data

Sampling errors are the random variations in the sample estimates around
the true population parameters. Sampling error decreases with the increase
in the size of the sample, and it happens to be of a smaller magnitude in case
of homogeneous population.
CHARACTERISTICS OF A GOOD SAMPLE DESIGN
• Sample design must:
• result in a truly representative sample.
• be such which results in a small sampling error.
• be viable in the context of funds available for the research study.
• be such so that systematic bias can be controlled in a better way.
• be such that the results of the sample study can be applied, in general, for the
universe with a reasonable level of confidence.
DIFFERENT TYPES OF SAMPLE DESIGNS
DIFFERENT TYPES OF SAMPLE DESIGNS
• Representation basis: probability sampling or non-probability
sampling.
• Probability sampling is based on the concept of random selection, whereas
non-probability sampling is ‘non-random’ sampling.
• Element selection basis: unrestricted or restricted.
• When each sample element is drawn individually from the population at
large, then the sample so drawn is known as ‘unrestricted sample’, whereas
all other forms of sampling are covered under the term ‘restricted sampling’.
HOW TO SELECT A RANDOM SAMPLE ?
• draw as a lottery – impractical
• draw without replacement from a box
• Tippets tables
• Excel – random function
• Random number generators
COMPLEX RANDOM SAMPLING DESIGNS
• Systematic sampling: the most practical way of sampling is to select
every ith item on a list. Sampling of this type is known as systematic
sampling.
• in systematic sampling only the first unit is selected randomly and the
remaining units of the sample are selected at fixed intervals.
• Advantages:
• the systematic sample is spread more evenly over the entire population.
• an easier and less costlier method of sampling.
• can be conveniently used even in case of large populations

BUT If there is a hidden periodicity in the population, systematic sampling will prove to be an
inefficient method of sampling.
COMPLEX RANDOM SAMPLING DESIGNS
• Stratified sampling: If a population does not constitute a
homogeneous group, stratified sampling technique is generally
applied in order to obtain a representative sample.
• Under stratified sampling the population is divided into several sub-
populations that are individually more homogeneous than the total
population
• the different sub-populations are called ‘strata’
• then we select items from each stratum to constitute a sample.
COMPLEX RANDOM SAMPLING DESIGNS
• Cluster sampling: If the total area of interest happens to be a big one,
a convenient way in which a sample can be taken is to divide the area
into a number of smaller non-overlapping areas and then to randomly
select a number of these smaller areas
• the areas are usually called clusters,
• the ultimate sample consisting of all (or samples of) units in these small areas
or clusters.
How to stratify?
The following three questions are highly relevant in the context of
stratified sampling:
1. How to form strata?
2. How should items be selected from each stratum?
3. How many items be selected from each stratum or how to allocate
the sample size of each stratum?
How to stratify?
How to form strata?
• the strata be formed on the basis of common characteristic(s) of the
items to be put in each stratum.
How should items be selected from each stratum?
• the usual method, for selection of items for the sample from each
stratum, resorted to is that of simple random sampling. Systematic
sampling can be used if it is considered more appropriate in certain
situations.
How to stratify?
How many items be selected from each stratum or how to allocate the
sample size of each stratum?
• we usually follow the method of proportional allocation under which
the sizes of the samples from the different strata are kept
proportional to the sizes of the strata.
Data Collection
Outline
• Collection of Primary Data
• Methods of collecting Primary Data
• Observation Method
• Interview Method
• Guidelines for Successful Interviewing
• Collection of Data through Questionnaires
• Guidelines for Constructing Questionnaire/Schedule
• Collection of Data through Schedules
• Difference between Questionnaires and Schedules
• Some other Methods of Data Collection
• Collection of Secondary Data
• Selection of Appropriate Method for Data Collection
• Difference Between Survey and Experiment
COLLECTION OF PRIMARY DATA

• All items in any field of inquiry constitute a ‘Universe’ or ‘Population.’

• A complete enumeration of all items in the ‘population’ is known as a
census inquiry.
• When the field of inquiry is large, this method becomes difficult to adopt
because of the resources involved.
• In practical life, considerations of time and cost almost invariably lead
to a selection of respondents i.e., selection of only a few items.
• The respondents selected should be as representative of the total population.
• The selected respondents constitute what is technically called a ‘sample’ and
the selection process is called ‘sampling technique’.
Methods of collecting primary data
1. observation method,
2. interview method,
3. through questionnaires,
4. through schedules, and
5. other methods which include:
1. warranty cards;
2. Distributor audits;
3. pantry audits;
4. consumer panels;
5. using mechanical devices;
6. through projective techniques;
7. depth interviews, and
8. content analysis
Observation Method
• The observation method is the most commonly used method
specially in studies relating to behavioural sciences. Under the
observation method, the information is sought by way of
investigator’s own direct observation without asking from the
respondent.
Please watch the following video to understand in detail the
advantages and limitations of observation method.
https://www.youtube.com/watch?v=6E4HbC2Qvzw
Interview Method
The interview method of collecting data involves presentation of oral-verbal stimuli
and reply in terms of oral-verbal responses.
• This method can be used through personal interviews and, if possible, through telephone
interviews.
The chief merits of the interview method are as follows:
• More information and that too in greater depth can be obtained.
• Interviewer by his own skill can overcome the resistance, if any, of the respondents; the
interview method can be made to yield an almost perfect sample of the general population.
• There is greater flexibility under this method as the opportunity to restructure questions is
always there, specially in case of unstructured interviews.
• Observation method can as well be applied to recording verbal answers to various questions.
• Personal information can as well be obtained easily under this method.
• Samples can be controlled more effectively as there arises no difficulty of the missing
returns; non-response generally remains very low.
Interview Method
The important weaknesses, mention may be made of the following:
• It is a very expensive method, specially when large and widely spread geographical
sample is taken.
• There remains the possibility of the bias of interviewer as well as that of the
respondent; there also remains the headache of supervision and control of
interviewers.
• Certain types of respondents such as important officials or executives or people in
high income groups may not be easily approachable under this method and to that
extent the data may prove inadequate.
• This method is relatively more-time-consuming, specially when the sample is large
and recalls upon the respondents are necessary.
• The presence of the interviewer on the spot may over-stimulate the respondent,
sometimes even to the extent that he may give imaginary information just to make
the interview interesting.
Guidelines for Successful Interviewing
Interviewing is an art and one learns it by experience. However, the following
points may be kept in view by an interviewer for eliciting the desired information:
• Plan in advance and be fully aware of the problem.
• Choose a suitable time and place so that the interviewee may be at ease during
the interview period.
• Approach must be friendly and informal. Establish proper rapport with the
interviewee.
• Should possess the ability to listen with understanding, respect and curiosity
• Must behave with self-restraint and self-discipline.
• The questions must be well phrased in order to have full cooperation of the
interviewee.
• Control the course of the interview in accordance with the objective of the study.
COLLECTION OF DATA THROUGH QUESTIONNAIRES

This method of data collection is quite popular, particularly in case of

big enquiries. It is being adopted by private individuals, research
workers, private and public organisations and even by governments.
• In this method a questionnaire is sent (usually by post) to the persons
concerned with a request to answer the questions and return the
questionnaire.
• A questionnaire consists of a number of questions printed or typed in a
definite order on a form or set of forms.
COLLECTION OF DATA THROUGH QUESTIONNAIRES
• The merits claimed on behalf of this method are as follows:
• There is low cost even when the universe is large.
• It is free from the bias of the interviewer; answers are in respondents’ own words.
• Respondents have adequate time to give well thought out answers.
• Respondents, who are not easily approachable, can also be reached conveniently.
• Large samples can be made use of and thus the results can be made more dependable and
reliable.
• The main demerits of this system can also be listed here:
• Low rate of return of the duly filled in questionnaires; bias due to no-response is often
indeterminate.
• It can be used only when respondents are educated and cooperating.
• The control over questionnaire may be lost once it is sent.
• There is also the possibility of ambiguous replies or omission of replies altogether to certain
questions; interpretation of omissions is difficult.
• It is difficult to know whether willing respondents are truly representative.
• This method is likely to be the slowest of all.
Guidelines for Constructing Questionnaire/Schedule
The researcher must pay attention to the following points in constructing an appropriate and effective
questionnaire or a schedule:
• Understand the research problem.
• Appropriate form of questions depends on the nature of information sought, the sampled respondents and
the kind of analysis intended.
• The researcher must decide whether to use closed or open-ended question.
• The units of enumeration should also be defined precisely so that they can ensure accurate and full
information.
• Rough draft of the Questionnaire/Schedule be prepared, giving due thought to the appropriate sequence of
putting questions. Questionnaires or schedules previously drafted (if available) may as well be looked into at
this stage.
• Researcher must invariably re-examine, and in case of need may revise the rough draft for a better one.
• Pilot study should be undertaken for pre-testing the questionnaire.
• Questionnaire must contain simple but straight forward directions for the respondents so that they may not
feel any difficulty in answering the questions.
SECONDARY DATA
Secondary data means data that are already available i.e., they refer to the
data which have already been collected and analysed by someone else.
Before using secondary data, the researcher must see that they possess
following characteristics:
• Reliability of data: The reliability can be tested by finding out such things
about the said data:
• Who collected the data?
• What were the sources of data?
• Were they collected by using proper methods
• At what time were they collected?
• Was there any bias of the compiler?
• What level of accuracy was desired? Was it achieved ?
COLLECTION OF SECONDARY DATA
• Suitability of data: The data that are suitable for one enquiry may not
necessarily be found suitable in another enquiry. In this context, the
researcher must very carefully scrutinise the definition of various
terms and units of collection used at the time of collecting the data
from the primary source originally.
• Adequacy of data: If the level of accuracy achieved in data is found
inadequate for the purpose of the present enquiry, they will be
considered as inadequate and should not be used by the researcher.
SOURCES OF SECONDARY DATA
Secondary data may either be published data or unpublished data.
Published data sources:
• various publications of the central, state are local governments;
• various publications of foreign governments or of international bodies and their subsidiary
organisations;
• technical and trade journals;
• books, magazines and newspapers;
• reports and publications of various associations connected with business and industry, banks,
stock exchanges, etc.;
• reports prepared by research scholars, universities, economists, etc. in different fields; and
• public records and statistics, historical documents, and other sources of published information.
Unpublished Data Sources:
• they may be found in diaries, letters, unpublished biographies and autobiographies;
• may also be available with scholars and research workers, trade associations, labour bureaus; and
• other public/ private individuals and organisations.
SELECTION OF APPROPRIATE METHOD FOR
DATA COLLECTION
1. Nature, scope and object of enquiry
2. Availability of funds
3. Time factor
4. Precision required
Data Analysis - Quantitative
Outline
• Identifying meaningful patterns in research data
• Converting into tables data
• Coding questions
• Analysing data with statistical methods
Interpretation of Data

• Interpretation and analysis are closely related. If one or the other is

not carried out properly, the success of a study cannot be assured.
• In order to ensure that procedures for analysing the collection of data
are given the proper attention, a formal data-analysis plan should be
developed in the early stages of the project. Such a plan should
identify:
1. major variables to be studied
2. methods used to measure the variables
3. analysis procedures that will be used to give meaning to the collected data.
Tabulation
• The two major approaches employed in summarising the results of
marketing research are tabulation and statistical analysis.
• Tabulation is the preparation of tables showing the frequency distribution of
particular events.
• Patterns in the data can often be spotted from a cursory examination of data
• Three steps are involved in converting completed questionnaires to tables:
editing, coding and counting.
STATISTICAL ANALYSIS
MEASURES OF CENTRAL TENDENCY
Averages or measures of central tendency come in three forms: the mode,
the mean and the median.
• Mode - The mode represents the point in an array showing the greatest response
level. It is not an average used often in marketing research, but it takes on
considerable importance when looking at ordinal data.
• Mean - The mean is a commonly used average in marketing research and is readily
understood as the sum total of values divided by the number of cases.
• However, it has one shortcoming: it is affected by a few large or small numbers (skewing),
since it is based on all the values in the array.
• Median - The median is the value of the middle case in an ordered series. There are
as many cases on the higher side as on the lower side. The measure offers the
advantage of being unaffected by extreme cases at one end or the other.
Measures of dispersion
• Range - This is the interval from the lowest to the highest value in an
array of data.
• Variance - This is an index that indicates the extent to which the
values are dispersed. Were every observation in a dataset the same
value, the variance would be zero. Variance increases as values differ
significantly from the mean.
• Standard deviation - This is the square root of the variance and is
represented by the symbol S.
SIGNIFICANCE OF DIFFERENCES BETWEEN NUMBERS
• Hypotheses - The first step in tests of significance is to make a claim
which one then has to find evidence against. This statement is called
the null hypothesis. The test is intended to determine the strength of
the evidence against the null hypothesis. The term null hypothesis is
abbreviated as H0
• For example, suppose that p1 is the proportion of the whole population of
British males who would have been illness free in 1999 had they ridden a
bicycle to work each day and let p2 stand for the illness free proportion had
they gone to work in their cars instead. The null hypothesis is: H0 : p1 = p2
• The name given to the statement we hope or suspect is true instead
of H0 is called the alternative hypothesis, abbreviated by H1.
• The alternative hypothesis in this case is that riding a bicycle to work is more
effective than travelling by car. In terms of the population parameters this is:
H1 : p1 > p2
Measuring differences
• Whenever sample data are being used, we have to compensate for
sampling error.
• Z and t tests are methods used to assess the differences among data while
still taking into account the influence that sampling error may have played.
• Z test - One- and two-tailed tests The tabular value of Z at any level
of significance depends on whether a one- or a two-tailed test is
involved.
• Where we are looking for
• equality between two sets of data, H0 : μ1 = μ2, a two-tailed test is appropriate.
• whether something is greater than something else, a one-tailed test is appropriate.
Two-tailed and One-tailed hypothesis
• Consider a soft drink bottling plant which dispenses soft drinks in
bottles of 300 ml capacity. The bottling process is automated. An
overfilling of bottles means huge loss to the company. An under filling
means unsatisfied customers resulting in loss of brand.
• Hence the objective of the company should be to avoid both
overfilling and under filling. Hence for the company it is very
pertinent to test the hypothesis whether the mean content of the
bottles is different from 300 ml.
• H0 = µ = 300 ml
• H1 = µ ≠ 300 ml
• The hypotheses stated above are called two tailed hypothesis or two-
sided hypotheses.
Two-tailed and One-tailed hypothesis
• However, if the concern is overfilling of the bottles, it is very pertinent
for the company to test the hypothesis whether the mean content of
the bottles is greater than 300 ml.
• H0 = µ = 300 ml
• H1 = µ > 300 ml

• Similarly if the company is more concerned about it’s brand value, it

will try to avoid under filling.
• H0 = µ = 300 ml
• H1 = µ < 300 ml

• The hypotheses stated above are called one tailed hypothesis or one -
sided hypotheses.
 Type I and II Error
• If the null hypothesis is true and is accepted or if it is false and is
rejected, then the decision is correct in either case. However, if Null
hypothesis is true and it is rejected or vice versa, we are committing
an error.
Level of Significance (α)
• It denotes the probability of rejecting the null hypothesis when it is
true. In other words, it is also the probability of committing a Type I
error and is denoted by α.
• The probability of committing a Type II error is denoted by β.
• The term (1-β) is called the power of the test.
Steps in Hypothesis Testing
1. Setting up of a Hypothesis
2. Setting up of a suitable significance level
3. Determination of test statistics
4. Determination of critical region
5. Computing the value of test-statistic
6. Making Decision
Appropriateness of test statistic in Hypothesis
testing about means
• If the population standard deviation is known, a Z statistic can be
used. In case is unknown and is estimated using the sample data, a t-
test with appropriate degree of freedom is used under the
assumption that the sample is drawn from a normal population.
Measuring differences
• t test - The procedures for using the t test are similar to those for
using the Z test. However, there are different formulae that are
applicable in different situations.
• Mann-Whitney U test: this is used when comparing two groups, but the basis
for comparison is data in ordinal form.
• Wilcoxon or signed rank test: this is appropriate for situations where two
matching (non-independent) samples are being compared using ordinal (non-
parametric) data.
• Kruskal-Wallis test: this is used when more than two independent samples
are involved and the data are ordinal.
• Friedman two-way analysis of data: this is used when three or more related
samples are involved and the data are ordinal.
CHI-SQUARE ANALYSIS
• Difference between numbers in a series of arrays - In this case a
comparison is made between the answers given by people with
different sets of characteristics to a particular question.
Characteristics of the people include demographics, such as
geography, household size, the presence of children, income, sex and
age.
• Chi-square is a statistical tool used to evaluate the statistical
significance of differences between sets of data.
• Basically, it compares one or more frequency distributions of data to indicate
whether there is a real difference.
ANALYSIS OF VARIANCE
• Analysis of variance is a method used extensively in evaluating the
results of experiments. The general question involves determining the
influence of a treatment on a dependent variable.
MEASURING RELATIONSHIPS
• Regression and correlation both measure the relationship between a
dependent variable and one or more independent variables, but each
shows this relationship in a different manner.
• Regression analysis identifies the nature of the relationship using an
equation,
• whereas correlation analysis describes the strength of relationships between
variables by means of an index.
• Correlation analysis - A coefficient of determination 𝑟 2 is computed
and indicates the proportion of change in the dependent variable that
is associated with changes in the independent variable.
• For instance, an r of 0.49 means that 49% of the variation in the dependent
2

variable is associated with changes in the independent variable.

A strong correlation does not establish causality.
Regression analysis
• The first step in regression analysis is to plot the relationships
between the dependent and the independent variables on a graph.
• This will give some idea of the general kinds of relationship that exist between
the data.
• Regression analysis fits a line through the data points that minimises the sum
of the squared deviations.
• the regression equation for the relationship between one independent
variable and one dependent variable by means of the following equation:
• Y = a + b(X)
Multivariate analysis
• Multiple regression analysis is usually the preferred way of
introducing more than one independent variable into the study. The
multiple regression model is an expansion of the simple regression
model:
• Y = a + 𝒃𝟏 𝑿𝟏 + 𝒃𝟐 𝑿𝟐 + . . . + 𝒃𝒏 𝑿𝒏
• The number of independent variables used in each model depends on
how many are needed to estimate adequately the value of the
dependent variable.
REPORT WRITING AND
PRESENTATION
Topics
• Significance Of Report Writing
• Writing a Research Report
• Report Layout and Format
• Precautions for Writing Research Reports
• Research Presentation
Significance Of Report Writing
• Research task remains incomplete till the report has been presented
and/or written
• Effective communication of research is very important
• The purpose of research is only served if the findings are made known
to others
Writing a Research Report
Steps in Report Writing
1. Logical analysis of the subject matter
a. Development of subject matter either logically or chronologically
2. Preparation of the final outline
a. Creating the skeleton on which the long written works are constructed
3. Preparation of the rough draft
a. follows the logical analysis of the subject and the preparation of the final
outline
4. Rewriting and polishing of the rough draft
a. Reiterations help refine the rough draft and remove any errors
Writing a Research Report
Steps in Report Writing
1. Preparation of the final bibliography
a. bibliography, is a list of all the references that the researcher has consulted
b. should be arranged alphabetically and may be categorised as per the types
of sources (books, magazines, research papers, newspapers, etc)
c. A proper formatting guideline should be followed (for ex. – APA)
2. Writing the final draft
a. should be written in a concise and objective style
b. the language should be simple
c. avoid vague expressions
Report Layout and Format
Preliminary Pages
• should carry a title and date
• followed by acknowledgements
• a table of contents followed by list of tables and illustrations

Main Text
• provides the complete outline of the research report
• The main text of the report should have the following sections:
• (i) Introduction; (ii) Statement of findings and recommendations; (iii) The results; (iv) The implications drawn from the
results; and (v) The summary

End Matter
• appendices should be enlisted in respect of all technical data such as questionnaires, sample information, mathematical
derivations
Precautions for Writing Research Reports
• Length of the report: one should keep in view the fact that it should
be long enough to cover the subject but short enough to maintain
interest.
• A research report should not, if this can be avoided, be dull
• Abstract terminology and technical jargon should be avoided in a
research report.
• Readers are often interested in acquiring a quick knowledge of the
main findings and as such the report must provide a ready availability
of the findings.
• The layout of the report should be well thought out.
Research Presentation
• In certain cases, like policy recommendations oral presentation is
more effective.
• Leads to discussion which might better the research
• Oral presentation is effective when supplemented by various visual
devices
• Use of slides, wall charts and blackboards is quite helpful
• Distributing a board outline, with a few important tables and charts
concerning the research results is also helpful to gain listeners’
attention.