Grp1RICERCA

7/30/2019 Grp1RICERCA

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Chapter 2 - Research Process

Chapter 1 : Research Fundamentals

Chapter 2: Research Process

Prepared by Group 1

RICERCA

Chapter nos. Topics Page nos.1 Research fundamentals

Definition of research

Basics vs applied research

Market and marketing research

Information systems, decision support

systems, and marketing research

Advantages of MR

Limitations of the MR Application of marketing research

01

03

03

03

05

06

07

2 Research process

Steps in the process of research

Problem discovery

Problem definition

Research objectives

Developing hypothesis for a particular

problem Research design

Research method

Data collection sources and tools

Sampling methods

Use of scales in research

Data processing

Data analysis

process18

191919

20

212122

2323

242425

Group 1 RICERCA Icha-3, Pranali-8, Pratibha-13, Radhika-15, Shradha-25 Page 1Zaineb-26, Neha-38 -- (VES College, Chembur)


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Research report

1. RESEARCH FUNDAMENTALS

MEANING OF RESEARCH

Research in common parlance refers to a search for knowledge. One can also defineresearch as a scientific and systematic search for pertinent information on a specifictopic. In fact, research is an art of scientific investigation. The Advanced LearnersDictionary of Current English lays down the meaning of research as a carefulinvestigation or inquiry specially through search for new facts in any branch ofknowledge. Redman and Mory define research as a systematized effort to gain newknowledge. Some people consider research as a movement from the known to theunknown. It is actually a voyage of discovery. We all possess the vital instinct of

inquisitiveness for, when the unknown confronts us, we wonder and ourinquisitiveness makes us probe and attain full and fuller understanding of theunknown. This inquisitiveness is the mother of all knowledge and the method, whichman employs for obtaining the knowledge of whatever the unknown, can be termedas research.

Research is an academic activity and such a term should be used in atechnical sense. According to Clifford Woody research comprises defining

and redefining problems, formulating hypothesis or suggested solutions;

collecting, organizing and evaluating data; making deductions and reaching

conclusions to determine whether they fit the formulating hypothesis.

D.Slesinger and M.Stephenson in the Encyclopedia of Social Sciences define

research as the manipulation of things, concepts or symbols for the

purpose of generalizing to extend, corrector verify knowledge, whether that

knowledge aids in construction of theory or in the practise of art.

Research is thus an original contribution to the existing stock of

knowledge making for its advancement. It is the pursuit of truth with the

help of study, observation, comparison and experiment. In short, the search

for knowledge through objective and systematic method of finding solution

to a problem is research. The systematic approach concerning generalization

and the formulation of a theory is also research. As such the term

research refers to the systematic method consisting of enunciating the

problem, formulating a hypothesis, collecting facts or data, analyzing the

facts and reaching certain conclusion either in the form of solutions

towards the concerned problem or in certain generalization for some

theoretical formulation.

OBJECTIVE OF RESEARCH

The purpose of research is to discover answers through the application ofscientific procedures. The main aim of research is to find out the truth which ishidden and which has not been discovered as yet. Though each research study hasits own specific purpose, we may think of research objectives as falling into numberof broad grouping:



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Database

Information systems contain three types of information.1. The first is recurring day-today information.2. A second type of information is intelligence relevant to the future strategy of the

business.3. A third input to the information system is research studies that are not of a

recurring nature. The potential usefulness of a marketing research study can bemultiplied manifold if the information is accessible instead of filed and forgotten.However, the potential exists that others may use the study, although perhapsnot in the way it was originally intended.

Decision support system

Database have no value if the insights they contain cannot be retrieved. A decisionsupport system not only allows the manager to interact directly with the database toretrieve what is wanted, it also provides a modeling function to help make sense ofwhat has been retrieved.

Application information system to marketing research

The information system serves to emphasize that marketing research should notexist in isolation as a single effort to obtain information. Rather, it should be part of asystematic and continuous effort by the organization to improve the decision-making

process.

MARKETING DECISION SUPPORT SYSTEMS

A typical marketing manager regularly receives some or all of the following data:factory shipments or orders; consumer panel data; scanner data; demographic data;and internal cost and budget data.Managers dont want data. They want, and need, decision-relevant information inaccessible and preferably graphical form for(1) Routine comparison of current performance against past trends on each of the

key measures of effectiveness(2) Periodic exception reports to assess which sales territories or accounts have not

matched previous tears purchases and(3) Special analyses to evaluate the sales impact of particular marketing programs

and to predict what would happen if changes were made. In addition, differentdivisions would like to be linked to enable product managers, sales planners,market researchers, financial analysts and production schedules to shareinformation.

The purpose of a marketing decision support system (MDSS) is to combinemarketing data from diverse sources into a single database which line managers canenter interactively to quickly identify problems and obtain standards, periodic reports,

as well as answers to analytical questions.Group 1 RICERCA Icha-3, Pranali-8, Pratibha-13, Radhika-15, Shradha-25 Page 4

Zaineb-26, Neha-38 -- (VES College, Chembur)


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Characteristics of a MDSS

A good MDSS should have the following characteristics1. Interactive. The process of interaction with the MDSS should be simple anddirect. With just a few commands the user should be able to obtain the resultsimmediately. There should be no need for a programmer in between.

2. Flexible. A good MDSS should be flexible. It should be able to present theavailable data in either discrete or aggregate form. It should satisfy theinformation needs of the managers in different hierarchical levels and functions.

3. Discovery oriented. The MDSS should not only assist managers in solving theexisting problems but should also help them to probe for trends and ask newquestions. The managers should be able to discover new patterns and be able toact on them using the MDSS.

4. User friendly. The MDSS should be user friendly. It should be easy for themanagers to learn and use the system. It should not take hours just to figure outwhat is going on. Most MDSS packages are menu driven and are easy tooperate.

A typical MDSS is assembled from four components

1. Database2. Reports and displays3. Analysis capabilities4. Models

ADVANTAGES OF MR

For decision makers, faced with the decisions and doubts described above, whatshould be the benefits of having research conducted? The most universal andusually most vital is this: reduction of uncertainty. If research findings contribute any


Manager

Mana er

Modeling

Analysis Database

Display


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relevant knowledge of what exists, that the decision maker was ignorant of, or if itprovides new clues to what is likely in the future, they should enable a more accurateconclusive decision to be reached.

Uncertainty can not be wholly eliminated with relevant research, but it may bemarkedly reduced.Research also may be of benefit in ways ordinarily thought of as uncertaintyreduction:(1) Problems may come to light that otherwise would be not be known until they

became very serious or even insoluble(2) Objectives may come under reevaluation when evidence indicates that(a) they may be too high to be feasible under expected conditions or(b) they should be higher due to overlooked opportunity(3) Better alternatives may be revealed or their conception stimulated(4) Marketing research may be useful as evidence in legal matters.

We would call attention to other benefits, such as the psychological one of makingthe decision-maker feel more confident and willing to be decisive. Prejudice againstnew ideas may be overcome by evidence from the market place. Sociologically,research can keep the executives attuned to changing consumer needs and wantsand to the impacts of consumerism. Less laudable are political motives for marketingresearch, like the executives who wants it to confirm some preconceived ideas andovercome rivals in the organization (but would suppress if they fail to confirm).

LIMITATIONS TO MR

Some of the limitations faced by the researchers in MR are:1. The lack of scientific training in the methodology of research is a great

impediment for researchers in our country. There is paucity of competentresearchers. Many researchers take a leap in the dark without knowing researchmethods. Most of the work, which goes in the name of research, is notmethodologically sound. Research to many researchers and even to their guides,is mostly a scissors and paste job without any sight shed on the collatedmaterials. The consequence is obvious, viz, the research results, quite often, donot reflect the reality or realities. Before undertaking research projects,researchers should be well equipped with all the methodological aspects. Assuch, efforts should be made to provide short-duration intensive courses for

meeting this requirement.2. There is insufficient interaction between the university research departments onone side and business establishments, government departments and researchinstitutions on the other side. A great deal of primary data of non-confidentialnature remain untouched/untreated by the researchers for want of propercontacts. Efforts should be made to develop satisfactory liaison among allconcerned for better and realistic researchers. There is need for developing somemechanisms of a university industry interaction programme so that academicscan get ideas from practitioners on what needs to be researched andpractitioners can apply the research done by the academics.

3. Most of the business units in our country do not have the confidence that the

material supplied by them researchers will not be misused and as such they areGroup 1 RICERCA Icha-3, Pranali-8, Pratibha-13, Radhika-15, Shradha-25 Page 6



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often reluctant in supplying the needed information to researchers. The conceptof secrecy seems to be sacrosanct to business organizations in the country somuch so that it proves an impermeable barrier to researchers. Thus, there is the

need for generating the confidence that the information/data obtained from abusiness unit will not be misused.4. Research studies overlapping one another are undertaken quite often for want of

adequate information. This results in duplication and fritters away resources. Thisproblem can be solved by proper compilation and revision, at regular intervals, ofa list of subjects on which and the places where the research problems in variousdisciplines of applied science which are of immediate concern to the industries.

5. There does not exist a code of conduct for researchers and inter-university andinter-departmental rivalries are also quite common. Hence, there is need fordeveloping a code of conduct for researchers which, if adhered sincerely, can winover this problem.

6. Many researchers in our country also face the difficulty of adequate and timelysecretarial assistance, including computerial assistance. This causesunnecessary delays in the completion of research studies. All possible efforts bemade in this direction so that efficient secretarial assistance is made available toresearchers and that too well in time. University Grants Commission must play adynamic role in solving this difficulty.

7. Library management and functioning is not satisfactory at many places and muchof the time and energy of researchers are spent in tracing out the books, journals,reports, etc., rather than in tracing out relevant material from them.

8. There is also the problem that many of our libraries are not able to get copies ofold and new Acts/Rules, reports and other government publications in time. This

problem is felt more in libraries, which are away in places from Delhi and/or thestate capitals. Thus, efforts should be made for regular and speedy supply of allgovernmental publications to reach our libraries.

APPLICATION OF MARKETING RESEARCH

TRADITIONAL APPLICATION OF MARKETING RESEARCH

Traditionally, marketing decisions have been divided into 4Ps product,

price, promotion and place decisions.

I. New-product research

New product development is critical to the life of most organizations as they adapt totheir changing environment. Since, by definition, new products containunfamiliar aspects for the organization, there will be uncertainty associatedwith new products. New product can be divided into four stages



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1. Concept generation

There are two types of concept generation research. They are:a. Need identification. The emphasis in need research is on identifying unfilled

needs in the market. Marketing research can identify needs in various ways.Some are qualitative and others, such as segmentation studies can bequantitative. Following are some examples:

i. Perceptual maps, in which products are positioned along the dimensions bywhich users perceive and evaluate, can suggest gaps into which newproducts might fit. Multidimensional scaling is used to generate theseperception gaps.

ii. Social and environment trends can be analyzed.iii. An approach termed benefit structure analysis has product users identify the

benefits desired and the extent to which the product delivers those benefits,for specification applications. The result is an identification of benefits soughtthat current product do not deliver.

iv. Lead user analysis is the approach in which instead of just asking users whatthey have done, their solutions are collected more formally. Lead users arepositioned to benefit significantly by solving problems associated with theseneeds. Once a lead user is identified, the concepts that company or persongenerates are tested.

b. Concept identification. During the new product development process there is

usually a point where a concept is formed but there is no tangible usable productGroup 1 RICERCA Icha-3, Pranali-8, Pratibha-13, Radhika-15, Shradha-25 Page 8


Concept Generation

Need Identification

Concept Identification

Concept Evaluation and

Development

Product Evaluation and

Development

Testing the Marketing

Program


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Really new product

Really new product normally take a long time (sometimes 15 to 20 years) fromconception to national introduction. Really new products (RNPs) are those that:

Create or expand a new category, thereby making cross-category competition the

key (e.g., fruit teas versus soft drinks)

Are new to customers, for whom substantial learning is often required (i.e., what it

can be used for, what it competes with, why it is useful).

Raise broad issues such as appropriate channels of distribution and

organizational responsibility.

Create (sometimes) a need for infrastructure, software and add-ons.

II. PRICING RESEARCH

Research may be used to evaluate alternatives price approaches for new productsbefore launch or for proposed changes in products already on the market.There are two general approaches to pricing research.1. The first is the well-established Gabor and Grainger method. In this method,

different prices for a product are presented to respondents (often by using test-priced, with the corresponding number of affirmative purchase intentions isproduced.

2. In a second approach, respondents are shown different sets of brands in thesame product category, at different prices and are asked which they would buy.

This multibrand-choice method allows respondents to take into accountcompetitions brands as they normally would outside such a test. S such, thistechnique represents a form of simulation of the point of sale.

Decisions regarding price ranges for new product have to be made early in thedevelopment stage. A product concept cannot be tested fully, for example, withoutindicating its price, so when the product is ready to be introduced, a decision mustbe made about its specific price. Decisions on price changes-should we change theprice, and, if so, in which way and by how much? will then need to be made overthe products life cycle.Either of two pricing strategies can be followed.

1. Skimming strategy.

The skimming strategy is based on the concept of pricing the product at the point atwhich profits will be the greatest until market conditions change or supply costsdictate a price change. Under this strategy, the optimal price is the one that results inthe greatest positive difference between total revenues and total costs.

2. Share-penetration strategy

Penetration strategy is a strategy based on the concept that average unit production

costs continue to go down as cumulative output increases. Potential profits in theGroup 1 RICERCA Icha-3, Pranali-8, Pratibha-13, Radhika-15, Shradha-25 Page 10



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early stages of the product life cycle are sacrificed in the expectation that highervolumes in later periods will generate sufficiently greater profits to result in overallprofit for the product over its life.

III. Distribution research

Traditionally, the distribution decisions in marketing strategy involve the number andlocation of salepersons, retail outlets, warehouses and the size of discount to beoffered. The discount to be offered to the members in the channel of distributionusually is determined by what is being offered by existing or similar products, andalso whether the firm wants to follow a push or a pull strategy. Marketingresearch, however, plays an important role in the number and location in decisionsabout numbers and locations.

a. Warehouse and Retail Location Research

The essential questions to be answered before a location decision ismade are: What costs and delivery times would result if we choose onelocation over another?Simulation of scenarios is used to answer these questions. The simulation can berelatively simple, paper-and-pencil exercise for the location of a single warehouse ina limited geographic area, or it can be a complex, computerized simulation of awarehousing system for a regional or national market.i. Center of gravity simulation. The center for gravity method of simulation is

used to locate a single warehouse or retail site. In this method, theapproximate location that will minimize the distance to customers, weightedby the quantities purchased, is determined. The more symmetry there is incustomer locations and weights, the more nearly the initial calculationapproximates the optimal location. The location indicated by the firstcalculation can be checked to be determine if it is optimal (or near optimal) byusing a confirming procedure. If it in not optimal, successive calculations canbe made as necessary to home in on the best location.

ii. Computerized simulation models. The concept involved in simulations for thispurpose is quite simple. Data that describes the customer characteristics(location of plants, potential warehouse and retail sites) and distribution costs

(costs per mile by volume shipped, fixed and variable costs of operating eachwarehouse, the effect of shipping delays on and variable costs of operatingeach warehouse, the effect of shipping delays on customer demand) aregenerated and input into the computer. The computer is programmed tosimulate various combinations of numbers and locations of warehouses, andto indicate which one(s) gives the lowest total operating cost. Effective resultshave been achieved by using computer simulations to design distributionsystems.

iii. Trade area analysis. Formal models have been developedthat can be used topredict the trading area of a given shopping center or retail outlet based onrelative size, travel time, and image. A variety of other techniques can be



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used to establish trading areas. An analysis of the addresses of the creditcard customers or license plates of the cars (by plotting the addresses of thecar owners) can provide a useful estimate of the trading area. Check-

clearance data can be used to supplement this information. The best, butalso the most expensive way of establishing trading area bound Aries is toconduct surveys to determine them.

iv. Outlet location research. Individual companies and, more commonly, chains,financial institutions with multiple outlets, and franchise operations mustdecide on the physical location of their outlet(s). Three general methodsinvolves plotting the area surrounding the potential site in terms of residentialneighborhood, income levels, and competitive stores. Regression modelshave been used for location studies for a variety of retail outlets, includingbanks, grocery stores, liquor stores, chain stores and hotels. Data for buildingthe model and for evaluating new potential locations are obtained through

secondary data analysis and surveys.

b. Number and location of Sales Representatives

How many sales representatives should be in a given territory? Thereare three general research methods for answering this question. The first, the sales effort approach, is applicable when the product line is first

introduced and there is no operating history to provide sales data.

The second involves the statistical analysis of sales data and can be used after

the sales program is under way.

The third involves a field experiment and is also applicable only after the salesprogram has begun.

IV. Promotion research

It focuses on the decision that are commonly made when designing a promotionstrategy. The decision for the promotion part of a marketing strategy can be dividedin to (1) Advertising and (2) Sales promotion. Sales promotion affects the companyin the short term, whereas advertising decisions have long-term effects. Companiesspend more time and resources on advertising research than on sales promotionresearch because of the greater risk and uncertainty in advertising research.

1. Advertising research

Most companies concentrate on advertising because advertising decisions are morecostly and risky than sales promotion decisions. Advertiseing reasearch typically,involves generating information for making decisions in the awareness, recognition,preference and purchasing stages.What separates an effective advertisement from a dud? The criteria will depend, onth brand involved and its advertising objective. However, four basic categories ofresponses are used in advertising research in general and copy testing in particular:



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a) Advertisement recognitionb) Recall of the commercial and its contentsc) The measure of commercial persuasion and the impact on purchase behavior.

Purchase behavior

- Coupon stimulating purchasing

- Split-cables tests. Information Resources Incs (IRI) BehaviorScan is one ofseveral spilt-cable testing operations. BehaviorScan monitors the purchases ofpanel members as well as in-store information such s special prices, features anddisplays.

Tracking studies

When a campaign is running, its impact often is monitored via a tracking studyPeriodic sampling of the target audience provide a time trend of measures ofinterest. The purpose is to evaluate and reassess the advertising campaign, andperhaps also to understand why it is or is not working. Among the measures thatoften are traced are advertisement awareness, awareness of elements of theadvertisement, brand awareness, beliefs about brand attributes, brand image,occasions of use, and brand preference. Of particular interest is knowing how thecampaign is affecting the brand, as opposed to how the advertisement iscommunicating the message.

Diagnostics testing

A whole category of advertising research methods is designed primarily not to testthe impact of a total ad but rather to help creative people understand how the partsof the ad contribute to its impact. Which are weak and how do they interact? Most ofthese approaches can be applied to mock-ups of proposed ads as well as finished

ads. Copy test validity

This test refers to the ability to predict advertising response.

Budget decision

Arriving at analytical, research-based judgments as to the optimal advertising budgetis surprisingly difficult. However, there are research inputs that can be helpful.Tracking studies that show advertising is either surpassing or failing to reachcommunication objectives can suggest that the budget should be either reduced orincreased.

Media research

In evaluating a particular media alternative, it is necessary to know how manyadvertising exposures it will deliver and what will be the characteristics of theaudience. A first cut of the vehicles value is the cost per thousand (circulation), theadvertisement insertion cost divided by the size of the audience.

2. Sales Promotion Research

There are three major types of sales promotion: consumer promotion, retailerpromotion and trade promotions.In general, the consumer promotion, manufactures offer of all sales promotion

activities. In consumer promotion, manufacturers offer promotions promotionsGroup 1 RICERCA Icha-3, Pranali-8, Pratibha-13, Radhika-15, Shradha-25 Page 13



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directly to consumers, whereas retail promotions involve promotions by retailers toconsumers. Trade promotions involve manufacturers offering promotions to retailersor other trade entities. Trade entities can also promote to each other. For example ,a

distributor can offer a steep temporary price cut to retailers in order to sell excessinventory. We call trade promotions, since the recipient of the promotion is amarketing intermediary.Sometimes several manufacturers or several retailers combine in one promotion.These are called cooperative promotions or promotion partnerships.

ManufactureTrade

Trade promotions

Consumer Consumer PromotionsRetailer Promotions

CONTEMPORARY APPLICATIONS OF MARKETING RESEARCH

1. Competitive Advantage.

The notion that achieving superior performance requires a business to gain and hold

an advantage competitors is central to contemporary strategic thinking. Businessesseeking advantage are exhorted to develop distinctive competencies at the lowestdelivered cost or to achieve differentiation through superior value. The assessingcompetitive advantage can be done in number of ways. The methods can be broadlyclassified as market-based and process-based assessment. Market-basedassessment is direct comparison with a few target competitors, whereas process-based assessment is a comparison of the methods employed.

2. Brand Equity.

Brand equity is defined as a set of assets and liabilities linked to a brand that add toor subtract from the value of a product or service to a company and/ or itscustomers. The assets or liabilities that underlie brand equity must be linked to thename and/or symbol of the brand. The assets and liabilities on which brand equity isbased will differ from context to context. However, they can be usefully grouped intofive categories:a) Brand loyaltyb) Name awarenessc) Perceived qualityd) Brand association In addition to perceived qualitye) Other proprietary brand assets: patents, trademarks, channel relationships etc.



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3. Customer satisfaction.

The measurement of customer satisfaction and its link to product/ service attributesis the vehicle for developing a market-driven quality approach. This approachrequires a sequential research design that uses the results from each researchphase to build and enhance the value of subsequent efforts. During this process, it isimperative to study customers who were lost, to determine why they left. This issuemust be addressed early in the system design. The steps involved in customersatisfaction is

a) Define goals and how information will be usedb) Discover what is really important to customers and employeesc) Measure critical needsd) Act on the informatione) Measure performance over timef) Issues in questionnaire design and scaling in satisfaction research


Brand loyalty

Name awareness

Otherproprietary

Perceived quality

Brand

Association

BRAND EQUITY

Name

Symbol

Provides Value to

Customers by enhancingCustomers

Interpretation/

processing of

information

Confidence in the

Provides Value to firm byenhancing

Efficiency and

effectivesness

Brand loyalty

Prices/margins

Brand extension


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4. Total quality management.

TQM is a process of managing complex changes in the organization with the aim of

improving quality.The power of measurements is clearly visible in applications of quality functiondeployment (QFD), a japanese import used to make product design better reflectcustomer requirements. In QFD, a multifunctional team measures and analyzes ingreat detail both customers attitudes and product attributes. Marketing researchplays a crucial role at this stage of the process. Then the team creates a visual mtrixin order to find ways to modify product attributes (engineering characteristics) so asto improve the product on the customer-based measures of product performance.Along the way, the team must develop a series of measures of several differenttypes.

EMERGING APPLICATION OF MARKETING RESEARCH

1. Database marketingA database is a customer list to which has been added information about thecharacteristics and the transactions of these customers. Business use it to cultivatecustomers as they seek new customers.

Need

A database provides the means for research to support decisions. It enables profilingof customers by searching for prospects who are similar to existing customers. Itprovides the means for implementation of profitable programs of repeat businessand cross-selling. It assist in marketing planning and forecasting. Further a databasecan:

Match products or services to customers wants and needs

Help select new lists or use new media that fit the profile of existing customers.

Maximize personalization of all offers to each customer.

Provide for ongoing interaction with customers and prospects.

Pinpoint ideal timing and frequently for promotions

Measure response and be accountable for results

Help create the offers most likely to elicit responses from customers

Help achieve a unique selling proposition (USP), targeted to appeal to your

customers.

Integrate direct-response communication with other forms of advertising

Demonstrate that customers are valuable asstes.

Types of database

1. Active customers2. Inactive customers



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3. Inquiries

Benefits of database marketing

a) Customers are easier to retain than acquire. The first reason is that it takes fivetimes the energy and budget to get new customer as it does to keep an existingone. Also, a disproportionately small number of your customers generate a verylarge proportion of your income.

b) Determine their Lifetime Value. Building a lasting relationship becomes theobvious way to a prosperous and profitable future.

c) Developing relationships with customers. Understanding your customers tastesand preferences on an individual basis is the foundation for relationshipmarketing. Relationship marketing combines elements of general advertising,sales promotion, public relations and direct marketing to create more effective

and more effective ways of reaching consumers. It centers on developing acontinuous relationship with consumers across a family of related products andservices.

2. Relationship marketing

The relationship marketing process incorporates three key elements:1. Identifying and building a database of current and potential consumers, which

records and cross-references a wide range of demographic, lifestyle andpurchase information.

2. Delivering differential messages to these people through established and new

media channels based on the consumers characteristics and preferences.3. Tracking each relationship to monitor the cost of acquiring the consumer and the

lifetime value of his or her purchases.



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Marketing planning and information systemMarketing planning and information system

Planning systemStrategic plansTactical plans

Planning systemStrategic plansTactical plans

Information systemDatabase

DSS

Information systemDatabase

DSS

1. Agree on Research Purpose1. Agree on Research Purpose

Problems or opportunitiesDecision alternativesResearch users

Problems or opportunities

Decision alternativesResearch users

2. Establish Research Objectives2. Establish Research Objectives

Research questionsHypothesesBoundaries of study

Research questionsHypothesesBoundaries of study

ESTIMATETHE VALUE

OFINFORMATIONIs benefit > cost?

ESTIMATETHE VALUE

OFINFORMATION

Is benefit > cost?

DO NOTCONDUCT MR

DO NOTCONDUCT MR

4. Design the research4. Design the research

Choose among alternative research approaches

Specify the sampling planDesign the experimentDesign the questionnaire

Choose among alternative research approachesSpecify the sampling planDesign the experimentDesign the questionnaire

5. Collect the data5. Collect the data

6. Prepare and analyze the data6. Prepare and analyze the data

7. Report the research results and provide strategicrecommendations

7. Report the research results and provide strategic

recommendations


Chapter 2. RESEARCH PROCESS STEPS IN THE

PROCESS OF

RESEARCH



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1. PROBLEM DISCOVERY

It involves a search for causation among symptoms, problems, and decisions. Asymptom is a condition that indicates the existence of a problem, and we, must becareful not to confuse this with a problem. Symptoms occupy an essential place inthe problem-solving process, for the underlying problem. A problem exists wheneverone faces a question whose answer or a need whose fulfillment involves doubtand uncertainty. If there is no answer or solution, there is no problem (although theconsequences might be terrible); and if there is only a single possible answer orsolution, there is no problem. A decision is a determination or resolution of aquestion. In the terms of a business executive, a decision is the determination of acourse of action to be taken. Many routines or repetitive decisions to which

marketing research is applied often invoke a complex of problems, and considerablework is entailed in the choice of the best available course of action.Business problems are not found by surprise or accidental circumstances. Thepersons who find problems are sensitized to be on the alert and are prepared to findthem. Always there is evidence that the searching mind penetrates with insight. Ourabilities can go beyond intuition or a sixth sense. Fortunately, there are meansavailable to sharpen our capacities in problem discovery. First, an understanding ofthe different types of difficulties or symptoms which may call for decisions is useful.Second, provision of a marketing information system may often signify the existenceof the problem to a decision maker.

2. PROBLEM DEFINITION

The first step in any marketing research project is to define the problem. In definingthe problem, the researcher should take into account the purpose of the study, therelevant background information, what information is needed, and how it will be usedin decision making. Problem definition involves discussion with the decision-makers,interviews with industry experts, analysis of secondary data, and, perhaps, somequalitative research, such as focus groups. Once the problem has been preciselydefined, the research can be designed and conducted properly.

3. RESEARCH OBJECTIVES

The research objective is a statement, in as precise terminology as possible, of whatinformation is needed. The research objective should be framed so that obtaining theinformation will ensure that the research purpose is satisfied.Research objectives have three components:1. Research question: It specifies the information the decision maker needs. The

research question asks what specific information is required to achieve theresearch. If the research question is answered by the research, then theinformation should aid the decision maker.



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2. Development of hypotheses: A hypotheses is a possible answer to a researchquestion. The research determines which of these alternative answers is correct.There are three steps to develop the hypotheses

a. The researcher can draw on previous research to generate hypotheses for futurelarge-scale research efforts. The research purpose might be deciding whether toconduct the large-scale studies.

b. Second source is theory from such disciplines as psychology, sociology,marketing or economics. Thus, the economic theory might suggest theimportance of price in explaining a loss of retail sales.

c. The most important source of developing hypotheses is the managersexperience with related problems, coupled with knowledge of the problemsituation and the use of judgment.

3. Research boundaries: Hypotheses development helps make the researchquestion more precise. Another approach is to indicate the scope of the research

or the research boundaries. For example, is the interest in current customersonly or in all potential customers?

4. Hypotheses development model

Development of an approach to the problem includes formulating an objective ortheoretical framework, analytical models, research questions, hypotheses, andidentifying characteristics or factors that can influence the research design. Thisprocess is guided by discussions with management and industry experts, casestudies and simulations, analysis of secondary data, qualitative research, andpragmatic considerations.


Source

Theory

Management

experience

Research

Question

Hypothesi

s

Research

Objective

Research

Purpose

Research

design


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4. RESEARCH DESIGN

The research problem having been formulated in clear terms, the researcher will berequired to prepare a research design, i.e. he will have to state the conceptualstructure within which research would be conducted. The preparation of such adesign facilitates research to be as efficient as possible yielding maximal information.But how all these can be achieved depends mainly on the research purpose.Research purposes may be grouped into four categories, viz.,(i) Exploration(ii) Description

(iii) Diagnosis(iv) ExperimentationA flexible research design, which provides opportunity for considering many differentaspects of a problem, is considered appropriate if the purpose of the research studyis that of exploration. But when the purpose happens to be an accurate description ofa situation or of an association between variables, the suitable design will be onethat minimizes bias and maximizes the reliability of the data collected and analyzed.There are several research designs, such as, experimental and non-experimentalhypothesis testing. Experimental designs can be either informal designs (such asbefore-and-after without control, after-only with control before-and-after with control)or formal designs (such as completely randomized design, randomized block design,

Latin square design, simple and complex factorial designs), out of which theresearchers must select one for his own project.The preparation of the research design, appropriate for a particular researchproblem, involves usually the consideration of the following:(i) the means of obtaining the information(ii) the availability and skills of the researcher and his staff (if any)(iii) explanation of the way in which selected means of obtaining information will

be organized and the reasoning leading to the selection(iv) the time availability for research and(v) the cost factor relating to research, i.e. the finance available for the purpose.

5. RESEARCH METHOD

In dealing with any real life problem it is often found that data at handare inadequate, and hence, it becomes necessary to collect data whichdiffer considerably in context of money costs, time and other resourcesat the disposal of the researcher.Primary data can be collected either through experiment or through survey. If theresearcher conducts an experiment, he observes some quantitative measurements,or the data, with the help of which he examines the truth contained in his hypothesis.



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But in the case of a survey, data can be collected by any one or more of thefollowing ways:(i) By observation: This method implies the collection of information by way of

investigators own observation, without interviewing the respondents. Theinformation obtained relates to what is currently happening and is notcomplicated by either the past behavior or future intentions or attitudes ofrespondents. This method is no doubt an expensive method and theinformation provided by this method is also very limited. As such this methodis not suitable in inquiries where large samples are concerned.

(ii) Through personal interviews: The investigator follows a rigid procedure andseeks answers to a set of pre-conceived questions through personalinterviews. This method of collecting data is usually carried out in a structuredway where output depends upon the ability of the interviewer to a large extent.

(iii) Through telephone interviews: This method of collecting information involves

contacting the respondents on telephone itself. This is not a very widely usedmethod but it plays an important role in industrial surveys in developedregions, particularly, when the survey has to be accomplished in a very limitedtime.

(iv) By mailing of questionnaires: The researcher and the respondents do notcome in contact with each other if this method of survey is adopted.Questionnaires are mailed to the respondents with a request to return aftercompleting the same. It is the most extensively used method in variouseconomic and business surveys. Before applying this method, usually a PilotStudy for testing the questionnaire is conducted which reveals the weakness,if any, of the questionnaire. Questionnaire to be used must be prepared very

carefully so that it may prove to be effective in collecting the relevantinformation.

(v) Through schedules: Under this method the enumerators are appointed andgiven training. They are provided with schedules containing relevantquestions. Data are collected by filling up the schedules by enumerators onthe basis of replies given by respondents. Much depends upon the capabilityof enumerators so far as this method is concerned. Some occasional fieldchecks on the work of the enumerators may ensure sincere work.

The researcher should select one of these methods of collecting the data taking intoconsideration the nature of investigation, objective and scope of the inquiry, financialresources, available time and the desired degree of accuracy. Though he should putattention to all these factors but much depends upon the ability and experience ofthe researcher.

6. DATA COLLECTION

The research design has a wide variety of methods to consider either singly or incombination. They can be grouped first according to whether they use secondary orprimary sources of data.

Secondary data are already available, because they were collected for some

purpose other than solving the present problem.



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c. Convenience sampling

8. USES OF SCALES IN RESEARCH

In research when the concepts to be measured are complex and abstract and wedon not possess the standardize measured tools. Alternatively, we can say that whilemeasuring attitude and opinions, we face the problem of their valid measurement. Aresearcher may face similar problem. To avoid this problem the scaling technique isused. Different types of scaling methods are:

1. Rating scalesa. The graphic rating scaleb. The itemized rating scale2. Ranking scales

a. Method of paired comparisonb. Method of rank order3. Arbitrary scale4. Differential scale (Thrustone-type scale)5. Summated scales (Likert scale)

9. DATA PROCESSING

Data processings total task in carrying out the analytical program is toconvert crude fragments of observation and responses into orderly

statistics for interpretation. The seven stages of data processing aregiven below:1. Data preparation. There are three preparation stages necessary in either

manual or computer processing: editing, classifying and coding. An additionalstage with computers is card punching.

2. Programming. Every data-processing job, whatever the method used, needspreplanning that specifically lays out directions to the persons doing tabulating(manually) or to the machinery (with computers). This describes specifically theparticular operations to take place, with what equipment, by whom, and so forth.

3. Sorting. All the bits of data have to be classified together with the other bits thatare of the same nature, by being sorted into groups.

4. Counting. When the preparatory work has been done, the individualobservations can be counted and accumulated in subtotals of the prescribedclassifications.

5. Summarizing. The various subtotals and totals are brought together andsummarized in tables that will exhibit the data in an informative manner.

6. Computations. When computers are employed, various calculations May beperformed with the data during the tabulation operations. When other methodsare utilized, the computations are performed as separate stages subsequent tothe preparation of tables.

7. Control.Means for making proper checks of the accuracy of the data processingare practically essential. This includes examination of the coding and, if machines



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are used, the card punching and programs. Also, a base total of the number ofquestionnaire or other data forms being processed should be determined beforethe processing begins, thereby providing a total with which to verify whether each

data breakdown, or analysis, totals to exactly this base figure.

10.DATA ANALYSIS

After the data have been collected, the researcher turns to the task of analyzingthem. The analysis of data requires a number of closely related operations such asestablishment of categories, the application of these categories to raw data throughcoding, tabulation and then drawing statistical inferences. The unwieldy data shouldnecessarily be condensed into as few manageable groups and tables for furtheranalysis. Thus, researcher should classify the raw data into some purposeful andusable categories. Coding operation is usually done at this stage through which the

categories of data are transformed into symbols that may be tabulated and counted.Editing is the procedure that improves the quality of the data for coding. With codingthe stage is ready for tabulation. Tabulation is a part of the technical procedurewherein the classified data are put in the form of tables. The mechanical devices canbe made use of at this juncture. Computers tabulate a great deal of data, especiallyin large inquiries. Computers not only save time but also make it possible to studylarge number of variables affecting a problem simultaneously.

Analysis work after tabulation is generally based on the computation of variouspercentages, coefficients etc., by applying various well-defined statistical formulae.In the process of analysis, relationships or differences supporting or conflicting with

original or new hypothesis should be subjected to tests of significance to determinewith what validity data can be said indicate any conclusions. For instance, if thereare two samples of weekly wages, each sample being drawn from factories indifferent parts of the same city, giving two different values, then our problem may bewhether the two mean values are significantly different or the difference is just amatter of chance. Through the use of statistical tests we can establish whether sucha difference is a real one or is the result of random fluctuations. If the differencehappens to be real, the inference will be that the two samples come from differentuniverses and if the difference is due to chance, the conclusion would be that the twosamples belong to the same universe. Similarly, the technique of analysis ofvariance can help us in analyzing whether three or more varieties of seeds grown oncertain fields yield significantly different results or not. In brief, the researcher cananalyze the collected data with the help of various statistical measures.

11.RESEARCH REPORT

Finally, the researcher has to prepare the report of what has been done by him.Writing of report must done with great care keeping in view the following:(1) The layout of the report should be as follows:(i) the preliminary pages.(ii) the main text and

(iii) the end matterGroup 1 RICERCA Icha-3, Pranali-8, Pratibha-13, Radhika-15, Shradha-25 Page 25



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In its preliminary pages the report should carry title and date followed byacknowledgments and foreword. Then there should be a table of contents followedby a list of tables and list of graphs and charts, if any, given in the report.

The main text of the report should have the following parts:(a) Introduction: It should contain a clear statement of the objective of the researchand an explanation of the methodology adopted in accomplishing the research.The scope of the study along with various limitations should as well as stated inthis part.

(b) Summary of findings: After introduction there would appear a statement offindings and recommendations in non-technical language. If the findings areextensive, they should be summarized.

(c) Main report: The main body of the report should be presented in logical sequenceand broken-down into readily identifiable sections.

(d) Conclusions: Towards the end of the main text, researcher should again put

down the results of his research clearly and precisely. In fact, it is the finalsumming up.

At the end of the report, appendices should be enlisted in respect of all technicaldata. Bibliography, i.e., list of books, journals, reports etc., consulted, should also begiven in the end. Index should also be given specially in a published research report.(2) Report should be written in a concise and objective style in simple language

avoiding vague expressions such as it seems, there may be, and the like.(3) Charts and illustrations in the main report should be used only if they present the

information more clearly and forcibly.(4) Calculated confidence limits must be mentioned and the various constrains

experienced in conducting research operations may as well be stated.


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