Chapter 3
Thinking Like
A Researcher
2-1
Researchers
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Encounter problems
State problems
Propose hypotheses
Generate outcomes
Formulate hypotheses
Conduct empirical tests
Draw conclusions
2-2
Curiosity is necessary to be a good business researcher
“A scientist is a man with a problem or he is nothing”
Examples of research problems:
– Why do businesses that uses TQM make more
profits than those that do not use TQM?
– Why do business firms lose their competitive
advantage?
– Does globalization destroy local industries in
developing countries?
– Why does Dubai attract so much foreign investment?
2-3
Deductive and Inductive Research
Induction
Concept You start with your
own experience and
then generalize a
rule.
Example The last ten times I
touched the hot
stove I burned my
hand. Touching hot
stove will burn my
hand
Deduction
You start with a rule
and then apply it to
new situations.
The law of gravity
says that what goes
up must come down,
so I bet if I throw this
ball up it will fall back
down
Deductive and Inductive Research
Induction
Deduction
Business Example
In Microsoft, satisfaction is
Technology is
mainly influenced by
accepted because
promotion. In Sun Micros
ease of use and
company, satisfaction is usefulness. Mobile is
mainly influenced by
a technology. Mobile
promotion. In IT
is accepted because
companies, satisfaction is
ease of use and
mainly influenced by
usefulness.
promotion
Deductive and Inductive Research
Definition
Induction
Deduction
Observations and
Conclusion follows
conclusions are related and logically from available
connected to make theories
facts
Characteristics Purpose
Research comes before
theory
Works from the " specific" to
the " general”
Down-top reasoning
Generate theories
Theory comes before
research
Works from the
"general" to the
"specific”
Top –down reasoning
Testing theories
Tracy’s Performance
2-7
Why Didn’t Sales
Increase?
Deduction
2-8
Research Cycle or
Process
Problem
Definition
Research Findings
Literature
Review
Data Analysis
Formulation
of Hypotheses
Data Collection
Measurement
Language of Research
Success
of
Research
Clear conceptualization
of concepts
Shared understanding
of concepts
2-10
Clear concept
Running
Walking
A man
passing
Crawling
Hopping
2-11
Operational Definitions
How can we define the variable “class level of students”?
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Freshman
Sophomore
Junior
Senior
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< 30 credit hours
30-50 credit hours
60-89 credit hours
> 90 credit hours
2-12
What Is A Variable?
Act
Event
Variable
Characteristic
Trait
2-13
Types of Variables
Dichotomous
Male/Female
Employed/ Unemployed
Discrete
Ethnic background
Educational level
Religious affiliation
Continuous
Income
Temperature
Age
2-14
Independent and
Dependent Variables
Independent Variable
(IV)
Dependent Variable
(DV)
• A Predictor
• A Cause
• An Antecedent
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An Effect
A Response
A Consequence
An a result
An outcome
2-15
Moderating Variables (MV)
• Job Satisfaction (IV) will lead to increased
Worker’s Productivity (DV), especially
among Younger Workers (MV).
• Trust in Organization (IV) leads to
Acceptance of New Technology (DV),
especially among Male Employees (MV)
2-16
Hypothesis Formats
Descriptive
Research Question
• Our potato chip
market share stands
at 13.7%.
• American banks face
budget difficulties.
• What is the market
share for our potato
chips?
• Are American banks
facing budget
difficulties?
2-17
Relational Hypotheses
Correlational
• Young women (under 35)
purchase fewer units of
our product than women
who are older than 35.
• The number of Cola cans
sold varies directly with
the period of season.
Causal
• An increase in family
income leads to an
increase in the
percentage of income
saved.
• Loyalty to a grocery store
increases the probability
of purchasing that store’s
brands.
2-18
The Role of Hypotheses
Guide the direction of the study
Identify relevant facts
Suggest most appropriate research
design
Provide framework for organizing
resulting conclusions
2-19
Characteristics of Strong
Hypotheses
Adequate
A
Strong
Hypothesis
Is
Testable
Good writing
2-20