INDEX NUMBER: ________________ UNIVERSITI SAINS MALAYSIA First Semester Examination Academic Session 2007/2008 October/November 2007 Bachelor of Management (Honours) ATP201 – Business Research Method Duration : 3 hours Please ensure that this exam paper consists SEVENTEEN printed pages before you begin the examination. Answer ALL questions. Section A answers must be marked in the OMR using a 2B pencil. Ensure all relevant particulars required in the OMR are properly filled up. YOU ARE NOT ALLOWED TO TAKE THE QUESTION PAPER OUT OF THE EXAMINATION HALL. MAKE SURE YOU WRITE DOWN YOUR INDEX NUMBER ON THE QUESTION PAPER. …2/- [ATP201] -2Question 1 1. In a non-symmetrical relationship, the relationship can be classified into: [a] [b] [c] [d] [e] 2. A management problem displays the following situations: [a] [b] [c] [d] [e] 3. Analytical and critical. Logical and objective. Conceptual and theoretical. Empirical and systematic. All of the above. In the process of theory development, _____________ is a process which starts from observation and leads to a conclusion while _____________ is a process whereby conceptualization is challenged scientifically. [a] [b] [c] [d] [e] 5. there is more than one alternative which has the same chance of affecting the same objective. there is an uncertainty in alternative selection. an objective that exists in the mind of the decision-maker. all of the above not even one of the above Which of the characteristics below can be used to explain the scientific method? [a] [b] [c] [d] [e] 4. stimulus response. property-disposition. disposition-behaviour. property-behaviour. all of the above. deduction, induction induction, reduction induction, deduction function, deduction deduction, generalizability Secondary data: [a] [b] [c] [d] [e] Data that is collected for a specific purpose from the original source. Involves observation of elements in a study. Cross-examining respondents. Collected by someone else for other purposes Not even one of the above. …3/- [ATP201] -36. Apart from research, what other sources are there to obtain information? [a] [b] [c] [d] [e] 7. Theory is: [a] [b] [c] [d] [e] 8. what is the concept to be investigated? how will the concept be measured? how will the data be collected? how will it be used? answers [a], [b] and [c] only. What kind of experiment is done in natural surroundings and the researcher interferes by controlling the independent variable as much as he can? [a] [b] [c] [d] [e] 11. a formal representation of theory. very useful in the testing of the hypotheses formed. a short phenomenon that is to be investigated. answers [a] and [c]. all of the above. The whole business research process includes: [a] [b] [c] [d] [e] 10. constructed completely from concept and construct. very formal and is used to represent theoretical network. the basis in the prediction and explanation of phenomenon. all of the above. not even one of the above. Model can be considered as: [a] [b] [c] [d] [e] 9. Through God’s gift. Through experiment. Through intuition. Through scientific research. Through books. Experiment. Survey. Field study. Field experiment. Lab experiment. Which of the following is NOT part of the hierarchical process of research question? [a] [b] [c] [d] [e] Investigative question. Management question. Measurement question. Exploratory question. Research question. …4/- [ATP201] -412. A researcher wants to investigate how married people decide on buying a new car. What is the unit of analysis for this study? [a] [b] [c] [d] [e] 13. Which of the following has more of the characteristics of a basic research? [a] [b] [c] [d] [e] 14. (Muhamad Ali, 2001). (Ali, M., 2001). (Ali, 2001). (Ali, Muhamad., 2001). Answers [b] and [c] only. Which of the following is NOT a qualitative technique? [a] [b] [c] [d] 17. Availability of internal research experts. Time constraint. Value of research information compared to cost. Availability of data. All of the above factors are main considerations. The method of citing an author’s name in literature review. (If given: Name of author: Muhamad Ali, year of publication is 2001). [a] [b] [c] [d] [e] 16. Duration of sleep which affects job effectiveness. Whether the ability to think is impaired by emotional stress. Relationship between leadership characteristics and corporate success. Effect of coupon campaign on product sales. Relationship between job satisfaction and lecturer’s commitment. Which of the following factors is not a main consideration for deciding when business research is needed? [a] [b] [c] [d] [e] 15. Car. Individual. Couple. Gender. Diode. Video interview Case study. Street ethnography. Measuring an electrical bulb’s quality in terms of its life span. Which of the list of scales below is according to hierarki? [a] [b] [c] [d] Nominal, interval, ordinal, ratio. Ordinal, nominal, ratio, interval. Nominal, ordinal, interval, ratio. Nominal, ordinal, ratio, interval. ...5/- [ATP201] -518. Cross-sectional study: [a] [b] [c] [d] 19. Which of the following statement is TRUE? [a] [b] [c] [d] 20. [b] [c] [d] [e] True. False. Measurement is the process of assigning numbers to empirical occurrences, object or characteristics, or activities which follow a set of rules. [a] [b] 25. True. False. The case study is the most popular method in qualitative study. [a] [b] 24. True. False. Concept can be measured by one item. [a] [b] 23. Research findings that can be applied to the population in different environment. Research findings that can only be applied for the study’s sample. Convenience sampling. The use of a random numbers table. Conclusion that is based on the findings of data analysis. Four rules of mapping in measurement are classification, order, distance and zero origin. [a] [b] 22. We seldom use theory. Construct is only used in explanatory hypotheses. In induction, we observe facts and form conclusions from them. Although operational definition is important, there are a lot of researches that do not utilize them. Generalizability refers to: [a] 21. Is only conducted in a specific place at the same time. Is only conducted once and represents description at a one point in time. Is repeated several times in a specific period. Is repeated on the same individual every month. True. False. In lab research, real cause and effect relationship can be proven. [a] [b] True. False. …6/- [ATP201] -626. Probability sampling is when all members in the population have a known chance of being selected. [a] [b] 27. Non-parametric tests are often used for nominal and ordinal data. [a] [b] 28. True. False. One advantage of mail survey is wider geographical coverage. [a] [b] 34. True. False. Quota sampling is the best for generalizability process. [a] [b] 33. True. False. Unstructured questions are often used in exploratory research. [a] [b] 32. True. False. The number of points in the scale does not affect data precision. [a] [b] 31. True. False. No depth in the analysis of a study’s subject is the main weakness of a case study. [a] [b] 30. True. False. The degree of uncertainty in research problem does not affect the research methodology. [a] [b] 29. True. False. True. False. The ANOVA test only involves the comparison between 2 population means. [a] [b] True. False. …7/- [ATP201] -735. Correlation is a test to examine the relationship between two variables regardless whether they are dependent variables or independent variables. [a] [b] 36. The R2 value is between the values of +1 and -1. [a] [b] 37. True. False. Definition and operational definition are almost the same. [a] [b] 40. True. False. Face validity is a measurement of content validity. [a] [b] 39. True. False. Reliability is sufficient to ensure validity of a measurement. [a] [b] 38. True. False. True. False. Durbin Watson measures whether there is autocorrelation among errors. [a] [b] True. False. [ 40 marks ] …8/- [ATP201] -8Section B: (COMPULSORY) Question 2 (10 marks) Based on the scenario given, please state how the researcher can devise a research design by looking at each of the criteria listed below. (Please give reason why). (a) Purpose of Research. [ 2 marks ] (b) Extent of researcher interference. [ 2 marks ] (c) Research Environment. [ 2 marks ] (d) Time Dimension. [ 2 marks ] (e) Unit of analysis. [ 2 marks ] a. b. c. d. e. Causal study the researcher wants to know the impact of sales system on the total sales. Experiment, the researcher can control the type of sales system assigned to the branches. Field Experiment as it is done in the normal setting but with manipulation. Longitudinal as data needs to be collected before the implementation and after the implementation. Branch, as the comparison is between the 3 branches. 2 1 1 Marks for each section Mark for the bold answer Mark for the explanation [ATP201] -9Scenario ICBC Computers has been in the computer business for 15 years. The company has 14 branches all over Malaysia. The branches have managers but they do not have the autonomy to determine the price and promotions in their branch. The top management plays an active role in the daily operations of all branches. Recently the company has been incurring losses due to fierce competition. Following this, the company decides to introduce changes in all branches to increase sales. Before implementing the change in all branches, the management would like to try them in 3 branches first. The Penang branch will try a leasing method, the Kuantan branch will use a cash only system. The Ipoh branch will use a combination of both. The company would like to compare the sales of next 3 months for all the three branches before deciding whther they would implement the change or not. The consecutive sales of three months will be used to reduce the fluctuations in monthly sales. …9/- [ATP201] - 10 Question 3 (10 marks) Due to the relaxation in permission to let the low cost airlines to operate in Malaysia, the low cost carriers have been involved in a price war. ABC Airlines is faced with allegations that they are violating air safety rules which have resulted in several near misses of mid-air collision between air planes. In one of a recent collision 100 passengers died. Four factors have been identified as contributing to this phenomenon among them ineffective communication among flight crew, ineffective coordination between cabin staff and ground staff, minimum training provided to cabin staff and the management philosophy that emphasizes decentralization. Reports also show that the failure in getting enough training leads to anxiety and panic among cabin staff. ABC Airlines would like to know if these factors results in violation of air safety rules. Based on the explanation given above, answer the following questions. (a) What is the research problem? [ 2 marks ] What factors contribute to air safety violation? (b) Develop a suitable research framework. [ 4 marks ] Training Anxiety and Panic Communications among crew members Air Afety Violation Coordination between cabin and ground staff Structure (c) H1 H2 H3 H4 Develop 4 hypotheses to be tested. [ 4 marks ] Cabin crew training has a positive relation with air safety violation. Comunications among crew members has a positive relation with air safety violation. Coordination between cabin and ground is positively related to air safety violation. Structure is positively related to air safety violation. [ATP201] - 11 - Question 4 (20 marks) By giving suitable examples, explain each of the following: (a) What are the 4 roles of a hypothesis? [ 4 marks ] • • • • (b) Control the direction of research Identify relevant facts from the irrelevant Suggest a suitable research design Give an outline to arrange the conclusion of the research Explain what you understand about a research proposal and the reasons for preparing a research proposal. [ 4 marks ] • • • • (c) A formal effort to do research, written, stating the problem to be studied. Presents the question to be studied and the importance Discuss the efforts of others related to the problem being researched. To suggest the data that is required to solve the problem. What is meant by research ethics? Give examples of behavior that are considered not ethical in research. • • • • • (d) [ 4 marks ] Ethics is the norm or standard of behavior which guides moral decisions which relates to behavior and relationship with another person. The reason is to make sure that nobody is hurt or injured as a result of the research. Cheating respondets Falsifying data/findings Violate Disclosure/Confidentiality Overcharge the clients What are the sources of error in measurement? [ 4 marks ] • • • • Respondent Situation Measurer or the researcher Measurement tool …10/- (e) Discuss what a stratified sampling is and when it is suitable to be used. [ATP201] - 12 - • • • • [ 4 marks ] Population is sub-divided into strata’s and the random sampling is used to draw elements from each strata. Proportionate follows the proportion of the strata while the disproportionate does not. Researcher controls the sample size and strata Data will be more representative to do sub-group analysis. Enables the use of multiple techniques in each strata [ATP201] - 13 Question 5 (20 marks) Pam is a personnel manager in Zaidah Pharmaceuticals. She is interested in whether a selected applicant will become a successful salesman or not. To do that, she will use the first month’s sales (Sales) as the dependent variable and 4 other variables which are candidates gender (Gender), anxiety score (Score), work experience (Experience) and aptitude of the candidate (Aptitude) as the independent variables. Pam collects data from 30 candidates. The data was analyzed using the SPSS software and the output is presented below: Number Sales Aptitude Score Experience Gender 1 44 10 4.9 0 0 2 47 19 3.0 1 0 3 60 27 1.5 0 1 . . . . . . . . . . . . . . . . . . . . . . . . 28 61 34 .7 1 1 29 39 16 3.1 1 0 30 62 32 0.6 3 1 Explanation of the variables Sales Score Experience Aptitude Gender First month sales in ‘000 Anxiety Score Work experience in years Score in the aptitude test Respondents Gender (1 = Male, 0 = Female) …11/- [ATP201] - 14 - Regression Regression Va riab les Entere d/Re mo vedb Model 1 Variables Entered Gender, Ex peri enc e, Score, a Aptitude Variables Removed Method . Enter a. Al l request ed variables ent ered. b. Dependent Variabl e: S ales Model Summary(b) Adjusted R Std. Error of R R Square Square the Estimate .863(a) .744 .703 6.083 a Predictors: (Constant), Gender, Experience, Score, Aptitude b Dependent Variable: Sales Model 1 DurbinWatson 1.650 ANOVA b Model 1 Regres sion Residual Total Sum of Squares 2691.328 924.972 3616.300 df 4 25 29 Mean Square 672.832 36.999 F 18.185 Sig. .000a a. Predictors: (Constant), Gender, Experience, Score, Aptitude b. Dependent Variable: Sales Coeffi cientsa Model 1 (Const ant) Aptitude Sc ore Ex perience Gender Unstandardized Coeffic ient s B St d. Error 36.825 3.773 .102 .049 .695 .822 2.622 1.051 13.150 3.234 St andardiz ed Coeffic ient s Beta .266 .097 .279 .565 t 9.761 2.076 .844 2.494 4.066 Sig. .000 .048 .406 .020 .000 Collinearity Statist ics Tolerance VIF .623 .772 .821 .531 1.604 1.295 1.218 1.885 a. Dependent Variable: Sales …12/- [ATP201] - 15 Collineari ty Diagnosticsa Model 1 Dimension 1 2 3 4 5 Eigenvalue 3.968 .553 .299 .121 .059 Condit ion Index 1.000 2.678 3.642 5.734 8.230 (Const ant) .01 .01 .00 .04 .94 Variance Proportions Aptitude Sc ore Ex perience .01 .01 .02 .01 .18 .18 .08 .03 .77 .91 .00 .00 .00 .78 .04 Gender .01 .04 .15 .46 .35 a. Dependent Variable: Sales Residuals Statistics Predicted Value Std. Predicted Value Standard Error of Predicted Value Adjusted Predicted Value Residual Std. Residual Stud. Residual Deleted Residual Stud. Deleted Residual Mahal. Distance Cook's Dis tance Centered Leverage Value a Minimum 39.11 -1.681 Maximum 75.86 2.134 Mean 55.30 .000 Std. Deviation 9.634 1.000 1.493 4.628 2.402 .642 30 40.65 -10.866 -1.786 -1.921 -12.559 -2.038 .780 .000 72.92 9.583 1.576 1.770 12.096 1.854 15.822 .164 55.02 .000 .000 .020 .283 .016 3.867 .042 9.423 5.648 .928 1.017 6.805 1.038 2.911 .043 30 30 30 30 30 30 30 30 .027 .546 .133 .100 30 N 30 30 a. Dependent Variable: Sales …13/- [ATP201] - 16 - Charts Histogram Dependent Variable: Sales 5 3 2 1 0 -2 -1 0 1 2 Mean = 8.62E-16 Std. Dev. = 0.928 N = 30 Regression Standardized Residual Normal P-P Plot of Regression Standardized Residual Dependent Variable: Sales 1.0 Expected Cum Prob Frequency 4 0.8 0.6 0.4 0.2 0.0 0.0 0.2 0.4 0.6 0.8 1.0 Observed Cum Prob …14/- [ATP201] - 17 - Scatterplot Dependent Variable: Sales Regression Studentized Residual 2 1 0 -1 -2 30 40 50 60 70 80 20 40 Sales Partial Regression Plot Dependent Variable: Sales 10 Sales 5 0 -5 -10 -60 -40 -20 0 Aptitude …15/- [ATP201] - 18 - Partial Regression Plot Dependent Variable: Sales 15 10 Sales 5 0 -5 -10 -15 -2 -1 0 1 2 3 4 Experience …16/- [ATP201] - 19 - Partial Regression Plot Dependent Variable: Sales 15 10 Sales 5 0 -5 -10 -15 -0.6 -0.3 0.0 0.3 0.6 0.9 Gender Based on the output given, answer the following questions. (a) What is your evaluation of the goodness of the model developed? [ 2 marks ] R2 = 0.744. So we can conclude that 74.4% of the variastion in Sales can be explained by the 4 variables, only about 25.9% variastion cannot be explained. (b) What can you conclude about the model that was tested? [ 2 marks ] As the F value = 18.185 and Signif of F = 0.000 < 0.01 so we can conclude that all the 4 variables can explain the variation of the dependent variable. An equation can be formed. (c) Test each of the following at the 5% significance level. [a] [b] [c] [d] A male salesman will have the same sales volume as a female salesman. The higher the anxiety score the lower the sales. The more the experience the higher the sales. Aptitude has a positive relationship with sales. [ 8 marks ] [ATP201] - 20 H0 H1 Variable t value p value Gender 4.066 0.000 p < 0.05 Reject H0 0.406 p > 0.05 Accept H0 0.020 p < 0.05 Reject H0 0.048 p < 0.05 Accept H0 H0 H1 Score Experience b3 = 0 b3 > 0 2.494 H0 H1 Aptitude Decision b2 = 0 b2 < 0 0.844 H0 H1 (d) b1 = 0 b2 0 b4 = 0 b4 > 0 2.076 What is the difference in the sales of a female salesman compared to a male salesman? [ 2 marks ] Lower by RM 13150 (e) …17/Are all the assumptions of the regression fulfilled (Support your answer by using the values or charts given in the output)? If not please explain how they can be tested? [ 3 marks ] (f) No multicollinearity problem as VIF<10 and Tolerance>0.1. Conditional index less than 30 and VIF shows no problem. Partial regression plots show linear relationship. No autocorrelation as the D-W = 1.650. P-P plot shows the errors are normally distributed Histogram shows the data is normally distributed Variance is constant (Plot studentized residual and dependent) Give suggestions to Pam on how she can increase the sales of her company. [ 3 marks ] [ATP201] - 21 From the analysis gender, aptitude and experience are significant predictors. Pam should take more salesperson with higher aptitude scores and also with more number of years experience. The company should not waste time on the anxiety test as it is not a significant predictor of sales. Male salesperson also has show that they can do more sales compared to female salespersons. - ooo O ooo -