Management research:
It is the systematic and objective identification, collection, analysis,
dissemination and use of information for the purpose of improving
decision making related to the identification and solution of problems
and opportunities in management.
Research is done for two reasons 1) to identify management
problems, 2) to solve management problems.
2. The Client
3. The Respondents
4. The Public
Chapter 2
Secondary data: Data collected for some purpose other than the
problem at hand.
Pilot surveys: Surveys that tend to be less structured then large scale
surveys in that they generally contain more open ended questions
and the sample size is much smaller.
Case studies: Case studies involve and intensive examination of a
few selected cases of the phenomenon of interest. Cases could be
customers, stores, or other units.
Tasks Involved
Analytical
Objective/ Model:
Theoretical Verbal, Research Hypothesis Specification
Foundations Graphical, Questions of Information
Mathematical Needed
Chapter 3
Research Design
Exploratory Conclusive
Research Research
Design Design
Descriptive Causal
Research Research
Cross-Sectional Longitudinal
Design Design
Single Multiple
Cross-Sectional Cross-Sectional
Design Design
Total Error: The variation between the true mean value in the
population of the variable of interest and the observed mean value
obtained in the marketing research projects.
Random Sampling Error: The error due to the particular sample
selected being an imperfect representation of the population of
interest. It may be defined as the variation between the true mean
value for the sample and the true mean value of the population.
Chapter 8
Interval Scale: A scale in which the numbers are used to rate objects
such that numerically equal distances on the scale represent equal
distances in the characteristic being measured.
In the ordinal scale, the next higher level scale, the numbers indicate
the relative position of the objects but not the magnitude of difference
between them. The interval scale permits a comparison of the
difference between the objects. However, as it has an arbitrary zero
point, it is not meaningful to calculate ratios of scale values on an
interval scale. The highest level of measurement is represented by the
ratio scale in which the zero point is fixed. The researcher can
compute ratios of scale values using this scale. The ratio scale
incorporates all the properties of the low level scales.
Table 8.1
Scale Basic Common Marketing Descriptiv Inferential
Characteristic Examples Examples e
s
Nomina Numbers Social Brand Percentage Chi-square,
l Identify and Security numbers, s, Mode binomial
classify objects Numbers, store types, test
numbering Gender
of football classificatio
players n
Ordinal Numbers Quality Preference Percentile Rank-order
indicate the Rankings, rankings, Median correlation,
relative rankings of market Friedman
positions of the teams in a position, ANOVA
objects but not tournament social class
the magnitude
of differences
between them
Interval Differences Temperatur Attitudes, Range, Product
between objects e opinions, mean, moment
can be (Fahrenheit index standard correlation
compared; zero , numbers deviation s, t-tests,
point is centigrade) ANOVA,
arbitrary Regression
, factor
analysis
Ratio Zero point is Length, Age, Geometric Coefficient
fixed; ratios of weight income, mean, of variation
scale values costs, harmonic
can be sales, mean
computed market
shares
Scaling Techniques
Chapter 9
Table 9.1
Scale Evaluation
Chapter 10
Then comes the decision regarding the question structure (step 5).
Questions can be unstructured (open-ended) or structured to a
varying degree. Structured questions include multiple choice,
dichotomous questions and scales.
Once the questions have been worded, the order in which they will
appear in the questionnaire must be decided (step 7). Special
consideration should be given to opening questions, type of
information, difficult questions, and the effect on subsequent
questions. The questions should be arranged in a logical order.
The stage is now set for determining the form and the layout of the
questions (step 8).
Chapter 11
Information about the characteristic of a population may be obtained
by conducting either a sample or a census. Budget and time limits,
large population size, and small variance in the characteristic of
interest favour the use of a sample. Sampling is also preferred when
the cost of sampling error is low, the cost of non-sampling error is
high, the nature of measurement is destructive, and attention must be
focused on individual cases. The opposite set of conditions favour
the use of census.
Sampling characteristics
Probability
Sampling
Simple
Random
Sampling
Systematic Can increase representative-
ness, easier to implement that
Sampling SRS, sampling frame not
necessary
Stratified Includes all important
Sampling effective
Exhibit 11.1
Chapter 15
Basic data analysis provides valuable insights and guides the rest of
the data analysis as well as the interpretation of the results. A
frequency distribution should be obtained for each variable in the
data.
Range: 7 – 2 = 5
Inter-quartile Range: 6 – 3 = 3
The difference between the mean and an observed value is called the
deviation from the mean.
Variance: The mean squared deviation of all the values from the
mean. The variance can never be negative. When the data points are
clustered around the mean, the variance is small. When the data
points are scattered, the variance is large.
n
( X − X )2
s= ∑
i =1 n −1
Variance, s2 = 2.493
Standard Deviation, s = 1.579
INTRODUCTION TO HYPOTHESIS
• Hypothesis, one simply means a mere assumption or some
supposition to be proved or disproved.
• For a Researcher hypothesis is a formal question that he intends
to resolve. A Research hypothesis is a predictive statement,
capable of being tested by scientific methods, that relates an
independent variable to some dependent variable. Its main
function is to suggest new experiments and observations
• Example:- Students who receive counseling will show a greater
increase in creativity than students not receiving counseling”
Or
• “The automobile A is performing as well as automobile B”.
• These are hypotheses capable of being objectively verified and
tested. Thus, we may conclude that a hypothesis states what we
are looking for and it is a preposition which can be put to a test
to determine its validity.
Test statistic: A measure of how close the sample has come to the
null hypothesis. It often follows a well-known distribution, such as the
normal, t, or chi-square distribution. For example the z statistic which
follows the standard normal distribution would be appropriate.
Z = (p - π)/ σp
Type I error: Also known as alpha error, it occurs when the sample
results lead to the rejection of a null hypothesis that is in fact true.
The probability of Type I error (α) is also known as the level of
significance.
Type II error: Also known as beta error, it occurs when the sample
results lead to the non-rejection of a null hypothesis that is in fact
false. The probability of type II error is denoted by β. The complement
(1- β) of the probability of a type II error is called the power of a
statistical test.
But with a fixed sample size, n, when we try to reduce Type I error, the
probability of committing Type II error increases. Both types of errors
cannot be reduced simultaneously.
Cross tabulations are tables that reflect the joint distribution of two or
more variables. In cross tabulation, the percentages can be computed
either column wise, base on column totals, or row-wise, based on row
totals. The general rule is to compute the percentage in the direction
of the independent variables across the dependent variable. Often the
introduction of the third variable can provide additional insights.
Cross Tabulation: A statistical technique that describes two or more
variables simultaneously and results in tables that reflect the joint
distribution of two or more variables that have a limited number of
categories or distinct values, e.g.
Internet Usage Male Female Row Total
Light 5 10 15
Heavy 10 5 15
Column Total 15 15
χ2 =
fe
χ2 =3.333
χ2
φ=
n
= 0.333
So the association is not very strong.
HYPOTHESIS TESTS
PARAMETRIC
TESTS
NONPARAMETRIC
TESTS
Independent tests
Two group t – test
Z - tsst
Paired samples
Paired t-test
Hypothesis tests
Parametric tests
Non-parametric tests
(
One Two
sample sample One Two
sample sample
T test
Z test
Chi- square
K-s
Independent Paired Runs
sample sample binomial Independent Paired
sample Samples
Two-group
t- test paired t- test
z test Chi- square Sign
Mann-whitney Wilcoxon
Median McNemar
K-S Chi-square
The procedure for hypothesis testing, for the special case when t –
distribution is used, is as follows:-
ATTITI ATTITUD
UDE E
RESPON INTER TOWA TOWAR
DENT S NET RDS DS USAGE OF USAGE OF
NUMBE E FAMILI USAG INTER TECHNO INTERNET:S INTERNET:B
R X ARITY E NET LOGY HOPPING ANKING
1 1 7 14 7 6 1 1
2 2 2 2 3 3 2 2
3 2 3 3 4 3 1 2
4 2 3 3 7 5 1 2
5 1 7 13 7 7 1 1
6 2 4 6 5 4 1 2
7 2 2 2 4 5 2 2
8 2 3 6 5 4 2 2
9 2 3 6 6 4 1 2
10 1 9 15 7 6 1 2
11 2 4 3 4 3 2 2
12 2 5 4 6 4 2 2
13 1 6 9 6 5 2 1
14 1 6 8 3 2 2 2
15 1 6 5 5 4 1 2
16 2 4 3 4 3 2 2
17 1 6 9 5 3 1 1
18 1 4 4 5 4 1 2
19 1 7 14 6 6 1 1
20 2 6 6 6 4 2 2
21 1 6 9 4 2 2 2
22 1 5 5 5 4 2 1
23 2 3 2 4 2 2 2
24 1 7 15 6 6 1 1
25 2 6 6 5 3 1 2
26 1 6 13 6 6 1 1
27 2 5 4 5 5 1 1
28 2 4 2 3 2 2 2
29 1 4 4 5 3 1 2
30 1 3 3 7 5 1 2
Table 15.19
Chapter 16
After applying SPSS, we found that sample means with values of 8.3,
6.2 and 3.7
Stores with a high level of in-store promotion have the highest
average sales (8.3) and stores with a low level of in-store promotion
have the lowest average sales (3.7).
Multiple n2: The strength of the joint effect of two (or more) factors, or
the overall effect.
Figure 16.1
Chapter 17
Chapter 19
Responden
V1 V2 V3 V4 V5 V6
t Number
1 7 3 6 4 2 4
2 1 3 2 4 5 4
3 6 2 7 4 1 3
4 4 5 4 6 2 5
5 1 2 2 3 6 2
6 6 3 6 4 2 4
7 5 3 6 3 4 3
8 6 4 7 4 1 4
9 3 4 2 3 6 3
10 2 6 2 6 7 6
11 6 4 7 3 2 3
12 2 3 1 4 5 4
13 7 2 6 4 1 3
14 4 6 4 5 3 6
15 1 3 2 2 6 4
16 6 4 6 3 3 4
17 5 3 6 3 3 4
18 7 3 7 4 1 4
19 2 4 3 3 6 3
20 3 5 3 6 4 6
21 1 3 2 3 5 3
22 5 4 5 4 2 4
23 2 2 1 5 4 4
24 4 6 4 6 4 7
25 6 5 4 2 1 4
26 3 5 4 6 4 7
27 4 4 7 2 2 5
28 3 7 2 6 4 3
29 4 6 3 7 2 7
30 2 3 2 4 7 2
The two basic approaches to factor analysis are principal component
analysis and common factor analysis. In principal component
analysis the total variance in the data is considered. Principal
component analysis is recommended when the researcher‘s primary
concern is to determine the minimum number of factors that will
account for maximum variance in the data for use in subsequent
multivariate analysis. In common factor analysis the factors are
estimated based only on the common variance. Thus method is
appropriate when the primary concern is to identify the underlined
dimensions and when the common variance is of interest. This
method is also known as principal axis factoring.
Chapter 22
Stratum chart: A set of line charts in which the data are successively
aggregated over the series. Areas between the line charts display the
magnitude of the relevant variables.