Conducted on a
sub-section of
Cohort analysis
the respondent
population
Descriptive research
designs The study
involves
selection of a
representative
group as a
panel.
There are
Longitud repeated
inal measurement of
the researched
studies: variable on this
panel over
three fxed intervals
of time.
criteria Once selected
the panel
composition
needs to stay
Experimental research design
An experiment is generally used to infer a causality. In an experiment, a
researcher actively manipulates one or more causal variables and measures
their effects on the dependent variable of interest.
Concepts Used in Experiments
Independent variables: Independent variables are also known as explanatory
variables or treatments. The levels of these variables are manipulated (changed)
by researchers to measure their effect on the dependent variable.
Test units: Test units are those entities on which treatments are applied.
Dependent variables: These variables measures the effect of treatments
(independent variable) on the test units.
Experiment: An experiment is executed when the researcher manipulates
one or more independent variables and measures their effect on the
dependent variables while controlling the effect of the extraneous variables.
Extraneous variables: These are the variables other than the independent
variables which infuence the response of test units to treatments.
Examples: Store size, government policies, temperature, food intake,
geographical location, etc.
Validity in
Experimentation
Internal validity: Internal validity tries to
examine whether the observed effect on a
dependent variable is actually caused by
the treatments (independent variables) in
question.
External validity: External validity refers to
the generalization of the results of an
experiment. The concern is whether the
result of an experiment can be generalized
beyond the experimental situations.
Factors Affecting Internal
Validity of the Experiment
History
Maturation
Testing
Instrumentation
Statistical regression
Selection bias
Time
Time Money
Money
Business
Business
Decisions
Decisions
Emotion
Emotion
Secondary Sources of Data
Collection
Secondary Data Research
Secondary Data
Data gathered and recorded by someone else prior to
and for a purpose other than the current project.
Advantages Disadvantages
Available Uncertain accuracy
Faster and less expensive Data not consistent with
than acquiring primary needs
data Inappropriate units of
Requires no access to measurement
subjects Time period inappropriate
Inexpensivegovernment (outdated)
data is often free
May provide information
otherwise not accessible
Evaluating Secondary Data
Is it possible to go to the
original data source?
Secondary Data Research
(contd)
Data conversion
The process of changing the original form of
the data to a format suitable to achieve the
research objective
Also called data transformation
Cross-checks
The comparison of data from one source with
data from another source to determine the
similarity of independent projects.
Common Research Objectives for
Secondary-Data Studies
Typical Objectives for Secondary-Data
Research Designs
Fact Finding
Identifcation of consumer behavior for a
product category
Trend Analysis
Market trackingthe observation and analysis of
trends in industry volume and brand share over time.
Environmental Scanning
Information gathering and fact-fnding that is designed
to detect indications of environmental changes in their
initial stages of development.
Trend Analysis Example : Colas Share
of the Carbonated Soft-Drink Market
Source: Theresa Howard, Coca-Cola Hopes Taking New Path Leads to Success, USA
Today, March 6, 2001, p. 6b. From USA Today a division of Gannett Co., Inc. Reprinted
with Permission.
Example : Model Building
Estimating
Estimating Forecasting
Forecasting
Market
Market Potential
Potential Sales
Sales
Model
Model
Building
Building
Analysis
Analysis of
of Trade
Trade
Areas
Areas and
and Sites
Sites
Sales Forecast Using Secondary Data and Moving
Averages
Data Mining
Data Mining
The use of powerful computers to dig through
volumes of data to discover patterns about
an organizations customers and products;
applies to many different forms of analysis.
Neural Network
A form of artifcial intelligence in which a
computer is programmed to mimic the way
that human brains process information.
Data Mining (contd)
Market-Basket Analysis
A form of data mining that analyzes
anonymous point-of-sale transaction
databases to identify coinciding purchases or
relationships between products purchased
and other retail shopping information.
Customer Discovery
Involves mining data to look for patterns
identifying who is likely to be a valuable
customer.
Sources of Internal
Secondary Data
Internal and Proprietary Data
Accounting information