Ch 4:The Business Research Process

Question 1

List the key ways in which researchers contribute the decision making

Answer 1

1. Improve the definition of the current situation
2. Defining the firm- determining how consumer, competitor & employee view the firm
3. Providing ideas to enhance current business practices
4. Identify new strategic directions
5. Testing the ideas that’ll assist in implementing business strategies for the firm
6. Examining how correct a certain business theory in a given situation.

Question 2

Decision making terms:

Answer 2

1. Business opportunity
2. Business problem
3. Symptoms
4. Decision making defined
5. Research’s role in the decision making process

Question 3

Factors affecting decision making

Answer 3

1. Certainty
   - Has all information needed for optimal decision.
2. Uncertainty
   - Grasp the general nature and its desired objectives, however information of alternative in incomplete
3. Ambiguity
   - The nature of the problem is unclear where objectives are vague & decision alternatives are hard to define.

Question 4

Types of business research

Answer 4

there 3 types:
1. Exploratory
2. Descriptive
3. Causal

Question 5

Define exploratory research

Answer 5

studies that create scope for future research & the future research may have conclusive design (evidence that can prove study)

initial research conducted to clarify & defines the anture of problem but;
- it does not provide conclusive evidence
- subsequent research expected

Question 6

Advantage of using exploratory research

Answer 6

1. effective in laying the groundwork that’ll lead to future studies
2. it saves time potentially by determining at the earlier stages the type of research taht worth pursuing

Question 7

Disadvantages of exploratory research

Answer 7

1. Inclusive nature of research findings.
2. Generate qualitative information and interpretation of such type of information is subject to bias.

3.Usually make use of a modest number of samples that may not adequately represent the target population. Accordingly, findings of exploratory research cannot be generalized to a wider population.

Question 8

Definition of descriptive Research

Answer 8

Describes characteristics of objects, people, groups, organizations, or environments.
-Addresses what, when, where questions.
-Considerable understanding of the
nature of the problem exists.
-Does not provide direct evidence of
causality.

Diagnostic analysis:
Seeks to diagnose reasons for market outcomes and focuses specifically on the beliefs and feelings consumers have about and toward competing products.

Question 9

Definition of Causal research

Answer 9

Research conducted to identify cause and effect relationships (inferences)

Question 10

Evidence of causality:

Answer 10

1. Temporal sequence—the appropriate causal order of events.
2. Concomitant variation—two phenomena vary together (magnitude of one variable varies with the magnitude of a second variable).

3.Nonspurious association—an absence of alternative plausible explanations (Any covariation between a cause and an effect must be true and not simply due to other variable).