Purpose of Business Research

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1. What is the purpose of business research?

Research shows that Business Research is an important managerial tool that exerts a major influence on decision making. The function of research is to either create or test a theory; it is the instrument used to test whether a theory is good or not; and is the process by which data is gathered to generate a theory or used to test a theory. There are different ways of conducting research. However any method used will be based on the systematic collection and analysis of data. This means one has to collect your data in an ordered manner, with a purpose in mind, and following certain rules about your mode of collection.

* Business Research is defined as the systematic and objective process of gathering, recording, and analyzing data for aid in making business decisions.

* The suggestions of business research:

1. Research information is neither intuitive nor haphazardly gathered

2. If the information generated or data collected and analyzed are to be accurate, the business researcher must be objective

3. The purpose of Business research is To facilitate the managerial decision process

* Basic research & Applied Research

Basic / pure research: is intended to expand the boundaries of knowledge itself; conducted to verify the acceptability of a given theory.

Applied research: undertaken to answer questions about specific problems or to make decisions about a particular course of action or policy decision.

* Managerial Value of Business Research

1. Identifying problems or opportunities

2. Selecting & Implementing a course of action

3. Evaluating the course of action

1. Evaluation research

2. Performance Monitoring research

3. Total Quality management

* The determination of the need for research centers on (1) time constraints, (2) the availability of data, (3) the nature of the decision that must be made, and (4) the value of the business research information in relation to its costs.

2. What is the definition of a hypothesis?

1. a proposition, or set of propositions, set forth as an explanation for the occurrence of some specified group of phenomena, either asserted merely as a provisional conjecture to guide investigation (working hypothesis) or accepted as highly probable in the light of established facts.
2. a proposition assumed as a premise in an argument.
3. the antecedent of a conditional proposition.
4. a mere assumption or guess.

3. Compare and contrast the difference between scientific and business research.

Business Research is defined above - relating to "busines". Scientific Research is related to "science" and is an interdependent process whereby each experiment is informed by the results of others. The scientists who perform research and the professional societies that represent them have a great interest in ensuring that research results are disseminated as immediately, broadly and effectively as possible.:

[Both Scientific AND Business] Research is about finding out. It is about searching systematically for solutions to problems. It is about rules to guide your search. It is also about helping you to evaluate the research of others.

The term "research" has several meanings:
# Research is a systematic, formal rigorous and precise process employed to gain solutions to problems and/or to discover and interpret new facts and relationships.
# Research is the process of looking for a specific answer to a specific question in an organized objective reliable way.
# Research is systematic, controlled, empirical and critical investigation of hypothetical propositions about the presumed relations among natural phenomena.

4. Why is it important to properly frame a research question?

It is important to properly frame a research question because it defines the way one forms a hypothesis and problem definition, which is the indication of a specific decision area that will be clarified by answering research questions (statement of research objectives), such as:

* Selection of basic research method (Research Design: A master plan specifying the methods and procedures for collecting and analyzing needed information)

* Survey: Interview or Questionnaire

* Experiment: Laboratory or Field

* Observation

* Secondary Data Study

* Selection of sample design

* Probability: a sample in which every member of the population has a known, nonzero probability

* Non-probability: if sample units are selected on the basis of personal judgement

* Data Gathering

* Collection of data (fieldwork)
* Data Processing and Analysis

* Editing and coding data

* Data processing

* Conclusion and Report

* Interpretation of findings

* Report

5. What is the purpose of a cost-benefit analysis?

The purpose of a Cost-Benefit Analysis (CBA) is to quantify or estimate the equivalent money value of the "benefits" and "costs" to the community of projects to establish whether they are worthwhile; it is a technique used to determine whether a planned action will turn out good or bad.

6. List the primary elements that are contained within a well-written business research proposal.

The primary elements that are contained within a well-written business research proposal are partially listed above to contain the:

# Problem Discovery and Definition

# Selection of Exploratory Research Technique

* Secondary (historical) data - data that have been previously collected for some project other than the one at hand >< primary data

* Pilot Study - any small scale exploratory research technique that uses sampling but does not apply rigorous standards

* Experience Survey

* Case Study

# Problem Definition: The indication of a specific business decision area that will be clarified by answering some research questions (statement of research objectives)

* Selection of basic research method (Research Design: A master plan specifying the methods and procedures for collecting and analyzing needed information)

* Survey: Interview or Questionnaire

* Experiment: Laboratory or Field

* Observation

* Secondary Data Study

* Selection of sample design

* Probability: a sample in which every member of the population has a known, nonzero probability

* Non-probability: if sample units are selected on the basis of personal judgement

* Data Gathering

* Collection of data (fieldwork)
* Data Processing and Analysis

* Editing and coding data

* Data processing

* Conclusion and Report

* Interpretation of findings

* Report

* The nature of the business problem to be solved is unclear; the objectives are vague and the alternatives are difficult to define.

* Problem definition: the indication of a specific business decision area that will be clarified by answering ...