Research Design PDF

Research Design Written Case Analysis Decision problem needs to be correctly identified All options listed in the case need to be correctly identified Needs to be within the 2 page requirement - No maximum Follow this format: Short introduction of case State decision problem Options (can be multiple...

Research Design Written Case Analysis Decision problem needs to be correctly identified All options listed in the case need to be correctly identified Needs to be within the 2 page requirement - No maximum Follow this format: Short introduction of case State decision problem Options (can be multiple) Pros Cons Recommendation for one of the options Rationale for the recommendation Research Design Research design is a master plan specifying the methods and for collecting and analyzing the needed information. - Basic research designs can be successfully matched to a range of problems and research objectives. - The research design for the project calls for detailing what steps will be necessary for the completion of a successful project. Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Why Is Research Design Important? Good research design is the “first rule of good research”. Knowledge of the needed research design allows advance planning so that the project may be conducted in less time and typically at a cost savings due to efficiencies gained in preplanning. Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Objectives of Research Design To gain background information and to develop hypotheses To measure the state of a variable of interest - Ex: Level of brand loyalty To test hypotheses that specify the relationships between two or more variables - Ex: Level of brand loyalty and advertising Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Hypotheses and Constructs Hypotheses are statements that are taken as true for the purposes of argument or investigation. A construct is an abstract idea or concept composed of a set of attitudes or behaviors that are thought to be related. – What is the unit of measurement? – What is the proper frame of reference? Variables are elements of constructs that can be measured or quantified Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Research Design: A Caution In many cases research is an iterative process. By conducting one research project, we learn that we may need additional research, which may result in using multiple research designs. Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Three Types of Research Designs Exploratory Descriptive Causal Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Exploratory Research Exploratory research is unstructured, informal research usually conducted at the outset of research projects. - Unstructured refers to the fact that exploratory research does not have a predetermined set of procedures. - It is informal in that there is no formal set of objectives, sample plan, or questionnaire. It is usually conducted when the researcher does not know much about the problem. Exploratory research is flexible in that it allows the researcher to investigate whatever sources he or she identifies and to the extent he or she feels is necessary to gain an understanding of the problem at hand. Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Uses of Exploratory Research Gain background information - When very little is known about the problem or when the problem has not been clearly formulated, exploratory research may be used to gain the needed background information. - Exploratory research can offer breakthrough ideas and fresh insights that lead to strategic knowledge. Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Uses of Exploratory Research Define terms - Exploratory research helps to define terms and concepts. - By conducting exploratory research to define a question such as “What is satisfaction with service quality?” the researcher quickly learns that “satisfaction with service quality” is composed of several dimensions—tangibles, reliability, responsiveness, assurance, and empathy. - Not only would exploratory research identify the dimensions of satisfaction with service quality, but it could also demonstrate how these components may be measured Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Uses of Exploratory Research Clarify problems and hypothesis - Exploratory research allows the researcher to define the problem more precisely and to generate hypotheses for the upcoming study. - Exploratory research can also be beneficial in the formulation of hypotheses, which are statements describing possible relationships among two or more variables. - Ex: Exploratory research on a banks image - Identified three customers: retail, commercial and other banks - Formally stating hypotheses prior to conducting a research study helps to ensure that the proper variables are measured. Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Uses of Exploratory Research Establish research priorities - Exploratory research can help a firm prioritize research topics. - Ex: examining user-generated feedback on review websites, such as Yelp, may tell management where to devote attention. - Business-to-business organizations often find interviews with salespeople helpful sources of future product and service concepts to pursue. Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Exploratory Research Methods Secondary Data Analysis: the process of searching for interpreting existing information relevant to the research topic Experience Surveys: refers to gathering information from those knowledgeable on the issues relevant to the research problem – Key-informant technique: gathering information from those thought to be knowledgeable on the issues relevant to the problem – Lead-user survey: used to acquire information from lead users of a new technology Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Exploratory Research Methods Case Analysis: a review of available information about a former situation(s) that has some similarities to the current research problem - Research situations typically have at least some similarities to a past situation. - Even when the research problem deals with a radically new product, some similar past experiences may be observed. - Ex: Apple iPhone - Case analysis can be a particularly useful technique for developing strategies to prevent and manage crises, since, by definition, crises occur on rare occasions. - Ex: The 2009–2010 recall of Toyota automobiles with acceleration pedals that were susceptible to sticking has been examined to develop best practices for companies to communicate product failures to their customers. Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Exploratory Research Methods Focus Groups: small groups brought together and guided by a moderator through an unstructured, spontaneous discussion for the purpose of gaining information relevant to the research problem Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Descriptive Research Descriptive research is undertaken to describe answers to questions of who, what, where, when, and how. - Who are the customers? - What brands do they buy and in what quantities? - Where they buy the brands - When they shop - How they find out about products? It is undertaken to collect data to examine characteristics of consumer and/or markets. It is desirable when we wish to project a study’s findings to a larger population, if the study’s sample is representative. Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Descriptive Research Studies Cross-sectional studies measure units from a sample of the population at only one point in time (or “snapshot”). – Sample surveys are cross-sectional studies whose samples are drawn in such a way as to be representative of a specific population. (ex: voter surveys) – These studies are usually presented with a margin of error. Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Descriptive Research Studies Longitudinal studies repeatedly measure the same sample units of a population over time. Since they involve multiple measurements over time, they are often described as “movies” of the population. To ensure the success of the longitudinal study, researchers must have access to the same members of a sample, called a panel, so as to take repeated measurements. Panels are samples of respondents who have agreed to provide information or answer questions at regular intervals. Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Descriptive Research Studies Continuous panels ask panel members the same questions on each panel measurement. - The essential point is that panel members are asked to record the same type of information (for example, grocery store purchases) on an ongoing basis. - Usually, firms are interested in using data from continuous panels because they can gain insights into changes in consumers’ attitudes and behaviors. Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Continuous Panels Brand-switching studies: studies examining how many consumers switched brands. Market-tracking studies are those that measure some variable(s) of interest — such as market share or unit sales — over time. Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Descriptive Research Studies Discontinuous panels vary questions from one panel measurement to the next. - These are sometimes referred to as omnibus panels (omnibus meaning “including or covering many things or classes”). - The advantage of discontinuous (omnibus) panels is that they represent a group of persons who have made themselves available for research. - Discontinuous panels represent existing samples of consumers that may be quickly accessed for a wide variety of purposes. Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Causal Research Causality may be thought of as understanding a phenomenon in terms of conditional statements of the form “If x, then y.” Causal relationships are often determined by the use of experiments. Marketing managers are always trying to determine what will cause a change in consumer satisfaction, a gain in market share, an increase in website visits, or an increase in sales. Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Experiments An experiment is a type of study in which one or more independent variables are manipulated to see how they affect a dependent variable, while also controlling the effects of additional extraneous variables. Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Independent Variable Independent variables are those variables which the researcher has control over and wishes to manipulate. For example: level of ad expenditure; type of ad appeal; display location; method of compensating salespersons; price; type of product, 4Ps Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Dependent Variables Dependent variables are those variables that are measured in response to changes in independent variable. Common dependent variables include sales, market share, customer satisfaction, sales force turnover, time spent on site, unique net profits, and RONW (return on net worth). Because managers cannot change these variables directly, they attempt to change them through the manipulation of independent variables. To the extent that marketers can establish causal relationships between independent and dependent variables, they can enjoy some success in influencing the dependent variables. Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Extraneous Variables Extraneous variables are those variables other than the independent variables that may have some effect on a dependent variable. Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Experimental Design Experimental design is a procedure for devising an experimental setting such that a change in a dependent variable may be attributed solely to the change in an independent variable. Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Experimental Design Control group: control of extraneous variables is typically achieved by the use of a second group of subjects Experimental group: the group that has been exposed to a change in the independent variable Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Experimental Design Before-after testing is an experimental design in which the dependent variable is measured before and after an independent variable is changed. Pretest: a measurement of the independent variable prior to changing the independent variable Posttest: a measurement of the independent variable after changing the independent variable Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved A/B Testing Tests two alternatives (A/B) simultaneously to see which is better. Commonly done as online experimentation. Often organizations use A/B testing to determine which of two or more alternatives involved in marketing a product is better, such as two pricing levels, two types of packaging, or two different brand names https://www.youtube.com/watch?v=XZ15VehMa7U Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved How Valid Are Experiments? An experiment is valid if: The observed change in the dependent variable is due to the independent variable. The results of the experiment apply to the “real world” outside the experimental setting. Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved How Valid Are Experiments? Two forms of validity are used to assess the validity of an experiment: Internal validity is concerned with the extent to which the change in the dependent variable is actually due to the change in the independent variable. External validity refers to the extent that the relationship observed between the independent and dependent variables during the experiment is generalizable to the “real world.” Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Types of Experiments Laboratory experiments are those in which the independent variable is manipulated and measures of the dependent variable are taken in a contrived, artificial setting for the purpose of controlling the many possible extraneous variables that may affect the dependent variable. - Advantages: - They allow the researcher to control for the effects of extraneous variables. - Compared to field experiments, lab experiments may be conducted quickly and with less expense. - Disadvantage: - The lack of a natural setting and, therefore, the concern that the findings do not generalize to the real world. Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Types of Experiments Field experiments are those in which the independent variables are manipulated and the measurements of the dependent variable are made on test units in their natural setting. - Advantage: - Conducting the study in a naturalistic setting, thus increasing the likelihood that the study’s findings will also hold true in the real world - Disadvantages: - Expensive and time consuming. - The experimenter must always be alert to the impact of extraneous variables, which are difficult to control in the natural settings of field experimentation. Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Test Marketing Test marketing is the phrase commonly used to indicate an experiment, study, or test that is conducted in a field setting. Main uses of test markets: – To test sales potential for a new product or service – To test variations in the marketing mix for a product or service Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Types of Test Markets The standard test market is one in which the firm tests the product or marketing mix variables through the company’s normal distribution channels. - Disadvantage: - Competitors are immediately aware of the new product or service. - Advantage: - Standard test markets are good indicators as to how the product will actually perform because they are conducted in real settings. Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Types of Test Markets Controlled test markets are conducted by outside research firms that guarantee distribution of the product through prespecified types and numbers of distributors. - Advantage: - Controlled test markets offer an alternative to the company that wishes to gain fast access to a distribution system set up for test-market purposes. - Disadvantage: - This distribution network may or may not properly represent the firm’s actual distribution system. Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Types of Test Markets Simulated test markets (STMs) are those in which a limited amount of data on consumer response to a new product is fed into a model containing certain assumptions regarding planned marketing programs, which generates likely product sales volume. - The purpose of simulated test markets is to gauge consumers’ reactions to new products, along with associated elements of the marketing mix. - Advantages: - The data on consumer response to new products in simulated test markets can be used to create a model that predicts product sales volume. - Simulated test markets yield results much faster than standard test markets, and considerably less expensive to conduct research in. - Simulated test markets are confidential, so competitors are less likely to learn about new product tests. - Because simulated test markets are highly controlled, there is less potential for interference from extraneous variables. - Disadvantage: - Simulated test markets is that the artificial conditions of a simulated test may not provide results that are as accurate as a standard test market. Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Pros and Cons of Test Marketing Advantages: Test marketing allows for the most accurate method of forecasting future sales, and it allows firms the opportunity to pretest marketing-mix variables. Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved Pros and Cons of Test Marketing Disadvantages: Test markets do not yield infallible results Competitors may intentionally try to sabotage test markets Test markets bring about exposure of the product to the competition Test markets may create ethical problems Copyright © 2020, 2017, 2014 Pearson Education, Inc. All Rights Reserved