Research Methods For Business: A Skill Building Approach, 7th Edition Solution Manual

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CHAPTER1INTRODUCTIONTORESEARCHInstructional Goals1. Togenerate interestin research for the students by driving homethe point that successful managerial problem solving is nothingother than understanding and analyzing the situation at hand,which is what research is all about.2. To help studentsdifferentiatebetween research-based problemsolving and “going by gut-feeling”, the latter of which mightsometimes help to solve problems in the short run, but might leadto systemic long-term adverse consequences.3. Tocreate an appreciationin students that research is useful forsolving problems in ALL areas of business.4. To help studentsdevelop an appreciationof the role of themanager in facilitating the researcher or the consultant’s work.5. To stress theimportance of skill developmentin research, asopposed to mere gathering of knowledge about research.6. To emphasize that research and knowledge about researchenhance managerial effectiveness.7. To sensitize students to ethical conduct in business research.Discussion Questions1.Describe a situation where you used research in order toinform thinking, decisions, and/or actions in relation to apersonal issue of interest such as buying a new mobilephone or going to the movies. Provide information about thepurpose of your research, the problem, the information youcollected, how you collected this information, the role oftheory, and the solution to the problem.

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Answers will vary. Example: going to the movies.The problem: I wanted to go the movies last weekend with a friend. Idid have enough information on which movies were playing.Purpose: I wanted to have a good time with my friend.Information: I collected information via my iPhone. I collectedinformation aboutcurrent movies playing, and other relevant infovia the websites of two different cinemas. I watched trailers ofthree movies via the website of these cinemas. I also looked upinformation about the movies via the IMDB site. Finally, mybrother provided me with a few suggestions.Theory: I usually don’t like the movies my brother suggests. He hasa completely different taste. He usually prefers movies thatcontain violence. He also has a completely different sense ofhumor. That’s is why we didn’t go to the movie he suggested.Solution: based on the trailers and the information via IMDB wedecided to go to Spy.2. Why should a manager know about research when the jobentails managing people, products, events, environmentsand the like?The manager, while managing people, products, events, andenvironments will invariably face problems, big and small, and willhave to seek ways to find long lasting effective solutions. Thiscan be achieved only through knowledge of research even ifconsultants are engaged to solve problems.3. For what specific purpose is Basic Research important?Basic research is important for generating and building uponthe existing knowledge in the areas of interest. It offers thefoundation for applied research by which one can circumventreinventing the wheel.4. When is applied research, as distinct from basic research,useful?Applied research is useful in solving specific problems inparticular situations where early action might be needed to solveproblems in organizations.5. Why is it important to be adept in handling the manager-researcher relationship?The manager who knows how to relate to researchers

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facilitates the problem solving process and benefits the researchteam as well as the organization. The one who is not adept at thiswill frustrate and be frustrated during the research process andthereafter.Being capable of handling the manager-researcherrelationship is thus a big advantage and some of the nuances ofhandling research teams are:(i)knowing how much and what information to give to the team;(ii)meaningful and purposeful interactions with the team members;(iii)stating up front what records of the company will and will not beaccessible to the team members and expressing the corevalues of the system.6. Explain giving reasons which is more important–applied orbasic research.Both are equally important. Without basic research, appliedresearch cannot work as well, and if the results of basic researchare not applied, such research would be futile. Whereas basicresearch is the foundation of knowledge, applied research is itspractical application and helps to provide the additionalinformation base for theory building and further generation ofknowledge.7. Give two specific instances where an external research teamwould be useful and two other scenarios where an internalresearch team will be deployed, with adequate explanationsas to why each scenario is justified for an external or internalteam.The answers will vary.For theexternal team,the suggestions could be:a.to help non-tech companies to build up sophisticated technologyin their environment; (only those with specialized knowledge oftechnology can help non-tech companies)b.to evaluate the successful and deficient operations of thecompany (to avoid bias of internal team members).For theinternal team,it could be:a.to figure out how the companies affected by the September 11thdisaster can rebuild themselves; (internal team would be moreknowledgeable about the company and could rebuild faster);b.to solve the problem of consistent losses of a small division of alarge company (only a small pocket of a large company is

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involved and the situation can be rectified by the internal team).8. Describe a situation where research will help you as amanager to make a good decision.Again, the answers will vary. One scenario is that a work teamfails to deliver results time and again.9. Given the situations below, (a) discuss with reasons, whetherthey will fall into the category of Applied or Basic research,and (b) for scenario 1 explain with reasons, who will conductthe research.Scenario 1Companies are very interested in acquiring other firms even when the latter operate in totally unrelated realms ofbusiness. For example,Coca-Cola has announced that it wants to buy China Huiyuan Juice Group in aneffort to expand its activities in one of the world’s fastest-growing beverage markets.Such acquisitions areclaimed to “work miracles.” However, given the volatility of the stock market and the slowing down of business, manycompanies are not sure whether such acquisitions involve too much risk. At the same time, they also wonder if theyare missing out on a great business opportunity if they fail to take such risk. Some research is needed here!This is a general issue that relates to all or most companiescontemplating acquisitions. Of course, the results of the study are likely tobe useful to, and applied by all the concerned companies. This could fallinto the realm of basic or applied research, depending on who sponsorsthe study. If one company or a consortium of companies investigates theissue to find an answer for immediate application, then it will be appliedresearch On the other hand, if a Finance professor in a universityundertakes the study as a matter of academic interest, it will be basicresearch. Either an individual such as a professor or a finance expert cando this basic research, or a company or consortium of companies canundertake the applied research.Scenario 2Reasons for AbsenteeismA university professor wanted to analyze in depth the reasons for absenteeism of employees inorganizations. Fortunately, a company within 20 miles of the campus employed her as a consultant to studythat very issue.The basic research aspiration of the professor has taken the form ofapplied research in this particular system, where they would apply thefindings of her research to solve the problem. No doubt, the professorwould continue her research in a variety of organizations to add to the

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existing base of knowledge on absenteeism and continue the topic as abasic research project.Scenario 3Effects of Service Recovery on Customer SatisfactionA research scientist wants to investigate the question: What is the most effective way for an organizationto recover from a service failure? Her objective is to provide guidelines for establishing the proper "fit"between service failure and service recovery that will generalize across a variety of service industries.This will be a case of basic research, the purpose of which was tostudy the efficacy of different service recovery strategies and add to thebody of existing marketing knowledge.

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CHAPTER2THE SCIENTIFIC APPROACH ANDALTERNATIVE APPROACHES TOINVESTIGATIONInstructional Goals1To help participants comprehend that scientific research offersassurance to the manager that the results of a study can be reliedupon and furtheraction can be taken at low risk.2.To impress on the students that business research, howeverrigorously conducted, cannot produce 100 percent scientificresults in terms of precise solutions.3.To sensitize participants to being watchful about observing thedifferent cues in the environment which offer some idea of a gapin the desired and actual state of affairs.4.To help studentsunderstandthat applied research, though limitedin generalizability, still has to be “scientific”.Discussion QuestionsThe first two questions are straightforward and the answers may beextracted from the text.3. One hears the word research being mentioned by severalgroups such as research organizations, college anduniversity professors, doctoral students, graduate assistantsworking for faculty, graduate and undergraduate studentsdoing their term papers, research departments in industries,newspaper reporters, journalists, lawyers, doctors, and

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several other professionals and nonprofessionals. In thelight of what you have learned in this unit, how would yourank the aforementioned groups of people in terms of theextent to which they might be doing “scientific”investigations. Why?To the extent that any of the above groups conforms to thehallmarks of science, they would be doing scientific investigation.It is quite possible that poor research is done by researchagencies, and excellent research is conducted by a graduateassistant. The ultimate test is the rigor of the research whichwould lend itself to testability, replicability, accuracy andprecision, generalizability, objectivity, and parsimony.Research organizations and research departments inindustries engage themselves in both basic and applied researchand usually have the resources required to conduct scientificinvestigations using rigorous data collection methods, samplingdesigns, and data analysis. Most professors in colleges anduniversities are well trained to conduct scientific investigations,though their resources may not, in most cases, be as plentiful asthat made available in research organizations and researchdepartments. Because of restricted resources, professors mayhave to compromise somewhat on methodological rigor (e.g. usea small sample) which might restrict the generalizability of theirfindings. However, their research might otherwise be scientific.Applied researchers doing action-oriented research, aresomewhat restricted in even disseminating information about theirfindings due to the localized nature of their inquiry which may notpass many of the criteria of the hallmarks of science. Doctoraldissertations conducted under able guidance and supervisionquite frequently make valuable contributions to the body ofexisting knowledge. Much of this research is later published asjournal articles, and some get published as books because oftheir contributions to knowledge.Students’ term papers are meant to be exercises in skilldevelopment for integrating materials and communicating ideasin written form. Exceptional research papers, when refined andpublished, could qualify for being termed as scientificinvestigations. Newspaper reporters and journalists may obtainextensive primary and secondary data but their investigations areconfined to a narrow range of current incidents, events, orindividuals, which are of passing interest with little generalizabilityto other times, events or individuals. Hence, they cannot

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ordinarily be termed scientific investigations. Some newspaperarticles, however–as for instance, economic and environmentalinvestigations–provide data, analysis of these data, and validconclusions drawn therefrom, which might later be used assecondary data by other researchers. These would becategorized as more scientific in contrast to articles or editorialsin the paper.Academic journals usually publish articles that are scientificand some of the practitioner-oriented articles are probablysomewhat less scientific than the academic articles in terms ofrigor and generalizability. To the extent that lawyers, doctors,professionals and nonprofessionals present their findings thathave wide testability, replicability, generalizability, accuracy andprecision, objectivity, and parsimony, they will be scientific.However, if these investigations are confined to single cases,incidents, or individuals, they cannot be called scientificinvestigations despite the fact that they may be found useful.4. Explain the processes of deduction and induction, giving anexample of each.The hypothetico-deductive method of research helps theresearcher to deduce or infer from the results of data analysisand hence is the deductive process. For example, if as a result ofanalysis of data collected, one infers that the problem of turnovercan be minimized by three important factors: (i) flexible workhours; (ii) recognition of superior performance of workers throughsuitable merit pay raises; and (iii) enriching certain types of jobs,this is the deductive approach.Induction is a process of drawing inferences from observedphenomena which may subsequently be put to the test throughhypothetico-deductive method of research. For instance, if amanager observes that people residing at distances beyond 50miles from the workplace remain absent more frequently thanthose he knows to reside close by, and infers thereby thatdistance is a factor in absenteeism, this is an inductive process.5.Discuss the following statement: Good research is deductivein nature.Whether people will agree or disagree with this statement willdepend on their viewpoint on what makes good research. In

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general, the positivist will agree with this statement.Constructionists will disagree. The research methods of theconstructionist are often qualitative in nature. The pragmatistdoes not take a particular standpoint on what makes goodresearch: They feel that research on both objective, observablephenomena and subjective meanings can produce usefulknowledge, depending on the research questions of the study.The focus of pragmatism is on practical, applied research wheredifferent viewpoints on research and the subject under study arehelpful in solving a (business) problem.So the particular ideas that people have about this statement willtell them a lot about their ideas of what makes good research.6.Discuss the following statement: The hallmarks of scientificresearch do not/cannot apply to inductive research.Many of the hallmarks of scientific research do and probablyshould apply to inductive research. For instance, the hallmarkspurposiveness, replicability, objectivity, generalizability, rigour (asound design) apply do apply to inductive research. Obviously,since one does not develop hypotheses in inductive research,testability does not apply.7. If research in the management area cannot be 100 percentscientific, why bother to do it at all? Comment on thisquestion.Research in the management area dealing with humanbehavior cannot be 100 percent scientific. However, suchresearch is necessary and useful for detecting problems andcoming up with solutions as also to ensure that problems do notget out of control. Management research makes a valuablecontribution inasmuch as it can help organizations functionsmoothly and effectively and help managers and individuals at alllevels in organizations experience and enjoy a better quality oflife.8.What is epistemology and why is it important to know aboutdifferent perspectives on research and how it should be done?

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Epistemology questions the nature of knowledge or how we come to know.Knowledge of epistemology may help students to relate to and understand theresearch of others and the choices that were made in this research. Differentresearchers have different ideas about the nature of knowledge or on how wecome to know. These different ideas translate into different approaches that aretaken to research, into different research designs, and into different choicesregarding the research methods used. Another answer to the question “Why do Ineed to know this?” is that students will probably have noticed that they preferone research perspective over the other perspectives. Understanding yourpersonal ideas on research and how it should be done allows you to determinewhich kinds of research questions are important to them and what methods forcollecting and analyzing data will give you the best answer to these questions. Itwill also help students to make informed decisions during the research process,to have a clear understanding about what the findings of their study (do and donot) mean, and to understand the type of conclusions that a particular researchapproach allows one to draw. Like this, it helps to put research and researchfindings in perspective.9.Discuss the most important differences between positivism andconstructionism.Constructionism criticizes the positivist belief that there is an objectivetruth.Constructionists hold the opposite view, namely that the world (aswe know it!) is fundamentally mental or mentally constructed. For thisreason, constructionists do not search for the objective truth. Instead, theyaim to understand the rules people use to make sense of the world byinvestigating what happens in people’s minds. The research methods ofconstructionist researchers are often qualitative whereas researchmethods of the positivist are often quantitative in nature. Constructionistsare often more concerned with understanding a specific case than with thegeneralization of their findings which is important for the positivist.10.Is there a specific perspective on research that appeals to you?Why?Answers will vary. Make sure that students provide arguments. Do theyhave particular ideas about whether the truth is objective or not?11.Some people think that you should choose a particularresearch perspective based on the research questions of yourstudy. Others feel that a particular research perspective“chooses” you. That is, they believe that you will have a rather

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strong preference for one particular research perspective; inturn, this will have an influence on the type of questions youask. How do you feel about this matter?Answers will vary.12. Critique the following research done in a service industry as to theextent to which it meets the hallmarks of scientific investigationdiscussed in this chapter.The Mobile Phone CompanyThe Mobile Phone Company has been named as the most complained aboutmobile phone company, narrowly beating 3G, which has shot to the top of thetable as the worst landline provider.According to the latest figures from the regulator, Ofcom, the Mobile PhoneCompany was the most complained-about mobile provider–with 0.15 complaintsper 1,000–in the last three months of 2014. It saw its complaint figures risesubstantially in the last quarter of 2014.The company wanted to pinpoint the specificproblems and take correctiveaction. Researchers were called in, and they spoke to a number of customers,noting the nature of the specific problems they faced. Because the problem hadto be attended to very quickly, they developed a theoretical base, collectedrelevant detailed information from a sample of 100 customers, and analyzed thedata. The results promise to be fairly accurate with at least an 85% chance ofsuccess in problem solving. The researchers will make recommendations to thecompany based on the results of data analysis.The hallmarks of science are purposiveness, rigor, testability,replicability, precision and confidence, objectivity, generalizability, andparsimony. This study meets the basic criterion of purposiveness. It cannotbe called a rigorous study inasmuch as a theoretical framework seems tohave been formulated merely on the basis of conversation with a numberof customers and no scientific data seem to have been collectedthereafter. For this reason, the replicability and generalizability criteria also

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suffer. With customer complaints mounting, an 85% confidence level maynot suffice. Unless we know the theoretical base, we cannot be sure thatthe criterion of parsimony is met. All in all, this is a good example of a non-scientific investigation.

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CHAPTER3DEFINING ANDREFINING THEPROBLEMInstructional Goals1Toclarify tothe students that though the Research Process hasdistinct phases, some of the steps follow an iterative, rather thana linear process. For example, the problemstatement could beredefined after the theoretical framework is conceptualized, afterdata analysis, and in fact, at any of the stages in the process.2.Toillustratethat identifying the Broad Problem Area sets thestage for focusing on literature search and subsequently clearlydefining and refining the problem.3.Toemphasizethat preliminary data collection through interviewsoffers a great opportunity to narrow down the problem.4.Todevelop interviewing and problem identification skillsinstudents.5.Tocreatea mindset in students of viewing a problem as a gapbetween desired and actual state of things in a system, and asolution as narrowing this gap.6.Toencouragestudents to develop bibliographies by accessingavailable on-line data bases.Discussion Questions1.Define ‘problem’ and provide an example of a problem youhave encountered in your daily life. Discuss how you haveused research to solve this problem.Answer will vary. Discuss: was there a gap between an actualand a desired situation? What was the actual situation? What

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was the desired situation? How have the students usedinformation to solve the problem? What type of information havethey collected? How? Have they talked to people? Have theyused theory (argumentation, claims?)? How? Is it possible toidentify certain stages in the process?2.Why do westill have transform the following problemstatement into a researchable topic for investigation?The introduction of flexible work hours has created moreproblems than it has solved.Because it lacks the specificity and focus needed to investigate it. Weneed to transform the broad problem into a feasible topic for research by a)making it more specific and preciseand by b) setting clear boundaries.Finally, we need to select a c) perspective from which we investigate thesubject (Machi and McEvoy, 2012).3.Use the Internet to find more information about the ‘five times why’approach. Discuss this approach using an example provided on theInternet.Answers will vary.4.Describe the functions of preliminary data gathering.Preliminary data gathering helps the researcher to:‒benefit from what is already known about the subject‒narrow down the problem‒ask the right (research)questions‒be able to adequatelyformulate a specific and clear problemstatement (research objective/questions)‒determine whether and how your study is relevant‒avoid the risk of reinventing the wheel (in basic research)

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5Why is it important to gather information on the background of theorganization?Whys is it important to review the literature on yourtopic?The background information of the company is likely to offer the researcherseveral clues on when the problems that are currently experienced by thecompany could have started and how they could have originated. One canalso assess how the other companies operating in similar types ofenvironment in the industry might be different and in what way. Since multiplefactors can influence the problem, the possibility that some of the backgroundfeatures of the company are influencing the situational problem cannot beruled out. Additionally, the background factors offer the researcher a goodidea of how the philosophy and culture of the company are shaped, and towhat extent they can be changed, if necessary.Collecting backgroundinformation also helps to focus on critical issues and raise appropriate questionsduring the interview process. Examples of this are provided in the book.It is important to review literature on the topic because this will allow you tobenefitfrom what is already known about the subject, to ask the right (research)questions, to adequately formulate your research objective and researchquestions, and in basic research to avoid the risk of reinventing the wheel.6. Should a researcheralwaysfind information on structural and jobcharacteristics from those interviewed? Give reasons for your answer withexamples.It is almost always advisable for the researcher to gather some information onthe structure and job characteristics even though it may appear that theproblem may not be related to either of these factors. For example, theproblem of not meeting the production deadlines may be directly related to thedelayed deliveries of the raw materials by the suppliers. In such a case, thetendency might be to focus the data collection mainly as they relate tosuppliers. However, interviewing the employees and ascertaining theirreactions to their job, work-flow interdependencies, structure, and the like,might offer the solution that deadlines can be met even with delayed rawmaterial supplies by changing the workflow patterns, or other structuralaspects. It is for such reasons that some time should be spent on finding thejob and structure-related information.There is also another way of looking at this. Human beings operating inorganizations face a multitude of factors surrounding them, many of which,directly or indirectly influence their operating effectiveness. The structuralfactors such as policies and procedures and reward systems and job factorsdo play a critical part in how outcomes for the organization are achieved.

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