Chapter 4

Research Design

1
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Learning Objectives
To understand what research design is and why it
is significant
To appreciate areas of ethical sensitivity in
research design
To learn how exploratory research design helps
the researcher gain a feel for the problem by
providing background information, suggesting
hypotheses, and prioritizing research objectives

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Learning Objectives
To know the fundamental questions addressed by
descriptive research and the different types of
descriptive research
To explain what is meant by causal research and to
describe types of experimental research designs
To know the different types of test marketing and
how to select test-market cities

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Research Design
Research design is a set of advance decisions that
make up the master plan specifying the methods
and procedures for collecting and analyzing the
needed information.

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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.

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Objectives of Research Design
To gain background information and to develop
hypotheses
To measure the state of a variable of interest
To test hypotheses that specify the relationships
between two or more variables

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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.

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Three Types of Research Designs
Exploratory
Descriptive
Causal

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Exploratory Research
Exploratory research is usually conducted at the
outset of research projects.
It is usually conducted when the researcher does
not know much about the problems.

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Uses of Exploratory Research
Gain background information
Define terms
Clarify problems and hypothesis
Establish research priorities

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Exploratory Research Methods
Secondary data analysis: the process of searching for
interpreting existing information relevant to the
research topic
Experience surveys: refer to gathering information
from those to be 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
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Exploratory Research Methods
Case analysis: a review of available information
about a former situation(s) that has some
similarities to the current research problem
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

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Descriptive Research
Descriptive research is undertaken to describe
answers to questions of who, what, where, when,
and how.
It is desirable when we wish to project a study’s
findings to a larger population, if the study’s
sample is representative.

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Descriptive Research Classifications
Cross-sectional studies
Longitudinal studies

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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.
These studies are usually presented with a
margin of error.

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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.

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Descriptive Research Studies
Continuous panels ask panel members the same
questions on each panel measurement.
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”).

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Discontinuous Panels
Discontinuous panels are demographically
matched to some larger entity, implying
representativeness.
Discontinuous panels represent sources of
information that may be quickly accessed for a
wide variety of purposes.

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Continuous Panels
Brand-switching studies: studies examining
how many consumers switched brands
Market-tracking studies: those that measure
some variable(s) of interest—such as market share
or unit sales—over time

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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.

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Experiments
An experiment is defined as manipulating an
independent variable to see how it affects a
dependent variable while also controlling the
effects of additional extraneous variables.

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Independent Variable
Independent variables are those variables that
the researcher has control over and wishes to
manipulate.
Examples are level of ad expenditure, type of ad
appeal, display location, method of compensating
salespersons, price, and type of product.

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Dependent Variables
Dependent variables are those variables that we
have little or no direct control over but a strong
interest in changing.

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Extraneous Variables
Extraneous variables are those variables that
may have some effect on a dependent variable yet
are not independent variables.

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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.

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Symbols of Experimental Design
O = measurement, or observation, of a
dependent variable
X = manipulation, or change, of an
independent variable
R = random assignment of subjects to
experimental and control groups
E = experimental effect (change in the
dependent variable due to the independent
variable)

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Pretest and Posttest
Pretest refers to the measurement of the
dependent variable taken prior to changing the
independent variable.
Posttest refers to measuring the dependent
variable after changing the independent variable.

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Experimental Design
A “true” experimental design: isolates the
effects of the independent variable on the
dependent variable while controlling for the effects
of any extraneous variables.
Quasi-experimental design: ones that do not
properly control for the effects of extraneous
variables on our dependent variable.

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Experimental Design
Before-after with control group design may be
achieved by randomly dividing subjects of the
experiment in two groups:
The control group
The experimental group

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Experimental Design
Control group: control of extraneous variables
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

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How Valid Are Experiments?
An experiment is valid if the following are true:
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.

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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.”
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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.

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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.

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