Chapter 1: Research Methods: an introduction

LEARNING OBJECTIVES
After going through this chapter you will
be able to:
1. Describe meaning and purpose of
research.
2. Differentiate between different types
of research.
3. Understand about Motivation for
Research
4. Identify the basic steps in research
 Concept of Research
• Research is a way of thinking.
• It is a way of examining your practice.
• Research refers to understanding and
formulating principles that govern a
particular procedure and testing and
developing new theories to guide a certain
profession.
• Research is a habit of questioning what
you do and systematically examining
the observed information in view of
installing change and implementing in
your professional practice.
 Definition of Research
• The word research is composed of two
words- re and search.
• The dictionary defines the re as a prefix
meaning again, or over again and the
search as a verb meaning to examine
closely and carefully, to test or to probe.
• Together they form a noun, research,
which means careful, systematic,
patient study and investigation in some
field of knowledge, undertaken to
establish facts or principles.
• Research is a systematic investigation to
find answers to a problem or search for
knowledge.
• Research is a scientific and systematic
search for pertinent information on a
specific problem.
• Research is the process of
– Defining and redefining problems,
– Formulating hypothesis,
– Collecting, organizing and evaluating data;
– Making deductions and reaching conclusions;
– And carefully testing the conclusions to
determine whether they fit the formulated
hypothesis.
• Research is a
– systematic,
– controlled,
– empirical and
– critical method consisting of
• enumerating the problem,
• formulating a hypothesis,
• collecting the facts or data,
• analyzing the facts and
• reaching certain conclusions either in the
form of solutions toward the concerned
problem or in certain generalizations for
some theoretical formulation.
Research may also be defined as a
scientific study, which by means of
logical and systematized techniques,
aims to:
– Discover new facts or verify and test old
facts
– Analyze their sequences, inter-relationships
and explanations which are derived within
an appropriate theoretical frame of
reference
– Develop new scientific tools, concepts, and
theories which would facilitate reliable and
valid study of human behavior in decision
making.
 Characteristics of Research
• To qualify as a research, a process
must have certain characteristics as
listed below:
1. Systematic
• It means that research is structured
with specified steps to be taken in a
specified sequential steps.
• Steps in the research process have
logical sequences/relationship
2. Rigorous (relevant)
• Implies usage of scientific procedure.
• The research procedure used should be
described in sufficient detail to permit
another researcher to repeat the research in a
systematic manner.
• One must be very careful in ensuring that the
procedures followed to find answers to
questions are relevant, appropriate and
justified.
3. Valid and verifiable
This concept implies that whatever you
conclude on the basis of your findings is
correct and can be verified by you and others.
4. Empirical
• This means that any conclusions
drawn are based upon hard
evidence gathered/information
collected from real life experiences
or observations.
• It implies that research is related
basically to one or more aspects of a
real situation and deals with
concrete data that provides a
basis for external validity to
research results
5. Critical
• The methods employed and
procedures used should be
critically selected and scrutinized.
• The process of investigation must
be foolproof and free from any
drawbacks.
• The process adopted and the
procedures used must be able to
withstand critical scrutiny.
 6. Replicability
• This characteristic allows research
results to be verified by replicating the
study and thereby building a sound basis
for decisions.
• This is related to verifiability and validity.
7. Logical
• This implies that research is guided by
the rules of logical reasoning and the
logical process of induction and
deduction.
 Purposes of Research
In the business arena, research is required
because of the following reasons:
• To identify and find solutions to the
problems
• To help in making decisions
• To develop new concepts
• To find alternate business strategies
• To gain a competitive advantage.
• To test new products and services.
• To enhance profitability.
• To reduce operational costs.
 Importance of research
• Research inculcates scientific and inductive
thinking and it promotes the development of
logical habits of thinking and organization.
• Research aids in solving operational problems.
• The very reason for conducting
researches is due to the increasingly
complex nature of business and
government.
• Furthermore, research is helpful aid in
economic policy to provide the basis for nearly
all government policies in our economic
system.
• Research has its special significance in solving
various operational and planning problems of
business and industry.
• Research is important in studying social
relationships and in seeking answers to various
social problems.
• Research may mean careerism or a way to
attain a high position in the social structure
particularly for those students of Masters or
PhD.
• Research may mean a source of livelihood for
those professionals in research methodology.
• Research may mean the outlet for new ideas
and insights for philosophers and thinkers.
• Research may mean the development of new
styles and creative work to literary person.
• Research may mean the generalization of new
theories to analysts and intellectuals.
 Types of Research
1. Based on its application: Pure vs. applied
research
• Pure research: Also called fundamental or
basic research.
• Gathering knowledge for knowledge’s sake is
known as basic research.
• It is not directly involved with practical problems.
 Advancement of knowledge(formulating or
expanding theory)
 Understanding of theoretical relationship between
variables
 Exploratory in nature (discovery of knowledge)
 Without any practical end in mind
– E.g. Is computer important for accounting?
• Applied research: Also called Action
research. It aims at finding a solution for
an immediate problem faced by any
business organization.
• This research deals with real life
situations.
• Applied research has a practical
problem-solving emphasis.
• Example: “Why have profitability decreased during the last quarter”?
• Search for alternative financing for firms operated in Ethiopia.
• How can small business increase their profitability?
• What is the most efficient and effective capital structure composition?
• How can communication among workers in large companies be
improved?
• Based on objective: On the basis
their objectives research can be
classified as
1. Descriptive Research
2. Exploratory Research
3. Correlation Research
4. Explanatory Research
Descriptive Research
• The main purpose of descriptive
research is to describe the state of
view as it exists at present.
• Simply stated, it is a fact finding
investigation.
• In descriptive research, definite
conclusions can be arrived at, but it does
not establish a cause and effect
relationship.
• This type of research tries to describe
the characteristics of the respondent
in relation to a particular product.
 Descriptive Research
• More appropriate for exhaustive and
detailed investigative study of the
various aspects of a problem.
• It can be survey research or
comparative research
• It is hypothesis testing research.
• Answers questions like what, where,
when, how and who.
• Not answer why QUESTIONS
 Exploratory research

• Also called formulative research done when

we have no/little information.
• Basic purpose of this type of design is to
discover new ideas or insights
• That is it is concerned with the discovery of
new facts, things or ideas.
• Leads to the clarification of certain problems
• More common in business studies
• Example: If the profitability of XYZ company
has been declining, then through a careful
investigation a researcher would state the
reasons through exploratory research.
 Correlation research

• Studies the relationship between two or

more related variables.
• Correlation Research is also known as
associational Research.
• • Relationships among two or more
• variables are studied without any attempt
to influence them.
• • Investigates the possibility of
relationships between two variables.
• • There is no manipulation of variables in
correlation Research.
Explanatory(Casual) Research

• This type of research studies look into

the fact whether certain research
variables have a causal association
with other phenomena.
• In brief, it is based on cause and
effect studies.
• To determine “why” and “how” there is
a relationship between variables.
• Example: the effect studying on CGPA
of student
 Based on type of data involved , research can
be termed as quantitative or qualitative
research or mixed
Quantitative research:
 Is based on the measurement of
quantity or amount.
 Is applicable to phenomena that can be
expressed in terms of quantity.
 Quantitative research refers to counts
and measures of
things.
• Example: Analysis of the financial
performance of banking industry in
Ethiopia
 Qualitative research

concerned with qualitative phenomenon,

i.e., phenomena relating to or
involving quality or kind.
Quality refers to the what, how, when,
and where of a thing- its essence and
ambience/Character.
 Qualitative research thus refers to the
meanings, concepts, definitions,
characteristics, symbols, and
descriptions of things.
 Research process
• The research process involves the following steps.
1. Formulating research problem
2. Review of literature
 Review of concepts and theories
 Review of previous research findings
3. Formulating, hypothesis/ questions and
objectives
4. Designing the research
5. Developing instrument for data collection
6. Collection of data
7. Analysis of data
8. Writing research report
 Motivation for Research
• Curiosity about Unknown
• Desire to Understand the Cause
and Effect Relationship of Social
Problems
• Appearance of New and
Unexpected Situations
• Desire to Discover New and Test
Old Scientific Procedures