Marketing Research

Finding the Purpose Setting the DirectionShaping the Destination of Your Business

A Special Presentation for

Widya KartikaUniversitySurabaya

Prepared by,Go Siang Chen

A Skill Building Approach

MARKETING RESEARCH CLASIFICATION

P rob

l em

Ide n

t i fi c

a ti o

nR

esea

rch

Prob

lem

Solv

ing

Res

earc

hMarket Potential Research

Market Share Research

Sales Forecasting Research

Trend Business Research

Market Behavior Research

Market Characteristic Research

Sales Effort Research

Sales Promotion Research

Market Segmentation Research

Product Market Research

Pricing Research

Distribution Channels Research

Observation Identification ofProblem Area

Theoretical frameworkor

Network of associations

Hypotheses

ConstructsConcepts

Operational Definitions

ResearchDesign

DataCollection

Interpretationof Data

Analysisof Data

Refinement of Theory(Pure Research)

orImplementation

(Applied Research)

THE BUILDING BLOCK OF SCIENCE

OBSERVATIONBroad area of

research interestidentified

PRELIMINARYDATA

GATHERINGInterviewingLiterature

Survey

PROBLEMDEFINITION

Researchproblem

delineated

THEORETICALFRAMEWORK

Variablesclearly

identified andlabeled

GENERATIONOF

HYPOTHESES

SCIENTIFICRESEARCH

DESIGN

DATA COLLECTION

ANALYSISAND

INTER-PRETATION

DEDUCTIONHypotheses

substantiated?Researchquestion

answered?

11

3

6

THE RESEARCH PROCESS FOR BASIC & APPLIED RESEARCH

2

4

5

7

8

1. BROAD PROBLEM AREA

• Identifying the broad problem area though the process of observing and focusing on actual problem.

• Recall that the broad problem are refers to the entire situation where one sees a possible need for research and problem solving.

• The specific issues that need to be researched within this situation may not to be identified at this stage

• Examples of broad problem areas:– The sales volume of a product is not picking

up after promotion campaign– Channels distribution training program are

perhaps not effective as were anticipated– The daily visiting calls of salesman becoming

a continuing concern

2. PRELIMITARY DATA COLLECTION

• The nature of information that would be needed by the researcher for the purpose could be broadly classified under three headings:– Background information of the organization-

that is, the contextual factors.• The origin and history of the company-when it

was started, business it is in, sales rate growth, ownership and control so on.

– Managerial philosophy, company policies, and other structural aspects.

• Roles and position in the organization and number of employees at each job level

– Perceptions, attitudes, and behavioral responses of organizational members and client systems (if applicable)

• A general idea of people’s perceptions of their work, the organizational climate, and other aspects of interest to the researcher can be obtained through both unstructured and structured interview with the respondents.

3. PROBLEM DEFINITION

• No amount of good research can find solutions to the situation, if the critical issue or the problem to be studied is not clearly pinpointed.

• A problem does not necessarily mean that something is seriously wrong with a current situation, which needs to be rectified immediately.

• A problem could simply indicate an interest is an issue where finding the right answers might help to improve an existing good situation

To define a problem as any situation where a gap exists between the actual and the desired ideal state

4. THE NEED FOR A THEORETICAL FRAMEWORK

• A theoretical framework is a conceptual model of how one theorized the relationships among the several factorsthat have identified as important to the problem (discusses the interrelationship among the variables that are deemed to be integral to the dynamic of the situation being investigated).

• If a theoretical framework is nothing other than identifying the network of relationship among the variables considered important to the study are given problem situation. Four main types of variables:– The dependent variables (also know as the

criterion variables)– The independent variables (also known as the

predictor variable)– The moderating variable– The intervening variables

5. HYPOTHESES DEVELOPMENT

• An hypothesis is an educated guess about a problem’s solution. It can be defined as a logically conjectured relationshipbetween two or more variables expressed in the form of testable statements.

• These relationships are conjectured on the basic of the network of associations established in the theoretical framework formulated for the research study.

Example: If-Then StatementIf employees are more healthy. Then they will take sick leave less frequently.

If, in starting the relationship between two variables (two group), term such as “positive”, “negative”, “more than”, “less than”, and the like are used, then these hypotheses are directional (indicate the direction of the relationship between the variables (positive/negative)

Types ofInvestigation

Purposes ofThe Study

Study Setting

Measurementand

Measures

SamplingDesign

Unit of Analysis

(Populationto be Studied)

Data-CollectionMethod

Feel forData

Goodnessof Data

HypothesesTesting

TimeHorizon

Extent of ResearcherInterference

DETAIL OF STUDY MEASUREMENT

DATAANALYSIS

6.3.

6.4.

6.7.

6.8.

6.1.

6.2.

6.5.

6.6.

Prob

lem

Sta

tem

ent

6. THE SCIENTIFIC RESEARCH DESIGN

6.1. PURPOSES OF THE STUDY

CausalComparative Historical

Participators

Experiment(Causal) Descriptive

Trend

CorrelationStudy

Case Study

Survey

Development

ContentAnalysis

Follow Up

Cross Sectional

Longitudinal

Basic ResearchApplied Research

Exploration Conclusive

6.2. TYPES OF INVESTIGATION

Quantitative

Experimentation

Qualitative

CausalStudy

CorrelationStudy

Direct Indirect

Observation

Surveys

Association Structuring

Completion Expressive

DepthInterview

GroupDifference

• A Causal Study question: Does smoking cause cancer?• A Correlation study question: Are smoking, drinking,

and chewing tobacco associated with cancer?

GroupDifferences

6.3. EXTENT OF RESEACHER INTERFERENCE

Attitudes RespondentCharacteristic

PastBehavior

CommunicationTechniques

ObservationTechniques

PerformanceObjectives

Tasks

Responses to Unstructured

Stimuli

SelfReport

OvertBehavior

PhysiologicalReactions

Manipulation and/or Control and/or Simulation

6.4. STUDY SETTINGCONTRIVED & NONCONTRIVED

Observation

Field StudyFiled Experiment Lab Experiment

(Contrived & Non Contrived)

Survey

Respondents AnalogousSituation

Primary Data

Secondary Data

Experimental

Complete Enumeration

(Census)

EstimateValue

(Sampling)

CaseStudy

(Causes)

Pre-test & Post-test

• Field Study: Correlation studies done in organization• Field Experiment: Studies conducted to establish cause

effect relationship using the same natural environment

• Lab Experiment: Subjects are carefully chosen by the researcher to respond to certain manipulated stimuli

6.5. UNIT OF ANALYSIS: POPULATION TO BE STUDIED

PopulationTo Be

Studied Organization

Machine

Cultures

Individuals

Etc.

Groups

Dyads

The unit of analysisrefers to the levelof aggregation of

the data duringsubsequent analysis

6.6. TIME HORIZON

DescriptiveStudies

Cross SectionalLongitudinal

Multiple CrossSectional

Single CrossSectional

• Longitudinal Studies: A study carried longitudinal across a period of time (to know the effect of before and after change).

• Cross-Sectional Studies: A study can be done in which data are gathered just once, perhaps over a period of days or weeks or months, in order to answer a research question.

• Single Cross Sectional: Single respondent in same period

• Multiple Cross Sectional: Different respondent and different period

6.7. DATA COLLECTION METHOD

Interviewing

Questionnaires

Structured VS Unstructured

Face to face VS Telephone

Direct VS Indirect

Disguise VS Undisguised

Human VS Computer

Personally VS Mail

Direct VS Indirect

Participant VS Non ParticipantObservational

Structured VS Unstructured

Projective Certain Ideas

Data Collection

Method

Observation

Questionnaire

Interview

Content andPurposeQuestion

Wordingand

Language

Type andForm ofQuestion

Sequencing

Classification & PersonalInformation

1. Principlesof

Wording

QuestionnaireAdministration

TestingGoodness of Data

Scales & Scaling

2. Principlesof

Measurement

Categorization

Coding

Reliability & Validity

Appearance of Questionnaire

Length of Questionnaire

Introduction to Respondents

Instructions to Completion

3. GeneralGet Up

6.7. PRINCIPLES OF QUESTIONARE DESIGN

6.7. TOPOLOGY OF DATA

Analysis:• Qualitative• Quantitative

Source:• Internal• External

Collection:• Primary• Secondary

Time Horizon:• Cross Section• Time Series’

Variable:• Dependent• Independent

Scale:• Nominal• Ordinal• Interval• Ratio

Data

ProbabilitySampling

Simple Random Sampling

Non-ProbabilitySampling

Systematic Sampling (Mutual Exclusive)

Stratified Random Sampling

Cluster Sampling

Area Sampling

Double Sampling (Sequential)

ConvenienceSampling

Judgment Sampling

Quota Sampling

ProportionateSampling

Non-ProportionateSampling

6.8. CHOICE POINT IN SAMPLING DESIGN (1)

Is REPRESENTATIVENESSof sample critical for the study?

Choose one ofthe PROBABILITY

Sampling Design

Choose one ofthe NONPROBABILITY

Sampling Design

To Obtaininformationrelevant to

and availableonly withcertain groups

To Obtain quickeven if unreliable

information

Generalizability

Assessingdifferential

parameters insubgroup ofpopulation

Collectioninformationin a located

area

Gathering moreinformation from

a subset ofthe sample

Yes No

6.8. CHOICE POINT IN SAMPLING DESIGN (2)

Generalizability

Assessingdifferential

parameters insubgroup ofpopulation

Collectioninformationin a located

area

Choose SimpleRandomSampling

ChooseSystematicSampling

Choose ClusterSampling if not

enough $

ChooseArea

Sampling

ChooseDouble

Sampling

Gathering more

information from a subset of the sample

ChooseProportionate

StratifiedRandom

ChooseDisproportionate

StratifiedRandom

All subgroupshave equalnumber ofelements

Yes No

6.8. CHOICE POINT IN PROBABILITY SAMPLING

DESIGN (3)

To Obtaininformationrelevant to

and availableonly withcertain groups

To Obtain quickeven if unreliable

information

Looking forinformation that

only a few expertscan provide?

Need responsesof special interestminority groups?

ChooseJudgementSampling

ChooseQuota

Sampling

ChooseConvenience

Sampling

6.8. CHOICE POINT IN NONPROBABILITY SAMPLING

DESIGN (4)

Types ofInvestigation

Purposes ofThe Study

Study Setting

Measurementand

Measures

SamplingDesign

Unit of Analysis

(Populationto be Studied)

Data-CollectionMethod

Prob

lem

Sta

tem

e nt Feel for

Data

Goodnessof Data

HypothesesTesting

TimeHorizon

Extent of ResearcherInterference

DETAIL OF STUDY MEASUREMENT

DATAANALYSIS

7. THE MEASUREMENT OF VARIABLES

Scale Description Example ofUse

Measures ofCentral

Tendency

Method forAnalyzing

Nominal(0,1,2,…)Uniquedefinitionofnumerals

Uses number toidentify people,objects, event,etc.

Male-female,Users-nonusersOccupations

PercentagesMode

Chi-squareBinomial Test

Ordinal(0<1<2<3…)Order ofnumerals

Providesinformationabout therelative amountof somecharacteristicpossessed byan individualobject, event,etc

Social classOrder ofPreferenceGrades ofBonds

Median Rank-ordercorrelationSign testNon-metricmultidimensional scaling

Interval(10-6=5-1)Equalityofdifferences

Possesses allpreviousproperties, andthe intervalsbetween pointsare equal

TemperaturesScaleLevel ofAwarenessGrade PointAverage

Mean VarianceStandardDeviation

CorrelationAnalysis ofvarianceMultidimensional scalingDiscriminateanalysis

Ratio(2/4=4/8)Equalityof ratios

Possesses allpreviousproperties, andalso includes anabsolute zero

Weight IncomeFrequency ofUsageNumber of ItemSold

Geometric andHarmonicMeans

CorrelationAnalysis ofvarianceMultidimensional scalingDiscriminateanalysis

THE FOUR MEASUREMENT SCALES1

7.1. THE FOUR MEASUREMENT SCALES

7.2. SCALING TECHNIQUES COMMONLY USED

GraphicRatingScale

ItemizedRatingScale

LikertRatingScale

SemanticDifferential

Scale

10 - Excellent-

5 - Alright-

1 - Very Bad

• Extremely Poorly : 1• Rather Poorly : 2• Quite Well : 3• Very Well : 4• Excellently : 5

• Strongly Disagree - Disagree• Neither Disagree - Non Agree• Agree - Strongly Agree

• Good -Bad• Strong - Weak• Hot - Cold

Goodnessof

Data

FaceValidity

Reliability(accuracy in

measurement)

Validity(are we measuringthe right thing?) Stability

Consistency

IntertermConsistencyReliability

Split-halfReliability

Test-retestReliability

Parallel FormReliability

CriterionRelatedValidity

CongruentValidity

LogicalValidity

Predictive

Concurrent

Convergent

Discriminate

7.3. TESTING GOODNESS OF MEASURES (RELIABILITY &

VALIDITY)

7.4. QUANTITATIVE DATA ANALYSIS TOOLS

• Descriptive Statistics– Frequencies– Measures of Central Tendency & Dispersion– Mean, Median, Mode– Range, Variance, Standard Deviation,

Interquartile Range

• Inferential Statistics– Pearson Correlation– Relationship Between Two Nominal Variables:

X2 Test– Significant Mean Differences Between Two

Groups: t Test– Significant Mean Differences Among More

Two Groups: ANOVA– Multiple Regression Analysis

7.5. DATA ANALYSIS & INTERPRETATION

Da t

a C

o lle

c tio

n

Getting Data Ready for Analysis:• Editing Data• Handling Blank Responses• Coding Data• Categorizing Data• Creating Data File• Programming

Feel for Data• Mean• Standard Deviation• Correlation• Frequency Distribution

Goodness ofData• Reliability• Validity

Hypotheses Testing:Appropriate Statistical Manipulators

Data Analysis

Interpretationof

Result

Discussion

ResearchQuestion

Answered?

7.6. RECOMMENDATIONS & IMPLEMENTATION

1990 - 1999

Industry Average

PT ‘A’ PT ‘B’

IntracompanyComparisons

Industry AverageComparisons

IntercompanyComparisons

Need for Comparative Analysis:• Horizontal Analysis

• Time Series (Trend) analysis• Vertical Analysis

• Commonsize Analysis• Ratio Analysis

Product lineProduct item

Meninjau Tujuan Pemasaran

MenetapkanMasalah “Terpilih”

Penelitian InformasiInternal & Eksternal

Difinisi Masalah Yang Disempurnakan

Menulis Laporan Singkat Rencana

Proposal PenelitianPemasaran

PenelitianSekunder

Menetapkan Persyaratan

Kemungkinan Intern

Meninjau Validitas

Menaksir Relevansi

Menemukan Sumber Intern

Mengidentifikasi Persyaratan

Penelitian Primer

Merancang Penelitian

Pembimbingan

Pengumpulan Data

Pemrosesan Data

Kerja Lapangan

Analisis Data

Kesimpulan

KeputusanPemasaran

Umpan Balik

Rekomendasi

WORKING PLAN GUIDES