primary and secondary data.docx

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PRIMARY AND SECONDARY DATA We explore the availability and use of data (primary and secondary) in the field of business research. Specifically, we examine an international sample of doctoral dissertations since 1998, categorizing research topics, data collection, and availability of data. Findings suggest that use of only primary data pervades the discipline, despite strong methodological reasons to augment with secondary data.

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CONTENTS

INTRODUCTION ---------------------------------------------------------------------------------

02

IMPORTANCE OF DATA AND DATA COLLECTION ---------------------------------

02

DATA COLLECTION TECHNIQUES -------------------------------------------------------

02

PRIMARY DATA ----------------------------------------------------------------------------------

03

IMPORTANCE OF PRIMARY DATA -------------------------------------------------------

03

SOURCES OF PRIMARY DATA --------------------------------------------------------------

04

ADVANTAGES OF PRIMARY RESEARCH -----------------------------------------------

05

DISADVANTAGES OF PRIMARY RESEARCH ------------------------------------------

07

SECONDARY DATA -----------------------------------------------------------------------------

08

IMPORTANCE OF SECONDARY DATA ---------------------------------------------------

08

SOURCES OF SECONDARY DATA ---------------------------------------------------------

08

ADVANTAGES OF SECONDARY DATA ---------------------------------------------------

10

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DISADVANTAGES OF SECONDARY DATA ----------------------------------------------

11

EVALUATION OF SECONDARY DATA --------------------------------------------------

12

CONCLUSION -------------------------------------------------------------------------------------

13

REFERENCES -------------------------------------------------------------------------------------

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INTRODUCTION

Data can be defined as the quantitative or qualitative values of a variable.

Data is plural of datum which literally means to give or something given.

Data is thought to be the lowest unit of information from which other

measurements and analysis can be done. Data can be numbers, images,

words, figures, facts or ideas. Data in itself cannot be understood and to

get information from the data one must interpret it into meaningful

information. There are various methods of interpreting data.  Data sources

are broadly classified into primary and secondary data.

Knowing how the data was collected allows critics of a study to search for

bias in how it was conducted. A good study will welcome such scrutiny.

Each type has its own weaknesses and strengths. Primary Data is

gathered by people who can focus directly on the purpose in mind. This

helps ensure that questions are meaningful to the purpose but can

introduce bias in those same questions. Secondary data doesn't have the

privilege of this focus but is only susceptible to bias introduced in the

choice of what data to reuse. Stated another way, those who gather

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Primary Data get to write the questions. Those who gather secondary data

get to pick the questions.

IMPORTANCE OF DATA AND DATA COLLECTION

Data is one of the most important and vital aspect of any research

studies. Researchers conducted in different fields of study can be different

in methodology but every research is based on data which is analyzed and

interpreted to get information.  

Data is the basic unit in statistical studies. Statistical information like

census, population variables, health statistics, and road accidents records

are all developed from data.

Data is important in computer science. Numbers, images and figures in

computer are all data. 

DATA COLLECTION TECHNIQUES

There are two sources of data collection techniques. Primary and

Secondary data collection techniques, Primary data collection uses

surveys, experiments or direct observations. Secondary data collection

may be conducted by collecting information from a diverse source of

documents or electronically stored information, census and market

studies are examples of a common sources of secondary data. This is also

referred to as "data mining." 

PRIMARY DATA

Primary data means original data that has been collected specially for the

purpose in mind. It means someone collected the data from the original

source first hand. Data collected this way is called primary data.

Primary data has not been published yet and is more reliable, authentic

and objective. Primary data has not been changed or altered by human

beings; therefore its validity is greater than secondary data.

The people who gather primary data may be an authorized organization,

investigator, enumerator or they may be just someone with a clipboard.

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These people are acting as a witness so primary data is only considered

as reliable as the people who gathered it.

IMPORTANCE OF PRIMARY DATA

Importance of Primary data cannot be neglected. A research can be

conducted without secondary data but a research based on only

secondary data is least reliable and may have biases because secondary

data has already been manipulated by human beings. In statistical

surveys it is necessary to get information from primary sources and work

on primary data: for example, the statistical records of female population

in a country cannot be based on newspaper, magazine and other printed

sources. One such source is old and secondly they contain limited

information as well as they can be misleading and biased.

Validity

Validity is one of the major concerns in a research. Validity is the quality

of a research that makes it trustworthy and scientific. Validity is the use of

scientific methods in research to make it logical and acceptable.

Using primary data in research can improves the validity of research.

First-hand information obtained from a sample that is representative of

the target population will yield data that will be valid for the entire target

population.

Authenticity

Authenticity is the genuineness of the research. Authenticity can be at

stake if the researcher invests personal biases or uses misleading

information in the research. Primary research tools and data can become

more authentic if the methods chosen to analyze and interpret data are

valid and reasonably suitable for the data type.

Primary sources are more authentic because the facts have not been

overdone. Primary source can be less authentic if the source hides

information or alters facts due to some personal reasons. There are

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methods that can be employed to ensure factual yielding of data from the

source.

Reliability

Reliability is the certainty that the research is enough true to be trusted

on. For example, if a research study concludes that junk food consumption

does not increase the risk of cancer and heart diseases. This conclusion

should have to be drawn from a sample whose size, sampling technique

and variability is not questionable.

Reliability improves with using primary data. In the similar research

mentioned above if the researcher uses experimental method and

questionnaires the results will be highly reliable. On the other hand, if he

relies on the data available in books and on internet he will collect

information that does not represent the real facts.

SOURCES OF PRIMARY DATA

Sources for primary data are limited and at times it becomes difficult to

obtain data from primary source because of either scarcity of population

or lack of cooperation. Regardless of any difficulty one can face in

collecting primary data; it is the most authentic and reliable data source.

Following are some of the sources of primary data.

Experiments

Experiments require an artificial or natural setting in which to perform

logical study to collect data. Experiments are more suitable for medicine,

psychological studies, nutrition and for other scientific studies. In

experiments the experimenter has to keep control over the influence of

any extraneous variable on the results.

Survey

Survey is most commonly used method in social sciences, management,

marketing and psychology to some extent. Surveys can be conducted in

different methods.

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Questionnaire is the most commonly used method in survey.

Questionnaires are a list of questions either an open-ended or close -

ended for which the respondent give answers. Questionnaire can be

conducted via telephone, mail, live in a public area, or in an institute,

through electronic mail or through fax and other methods.

Interview is a face-to-face conversation with the respondent. It is slow,

expensive, and they take people away from their regular jobs, but they

allow in-depth questioning and follow-up questions.

The interviewer can not only record the statements the interviewee

speaks but he can observe the body language or non-verbal

communication such as face-pulling, fidgeting, shrugging, hand gestures,

sarcastic expressions that add further meaning to spoken words and other

reactions to the questions too.

A problem with interviews is that people might say what they think the

interviewer wants to hear; they might avoid being honestly critical in case

their jobs or reputation might suffer. And the respondent deliberately

hides information otherwise it is an in depth source of information. So this

enables the interviewer to draw conclusions easily.

Observations can be done while letting the observing person know that

he is being observed or without letting him know. Observations can also

be made in natural settings as well as in artificially created environment.

Primary data can be relied on because you know where it came from and

what was done to it. It's like cooking something yourself. You know what

went into it.

ADVANTAGES OF PRIMARY RESEARCH

Targeted Issues are addressed

The organization asking for the research has the complete control on the

process and the research is streamlines as far as its objectives and scope

is concerned. Researching company can be asked to concentrate their

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efforts to find data regarding specific market rather than concentration on

mass market.

Data interpretation is better

The collected data can be examined and interpreted by the marketers

depending on their needs rather than relying on the interpretation made

by collectors of secondary data.

Efficient Spending for Information

Unlike secondary research where the marketer may spend for information

that is not needed, primary data collections’ focus on issues specific to the

researcher improves the chances that research funds will be spent

efficiently.

Decency of Data

Usually secondary data is not so recent and it may not be specific to the

place or situation marketer is targeting. The researcher can use the

irrelevant seeming information for knowing trends or may be able to find

some relation with the current scenario. Thus primary data becomes a

more accurate tool since we can use data which is useful for us.

Proprietary Issues

Information collected by using primary research is their own and is

generally not shared with others. Thus, information can be kept hidden

from competitors and potentially offer an “information advantage” to the

company that undertook the primary research. This gives an edge over

competitors replying on secondary data.

Addresses Specific Research Issues

Carrying out their own research allows the marketing organization to

address issues specific to their own situation. Primary research is

designed to collect the information the marketer wants to know (Step 2)

and report it in ways that benefit the marketer. For example, while

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information reported with secondary research may not fit the marketer’s

needs (e.g., different age groupings) no such problem exists with primary

research since the marketer controls the research design.

Greater Control

Not only does primary research enable the marketer to focus on specific

issues, it also enables the marketer to have a higher level of control over

how the information is collected. In this way the marketer can decide on

such issues as size of project (e.g., how many responses), location of

research (e.g., geographic area) and time frame for completing the

project.

DISADVANTAGES OF PRIMARY RESEARCH

High Cost

Compared to secondary research, primary data may be very expensive

since there is a great deal of marketer involvement and the expense in

preparing and carrying out research can be high and has to design

everything.

Time Consuming

To be done correctly primary data collection requires the development

and execution of a research plan. Going from the start-point of deciding to

undertake a research project to the end-point to having results is often

much longer than the time it takes to acquire secondary data, which can

be collected in much lesser time duration.

Inaccurate Feed-backs

In case the research involves taking feedbacks from the targeted

audience, there are high chances that feedback given is not correct.

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Feedbacks by their basic nature are usually biased or given just for the

sake of it.

More number of resources is required

Leaving aside cost and time, other resources like human resources and

materials too are needed in larger quantity to do surveys and data

collection.

SECONDARY DATA

Secondary data is the data that has been already collected by and readily

available from other sources. When we use Statistical Method with

Primary Data from another purpose for our purpose we refer to it as

Secondary Data. It means that one purpose's Primary Data is another

purpose's Secondary Data. So that secondary data is data that is being

reused. Such data are cheaper and more quickly obtainable than the

primary data.

These secondary data may be obtained from many sources, including

literature, industry surveys, compilations from computerized databases

and information systems, and computerized or mathematical models of

environmental processes.

IMPORTANCE OF SECONDARY DATA

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Secondary data can be less valid but its importance is still there.

Sometimes it is difficult to obtain primary data; in these cases getting

information from secondary sources is easier and possible. Sometimes

primary data does not exist in such situation one has to confine the

research on secondary data.

Sometimes primary data is present but the respondents are not willing to

reveal it in such case too secondary data can suffice: for example, if the

research is on the psychology of transsexuals first it is difficult to find out

transsexuals and second they may not be willing to give information you

want for your research, so you can collect data from books or other

published sources.

SOURCES OF SECONDARY DATA

Secondary data is often readily available. After the expense of electronic

media and internet the availability of secondary data has become much

easier.

Published Printed Sources

There are varieties of published printed sources. Their credibility depends

on many factors. For example, on the writer, publishing company and time

and date when published. New sources are preferred and old sources

should be avoided as new technology and researches bring new facts into

light.

Books

Books are available today on any topic that you want to research. The

uses of books start before even you have selected the topic. After

selection of topics books provide insight on how much work has already

been done on the same topic and you can prepare your literature review.

Books are secondary source but most authentic one in secondary

sources. 

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Journals/periodicals

Journals and periodicals are becoming more important as far as data

collection is concerned. The reason is that journals provide up-to-date

information which at times books cannot and secondly, journals can give

information on the very specific topic on which you are researching rather

talking about more general topics.

Magazines/Newspapers

Magazines are also effective but not very reliable. Newspaper on the other

hand is more reliable and in some cases the information can only be

obtained from newspapers as in the case of some political studies. 

Published Electronic Sources

As internet is becoming more advance, fast and reachable to the masses;

it has been seen that much information that is not available in printed

form is available on internet. In the past the credibility of internet was

questionable but today it is not. The reason is that in the past journals and

books were seldom published on internet but today almost

every journal and book is available online. Some are free and for others

you have to pay the price. 

E-journals: e-journals are more commonly available than printed

journals. Latest journals are difficult to retrieve without subscription but if

your university has an e-library you can view any journal, print it and

those that are not available you can make an order for them. 

General Websites; Generally websites do not contain very reliable

information so their content should be checked for the reliability before

quoting from them. 

Weblogs: Weblogs are also becoming common. They are actually diaries

written by different people. These diaries are as reliable to use as

personal written diaries.

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Unpublished Personal Records

Some unpublished data may also be useful in some cases. 

Diaries: Diaries are personal records and are rarely available but if you

are conducting a descriptive research then they might be very useful. The

Anne Franks diary is the most famous example of this. That diary

contained the most accurate records of Nazi wars. 

Letters: Letters like diaries are also a rich source but should be checked

for their reliability before using them. 

Government Records

Government records are very important for marketing, management,

humanities and social science research. 

Census Data/population statistics  

Health records

Educational institutes records

Public Sector Records

NGO's survey data

Other private companies records

ADVANTAGES OF SECONDARY DATA

Ease of Access

There are many advantages to using secondary research. This includes

the relative ease of access to many sources of secondary data. In the past

secondary data accumulation required marketers to visit libraries, or wait

for reports to be shipped by mail. Now with the availability of online

access, secondary research is more openly accessed. This offers

convenience and generally standardized usage methods for all sources of

secondary research.

Low Cost to Acquire

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The use of secondary data has allowed researchers access to valuable

information for little or no cost to acquire. Therefore, this information is

much less expensive than if the researchers had to carry out the research

themselves.

Clarification of Research Question

The use of secondary research may help the researcher to clarify the

research question. Secondary research is often used prior to primary

research to help clarify the research focus.

May Answer Research Question

The use of secondary data collection is often used to help align the focus

of large scale primary research. When focusing on secondary research,

the researcher may realize that the exact information they were looking to

uncover is already available through secondary sources. This would

effectively eliminate the need and expense to carry out their own primary

research.

May Show Difficulties in Conducting Primary Research

In many cases, the originators of secondary research include details of

how the information was collected. This may include information detailing

the procedures used in data collection and difficulties encountered in

conducting the primary research. Therefore, the detailed difficulties may

persuade the researcher to decide that the potential information obtained

is not worth the potential difficulties in conducting the research.

DISADVANTAGES OF SECONDARY DATA

Quality of Research

There are some disadvantages to using secondary research. The

originators of the primary research are largely self-governed and

controlled by the marketer. Therefore, the secondary research used must

be scrutinized closely since the origins of the information may be

questionable. Moreover, the researcher needs to take sufficient steps to

critically evaluate the validity and reliability of the information provided.

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Not Specific to Researcher’s Needs

In many cases, secondary data is not presented in a form that exactly

meets the researcher’s needs. Therefore, the researcher needs to rely on

secondary data that is presented and classified in a way that is similar to

their needs.

Incomplete Information

In many cases, researchers find information that appears valuable and

promising. The researcher may not get the full version of the research to

gain the full value of the study. This is because many research suppliers

offer free portions of their research and then charge expensive fees for

their full reports.

Not Timely

When using secondary research, one must exercise caution when using

dated information from the past. With companies competing in fast

changing industries, an out-of-date research reports many have little or no

relevance to the current market situation.

EVALUATION OF SECONDARY DATA

Because of the above mentioned disadvantages of secondary data, we will

lead to evaluation of secondary data. Evaluation means the following four

requirements must be satisfied:-

1. Availability- It has to be seen that the kind of data you want is

available or not. If it is not available then you have to go for primary

data.

2. Relevance- It should be meeting the requirements of the problem.

For this we have two criterion:-

a. Units of measurement should be the same.

b. Concepts used must be same and currency of data should not

be outdated.

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3. Accuracy- In order to find how accurate the data is, the following

points must be considered: -

a. Specification and methodology used;

b. Margin of error should be examined;

c. The dependability of the source must be seen.

4. Sufficiency- Adequate data should be available.

Robert W Joselyn has classified the above discussion into eight steps.

These eight steps are sub classified into three categories. He has given a

detailed procedure for evaluating secondary data.

1. Applicability of research objective.

2. Cost of acquisition.

3. Accuracy of data.

CONCLUSION

Primary research entails the use of immediate data in determining the

survival of the market. The popular ways to collect primary data consist of

surveys, interviews and focus groups, which shows that direct relationship

between potential customers and the companies. Whereas secondary

research is a means to reprocess and reuse collected information as an

indication for betterments of the service or product.

Both primary and secondary data are useful for businesses but both may

differ from each other in various aspects.In secondary data, information

relates to a past period. Hence, it lacks aptness and therefore, it has

unsatisfactory value. Primary data is more accommodating as it shows

latest information.

Secondary data is obtained from some other organization than the one

instantaneously interested with current research project. Secondary data

was collected and analyzed by the organization to convene the

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requirements of various research objectives. Primary data is accumulated

by the researcher particularly to meet up the research objective of the

subsisting project.

Secondary data though old may be the only possible source of the desired

data on the subjects, which cannot have primary data at all. For example,

survey reports or secret records already collected by a business group can

offer information that cannot be obtained from original sources.

Firm in which secondary data are accumulated and delivered may not

accommodate the exact needs and particular requirements of the current

research study. Many a time, alteration or modifications to the exact

needs of the investigator may not be sufficient. To that amount usefulness

of secondary data will be lost. Primary data is completely tailor-made and

there is no problem of adjustments.

Secondary data is available effortlessly, rapidly and inexpensively.

Primary data takes a lot of time and the unit cost of such data is relatively

high.Often secondary data have been pre-processed to give totals or

averages and the original details are lost so you can't verify it by

replicating the methods used by the original data collectors.

In short, primary data are expensive and difficult to acquire, but they are

trustworthy. Secondary data are cheap and easy to collect, but must be

treated with caution.

REFERENCES

1. http://www.ianswer4u.com/2012/02/primary-research-advantages-

and.html#ixzz2B6ioqOwT

2. http://www.worldbank.org/poverty/impact/methods/datacoll.htm

3. Bryman, A. and E. Bell: 2003, Business Research Methods (Oxford

University Press, Oxford, New York).

4. Dillman, Don A. Mail and Telephone Surveys: The Total Design

Method. New York, John Wiley and Sons, 1978.

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5. Galpin, T. The Use of Mail Questionnaires as a Method of Data

Collection. (Sept, 1987)

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