Business Research Methods William G. Zikmund

1. Business Research MethodsWilliam G. Zikmund Chapter 7: Exploratory Research and Qualitative Analysis

2. Chapter 7: Exploratory Research and Qualitative Analysis 1. Definition of Exploratory Research 2. Why Conduct Exploratory Research? 3. Categories of Exploratory Research 4. Types of Pilot Studies

3. 1. Definition of Explorative Research • Initial research conducted to clarify and define the nature of a problem • Does not provide conclusive evidence • Subsequent research expected • “The cure for boredom is curiosity, there is no cure for curiosity that kills the cat”

4. Qualitative versus Quantitative Research • Purpose: preliminaryversus conclusive • Samples: small versus large • Type of questions: broad range of questioning versus structured questions • Results: subjective interpretation versus statistical analysis

5. 2. Why Conduct Exploratory Research? Diagnosing a situation Discovering new ideas Screening alternatives

6. 2.1. Diagnosing a situation Situation analysis: the informal gathering of background information to familiarize researchers or managers with the decision area. Examples for situation analysis: • Interviews with employees about their general complaints. • Asking customers’ opinionsabout the new advertising campaign.

7. 2.2. Discovering new ideas • In business decision making, generating new business ideas about new products, new investments, etc. is very critical. • Managers, employees, customers, etc. may be consulted to develop new ideas that would never come to the minds of decision makers. • For instance, users’ orders and complaints may help decision makers develop new alternative ideas and turn them into new product concepts.

8. 2.3. Screening of alternatives • In business decision making, determining alternative solutions and then the best ones among them is very critical because of time and money constraints. • Concept testing is a tool for screening alternative solutions, especially alternative concepts of a new or revised products. • For instance, after collecting the opinions of the customers about alternative new product concepts, the best one may be determined.

9. 3. Categories of Exploratory Research • Experience surveys • Secondary data analysis • Case studies • Pilot studies

10. 3.1. Experience Surveys • Consult with carefully selected knowledgeable experts about a particular problem to clarify the situation, not to develop conclusive evidence. “If you wish to know the road up the mountain, you must ask the man who goes back and forth on it.” - Zenrinkusi

11. 3.2. Secondary Data Analysis • Preliminary review of already collected and/or reported information for a purpose other than the project at hand. • Economical and quick source for background information • Some sources of already reported information: literature, internet, company reports, etc.

12. 3.3. Case Study Method • Intense and indepth investigation of one or a few situations similar to the problem via long term observations, interviews and discussions to define the problem at hand . • Careful study of the order of events as they occur, or relations among individuals or groups. • Cooperation between the researcher and the subject is a must. Thus, studying rival companies’ cases is almost impossible. • Generalization from one or a few case studies is very dangerous for decision makers.

13. 3.4. Pilot Study • Any small scale exploratory study that uses some sort of loose sampling. • A small number of respondents rather than experienced people are surveyed or interviewed. • The results will be used in the definition of the problem and also in the design of a further descriptive study.

14. 4. Types of Pilot Studies • Focus Group Interviews • Projective Techniques • In-Depth Interviews

15. Interview Process: Unstructured Free flowing Group interview Start with broad topic and focus in on specific issues Group Composition: 6 to 10 people Relatively homogeneous Similar lifestyles and experiences 4.1. Focus Group Interviews

16. Outline for a Focus Group • Establish a rapport • Begin with broad topic • Focus in on specific topic • Generate discussion and interaction

17. Develops rapport - helps people relax Interacts Listens to what people have to say Everyone gets a chance to speak Maintains loose control and focuses discussion Stimulates spontaneous responses The Focus Group Moderator

18. Advantages of Online Focus Groups • Fast • Inexpensive • Bring together many participants from wide-spread geographical areas • Respondent anonymity • Transcript automatically recorded

19. Disadvantages of Online Focus Groups • Less group interaction • Absence of tactile stimulation • Absence of facial expression and body language • Moderator’s job is different

20. 4.2. Projective Techniques • An indirect means of questioning that enables a respondent to project beliefs and feelings onto a third party, onto an object, or into a task situation “A man is least himself when he talksin his own person; when given a maskhe will tell the truth.” --Oscar Wilde

21. Some types of Projective Techniques • Word association tests • Sentence completion method • Third-person technique • Role playing • T.A.T. • Picture frustration version of T.A.T.

22. 4.2.1.Word Association Test • Subject is presented with a list of words. • Then, asked to respond,once at a time, with first word that comes to mind. • This test helps the researcher to grasp the true feelings of the subjects about a specific concept (e.g. a new product name). • GREEN: Money, Lawn, ………….. • CHEESE: White, Goat, ……………

23. 4.2.2. Sentence Completion Test • Subject is presented with an incomplete sentence. • Then, asked to complete it with first words that come to mind. • This test helps the researcher to grasp the true beliefs and assumptions of the subjects about a specific issue (e.g. prejudice, discrimination). A man whowears a suit __________________ A boss should not__________________

24. 4.2.3.Thematic Apperception Test (T.A.T.) • Subject is presented with a series of picture. • Then, asked to describe them. • This test helps the researcher to analyze the content of these descriptions in an effort to clarify a research problem.

25. 4.3. Depth Interview • A relatively unstructured extensive interview used in the primary stages of the researchprocess in order to get both the surface reactions and subconscious motivations of the subjects. • The interviewing session may last more than hour. • The interviewer asks many questions to the subject and probes for elaboration after the subject’s answers.

26. Disadvantages of Depth Interview • It takes a lot of time. • It is based on unstructured discussions, and -if inexperienced- interviewer cannot keep the discussion within the context of the problem at hand. • Collected information is just the subjectiveperceptions and interpretations of the interviewer.