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Complex Situation frequency
› Pricing problems Dramatic changes
› Sudden fall in the sales How widespread are the symptoms?
› Situations with multiple symptoms/widespread symptoms
Symptom ambiguity› Decreased turnover/lower job satisfaction
An automobile company may exhibit symptoms such as increasing complaints about car handling, increased warranty costs, higher labor costs, lower performance rating, etc› Production as problem area
Mileage problems, unpleasant environment, car appearance, etc› Widespread symptoms
Situation analysis
Identify the symptoms
Write managerial decision statements
Determine the unit of analysis
Determine relevant variables
Write research questions
Situation analysis
Identify the symptoms
Write managerial decision statements
Determine the unit of analysis
Determine relevant variables
Write research questions
Gathering of background information Gaining awareness of the market place
conditions Some exploratory research to be
conducted Interviews with key people
Situation analysis
Identify the symptoms
Write managerial decision statements
Determine the unit of analysis
Determine relevant variables
Write research questions
Interviews with key decision makers Once symptoms are identified, the
researcher must probe to identify possible causes of these changes
Probing is a technique that draws deeper explanations from the discussion
To know, ‘What has changed?” Identify potential causes of change
› Changes in documents, financial statements, etc
› Changes can be identified by tracking news about competitors and customers
Eg A firm has a problem with advertising
effectiveness, the possible causes may be› low brand awareness› wrong brand image› use of wrong media › too small budget
Situation analysis
Identify the symptoms
Write managerial decision statements
Determine the unit of analysis
Determine relevant variables
Write research questions
Decision statements capture the objectives in a way that invites multiple solutions
Decision statements may be translated into research objectives
Researcher should visualise what will need to be measured and what type of study will be needed
Note: Each research objective states a potential result
To determine how committed customers are to the restaurant
To determine how frequently the customers visit one restaurant relative to the competition
To find out the profile of customers that spend significantly more than average each time they visit the restaurant
A research study will be conducted that › Shows how much each of several key
variables relates to customer commitment and patronage frequency
› Provides a description of the type of customer that spends most of the money
Situation analysis
Identify the symptoms
Write managerial decision statements
Determine the unit of analysis
Determine relevant variables
Write research questions
The unit of analysis of a study indicates what or who should provide the data and at what levels of aggregation
Researchers specify whether an investigation will collect data about individuals, households, organizations, departments, geographical areas or objects
In studies of home buying , husband wife is the unit of analysis rather than individual because most purchase decisions are made jointly by them.
Situation analysis
Identify the symptoms
Write managerial decision statements
Determine the unit of analysis
Determine relevant variables
Write research questions
What is a Variable? A variable is anything that changes
from one instance to another. Variables exhibit differences in value, in
magnitude, strength, direction, etc In research, variable is either observed
or manipulated.
What is a constant? It is converse of variable It is something that does not change Constants are not useful in addressing
research questions Since constants don’t change,
management is not very interested in them
It is important in Causal research
Continuous Categorical Dependant Independent
It can take on a range of values in numbers
Eg: Consumer attitude towards different Airlines is a variable that would generally be captured by numbers, higher numbers indicating more positive attitude. Each attribute of services like seats, food, safety, etc can be scored in this way
It is one that indicates membership in some group
Eg: People may be categorised as Male or Female.
It is an outcome that is predicted or explained by other variables
It is expected to influence the dependant variable in some way.
Eg: Average customer loyalty may be a
dependant variable that is influenced by independent variables like food quality, service quality, ambience, etc
Situation analysis
Identify the symptoms
Write managerial decision statements
Determine the unit of analysis
Determine relevant variables
Write research questions/ objectives
At the end of problem definition stage, the researcher should prepare a written statement that clarifies any ambiguity about what the research hopes to accomplish.
“Are consumer perceptions of food quality, price and atmosphere related to customer loyalty?”
The idea that the dangerous part of many business problems is neither visible nor understood by managers
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Situation analysis - The informal gathering of background information to familiarize researchers or managers with the decision area.
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Symptoms can be confusing
Problem DefinitionOrganization Symptoms Based on Symptom True Problem
Twenty-year-old neighborhood swimming association in a major city.
Membership has been declining for years. New water park with wave pool and water slides moved into town a few years ago.
Neighborhood residents prefer the expensive water park and have negative image of swimming pool.
Demographic changes: Children in this 20-year-old neighborhood have grown up. Older residents no longer swim anywhere.
TOTIEMULESTO
TOTIEMULESTO
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Individuals, households, organizations, etc.
In many studies, the family rather than the individual is the appropriate unit of analysis.
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Anything that may assume different numerical values
Categorical Continuous Dependent Independent
An unproven proposition A possible solution to a problem Guess
Small budget affects advertising effectivity.
Use of wrong media affects advertising effectivity.
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