Unit 1-2

Important Terminology Terminology in research

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Concept A Concept is a generally accepted collection of meanings or characteristics associated with certain events, objects, conditions, situations, and behaviors We abstract such meanings from reality and used words as labels to designate them. Example: We see a man passing running, wal!ing s!ipping, crawling or hopping" A generali#ed idea about a class of objects, attributes, occurrences, or processes that has  been given a name Concept abstract reality Concepts are our building bloc!s eight,, mass, mass, energy energy,, force, force, achieve achievemen ment, t, intell intellige igence nce aggress aggressive ivenes ness, s, Examples: Weight conformity, honesty

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Construct A construct is a concept or a combination of concepts Construct has the added meaning, however, of having been deliberately and consciously invented or adopted for a special scientific purpose A construct is an image or idea specifically for a given research and$or theory%building  purpose We build constructs, which are more complex, by combining the simpler concepts, especially when the idea or image we intend to convey is not directly subject to observation &here is no sharp demarcation between concepts and constructs Example: 'eha, is a human resource analyst at Cadsoft, an architectural software company that employs technical writers to write product manuals. (or the post of  technical writer, 'eha identifies three constructs: presentation )uality, language s!ills and *ob interest as important needed for this job..

(igure showing the different construct for the *ob +escription of the post of techn ical writer  Variables n practice, the term variable is used as a synonym for Construct, or the property being studied. n this context, a variable is a symbol of an event, act, characteristics, trait, or attribute that can be measured and to which we assign categorical values. (or purpose of data entry and analysis, we assign numerical value to a variable based on the variable-s property: Dichotomous (having only two values 0,  " ale$(emale Employed$ /nemployed Discrete (values representing categories li!e, ,",#,$%%& Ethnic bac!ground, Educational level, 0eligious affiliation Continuous ('ny value within a range eg% "%, )0%) etc& ncome, &emperature Age Types o* variables: In+epen+ent an+ Depen+ent Variables When there is change in ndependent 1ariable 1" and the change causes an effect on the other variable then it is dependent variable +1". When researcher tries to define a relationship then these variables are re)uired to be identified. Example age has an effect on weight and height. Example: &he introduction of the four%day wor!wee! 1" will lead to higher   productivity +1", 2elow figure lists some terms that have become synonyms for independent variable and dependent variable.

o+erating Variables oderating variables are variables that are believed to have a significant contributory or  contingent effect on the originally stated 1%+1 relationship. Whether a variable is treated as an independent or as a moderating variable depends on the hypothesis. Examples: &he introduction of a four%day wee! 1" will lead to higher productivity +1", • especially among younger wor!ers 1" &he switch to commission from a salary compensation system 1" will lead to increased • sales +1" per wor!er, especially more exper ienced wor!ers 1". &he loss of mining jobs 1" leads to acceptance of higher%ris! behaviors to earn a • family%supporting income +1" 3 particularly among those with a limited education 1".

Extraneous Variables (EV& Extraneous variables are variables that could conceivably affect a given relationship. 4ome can be treated as independent or moderating variables or assumed or excluded from the study. (ortunately, an infinite number of variables have little or no effect on given situation. ost can safely be ignored because their impact occurs in such a random fashion as to have little effect. 5thers might influence the +1, but their effect is not at the core of the problem we investigate. 4till, we include them as control variables C1s" in our investigation to ensure that our results are not biased by not including them. Example: Weather condition, local sales tax, the election of new mayor etc etc. Extraneous variable can also confounding variables C(1s" to our hypothesi#ed 1%+1 relationship, similar to moderating variables. 6ou may consider that the !ind of wor! being done might have an effect on the impact of wor!ing wee! length on office productivity. &his might

lead you to introducing time spent in a meeting to coordinate the wor! as a confounding variable C(1". Example n routine office wor! control", the introduction of the four%day wor!wee! 1" will lead • to higher productivity +1", especially among younger wor!ers 1" With new customers E1%control", a switch to commission from a salary compensation • system 1" will lead to increased sales productivity +1" per wor!er, especially among younger wor!ers 1". Among residents with less than a high school education E1%control", the loss of jobs • 1" leads to high%ris! behaviors +1", especially due to the proximity of the firing range 1".

Intervening Variables (IVV& An intervening variable 11" is a factor that affects the observed phenomenon but cannot be measured or manipulated. t is a conceptual mechanism through which the 1 and 1 might affect the +1. Examples &he introduction of a four%day wor!wee! will lead to higher productivity by increasing •  job satisfaction 11" &he switch to a commission compensation system 1" will lead to higher sales +1" by • increasing overall compensation 11". A promotion campaign 1" will increase savings activity +1", especially when free •  pri#es are offered 1", but chiefly among smaller savers E1%control". &he results come from enhancing the motivation to save 11".

-ropositions an+ .ypotheses We define a proposition as a statement about concepts which may be judged as true or false if it refers to observable phenomena. 7ropositions are: 4tatements concerned with the relationships among concepts • &he logical lin!age among concepts • Assert a universal connection between properties • 4tate that every event or thing of a certain sort either has a certain property or stands in a • certain relationship to other events or things that have certain properties .ypothesis We define a proposition as a statement about concepts which may be judged as true or  false if it refers to observable phenomena. When a proposition is formulated for empirical testing, we call it a hypothesis. A proposition is a statement about observable phenomena that may be judged as true or  false. A hypothesis is a proposition formulated for empirical testing. A case is the entity or thing the hypothesis tal!s about. When the hypothesis is based on more than one case, it would be a generali#ation .ypothesis is: A provisional assertion assumed to be true for the purpose of testing its validity A conjectural statement of the relation between two or more variables &wo criteria for 8good hypothesis9  3 ypotheses are statements about relations between variables  3 ypotheses carry clear implications for testing the stated relations Example: 2rand anager *ones case" has a higher%than%average achievement motivation variable". 2rand managers in Company ; cases" have a higher%than%average achievement motivation variable". Types o* .ypothesis '% Descriptive hypotheses:

A descriptive hypothesis is a statement about the existence, si#e, form, or distribution of a variable. 0esearchers often use a research )uestion rather than a descriptive hypothesis. Examples are provided in the slide. Either format is acceptable, but the descriptive hypothesis has three advantages over the research )uestion. < +escriptive hypotheses encourage researchers to crystalli#e their thin!ing about the li!ely relationships. < +escriptive hypotheses encourage researchers to thin! about the implications of a supported or rejected finding. < +escriptive hypotheses are useful for testing statistical significance. Example &he current unemployment rate in +etroit exceeds = percent of the labor force

/% elational hypotheses &hese are statements that describe a relationship between two variables with respect to some case. Example: (oreign cars are perceived by American consumers to be of better )uality than domestic cars a" Correctional relationships  states that the variables occur together in some specified manner  without implying that one causes the other. Examples: 6oung women under >? years of age" purchase fewer units of our product than women • who are >? years of age or older. &he number of suits sold varies directly with the level of business cycle. • 7eople in Atlanta give the president a more favorable rating than do people in 4t. @ouis. • 6oung machinists are less productive than those who a re >? years or older • (b& Explanatory, or causal relationships:  n this there is an implication that the existence of or  a change in one variable causes or leads to a change in the other variable. n this hypothesis variable can be defined ndependent variables 1" and dependent variables +1" Example:

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An increase in family income 1" leads to an increase in the percentage of income saved +1" Exposure to the company-s messages concerning industry problems 1" leads to more favourable attitude +1" by employees toward the company. @oyalty to a particular grocery store 1" increases the probability of purchasing the  private brands +1" sponsored by that store.

The ole o* .ypothesis < t guides the direction of the study < t limits what shall be studied and what shall not < t suggests which form of research design is li!ely to be most appropriate < t provides a framewor! for organi#ing the conclusions that result < Example  3 usbands and wiveswho should be studied" agree in their perceptions of their  respective roleswhat shall be studied" in purchasing decisionswhat context shall  be studied" 1hat is a strong hypothesis2

Criteria Ade)uate its purpose

nterpretation for  +oes the hypothesis reveal the original problem condition +oes the hypothesis clearly identify facts that are relevant and those that are not +oes the hypothesis clearly state the condition, si#e or distribution of some variable in terms of values meaningful to the research problem descriptive" +oes the hypothesis explain facts that gave rise to the need for explanation explanatory" +oes the hypothesis suggest which form of research design is li!ely to be most appropriate +oes the hypothesis provide a framewor! for organi#ing the conclusions

&estable

+oes the hypothesis use acceptable techni)ues +oes the hypothesis re)uire an explanation that is plausible give !nown  physical or psychological laws +oes the hypothesis reveal conse)uences or derivatives that can be deduced for testing purposes s the hypothesis simple, re)uiring few conditions or assumptions 2etter than its +oes the hypothesis explain more facts than rivals rival +oes the hypothesis explain a greater variety or scope of facts than its rival s the hypothesis one that informed judges would accept as being the most li!ely Theory •

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A theory is a set of systematically interrelated concepts, definitions, and prepositions that are advanced to explain and predict phenomena facts" A theory is a set of interrelated constructs concepts", definitions, and propositions that  present a systematic view of phenomena by specifying relations among variables, with the purpose explaining and predicting the phenomena A theory is a set of statements that organi#e a large body of facts laws" into a single explanatory system, in a nutshell a theory is a n explanation for a set of facts A theory is a statement or set of statements about the relationships among variables 4ometimes a number of laws are tied together into a more general set of statements, which is called a theory The role of theory  3 5rgani#ing !nowledge and explaining laws  3 7redicting new laws  3 Buiding research The Goal of theory  3 7rediction  3 /nderstanding

Theory /uil+ing 6ou may be wondering 8Where do theories come from9 Although this is not an easy )uestion to answer in a short chapter on theory in business research, we will explore this topic  briefly. n this chapter, theory has been explained at the abstract, conceptual level and at the empirical level. &heory generation may occur at either level. At the abstract, conceptual level, a theory may be developed with deductive reasoning by going from a general statement to a specific assertion. +eductive reasoning is the logical process of deriving a conclusion about a specific instance based on a !nown general premise or something !nown to be true.  For  example, while you might occasionally have doubts, we know that all business professors are human beings. If we also know that Barry Babin is a business professor, then we can deduce that   Barry Babin is a human being. At the empirical level, a theory may be developed with inductive reasoning. nductive reasoning is the logical process of establishing a general proposition on the basis of observation of particular facts. ll business professors that have ever been seen are human beings! therefore, all business professors are human beings. 4uppose a stoc!bro!er with ? years- experience trading on the 'ew 6or! 4toc!  Exchange repeatedly notices that the price of gold and the price of gold stoc!s rise whenever  there is a hijac!ing, terrorist bombing, or military s!irmish. n other words, similar patterns occur  whenever a certain type of event occurs. &he stoc!bro!er may induce from these empirical

observations the more general situation that the price of gold is related to political stability. &hus, the stoc!bro!er states a proposition based on his or her experience or specific observations: 8Bold prices will increase during times of political instability.9 &he stoc!bro!er has constructed a basic theory. 5ver the course of time, theory construction is often the result of a co mbination of  deductive and inductive reasoning. 5ur experiences lead us to draw conclusions that we then try to verify empirically by using the scientific method. In+uction an+ +e+uction  can be used together in research reasoning. nduction occurs when we observe a fact and as!, 8Why is this9 n answer to this )uestion, we advance a tentative explanation or hypothesis. &he hypothesis is plausible if it explains the event or condition fact" that prompted the )uestion. +eduction is the process by which we test whether the hypothesis is capable of explaining the fact.

3igure: illustrates this process.

o+el < A model is defined here as a representation of a system which is constructed for the  purpose of studying some aspect of that system or the system as a whole < odels differ from theories in that a theoryDs role is explanation whereas a model-s role is representation < A model is not an explanation it is only the result of ta!ing the structure or function of  one object or process and using that as a model for the second