e eBook Collection - Arul Edison Anthony Raj. I

467 Pages·2011·7.68 MB·English

e eBook Collection

RESEARCH METHODS
FOR BUSINESS

A Skill-Building Approach Fourth Edition

Uma Sekaran
Southern Illinois University at Carbondale

John Wiley & Sons, Inc.

http://www.wiley.com/college
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10 9 8 7 6 5 4 3 2 1
To Sudha Pennathur
&
Edward Messerly

With Love
ABOUT THE AUTHOR

Uma Sekaran is Professor Emerita of Management, Southern Illinois University at
Carbondale (SIUC), Illinois. Sekaran obtained her MBA degree from the Univer-
sity of Connecticut at Storrs, and Ph.D. from UCLA. She was the Chair of the
Department of Management and also the Director of University Women‘s Profes-
sional Advancement at SIUC when she retired from the University and moved to
California to be closer to her family.
Dr. Sekaran has authored or co-authored 8 books, 12 book chapters, and more
than 55 refereed journal articles in the management area, and has presented
more than 70 papers at national, international, and regional management con-
ferences. Professor Sekaran has won recognition for significant research contri-
butions to cross-cultural research from U.S. and international professional
organizations. She is the recipient of Meritorious Research Awards both from the
Academy of Management and SIUC. She has also been conferred the Best
Teacher Award by the University.
Dr. Sekaran continues to teach courses from time to time. During the summer
of 2000 she taught a specially designed course titled ―Management in the New
Millennium‖ at the Memorial University of Newfoundland in Canada, which high-
lighted the need for change in management styles in the face of technological
advancements. She also continues to engage in research.

iv
PREFACE

Revising Research Methods for Business for this fourth edition has been an enjoy-
able experience. As in previous editions, the simple and informal style of pre-
senting information has been maintained and the focus on practical skill building
preserved. The book provides several examples to illustrate the concepts and
points presented. Users will also note throughout the book the variety of exam-
ples in the different areas of business—production, operations management,
business policy and strategy, organizational behavior, human resources manage-
ment, information systems, marketing, accounting, and finance—cited to illus-
trate that research finds application in all areas of business. It is hoped that
students will find research to be interesting, nonintimidating, and of practical use.
In addition to the inclusion of more miniexercises at the end of chapters from
cases adapted from business journals, the chapter on technology has been sub-
stantially revised to keep in line with the changing trends. The application of
software for collecting data, analyzing them, and presenting the results is also
discussed in the relevant chapters. The final chapter on managerial decision
making and research elucidates the research cycle as encompassing the full
gamut from qualitative data analysis to quantitative hypothesis testing empirical
studies. An additional case is presented to emphasize the need for research by
exemplifying a company‘s failure due to lack of investigation.
Data analysis is illustrated through the current SPSS Version 11.0 in the data
analysis chapter and the student version thereof is available with this edition of
the book for the interested student.
Most chapters in the book include managerial implications of the contents dis-
cussed, emphasizing the need for managers to understand research. The ethical
considerations involved in conducting research are also clearly brought out. The
dynamics of cross-cultural research in terms of instrument development, surveys,
and sampling are discussed, which in the context of today‘s global economy will
be useful to students. The final chapter of the book discusses two case studies,
one set in a cross-cultural context further highlighting the need to be culture-sen-
sitive, and the other illustrating how, for lack of research intervention, an orga-
nization can be obliterated.
The Refresher Module on Statistical Terms and Tests at the end of the book
should help instructors to assign the material to students when they are ready to
do so. It is presented in a simple way without discussing derivation of formulas,
so that the student has enough knowledge to conduct research applying appro-
priate statistical tests.
Many have helped in the development of this edition. The valued comments
of Usha Sekar, President and CEO of CRIA Technologies, Inc., on the draft ver-
sion of the chapter on technology have been duly taken into account. Lakshmi
v
vi PREFACE

V. Thiyagarajan of Oblix Inc., and Pirasenna V. Thiyagarajan, Sun Microsystems,
Inc., supplied information on the security aspects of technology and ERP. Pro-
fessor Arun Pennathur helped in identifying the software available for question-
naire design, data collection, and data analyses. The help of all these individuals
is very much appreciated. My sincere thanks also go to Tom Moellering of SPSS,
Inc., who responded promptly to my request for the latest 11.0 version of SPSS
software programs for data analysis.
My thanks are due to several other individuals as well. Professor Elizabeth Bar-
clay of Oakland University, Rochester, Michigan, reviewed the third edition and
suggested some changes for the revision. Professor Metin Cakici of Isik Univer-
sity, Istanbul, pointed out some inaccuracies in the formulas in the chapter on
sampling in the third edition. Thanks to him, these have now been rectified.
Mr. Narayanan Pennathur patiently read the draft versions of the chapters and
significantly improved the language and style of writing. Mr. A.R.C. Sekaran
helped in getting the manuscript ready for publication. My appreciation to both
these individuals. My heartfelt thanks to Sudha Pennathur, President of the House
of Pennathur, for an update on the case study in the last chapter and for pro-
viding another case for the book. Her help is deeply appreciated.
I expect that students and instructors alike will enjoy this edition. Students
should become effective managers, helped by the requisite knowledge and skills
acquired by the study of this book. The Instructor’s Manual that accompanies
this text will be a good additional teaching aid for teachers. I hope both the
instructors and the students will find this book useful.
Any comments or suggestions may be e-mailed to [email protected] or mailed
to me at the following address: 4571 Latimer Ave, San Jose, California 95130. For
additional information check web site http://www.wiley.com/college/sekaran.
Good luck!

Uma Sekaran
CONTENTS

CHAPTER 1 CHAPTER 2
INTRODUCTION TO RESEARCH /1 SCIENTIFIC INVESTIGATION /20

What Is Research? /3 The Hallmarks of Scientific
The Excitement of Research and Why Research /22
Managers Should Know about Purposiveness /22 Rigor /22
Research /4 Testability /23 Replicability /23
Business Research /5 Precision and Confidence /24
Definition of Research /5 Objectivity /25 Generalizability /25
Research and the Manager /5 Parsimony /26
Types of Business Research: Applied Some Obstacles to Conducting
and Basic /7 Scientific Research in the
Applied Research /8 Basic or Funda- Management Area /26
mental Research /9 The Building Blocks of Science in
Managers and Research /11 Research /27
The Manager and the Deduction and Induction /27
Consultant–Researcher /12 The Hypothetico-Deductive
How to Locate and Select a Method /29
Researcher /13 The The Seven-Step Process in the
Manager–Researcher Hypothetico-Deductive Method /29
Relationship /13 Values /14 Two Examples of the Application of
Internal versus External the Hypothetico-Deductive Method in
Consultants/Researchers /14 Organizations /32 Review of the
Internal Consultants/Researchers /14 Hypothetico-Deductive Method /35
Advantages of Internal Other Types of Research /35
Consultants/Researchers /15 Case Studies /35 Action Research /36
Disadvantages of Internal Summary /36
Researchers /15 External Discussion Questions and Points to
Consultants/Researchers /16 Ponder /37
Advantages of External Consultants /16
Disadvantages of External
Consultants /16 CHAPTER 3
Knowledge About Research and
TECHNOLOGY AND BUSINESS
Managerial Effectiveness /17
RESEARCH /39
Ethics and Business Research /17
Summary /18 Information Needs of Business /41
Discussion Questions and Points to Commonly Used Technologies in
Ponder /18 Business Research /42

vii
viii CONTENTS

The Internet /42 Electronic Mail /43 Background Information on the
The Intranet /44 Browsers /44 Web Organization /59 Information on
Sites /45 Structural Factors and Management
Some Software Used in Business Philosophy /60 Perceptions, Attitudes,
Research /45 and Behavioral Responses /61
Groupware /45 Neural Networks /45 Literature Survey /63
CAM/CAD /45 Enterprise Resource Reasons for the Literature Survey /63
Planning /46 Data Analytic Software Conducting the Literature Survey /65
Programs /46 Identifying the Relevant Sources /65
Emerging Applications in Technology Extracting the Relevant Information
/47 /66 Writing up the Literature
Review /66 Examples of Two
Handheld Devices /47 Interactive
Literature Surveys /67
Voice Technology, CD-ROM, and
Relational Data Bases /47 Digital Problem Definition /69
Whiteboards /47 Group Examples of Well-Defined
Videoconferencing /48 Virtual Reality Problems /70
/48 Linkage of PCs to Electronic Managerial Implications /71
Devices /48 Ethical Issues in the Preliminary
Information Systems and Managerial Stages of Investigation /71
Decision Making /48 Summary /72
Data Warehousing, Data Mining, and Discussion Questions and Points to
Operations Research /49 Ponder /72
International Dimensions of Practice Projects /74
Cyberspace /50 APPENDIX /75
Data Storage and Surveillance /50 Section 1: Some On-Line Databases
Storage of Data Bases /50 Data Useful for Business
Security /50
Research /75
Managerial Advantage of
Section 2: Bibliographical Indexes /78
Technological Advancements /51
Section 3: APA Format for
Ethics in Handling Information
Referencing Relevant
Technology /51
Articles /80
Summary /52
Section 4: Referencing and Quotation
Discussion Questions and Points to
in the Literature Review
Ponder /52
Section /82

CHAPTER 4 CHAPTER 5
THE RESEARCH PROCESS: THE RESEARCH PROCESS:
STEPS 1 TO 3: THE BROAD STEPS 4 AND 5: THEORETICAL
PROBLEM AREA, PRELIMINARY FRAMEWORK HYPOTHESIS
DATA GATHERING, PROBLEM DEVELOPMENT /85
DEFINITION /54
The Need for a Theoretical

The Research Process for Applied and Framework /86
Basic Research /55 Variables /87
Broad Problem Area /57 Types of Variables /88 The Distinction
Preliminary Data Collection /58 between an Independent Variable and a
Nature of Data to Be Gathered /58 Moderating Variable /92