Business Research Methods Literature Review
Data Collection
The role of data collection in any research is inarguably one that any researcher cannot ignore. Data collection that is inaccurate or poorly conducted can lead in erroneous results and conclusions. As such, appropriate methods should be utilized in data collection to ensure the validity and the accuracy of the research. There are different types of researches which vary as per the personal or organizational need. However, this literature review aims at addressing business research and the different data collection techniques utilized in this domain. “Business research is intended to result in better decision making,” (Hair, 2015, p.6). As supported by Hair (2015), the relevance of business research cannot be estimated; hence explaining why it is widely embraced by many businesses. Business research is relevant where the enterprise may need to open enterprises in new locations, alter the pricing of the business, increase the salaries of the employees, evaluate the progress of the business, and analyze the financial statement of the business (Hair, 2015). The data collection techniques commonly used in business research include; face to face interviews, telephone interviews, online surveys, and self-completion interviews (Fowler Jr, 2013). Choosing the appropriate research method is based upon the complexity of situation being addressed, the finances allocated for the task, preference, and needs of the researcher. Therefore, this paper provides a discussion of different data collection methodologies and their effectiveness in ensuring that a research is successful.
Critique for Choosing Data Collection Methods
In most of the business data collection, the researchers come up with their concepts of validity. Similarly, the researchers can opt to adopt different assessment criteria which suit the particular business scope being studied. Among the examples of the criteria being reflected on include trustworthiness and quality among others. The differences between these two business research methods can be pointed out through understanding the philosophical principles that underlie the research methods. Kafle (2013) states the knowledge theory that entails validity, scope, and methods are referred to as epistemology. Among these principles, epistemology is considered to be the most vital principle.
Positivist Paradigm in Business Research
Over the past years, the business research experts have been expressing personal concerns on the utilization of different methods that are associated with the use of positivist paradigm within the business area and the organizational business research. As such, as Khan (2014) argues, the assumption of positivist paradigm is established on the existence of different objectives in the research field that can be quantified and measured through the utilization of traditional scientific method. Different business research experts have frequently attacked this assumption. Several organizational theorists such as Hlady‐Rispal and Jouison‐Laffitt (2014) acclaim that the positivist paradigm in the business research gathers the context based on the meanings in the process of coming up with the quantified measures of the phenomena. The concerns of the applicability of quantitative research methodologies towards the study of sophisticated social phenomena entail; poor representation of data, the generalization of data, excluding some discoveries from the domain of scientific inquiry, and taking of the data collected from the real world dominion (Hlady‐Rispal & Jouison‐Laffitt, 2014).
The positivist paradigm perspective is built upon the principle of realism. Lambert and Davidson (2013) showed that these principles lay upon a broad philosophical domain which denotes different theoretical stances which have common features. Such features include the denouncing of imaginative and practical approaches of the scientific research. However, this form of denouncing varies but the primary assumption of realism lies on objects, which do not depend on the people thinking or perception. Lambert and Davidson (2013) explain that the positivist perspective approach in the business studies is concerned with the testing of the theories to come up with the overall law or principles that govern both the social and natural business domain. As per the positivist paradigm perspective, the researcher gathers the data while maintaining neutrality and ensuring that the inquiry is both objective and value free.
Interpretivism Paradigm in Business Research
On the contrary, Cohen, Manion, and Morrison (2013) posit that the interpretivism perspective was established based on the idealist philosophy which primarily relies on varying sets of the founding principles. Business research experts who possess the interpretivism perspective believe that true world activities are not minded independent and such activities and objects surrounding us depend directly on the human perception (Cohen et al., 2013). According to Khan (2014), the surrounding objects exist in the form of social constructs, ideas, belief, and notions concepts. The antirealist perspective in business research rejects the idea underlying the concept of idealism where the existence of truth and reality universally can be assessed by the researcher directly and remain independent as the process of the research continues (Hair, 2015). Therefore, the interpretivism epistemology is not involved in any way with the replicability and the generalizability of the results derived from the business research.
Quantitative Research Methods
Business research methods are commonly divided into two main groups, which include the quantitative and qualitative research methods (Bryman & Bell, 2015). As noted by Hair (2015), quantitative research method involves the different methods used to conduct intensive research in business but are more widely used in scientific researches. The essence of this type of research is to ensure that the data collected exhibits validity. Moreover, this method can be used in business when the reliability of the research results is needed (Venkatesh, Brown, & Bala, 2013). The different quantitative research methods used in the business research include formal methods, survey methods, and numerical methods. The quantitative research method is expected to utilize some research tools such as surveys, experiments or questionnaires. The quantitative research method is established under the basic concepts of both validity and reliability which have been upheld traditionally (Venkatesh et al., 2013).
One of the shortcomings of this research method is the less applicability of the method in the study of issues that can are poorly quantifiable (Cohen, Manion & Morrison, 2013). As such, some of the quantitative results may fail to fully cover the important variables aimed at the research; hence may lead to an effect termed as de-contextualization. The replicability criteria cannot be utilized in the business research methods to ensure how legit and valid the qualitative research is formulated (Venkatesh et al., 2013). Instead, the transferability, credibility, and precision are important in the business research in pointing out the validity of the findings from the qualitative research. As argued by Khan (2014), the validity as exhibited in the quantitative paradigm is not applicable for all the qualitative research methods. “In many ways, the most important criterion of research is validity,” (Bryman and Bell, 2015, p.50).
Until the recent surge of attention towards qualitative research methods, quantitative research methods in business have been dominating the professional research in business and management domain (Bryman & Bell, 2015). Qualitative research methods are still debated on having a rough time being accepted in the behavioral and social science research. “Quantitative researchers sometimes criticize qualitative research as being to impressionistic and subjective” (Bryman & Bell, 2015, p.50). The main reason as to why the quantitative research methods have dominated in the business research is because the quantitative research methods have been drawn from traditional sciences like sociology, psychology, and economics. As such, these sciences have been known for a long time to utilize quantitative research methods. Most of the government agencies are known to fund the quantitative research methods rather than the qualitative approaches (Reeb, Sakakibara, & Mahmood, 2012). Another reason as to why the quantitative research method is considered to dominate is because the qualitative research methods are considered to lack objectivity and rigor which are associated with quantitative research methods.
Experiments
The experiments in business research can be conducted in a typical quantitative research aiming at providing a better perception of the correlation between the specific phenomena and causal hypothesis, which represents the practical interest necessary for the researcher. “Hypotheses are defined as formal statements of explanations stated in testable form,” (Zikmund et al., 2013, p. 33). In quantitative research, the experimental study design is considered as the ideal method in evaluation studies since it ensures great control and allows a close examination of the causal relationship of the phenomenon being studied.
Features that characterize the experimental design: (Zikmund et al., 2013)
- Control: The researcher introduces one or more controls over the experimental business research
- Randomization: The researcher teams up the participants to different groups without a definite rule.
- Manipulation: The participants are managed in different ways by the researcher
- In most cases experimental studies in business have always been looked at as superior to other non-experimental designs, nowadays this view is being challenged. Some of its demerits of this research technique include:
- The presence of related substitutes that can replace the experimental setting may lead to substitution bias.
- The experimental data may have a finite potential in answering all questions of the researcher hence some questions will be left pending.
Zikmund et al. (2013) argue that these disadvantages are largely associated with the quantitative paradigm, and thus it will be misleading to state that other methods, such as quasi-experiments or descriptive designs do not share some of them.
Quasi-Experimental Technique
Quasi-experimental studies have the likeness to the true experimental design but are different because in the quasi-experiment, the researcher groups the participants to different groups non-randomly, with a definite rule (Krishnan & Sitaraman, 2013). This research technique is easily applied because a rule is used than the randomized ones thus useful in generating results for general trends thus obtaining a general overview of a product at a particular place. Quasi-experimental designs are used when the business researcher is interested in independent variables that cannot be chosen randomly (Krishnan & Sitaraman, 2013).
Qualitative Research Methods
The qualitative research methods differ from the quantitative research methodology in that this research type aims at exploring the phenomena as it is in the real world (Hair, 2015;
Khan, 2014). Hair (2015) asserts that this type of research can be described as a research method that aims at producing findings that are achieved by different means rather than the use of quantification or use of statistical procedures. As such, this research method is important in studying the needed business data that unfolds naturally and gradually. Since this research method uses as different perspective in tackling the research question, a different validation criterion is used unlike in quantitative research method.
“Qualitative research is based on the observations and interpretations of people’s perception of different events.” (Khan, 2014, p. 225). Khan (2014) suggested that the different qualitative research approaches regularly used in data collection in business researches include case study, grounded theory, action research, phenomenology, and ethnography. These research designs have common data collection methods. The common techniques evident in these data collection methods include written data analysis, fieldwork, interviews, and participant observations. Eriksson and Kovalainen (2015) point out the similarity between these research techniques as, “One common feature of qualitative data is that it is either textual, verbal audio material or visual material.” (p. 83). Other data collection techniques that are classified as qualitative research methods include mapping of different cultural settings, biographies, events, audio-visual techniques, and historic research (Khan, 2014). Each of these data collection methods has both advantages and disadvantages. However, according to Eriksson and Kovalainen (2015), the most crucial factor to consider before picking any of these methods for data collection for a different business domain is whether the picked technique is appropriate for the research purpose. Different qualitative research methods are discussed herein.
Ethnography
Bryman and Bell (2015) explain that ethnography is research method that is utilized in the studying of sophisticated matters related to management of the business, values, and organizational structure of the business. Originally, the ethnographic research designs were utilized in both cultural and social researches. The main purpose of the ethnographic research is to give the researcher the background information and story of the group of people being studied (Bryman & Bell, 2015). It aims at identifying the cultural beliefs and the social life of the group. As such, the researcher becomes acquainted with the behaviors and lifestyle of the group being studied. Ethnographic research method requires the researcher to have some time in the research field while exploring on the phenomena being researched on (Bryman & Bell, 2015). The data gathering technique used commonly in the ethnographic research design include studying of photographs and documents, involving in participant observation and involving in an unstructured interview. Bryman and Bell (2015) add on the setbacks of ethnography by stating that, “One of the key problem and most difficult steps in ethnography is gaining access to a social setting that is relevant to the research problem” (p.50).
Case Study
This business research method can be described as an empirical inquiry which aims at investigating a contemporary phenomenon that has different effects in real life (Cohen, Manion & Morrison, 2013). As such, this research method is useful in case the phenomena has boundaries or when the context is not clearly evident hence depends on different evidence sources. A case study is one of the most popular research methods of qualitative inquiry in both business and management research. The two characteristics that distinguish case study from other business research methods as stated by Lambert and Davidson (2013) include;
- It focuses on deep comprehending of the phenomena and the context of the research.
- The different boundaries between the context and phenomenon are not wholly evident.
There are two types of case study which must be differentiated for the researcher to decide on which of the two is appropriate for the research case at hand. The two case study include; intrinsic case study and instrumental case study (Eriksson & Kovalainen, 2015). The instrumental case study is mainly used as a research method teaching device, and the intrinsic case study is used in testing the assumed hypothesis or theory (Eriksson & Kovalainen, 2015).
Action Research
This business research technique aims at contributing to the practical concerns of different groups of people in an immediate situation (Khan, 2014). Both the researcher and the client collaborate in dealing with the problem and developing a solution based on the research they found. However, as Khan (2014) explains, action research is largely ignored in the business research methods, but it is widely used in the field of social sciences as a reliable research method. It is divided into classical action research (positivist), contemporary action research (interpretive) and critical action research. A suitably done action research can be as meticulous as other methods (Eriksson & Kovalainen, 2015). In the recent, the action research approach has been drawing increased attention from the researchers in different fields of business. This has been attributed to by the fact that it improves specific practices since it is facilitated by participation and collaboration of a researcher and a client with a common goal (Eriksson & Kovalainen, 2015). This research method can be used with both quantitative and qualitative data giving a high possibility to gain in-depth knowledge of a problem.
Phenomenology
Kafle (2013) defines pehnomenology as a research method, which is based on inquiry attempts to comprehend the phenomenon of a lived experience. Such experiences may be linked to either emotion, relationships, or to being part of an enterprise. The understanding is based on the experience of the first-person point of view and it assumes there is a universal essence to shared experience. Kafle (2013) draws a parallel between his or her experience and of the target individuals in the scope of data collection in business.
According to Kafle (2013), phenomenological research cannot be carried out in a one-way method since it is specific to the theme of the research, on the researcher’s skills and the questions and data collected during the field work. The Data analysis and collection include sampling, in-depth interviewing, use of philosophy, questionnaire or art (Kafle, 2013). The potential of phenomenology in business research is not largely recognized, and still has demonstrated to surge its efficiency in the business discipline. It has been described as a highly valuable methodology that explores the human experiences in the business research domain.
Grounded Research Theory
Bryman and Bell (2015) define grounded research theory as a research method that focuses on verifying and developing a theory based on systematically analyzed and grounded collected data. Grounded theory is commonly defined as inductive based on the discovery methodology which allows the research to come up with an account of the overall characteristics of the topic while at the same time grounding the account of the empirical observations (Bryman & Bell, 2015). The main difference between the other data collection methods in business and the grounded theory is the distinct approach to the theory of development. The grounded theory is based on the assumption that there should be a progressive interplay between the data analysis and data collection (Bryman & Bell, 2015).
Fowler Jr (2013) explains that the ideal methods for data analysis and collection of the grounded theory include interviews, focus groups, diaries and participant observation. This research method in business is becoming more common in the business research field. Moreover, this research technique is considered important because it is developed based on the research context.
Conclusion
Data collection plays a key role in ensuring that a research ends successfully. With a concise and detailed data collection method, a researcher will get data that can be analyzed to provide a detailed conclusion. Qualitative and quantitative data collection methods in business have their own merits and demerits. Researchers have a hard task in determining which is the appropriate method to use according to the business research in question since all methods can be used, but not all of them will be suitable to yield appropriate results. Quantitative research methods such as experiments are commonly used in the economics discipline such as in the business research as it examines the characteristics and how the different phenomena relate. Ethnography, case study, action research, phenomenology and grounded theory are the qualitative research methods used in investigating new markets in different geographical locations. In addition, they help business managers to make use of their resources wisely for growth. Most startups use these business research methods to discover what they are settling with regarding the product, location and the selling price. During the research, the business managers also get to learn about the competition in sales volume and market share from companies of the same product, which helps them evaluate the quality and strength of their brand. Research is not only for the managers but also for investors. An investor needs to know of the product before risking money on it thus through research the investor can tell of the product or service of preference. An investor can be a person or a company such as a hotel looking for the best décor company. Quantitative methods are used mostly in descriptive and causal research designs and qualitative methods in explanatory research designs. These research methods are also helpful in employing workers in that those who are skillful and potential marketers will be recruited since they are capable of increasing the productivity chances of the company; this develops better marketing strategies for growth. Indeed, business research methods are the strategies used for new knowledge and in determining the best business venture to invest in. Most companies use these methods in improving their business and ensuring that their sales volume go high. Both managers and employees get educated through these methods as having well-informed employees make work easier even without supervision hence it helps a company avoid future failure.
References
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Eriksson, P., & Kovalainen, A. (2015). Qualitative methods in business research: A practical guide to social research. London: Sage.
Fowler Jr, F. J. (2013). Survey research methods. London: Sage publications.
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