Chapter IV: Theories in Scientific Research

Theories- are explanations of natural or social behaviour, event or phenomenon.

Scientific Theory- is a system of constructs (concepts) and propositions (relationship between those
constructs). It presents a logical, systematic and coherent explanations of a phenomenon of interest.
Theories should explain why things happen rather than describe or predict. Prediction requires
correlations while Explanations require causations or understanding the cause and effect.
Three conditions of establishing causations
1. Correlation between two constructs
2. Temporal precedence ( the cause must precede the effect in time)
3. Rejection of alternative hypothesis through testing.
Two types of Explanations
1. Idiographic Explanations- are those that explain a single situation or event in idiosyncratic
detail.
2. Nomothetic Explanations- seek to explain a class of situations in general.
Benefits of using theories in research
1. Theories provide the underlying logic of the occurrence of natural or social phenomena by
explaining what are the key drivers and outcomes of the target phenomena.
2. Helping us synthesize prior empirical findings within a theoretical framework and reconcile
contradictory findings by discovering contingent factors influencing the two constructs.
3. Provide guidance for future research by helping identify constructs and relationship.
4. Contribute to cumulative knowledge building by bridging gaps between other theories.
Building Blocks of a Theory (David Whetten 1989)
1. Constructs capture the What of the theory (what concepts are important for explaining
phenomenon.
2. Propositions capture the How (how are these concepts related)
3. Logic represents the Why (Why are these concepts related)
4. Boundary conditions/assumption examine Who, When and Where (under what circumstances
will these concepts and relationship works)
Attributes of a Good Theory
1. Logical consistency

2. Explanatory power

3.Falsifiability

4. Parsimony

Approaches to Theorizing(Steinfeld and Fulk 1990)

1. Build theories inductively based on observed patterns of events or behaviours.
2. Building is to conduct a bottom-up conceptual analysis to identify different sets of predictors
relevant to the phenomenon of interest using a predefined frame work.
3. Extend or modify existing theories to explain new context, such as by extending theories of
individual learning to explain organizational learning.
4. Apply existing theories in entirely new contexts by drawing upon the structural similarities
between the two contexts.

CHAPTER IV: Theories in Scientific Research

QUESTIONS:
1. ________is a system of concepts and propositions that presents logical, systematic and
coherent explanations of phenomenon.
ANSWER: Scientific Theory
2. ________are those explanations that explain a single situation or event in idiosyncratic detail.
ANSWER: Idiographic Explanations
3. TRUE or FALSE- Theories should predict things rather than explain why things happen.
ANSWER: FALSE. Theories explain why things happen.
4. ________suggests that there are four building blocks of a theory.
ANSWER: David Whetten
5. ________are measurable representations of abstract constructs.
ANSWER: Variables
6. On the building blocks of a theory ____ represents the WHY question, for example Why are
these concepts related?
ANSWER: Logic
7-8 Give at least two Attributes of a Good Theory
ANSWERS: Logical consistency/Explanatory power/Falsifiability/Parsimony
9. _________ seek to explain a class of situations in general.
ANSWER: Nomothetic Explanations
10-12 Write
if the term is a theory and if not.
10. Collection of Constructs 11. Data, Facts or Findings

12. Study of two party relationship

13. _______is a classical theory in the organizational economics literature that was originally
proposed by Ross (1973) ANSWER: Agency Theory
14-15 Give at least two conditions of establishing causations.
ANSWER: Correlation between two constructs/ Temporal precedence/ Rejection of alternative
hypothesis