You are on page 1of 22



Ô  Ô  




 Research simply means a search for facts, answers to the

questions and solutions to the problems. It is a purposive
investigation. It is an organized inquiry. It seeks to find explanations
to unexplained phenomenon to clarify the doubtful facts and to
correct the misconceived facts.
The search for facts may be made through either:

Itǯs a method of seeking answers to question consists of
imagination, opinion, blind belief or impression. E.g. it was believed
that the shape of the earth was flat; a big snake swallows sun or
moon causing solar or lunar eclipse. It is subjective; the finding will
vary from person to person depending on his impression or
imagination. It is vague and inaccurate.

This is a systematic rational approach to seeking facts. It eliminates
the drawbacks of the arbitrary method. It is objective, precise and
arrives at conclusions on the basis of verifiable evidences.

Therefore, search of facts should be made by scientific method

rather than by arbitrary method. Then only we may get verifiable
and accurate facts. Hence research is a systematic and logical study
of an issue or problem or phenomenon through scientific method.




oung defines Research as a scientific undertaking which, by means

of logical and systematic techniques, aims to:

a) Discover of new facts or verify and test old facts,

b) Analyze their sequences, interrelationships and causal
c) Develop new scientific tools, concepts and theories which would
facilitate reliable and valid study of human behavior.

d) Kerlinger defines research as a systematic, controlled, empirical

and critical investigation of hypothetical propositions about the
presumed relations among natural phenomena.

Significance of Research in Social and Business Sciences

According to a famous Hudson Maxim, All progress is born of

inquiry. Doubt is often better than overconfidence, for it leads to
inquiry, and inquiry leads to invention´. It brings out the significance
of research, increased amounts of which makes progress possible.
Research encourages scientific and inductive thinking, besides
promoting the development of logical habits of thinking and

The role of research in applied economics in the context of an

economy or business is greatly increasing in modern times. The
increasingly complex nature of government and business has raised
the use of research in solving operational problems. Research
assumes significant role in formulation of economic policy, for both
the government and business. It provides the basis for almost all
government policies of an economic system. Government budget
formulation, for example, depends particularly on the analysis of
needs and desires of the people, and the availability of revenues,
which requires research. Research helps to formulate alternative
policies, in addition to examining the consequences of these




alternatives. Thus, research also facilitates the decision making of

policy-makers, although in itself it is not a part of research. In the
process, research also helps in the proper allocation of a country
scare resources. Research is also necessary for collecting
information on the social and economic structure of an economy to
understand the process of change occurring in the country.
Collection of statistical information though not a routine task,
involves various research problems. Therefore, large staff of
research technicians or experts is engaged by the government these
days to undertake this work.

Thus, research as a tool of government economic policy formulation

involves three distinct stages of operation which are as follows:
Investigation of economic structure through continual compilation
of facts

Diagnoses of events that are taking place and the analysis of the
forces underlying them; and the prognosis, i.e., the prediction of
future developments

Research also assumes a significant role in solving various

operational and planning problems associated with business and
industry. In several ways, operations research, market research, and
motivational research are vital and their results assist in taking
business decisions. Market research is refers to the investigation of
the structure and development of a market for the formulation of
efficient policies relating to purchases, production and sales.
Operational research relates to the application of logical,
mathematical, and analytical techniques to find solution to business
problems such as cost minimization or profit maximization, or the
optimization problems. Motivational research helps to determine
why people behave in the manner they do with respect to market
characteristics. More specifically, it is concerned with the analyzing
the motivations underlying consumer behavior. All these researches




are very useful for business and industry, which are responsible for
business decision making.

Research is equally important to social scientist for analyzing social

relationships and seeking explanations to various social problems. It
gives intellectual satisfaction of knowing things for the sake of
knowledge. It also possesses practical utility for the social scientist
to gain knowledge so as to be able to do something better or in a
more efficient manner. This, research in social sciences is concerned
with both knowledge for its own sake, and knowledge for what it
can contribute to solve practical problems.





 Research really begins when the researcher experiences some

difficulty, i.e., a problem demanding a solution within the subject-
are of his discipline. This general area of interest, however, defines
only the range of subject-matter within which the researcher would
see and pose a specific problem for research. Personal values play
an important role in the selection of a topic for research. Social
conditions do often shape the preference of investigators in a
subtle and imperceptible way.

The formulation of the topic into a research problem is, really

speaking the first step in a scientific enquiry. A problem in simple
words is some difficulty experienced by the researcher in a
theoretical or practical situation. Solving this difficulty is the task of

R.L. Ackoffs analysis affords considerable guidance in identifying

problem for research. He visualizes five components of a problem.

1. Research-consumer: There must be an individual or a group

which experiences some difficulty.
2. Research-consumers Objectives: The research-consumer must
have available,
3. Alternative means for achieving the objectives he desires.
4. Alternative Means to Meet the Objectives: The research-
consumer must have
5. Available, alternative means for achieving the objectives he
6. Doubt in Regard to Selection of Alternatives: The existence of
alternative courses of action in not enough; in order to




experience a problem, the research consumer must have some

doubt as to which alternative to select.
7. There must be one or More Environments to which the
Difficulty or Problem Pertains: A change in environment may
produce or remove a problem. A research- consumer may have
doubts as to which will be the most efficient means in one
environment but would have no such doubt in another.

Horton and Hunt have given following characteristics of scientific


1. Verifiable evidence: That is factual observations which other

observers can see and check.

2. Accuracy: That is describing what really exists. It means truth

or correctness of a statement or describing things exactly as
they are and avoiding jumping to unwarranted conclusions
either by exaggeration or fantasizing.

3. Precision: That is making it as exact as necessary, or giving

exact number or measurement. This avoids colorful literature
and vague meanings.

4. Systematization: That is attempting to find all the relevant

data, or collecting data in a systematic and organized way so
that the conclusions drawn are reliable. Data based on casual
recollections are generally incomplete and give unreliable
judgments and conclusions.

5. Objectivity: That is free being from all biases and vested

interests. It means observation is unaffected by the observers
values, beliefs and preferences to the extent possible and he is




able to see and accept facts as they are, not as he might wish
them to be.

6. Recording: That is jotting down complete details as quickly as

possible. Since human memory is fallible, all data collected are
7. Controlling conditions: That is controlling all variables except
one and then attempting to examine what happens when that
variable is varied. This is the basic technique in all scientific
experimentation ± allowing one variable to vary while holding
all other variables constant.
8. Training investigators: That is imparting necessary knowledge
to investigators to make them understand what to look for,
how to interpret in and avoid inaccurate data collection.




 #!# #!%#$

 A hypothesis is an assumption about relations between
variables. It is a tentative explanation of the research problem or a
guess about the research outcome. Before starting the research,
the researcher has a rather general, diffused, even confused notion
of the problem. It may take long time for the researcher to say what
questions he had been seeking answers to. Hence, an adequate
statement about the research problem is very important. What is a
good problem statement? It is an interrogative statement that asks:
what relationship exists between two or more variables? It then
further asks questions like:
Is A related to B or not?
How are A and B related to C?
Is A related to B under conditions X and ?
Proposing a statement pertaining to relationship between A and B
is called a hypothesis.


To test a hypothesis means to tell (on the basis of the data

researcher has collected) whether or not the hypothesis seems to
be valid. In hypothesis testing the main question is: whether the null
hypothesis or not to accept the null hypothesis? Procedure for
hypothesis testing refers to all those steps that we undertake for
making a choice between the two actions i.e., rejection and
acceptance of a null hypothesis. The various steps involved in
hypothesis testing are stated below:

1) Making a Formal Statement

The step consists in making a formal statement of the null

hypothesis (Ho) and also of the alternative hypothesis (Ha). This




means that hypothesis should clearly state, considering the nature

of the research problem. For instance, Mr. Mohan of the Civil
Engineering Department wants to test the load bearing capacity of
an old bridge which must be more than 10 tons, in that case he can
state his hypothesis as under:

Null hypothesis HO: µ =10 tons

Alternative hypothesis Ha: µ >10 tons

Take another example. The average score in an aptitude test

administered at the national level is 80. To evaluate a stateǯs
education system, the average score of 100 of the states students
selected on the random basis was 75. The state wants to know if
there is a significance difference between the local scores and the
national scores. In such a situation the hypothesis may be state as

Null hypothesis HO: µ =80

Alternative hypothesis Ha: µδ80

The formulation of hypothesis is an important step which must be

accomplished with due care in accordance with the object and
nature of the problem under consideration. It also indicates
whether we should use a tailed test or a two tailed test. If Ha is of
the type greater than, we use alone tailed test, but when Ha is of
the type whether greater or smaller´ then we use a two- tailed test.

2) Selecting a Significant Level

The hypothesis is tested on a pre-determined level of significance

and such the same should have specified. Generally, in practice,
either 5% level or 1% level is adopted for the purpose. The factors
that affect the level of significance are:




The magnitude of the difference between samples;

The size of the sample;
The variability of measurements within samples;

Whether the hypothesis is directional or non ± directional (A

directional hypothesis is one which predicts the direction of the
difference between, say, means). In brief, the level of significance
must be adequate in the context of the purpose and nature of

3) Deciding the Distribution to Use

After deciding the level of significance, the next step in hypothesis

testing is to determine the appropriate sampling distribution. The
choice generally remains between distribution and the t
distribution. The rules for selecting the correct distribution are
similar to those which we have stated earlier in the context of

4) Selecting a Random Sample & Computing An Appropriate Value

Another step is to select a random sample(S) and compute an

appropriate value from the sample data concerning the test
statistic utilizing the relevant distribution. In other words, draw a
sample to furnish empirical data.

5) Calculation of the Probability

One has then to calculate the probability that the sample result
would diverge as widely as it has from expectations, if the null
hypothesis were in fact true.

6) Comparing the Probability

et another step consists in comparing the probability thus

calculated with the specified value for , the significance level. If the




calculated probability is equal to smaller than  value in case of one

tailed test (and /2 in case of two-tailed test), then reject the null
hypothesis (i.e. accept the alternative hypothesis), but if the
probability is greater, then accept the null hypothesis. In case we
reject H0 we run a risk of (at most level of significance) committing
an error of type I, but if we accept H0, then we run some risk of
committing error type II.

Flow Diagram for Testing Hypothesis




+#%#$ !"#
!##!"% !#"#$&

 The need for the methodologically designed research:

a) In many a research inquiry, the researcher has no idea as to

how accurate the results of his study ought to be in order to
be useful. Where such is the case, the researcher has to
determine how much inaccuracy may be tolerated. In a quite
few cases he may be in a position to know how much
inaccuracy his method of research will produce. In either case
he should design his research if he wants to assure himself of
useful results.
b) In many research projects, the time consumed in trying to
ascertain what the data mean after they have been collected
is much greater than the time taken to design a research
which yields data whose meaning is known as they are
c) The idealized design is concerned with specifying the optimum
research procedure that could be followed were there no
practical restrictions.
Professor Fisher has enumerated three principles of
experimental designs:

1. The principle of replication:

The experiment should be reaped more than once. Thus, each

treatment is applied in many experimental units instead of one. By
doing so, the statistical accuracy of the experiments is increased.
For example, suppose we are to examine the effect of two varieties
of rice. For this purpose we may divide the field into two parts and
grow one variety in one part and the other variety in the other part.
We can compare the yield of the two parts and draw conclusion on




that basis. But if we are to apply the principle of replication to this

experiment, then we first divide the field into several parts, grow
one variety in half of these parts and the other variety in the
remaining parts. We can collect the data yield of the two varieties
and draw conclusion by comparing the same. The result so obtained
will be more reliable in comparison to the conclusion we draw
without applying the principle of replication. The entire experiment
can even be repeated several times for better results. Consequently
replication does not present any difficulty, but computationally it
does. However, it should be remembered that replication is
introduced in order to increase the precision of a study; that is to
say, to increase the accuracy with which the main effects and
interactions can be estimated.

2. The principle of randomization:

It provides protection, when we conduct an experiment, against

the effect of extraneous factors by randomization. In other words,
this principle indicates that we should design or plan the
experiment in such a way that the variations caused by extraneous
factors can all be combined under the general heading of ³chance´.
For instance if we grow one variety of rice say in the first half of the
parts of a field and the other variety is grown in the other half, then
it is just possible that the soil fertility may be different in the first
half in comparison to the other half. If this is so, our results would
not be realistic.

In such a situation, we may assign the variety of rice to be grown in

different parts of the field on the basis of some random sampling
technique i.e., we may apply randomization principle and protect
ourselves against the effects of extraneous factors. As such,
through the application of the principle of randomization, we can
have a better estimate of the experimental error.




3. Principle of local control:

It is another important principle of experimental designs. Under it

the extraneous factors, the known source of variability, is made to
vary deliberately over as wide a range as necessary and this needs
to be done in such a way that the variability it causes can be
measured and hence eliminated from the experimental error. This
means that we should plan the experiment in a manner that we can
perform a two-way analysis of variance, in which the total
variability of the data is divided into three components attributed
to treatments, the extraneous factor and experimental error. In
other words, according to the principle of local control, we first
divide the field into several homogeneous parts, known as blocks,
and then each such block is divided into parts equal to the number
of treatments. Then the treatments are randomly assigned to these
parts of a block. In general, blocks are the levels at which we hold
an extraneous factors fixed, so that we can measure its
contribution to the variability of the data by means of a two-way
analysis of variance. In brief, through the principle of local control
we can eliminate the variability due to extraneous factors from the
experimental error.




""#& !"#%../$"###

Primary Data:
Primary sources are original sources from which the researcher
directly collects data that have not been previously collected e.g..,
collection of data directly by the researcher on brand awareness,
brand preference, brand loyalty and other aspects of consumer
behavior from a sample of consumers by interviewing them,.
Primary data are first hand information collected through various
methods such as observation, interviewing, mailing etc.

Secondary Data:
These are sources containing data which have been collected and
compiled for another purpose. The secondary sources consists of
readily compendia and already compiled statistical statements and
reports whose data may be used by researchers for their studies
e.g., census reports , annual reports and financial statements of
companies, Statistical statement, Reports of Government
Departments, Annual reports of currency and finance published by
the Reserve Bank of India, Statistical statements relating to Co-
operatives and Regional Banks, published by the NABARD, Reports
of the National sample survey Organization, Reports of trade
associations, publications of international organizations such as
UNO, IMF, World Bank, ILO, WHO, etc., Trade and Financial journals
newspapers etc.

Secondary sources consist of not only published records and

reports, but also unpublished records. The latter category includes
various records and registers maintained by the firms and




organizations, e.g., accounting and financial records, personnel

records, register of members, minutes of meetings, inventory
records etc. Features of Secondary Sources

Though secondary sources are diverse and consist of all sorts of

materials, they have certain common characteristics.
First, they are readymade and readily available, and do not require
the trouble of constructing tools and administering them.

Second, they consist of data which a researcher has no original

control over collection and classification. Both the form and the
content of secondary sources are shaped by others. Clearly, this is a
feature which can limit the research value of secondary sources.

Finally, secondary sources are not limited in time and space. That is,
the researcher using them need not have been present when and
where they were gathered.



This is an interview made with a detailed standardized schedule.

The same questions are put to all the respondents and in the same
order. Each question is asked in the same way in each interview,
promoting measurement reliability. This type of interview is used
for large-scale formalized surveys.





This interview has certain advantages.

First, data from one interview to the next one are easily
comparable. Second, recording and coding data do not pose any
problem, and greater precision is achieved.

Lastly, attention is not diverted to extraneous, irrelevant and time

consuming conversation.


However, this type of interview suffers from some limitations.

First, it tends to lose the spontaneity of natural conversation.

Second, the way in which the interview is structured may be such

that the respondentsǯ views are minimized and the investigators
own biases regarding the problem under study are inadvertent

Lastly, the scope for exploration is limited.

' 4 5-##/


This is the least structured one. The interviewer encourages the

respondent to talk freely about a give topic with a minimum of
prompting or guidance. In this type of interview, a detailed pre-
planned schedule is not used. Only a broad interview guide is used.
The interviewer avoids channeling the interview directions. Instead
he develops a very permissive atmosphere. Questions are not
standardized and ordered in a particular way.

This interviewing is more useful in case studies rather than in

surveys. It is particularly useful in exploratory research where the




lines of investigations are not clearly defined. It is also useful for

gathering information on sensitive topics such as divorce, social
discrimination, class conflict, generation gap, drug-addiction etc. It
provides opportunity to explore the various aspects of the problem
in an unrestricted manner.


This type of interview has certain special advantages. It can closely

approximate the spontaneity of a natural conversation. It is less
prone to interviewerǯs bias. It provides greater opportunity to
explore the problem in an unrestricted manner.


Though the unstructured interview is a potent research instrument,

it is not free from limitations. One of its major limitations is that the
data obtained from one interview is not comparable to the data
from the next. Hence, it is not suitable for surveys. Time may be
wasted in unproductive conversations. By not focusing on one or
another facet of a problem, the investigator may run the risk of
being led up blind alley. As there is no particular order or sequence
in this interview, the classification of responses and coding may
required more time. This type of informal interviewing calls for
greater skill than the formal survey interview.


This is a semi-structured interview where the investigator attempts

to focus the discussion on the actual effects of a given experience
to which the respondents have been exposed. It takes place with
the respondents known to have involved in a particular experience,
e.g., seeing a particular film, viewing a particular program on TV.,




involved in a train/bus accident, etc. The situation is analyzed prior

to the interview. An interview guide specifying topics relating to
the research hypothesis used. The interview is focused on the
subjective experiences of the respondent, i.e., his attitudes and
emotional responses regarding the situation under study. The
focused interview permits the interviewer to obtain details of
personal reactions, specific emotions and the like.


This type of interview is free from the inflexibility of formal

methods, yet gives the interview a set form and insured adequate
coverage of all the relevant topics. The respondent is asked for
certain information, yet he has plenty of opportunity to present his
views. The interviewer is also free to choose the sequence of
questions and determine the extent of probing,

+ 7"##"

This is similar to the focused interview but with a subtle difference.

While the focused interview is concerned with the effects of specific
experience, clinical interview is concerned with broad underlying
feelings or motivations or with the course of the individualǯs life

The personal history interview used in social case work, prison

administration, psychiatric clinics and in individual life history
research is the most common type of clinical interview. The specific
aspects of the individualǯs life history to be covered by the interview
are determined with reference to the purpose of the study and the
respondent is encouraged to talk freely about them.




, -!

This is an intensive and searching interview aiming at studying the

respondentǯs opinion, emotions or convictions on the basis of an
interview guide. This requires much more training on inter-personal
skills than structured interview. This deliberately aims to elicit
unconscious as well as extremely personal feelings and emotions.

This is generally a lengthy procedure designed to encourage free

expression of affectively charged information. It requires probing.
The interviewer should totally avoid advising or showing
disagreement. Of course, he should use encouraging expressions
like uh-huh´ or I see´ to motivate the respondent to continue
narration. Sometimes the interviewer has to face the problem of
affections, i.e. the respondent may hide expressing affective
feelings. The interviewer should handle such situation with great

1. Start the interview. Carry it on in an informal and natural

conversational style.
2. Ask all the applicable questions in the same order as they appear
on the schedule without any elucidation and change in the
wording. Ask all the applicable questions listed in the schedule.
Do not take answers for granted.
3. If interview guide is used, the interviewer may tailor his
questions to each respondent, covering of course, the areas to
be investigated.
4. Know the objectives of each question so as to make sure that
the answers adequately satisfy the question objectives.
5. If a question is not understood, repeat it slowly with proper
emphasis and appropriate explanation, when necessary.
6. Talk all answers naturally, never showing disapproval or
surprise. When the respondent does not meet the interruptions,
denial, contradiction and other harassment, he may feel free and




may not try to withhold information. He will be motivated to

communicate when the atmosphere is permissive and the
listeners attitude is non judgmental and is genuinely absorbed in
the revelations.
7. Listen quietly with patience and humility. Give not only
undivided attention, but also personal warmth. At the same
time, be alert and analytic to incomplete, non specific and
inconsistent answers, but avoid interrupting the flow of
information. If necessary, jot down unobtrusively the points
which need elaboration or verification for later and timelier
probing. The appropriate technique for this probing is to ask for
further clarification in such a polite manner as ³I am not sure, I
understood fully, is this what you meant?´
8. Neither argues nor dispute.
9. Show genuine concern and interest in the ideas expressed by the
respondent; at the same time, maintain an impartial and
objective attitude.
10. Should not reveal your own opinion or reaction. Even when
you are asked of your views, laugh off the request, saying ³Well,
your opinions are more important than mine.´
11. At times the interview runs dry´ and needs re-stimulation. Then
use such expressions as Uh-huh or That interesting or see can
you tell me more about that? and the like.
12. When the interviewee fails to supply his reactions to related
past experiences, represent the stimulus situation, introducing
appropriate questions which will aid in revealing the past.
³Under what circumstances did such and such a phenomenon
occurs? or How did you feel about it and the like.
13. At times, the conversation may go off the track. Be alert to
discover drifting, steer the conversation back to the track by
some such remark as, you know, I was very much interested in
what you said a moment ago. Could you tell me more about it?




14. When the conversation turns to some intimate subjects, and

particularly when it deals with crises in the life of the individual,
emotional blockage may occur. Then drop the subject for the
time being and pursue another line of conversation for a while
so that a less direct approach to the subject can be made later.

15. When there is a pause in the flow of information, do not hurry

the interview. Take it as a matter of course with an interested
look or a sympathetic half-smile. If the silence is too prolonged,
introduce a stimulus saying you mentioned that« What
happened then?