MARKETING RESEARCH

Research:
the systematic investigation into and study of materials and sources in order to establish facts
and reach new conclusions OR investigate systematically.
Research always starts with a question or a problem.
Its purpose is to find answers to questions through the application of the scientific method.
It is a systematic and intensive study directed towards a more complete knowledge of the
subject studied.
Research can be classified into two broad categories: (i) basic research, and (ii) applied research.
Applied researchrefers to scientific study and researchthat seeks to solve practical problems.
Applied researchis used to find solutions to everyday problems, cure illness, and develop
innovative technologies.
Basic research, also calledpure researchorfundamental research, is scientific research
aimed to improve scientific theories for improved understanding or prediction of natural or other
phenomena.Applied research, in turn, uses scientific theories to develop technology or
techniques to intervene andalternatural or other phenomena.

Marketing Research Meaning:

the action or activity of gathering information about consumers' needs and preferences.
Objectives of Marketing Research:
Marketing research is undertaken for attaining the following objectives:
(1)To Provide Basis For Proper Planning:
Marketing and sales forecast research provides sound basis for the formulation of all marketing
plans, policies, programmes and procedures.

(2)To Reduce Marketing Costs:

Marketing research provides ways and means to reduce marketing costs like selling,
advertisement and distribution etc.

(3)To Find Out New Markets for The Product:

Marketing research aims at exploring new markets for the product and maintaining the existing
ones.

(4)To Determine Proper Price Policy:

Marketing research is considered helpful in the formulation of proper price policy with regard to
the products.

(5)To Study in Detail Likes and Dislikes of the Consumers:

Marketing research tries to find out what the consumers, (the men and women who constitute the
market) think and want. It keeps us in touch with the consumers, minds and to study their likes
and dislikes.

(6)To Know The Market Competition:

Marketing research also aims at knowing the quantum of competition prevalent in the market
about the product in question. The company may need reliable information about competitors
moves and strategies which are of immense significance for further planning.

(7)To Study The External Forces and Their Impact:

Marketing research provides valuable information by studying the impact of external forces on the
organisation. External forces may include conditions developing in foreign markets, govt, policies
Scope of Marketing Research:
Product Research
Sales Research
Customer Research
Pricing Research
Advertising Research
Media research
Copy testing

Product Research:
Marketingresearchprovides information on the desired characteristics of aproductor service is
calledproduct research.
Product researchhelps companies to understand what the customers really want, so that
theproductcan be tailored to match the needs of the customer.

Advertising Research:
Advertising researchis a specialized form of marketing researchconducted to improve the
efficiency of advertising. Advertising researchis the systematic gathering and analysis of
information to help develop or evaluateadvertisingstrategies,adsand commercials, and media
campaigns.

Pricing Research:
Pricing researchis aresearchmethod which usesresearchtechniques geared towards
measuring the impact of change inpricesto the demand of any product and also to determine
the optimalpricefor new products.

Sales Research:
Sales Control Research (Sales Research) for formulating marketing policies, planning and
controlling marketing operation.
Sales Control Research is the identification and measurement of all those variables which
individually and in combination have an effect on sales.
Sales Control Research comprises substantial proportion of research work conducted by various
companies marketing research departments. This encompasses the marketing studies pertaining
to sales forecasting, market potentials, market share analysis, and determination of market
characteristics and sales analysis.In involves Sales Analysis. Means actual analysis of sales-results
according to the product, customer, order size and territory.
The objective of sales analysis is to find out the areas of strengths and weaknesses. The
maximum and lowest volume of sales in accordance with the product, territory customers and
order size can be revealed by sales analysis.
Sales analysis provides information about areas where sales performance has been good or bad.

Consumer Research:
Part of market research in which the preferences, motivations, and buying behavior of the
targeted customer are identified through direct observation, mail surveys, telephone or face to
face interviews, and from published sources (such as demographic data).
Types Of Market Research Techniques:
Primary Market Research.Primary market researchis a kind of market research which is
done by the business or company itself with the objective of gathering information that can be
used to improve the products, services, and functions. Primary market research is also known
as field research since it is research done from scratch, without using any information that is
already made available through other sources. One can gather primary data or information
through qualitative research methods as well as quantitative research methods. Primary
market research is the most common type of a market research method and is also the most
valuable type. It is a method that only answers specific questions and not irrelevant issues.

Secondary market research.As opposed to primary market research,secondary market

researchis a research technique that does not aim to gather information from scratch but
relies on already available information from multiple sources. This research focuses on data or
information that was collected by other people and is available for either free or paid use for
others. Secondary market research takes into account many different sources for collection of
information including government data, office data, newspapers, magazines, the internet, etc.
One of the benefits of doing secondary market research is that it is mostly free and takes a lot
less time.

Qualitative research.Qualitative research or qualitative market research is a kind of a

research method which mainly takes into account the opinions and feelings of a customer as
far as a businesss products and services are concerned. This type of research tries to get
behind the customers mind to fathom what they see lacking or whether they truly like the
product or not. Some common examples of qualitative research work include doing face to face
interviews, being part of focus groups, etc.

Quantitative research.Quantitative market research is a kind of market research work that

is based on hard facts and statistical data rather than the feelings and opinions of the
customers or consumers. This type of research can prove useful both in terms of primary
market research and secondary market research. Some of the common examples of
quantitative research include exit surveys, questionnaires, on-site fieldwork and the shopping
Limitations of Marketing Research:
2. Time Gap Makes Research Irrelevant:
Systematic marketing research project needs more time. It takes weeks, months, even years. When
marketing research is carried on to investigate or solve the problem, final outcomes are available
after considerable time. When outcomes are made available, situations might have been changed
thoroughly or problem for which research was made might have been solved automatically.
Decision-maker needs information in time. But, practically, it is not possible. Sometimes, time,
money, and efforts contribute nothing.

3. Cost Consideration:
To conduct marketing research systematically is a luxury. A firm needs money for research design,
data collection, data analysis, interpretation, and report preparation. Statisticians and computer
experts charge heavy fees. When research is conducted regularly, a company has to maintain a
separate well-equipped marketing research department. Marketing research has become costlier.
So, it is difficult for medium and small companies to afford.

4. Problem of Rapid Change:

Todays market is characterized by tremendous changes. Whatever is applicable or relevant today
is out-dated tomorrow. Due to rapid changes, marketing research cannot serve the purpose.
Research results or outcomes available after the specific time period seem irrelevant or
meaningless.

5. Problem of Trust and Accuracy:

Marketing research is based on trust and accuracy. Right from the identification of problem to the
final outcomes, all depends on trust. Company has to trust on marketing research officer; research
officer has to trust on field officer; and field officer has to rely on response of respondents. At any
stage of marketing research, accuracy is vital issue. To the extent inaccuracy prevails, marketing
research results suffer.

6. It is not Problem Solving Technique but an Aid to Solve the Problem:

It is interesting and shocking to state that marketing research does not solve any problem directly.
7. Subjective or Biased Result:
When human being is involved, a completely bias-free response or result is not possible. Effect
of personal value, prejudice, attitudes, needs, and other socio-cultural factors affect the
objectivity of research adversely. Subjectivity may lead to utter chaos.
8. It cannot Eliminate Risks Inherent in Decision-making:
In every economic decisions, there exists risk and uncertainly. Marketing research cannot
eliminate risk and uncertainty. It is an attempt to minimize degree of risk. So, heavy costs on
marketing research dont guarantee safety and certainty.

Many business executives and researchers have ambiguity about the research problem and its
objectives. They have limited experience of the notion of the decision-making process. This
leads to carelessness in research and researchers are not able to do anything real.
There is less interaction between the MR department and the main research executives. The
research department is in segregation. This all makes research ineffective.
Marketing Research (MR) is not an exact science though it uses the techniques of science. Thus,
the results and conclusions drawn upon by using MR are not very accurate.
The results of MR are very vague as MR is carried out on consumers, suppliers, intermediaries,
etc. who are humans. Humans have a tendency to behave artificially when they know that they
are being observed. Thus, the consumers and respondents upon whom the research is carried
behave artificially when they are aware that their attitudes, beliefs, views, etc are being
observed.
MR is not a complete solution to any marketing issue as there are many dominant variables
between research conclusions and market response.
Marketing Information System:
Amarketing information system(MkIS) is a managementinformation system(MIS) designed
to supportmarketingdecision making.
It is a systemin whichmarketingdata is formally gathered, stored, analysed and distributed to
managers in accordance with their informational needs on a regular basis.
Marketing Information System (MIS) is a permanent arrangement (system or setup) for
provision of regular availability of relevant, reliable, adequate, and timely information for
making marketing decisions.
The system consists of people, equipments, facilities, and procedures directed to gather,
analyze, evaluate, update, distribute, and preserve the information to assist marketing decision-
making, i.e., analyzing, planning, implementing, and controlling of marketing activities.
A structured, interacting complex of persons, machines, and procedures designed to generate
an orderly flow of pertinent information, collected both from intra- and extra-firm sources, for
use as the basis for decision-making in specified areas of marketing management.
While MR generates information, marketing information system concentrates on the storage
and flow of information to marketing managers.

There are several advantages of Marketing information systems

Organized Data collection MkIS can help the managers to organize loads of data collected
from the market, thus results in an increment in the productivity.
A broad perspective With a proper MkIS in place, the complete organization can be tracked
which can be used to analyze independent processes. This helps in establishing a broader
perspective which helps us know which steps can be taken to facilitate improvement.
Storage of Important Data The storage of important data is essential in execution and thus
proves again that MkIS is not important only for information but also for execution.
Avoidance of Crisis The best way to analyze a stock (share market) is to see its past
performance. Top websites like moneycontrol thrive on MIS. Similarly MIS helps you keep tracks
of margins and profits. With an amazing information system established, you can know where
your organization is moving and probably avert a crisis long before it has taken place.
Co-ordination Consumer durables and FMCG companies have huge number of processes which
needs to be co-ordinated. These companies depend completely on MIS for the proper running of the
organization.
Analysis and Planning MkIS plays a crucial role in the planning process, considering the
planning procedure requires information. For planning, the first thing which is needed is the
organizations capabilities, then the business environment and finallycompetitor analysis. In a
proper MkIS, all these are present by default and are continuously updated. Therefore, MkIS is very
important for planning and analysis.
Control Just like MkIS can help in a crisis, in normal times it provides control as you have
information of the various processes going on and what is happening across the company.

Limitations:
Opportunities may be missed.
There may be a lack of awareness of environmental changes and competitors' actions.
Data collection may be difficult to analyze over several time periods.
Marketing plans and decisions may not be properly reviewed.
Data collection may be disjointed.
Previous studies may not be stored in an easy to use format.
Time lags may result if a new study is required.
Actions may be reactionary rather than anticipatory.
Kotler and Philip have said that,"both primary and secondary researches offer loads of the data
and information needed for the marketers, whereas the secondary data sources are relatively
superior in quick provision of data at lower cost. Simultaneously, a firm cannot find all the data
required by itself, but sometimes can be done with the help of secondary research. However,
researchers must assess those data collected from both primary and secondary data sources to
enable the accuracy, updates and fairness. Each primary data collection method observational,
survey, and experimental has its own advantages and disadvantages. Similarly, each of the
various research contact methods mail, telephone, personal interview, and online also has its
own advantages and drawbacks.
Importance:
Demands for the MkIS can be expressed by three crucial developments.
Firstly, when companies expand and diversify into new markets, both the companies and
customer's point of view are needed to be handled by the marketing managers. Therefore,
there would be greater need for marketing information.
Secondly, when consumers obtain an increment in the level of their income, it causes a
tendency for them to be more discriminating during the purchasing procedure. A full
awareness of the points that drive a consumer prefer a brand and the points that
distinguished his brand from that of the rivals should be obtained by the marketers. This
awareness is possible only with the help of a well- designed effective MkIS.
Thirdly, the development of the markets and the movement from price to non-price grounds
of competition lead to an increase in the importance of adoption and implementation by the
competitors and finding the response of the consumers towards them.
Value of Information in Decision Making:
Value of information(VOI or VoI) is the amount a decision
maker would be willing to pay for information prior to
making a decision.

A business is able to make knowledgeable decisions because of research. In the research

process, the company is able to obtain information about key business areas, analyze it,
develop a strategy and distribute business information. Reports, provided to the top
management, often include information on consumer and employee preferences and all the
available routes for sales, marketing, finance and production. Management uses this
information to decide the best strategy. Research is a prerequisite at all stages and phases of
business operations. Initial research is required to gauge whether getting into the given type of
business would be profitable and whether there is demand for the proposed product.

By conducting business research, the organization ascertains what its customers want and
then takes steps to prepare a product meeting those desires. Research also helps determine
whether a product is accepted in the market. Research aids expansion into new markets.

Marketing Research Process:

The market research process involves a round of separate stages of data interpretation,
organization and collection.
Defining the Problem or Need-The starting phase is always identifying the reason or problem
for which research is to be conducted. This includes collecting of relevant initial information and
how this information will affect decision making process. It also includes defining problems after
discussing with decision makers of the organization. Once the problem is defined precisely and the
need of research is discussed, the further process could be conducted in an efficient manner.

Determining who will do the research-Once the initial stage of defining the problem and the
need of research is done, it is important to determine who will do the research and what will be the
approaches to resolve these problems. This involves creating a problem solving framework and
analytical models after discussing it organization experts. In this sample case studies are created
according to the defined framework by enforcing the relevant information and secondary data.

Picking out the appropriate methodology-A specific methodology is entailed by the research
professional after identifying the specific needs and exploring the case studies. It may include a
combination of specific approaches like telephone survey, web or email survey, one-to-one
interviews, secondary research etc. This methodology acts as a blueprint of research process and
following basic steps:
Methods for collecting and preparing quantitative information.
Determining the need of this information.
Scaling and measuring procedures.
Designing sample Questionnaire.
Formulating case studies and sampling process.
Planning information analysis.

Data Collection Process-This process includes field work and desk work for collecting all
relevant data and information. Field work includes interviewing the personals by interacting them
face to face by visiting them in home or offices or arranging group meetings at any preferred place.
Desk work includes contacting personals over telephone or via series of emails and web meetings.
Data Preparation, tabulation and analysis of results-After the data collecting stage the
collected data is edited, corrected if required and validated. This process is the most important
process in the research as the results are generated on the basis of data preparation. So it is
required for an organization to verify the authenticity of the collected data and edit or correct it
if needed. The final data is then segmented according to the business standards and inserted
into the CRM database in a more tabulated form so that search or combination could be made
easily.

Presentation and report generation-The entire process is properly documented with

respect to organizational standards so that it can be referred in future for decision making
process or to change or modify any specific process or module. This document contains overall
architecture of the project depicting all the processes with the help of tables, graphs and
figures to provoke impact and clarity.
Research Design Meaning:
RESEARCH DESIGN definition:
it is a pattern or an outline of research projects workings. It is the statement of essential
elements of a study that provides basic guidelines of conducting the project. It is same as the
blue print of architects work.
The research design is similar to broad plan or model that states how the entire research
project would be conducted.
It is desirable that it must be in written form and must be simple and clearly stated. The real
project is carried out as per the research design laid down in advance.
A research design is a broad plan that states objectives of research project and provides the
guidelines what is to be done to realize those objectives. It is, in other words, a master plan for
executing a research project.

Criterion for research design:

Must answer the research questions
Control of independent
Generalisability
Formulating Research Design:
A complete problem definition must specify each of the following:
(i) Sample and sampling units
(ii) Time and space boundaries
(iii) Product features, and consumer preferences
(iv) Specific environmental conditions

Sampling Units:
The individuals or objects whose characteristics are to be measured are called sampling units.
The sampling units always identify the objects to be studied.
It is necessary that the universe is well defined.

Sample:
a small part or quantity intended to show what the whole is like OR a portion drawn from a
population, the study of which is intended to lead to statistical estimates of the attributes of the
whole population.

Time and Space Boundaries:

It is vitally important that the marketing manager and researcher decide upon the suitable time
reference/period and market space or place for the decision.

Characteristics of Interest:
This aspect identifies the focus of the problem.
It is necessary that the problem definition specify one or more characteristics to be measured and
the fact that the nature of relationships amongst them is to be determined.

Environmental Conditions:
It indicates the uniqueness or generality of the problem.
The problem definition must specify the environment for which the company wants research
results.

Hypothesis Development:
Determining sources of data:
The marketing researcher has to decide whether he has to collect primary data or depend
exclusively on secondary data.
Primary datais information that you collect specifically for the purpose of your research
project. An advantage of primary data is that it is specifically tailored to your research needs. A
disadvantage is that it is expensive to obtain.
Secondary datarefers todatathat was collected by someone other than the user. Common
sources ofsecondary datafor social science include censuses, information collected by
government departments, organisational records anddatathat was originally collected for
other research purposes.

Determining Sampling Design and Sampling Size:

Choice need be made between census or sample survey
For determining sample size there are two basic approaches
Practical approach
Statistical approach
Preparing Research Report:
Objectivity
Coherence
Clarity in the presentation of ideas
Use of charts and diagrams

IT SHOULD EFFECTIVELY COMMUNICATE THE RESEARCH FINDINGS

Types of Research Design:
1. Exploratory Research Design:
This design is followed to discover ideas and insights to generate possible explanations. It helps in
exploring the problem or situation. It is, particularly, emphasized to break a broad vague problem
statement into smaller pieces or sub-problem statements that help forming specific hypothesis.
The hypothesis is a conjectural (imaginary, speculative, or abstract) statement about the
relationship between two or more variables. Naturally, in initial state of the study, we lack sufficient
understanding about problem to formulate a specific hypothesis. Similarly, we have several
competitive explanations of marketing phenomenon. Exploratory research design is used to
establish priorities among those competitive explanations.
The exploratory research design is used to increase familiarity of the analyst with problem under
investigation. This is particularly true when researcher is new in area, or when problem is of
different type.
This design is followed to realize following purposes:
1. Clarifying concepts and defining problem
2. Formulating problem for more precise investigation
3. Increasing researchers familiarity with problem
4. Developing hypotheses
5. Establishing priorities for further investigation
Exploratory research design is characterized by flexibility to gain insights and develop hypotheses.
It does not follow a planned questionnaire or sampling. It is based on literature survey,
experimental survey, and analysis of selected cases. Unstructured interviews are used to offer
respondents a great deal of freedom. No research project is purely and solely based on this design.
It is used as complementary to descriptive design and causal design.

2. Descriptive Research Design:

Descriptive research design is typically concerned with describing problem and its solution. It is
more specific and purposive study. Before rigorous attempts are made for descriptive study, the
well-defined problem must be on hand. Descriptive study rests on one or more hypotheses.
For example, our brand is not much familiar, sales volume is stable, etc. It is more precise and
specific. Unlike exploratory research, it is not flexible. Descriptive research requires clear
specification of who, why, what, when, where, and how of the research. Descriptive design is
3. Causal or Experimental Research Design:
Causal research design deals with determining cause and effect relationship. It is typically in form
of experiment. In causal research design, attempt is made to measure impact of manipulation on
independent variables (like price, products, advertising and selling efforts or marketing strategies
in general) on dependent variables (like sales volume, profits, and brand image and brand loyalty).
It has more practical value in resolving marketing problems. We can set and test hypotheses by
conducting experiments.
Test marketing is the most suitable example of experimental marketing in which the independent
variable like price, product, promotional efforts, etc., are manipulated (changed) to measure its
impact on the dependent variables, such as sales, profits, brand loyalty, competitive strengths
product differentiation and so on.
Types of Research Design:
Exploratory Design:
The focus is on the discovery of ideas.
It is generally based on secondary data.

Descriptive Study:
The objective of such a study is to answer the who, what, when, where, and how of the subject
under investigation.
Descriptive studies are well-structured.
These are divided into two broad categories cross-sectional and longitudinal.

Cross Sectional Study:

A cross-sectional study is concerned with a sample of elements from a given population.
Cross-sectional studies are of two types field studies and surveys.

Longitudinal Studies:
Longitudinal studies are based on panel data and panel methods.
A panel is a sample of respondents who are interviewed and then reinterviewed from time to time.

Causal Designs:
A causal design investigates the cause and effect relationship between two or more variables.
The design of causal research is based on reasoning along well tested lines.
John Stuart Mill formulated a set of principles based on logic for causal research. The principles are-
the method of agreement, the method of negative agreement and the method of
concomitant variation.

Causal Inference Studies:

Causal inference studies can be divided into two broad categories- natural experiments and
controlled experiments.
The main point of distinction between the two is the degree of intervention or manipulation
exercised by the investigator in a given study.

Natural Experiments:
The three classes of designs for natural experiments-
(a) time-series and trend designs
(b) cross-sectional designs
(c) a combination of the two

Time Series and trend designs:

In a time-series design, data are obtained from the same sample or population at successive
intervals.
Trend data relate to matched samples drawn from the same population at successive intervals.
There is no continuity in the sample in trend designs, as a result of which data can be analysed in
the aggregated form.

Controlled Experiments:
In controlled experiments, two kinds of intervention on the part of the researcher are required.
The first relates to the manipulation of at least one assumed independent or causal variable.
The second intervention relates to the assignment of subjects to experimental and control groups
on a random basis.
As the size of the experimental and the control group increases, the effect of extraneous factors on
these groups can be equalised or balanced by using a random selection procedure.
Definitions:
Focus Groups:
a group of people assembled to participate in a discussion about a product before it is launched, or
to provide feedback on a political campaign, television series, etc. The group on which we have the
main focus.

Experience Survey:
Anexperience surveyis a set of questions designed to gauge the overall satisfaction of a group
of people who have shared a commonexperience. Businesses commonly distribute
thesesurveysamong customers, and educational institutions often distributesurveysamong
students.

Literature Search:
Aliterature searchis a systematic and thoroughsearchof all types of published literaturein
order to identify a breadth of good quality references relevant to a specific topic. The success of
yourresearchproject is dependent on a thorough reviewof the academicliteratureat the outset.

Longitudinal Study:
Alongitudinal studyis an observational research method in which data is gathered for the same
subjects repeatedly over a period of time.Longitudinalresearch projects can extend over years or
even decades. In alongitudinalcohortstudy, the same individuals are observed over
thestudyperiod.

Cross Sectional Study:

cross-sectional study(also known as across-sectional analysis,transversal
study,prevalence study) is a type ofobservational studythat analyzes data collected from a
population, or a representative subset,at a specific point in timethat is,cross-sectional data.

Omnibus :
Anomnibus surveyis a method ofquantitative marketing researchwhere data on a wide variety
of subjects is collected during the same interview.
It is a volume containing several books previously published separately/comprising several items.
Longitudinal
(Continue to pick up the same categories)

True Panel (Continue to pick up the same persons, ex. Brand switch rate)
Atrue panelis a sample ofrespondentswho are measured repeatedly over time with respect to
the same variables.

Omnibus Panel (Pick up different persons at each time)

Anomnibus panelis a sample ofrespondentswho are measured repeatedly over time but on
variables that change frommeasurementto measurement.

Cross Sectional
(Pick up different categories & different persons at any time)

Sources of experimental errors:

History
Maturation
Premeasurement Effect
Interactive Testing Effect
Instrumentation
Selection Bias
Statistical Regression
Mortality

ERRORS IN RESEARCH PROCESS: (also can be included in sources of experimental

errors)
Sampling Errors
Non-sampling Errors

Types of Non Sampling Errors:

Defective Problem Definition
Defective Population Definition
Frame Error
Surrogate Information Error
Non-response Error
Measurement Error
Experimental Error
Poor Questionnaire Design
Interviewer Bias
Data Processing Error
Data Analysis Error
Interpretation Error
 Errors in Research Process:

ERRORS IN RESEARCH PROCESS:

Sampling Errors
Non-sampling Errors

Types of Non Sampling Errors:

Defective Problem Definition
Defective Population Definition
Frame Error
Surrogate Information Error
Non-response Error
Measurement Error
Experimental Error
Poor Questionnaire Design
Interviewer Bias
Data Processing Error
Data Analysis Error
Interpretation Error

Go to this link for explanation:

https://books.google.co.in/books?
id=ZNe9AwAAQBAJ&pg=PT91&lpg=PT91&dq=types+of+sampling+and+nonsampling+errors
+in+marketing+research&source=bl&ots=CfM0YHayRP&sig=V6RQhV418NU6JPLoEcejWNUSC
NM&hl=en&sa=X&ved=0ahUKEwiXh8Wd2N3TAhXGLI8KHejgApo4FBDoAQggMAA#v=onepage
&q=types%20of%20sampling%20and%20nonsampling%20errors%20in%20marketing
%20research&f=false
Secondary Data:
Secondary datarefers todatathat was collected by someone other than the user. Common
sources ofsecondary datafor social science include censuses, information collected by
government departments, organisational records anddatathat was originally collected for other
research purposes.

Secondary data is the data that have been already collected by and readily available from other
sources. Such data are cheaper and more quickly obtainable than the primary data and also may
be available when primary data can not be obtained at all.

Advantages of Secondary data

It is economical. It saves efforts and expenses.
It is time saving.
It helps to make primary data collection more specific since with the help of secondary data, we
are able to make out what are the gaps and deficiencies and what additional information needs to
be collected.
It helps to improve the understanding of the problem.
It provides a basis for comparison for the data that is collected by the researcher.

Disadvantages of Secondary Data

Secondary data is something that seldom fits in the framework of the marketing research factors.
Reasons for its non-fitting are:-
Unit of secondary data collection-Suppose you want information on disposable income, but
the data is available on gross income. The information may not be same as we require.
Class Boundaries may be different when units are same.
Before 5 Years After 5 Years
2500-5000 5000-6000
5001-7500 6001-7000
7500-10000 7001-10000
Thus the data collected earlier is of no use to you.
Accuracy of secondary data is not known.
Disadvantages of secondary data continued:
The unit in which secondary data are expressed may not be the same as is
required in the research project.
The class boundaries may also be different.
It is difficult to judge the accuracy of the secondary data.
They may be somewhat out of date.
Sources of Secondary Data:
Internal Sources of secondary data:
If available, internal secondary data may be obtained with less time, effort and money than
the external secondary data. In addition, they may also be more pertinent to the situation at
hand since they are from within the organization. The internal sources include

Accounting resources-This gives so much information which can be used by the marketing
researcher. They give information about internal factors.
Sales Force Report-It gives information about the sale of a product. The information
provided is of outside the organization.
Internal Experts-These are people who are heading the various departments. They can
give an idea of how a particular thing is working
Miscellaneous Reports-These are what information you are getting from operational
reports.
If the data available within the organization are unsuitable or inadequate, the marketer should
extend the search to external secondary data sources.
The main external sources of secondary data are:
(a) Periodicals and Newspapers:
Business magazines and journals published periodically contain data which is very useful for
marketing research; Newspapers such as Economic Times and Financial Express also contain
data regarding business trends and market reports. Important trade journals are Industrial Times,
Commerce, Capital, Market, Indian Finance, Business India, Business World and others.
(b) Govt. Publications and Reports:
There are innumerable publications brought by Central and State Govts, which contain valuable
data for conducting marketing research. Census reports of the Government of India, Publications
of Planning Commission; periodical publication such as Indian Review, various markets bulletins.
Reserve Bank of India bulletin, publication of the Statistical Departments of various State Govts.,
supply valuable information extensively used in marketing research.
(c) Trade Associations:
Various trade associations like Chambers of Commerce, Export Promotion Council etc, publish
useful data which is of immense help to the res warmer.
(d) Published Surveys Of Markets:
This is another useful source of supplying secondary data. Market surveys and reports are
important instruments in the hands of researcher for conducting marketing research. These are
published by business houses or independent research organisations. These pertain to specific
lines of products.
(e)Foreign Govts, And International Agencies:
Publications of foreign Govts, with regard to trade and other important aspects of economy of
respective countries and information published by UNO, ILO, IBRD (International Bank for
Reconstruction and Development) serve useful purpose in making comparison of Indian
conditions prevailing in other countries of the world.
(f)Other Sources:
Besides the above mentioned sources of marketing research, there are many other sources of
supplying secondary data e.g., colleges and universities stock exchanges and commodity
exchanges, specialised libraries, internal sources such as sales and purchase records, salesman,
reports, sales orders, customer complaints and records of other companies.
Primary Data:
This refers to the information collected by the researcher from original sources. It is not a published
data; it has to be gathered by the researcher himself by tapping various resources. Primary data is
usually collected for specific purposes.
Interviewing Errors:
Errors may arise if the interviewer is unable to establish a proper rapport with the respondent.
If the interviewer has deliberately or inadvertently not followed the instructions.
If the interviewer gives undue emphasis to a particular word or a part of the question.
If the interviewer omits any questions in haste, the answers will not be complete.
The interviewer may commit some error in the recording of responses.
3 major techniques for interviewing:
Three major techniques-
1. Depth interviews
2. Focus group interviews
3. Projective techniques

Depth Interviews:
In this an interview is held without the aid of a structured questionnaire.
The interviewer has freedom in conducting it in the manner he desires.
They are more appropriate in case of sensitive issues which may require more probing.

Limitations:
It does not provide a systematic structure for interpretation of the information obtained.
The information obtained is non-quantifiable and is based on human judgement.
It needs far more vigilance and training on the part of the interviewer.

Focus Group Interviews:

The interviewer collects a small number of representative consumers for discussion on a
particular subject.
The optimal size of a focus group is usually taken to be about eight people.
The entire group discussion is recorded on a tape recorder.

Advantages:
Group interview studies are often fast and cheap.
It is appropriate for generating hypothesis more so in cases when the available information
is scanty.
This technique brings the respondent and the client closer.
It is appropriate to handle contingencies.
Respondents in a group interview stimulate one another.
Limitations:
Some of the advantages of the focus group technique also lead to misuses.
It does not indicate how extensive the attitudes expressed by the participants .
The data are not at all projectable.
The moderator might have his own biases and limitations.
Another difficulty relates to the recruitment of participants.

Projective Techniques:
Such techniques are based on the principle of confronting an individual with a purposely
ambiguous situation which he must interpret.
The ambiguous may just be a word, an incomplete sentence, or a picture.

Some of them are:

Word Association Test
Sentence Completion Test
Thematic Apperception Test (TAT)
Story Completion Test
Cartoons (Blank Balloons)
Computer Interviews:
In computer interviews, respondents enter the data into a computer in response to questions
presented on the monitor.

Three types of Computer interviewing:-

1. The respondents are selected from door-to-door surveys or in shopping malls, trade fairs or
exhibitions.
2. The researcher places a computer at a suitable place such as a shopping mall.
Advantages of Computer Interviews:
It is very economical.
Questionnaire can be generated in a short time.
The actual interviewing time is considerably reduced.
More accurate data can be obtained through it.
The analysis of data can be completed in a very short time.
Limitations:
One may question the representativeness of the sample.
In a questionnaire having one or more open-ended questions, each response will be different.
Computer-aided telephone interviews are not frequently used.
Some defintions:
Depth Interviews:
They generally use small samples and also conduct direct one to one personal interviews. A
detailed background is provided by the respondents and elaborate data concerning the
respondents opinions, values, motivation, expression, feeling etc are obtained. Even their non-
verbal expressions are observed. They take long time, therefore lengthy observations are
involved.
These are conducted to customize individual responses. The questions will depend on what
kind of answers are given. Even interview climate influences the respondents. The success of
interviews depends on the rapport of the interviewers established with the respondents.

Focus Groups:
Focus groups are also known as group interviews or group discussions. They are used to
understand the attitude or behaviour of the audience. Six to twelve individuals are selected
and either one or two moderators (those who lead the discussions) are selected. If there are
two moderators, they will adopt opposite positions. It is the moderator who introduces the
topic. Discussion is controlled through these moderators. The group is watched from adjacent
rooms. There are various devices which are used to record these discussions.

Case studies:
Individual cases are taken and a detailed study of each case is done.
Projective Techniques:
Projective Techniquesare indirect and unstructured methods of investigation which have
been developed by the psychologists and use projection of respondents for inferring about
underline motives, urges or intentions which cannot be secure through direct questioning as
the respondent either resists to reveal them or is unable to figure out himself. These
techniques are useful in giving respondents opportunities to express their attitudes without
personal embarrassment. These techniques helps the respondents to project his own attitude
and feelings unconsciously on the subject under study. Thus Projective Techniques play a
important role in motivational researches or in attitude surveys.
Important Projective Techniques
Word Association Test.
Completion Test.
Construction Techniques
Expression Techniques
Word Association Test:An individual is given a clue or hint and asked to respond to the first
thing that comes to mind. The association can take the shape of a picture or a word. There can
be many interpretations of the same thing. A list of words is given and you dont know in which
word they are most interested. The interviewer records the responses which reveal the inner
feeling of the respondents. The frequency with which any word is given a response and the
amount of time that elapses before the response is given are important for the researcher. For
eg: Out of 50 respondents 20 people associate the word Fair with Complexion.
Completion Test:In this the respondents are asked to complete an incomplete sentence or
story. The completion will reflect their attitude and state of mind.
Construction Test:This is more or less like completion test. They can give you a picture and
you are asked to write a story about it. The initial structure is limited and not detailed like the
completion test. For eg: 2 cartoons are given and a dialogue is to written.
Expression Techniques:In this the people are asked to express the feeling or attitude of
other people.

Disadvantages of Projective Techniques

Highly trained interviewers and skilled interpreters are needed.
DESIGNING A QUESTIONNAIRE:
A good questionnaire should not be too lengthy. Simple English should be used and the question
shouldnt be difficult to answer. A good questionnaire requires sensible language, editing,
assessment, and redrafting.

Questionnaire Design Process

State the information required-This will depend upon the nature of the problem, the purpose
of the study and hypothesis framed. The target audience must be concentrated on.

State the kind of interviewing technique-interviewing method can be telephone, mails,

personal interview or electronic interview. Telephonic interview can be computer assisted. Personal
interview can be conducted at respondents place or at mall or shopping place. Mail interview can
take the form of mail panel. Electronic interview takes place either through electronic mails or
through the internet.

Decide the matter/content of individual questions-There are two deciding factors for this-
Is the question significant? - Observe contribution of each question. Does the question
contribute for the objective of the study?
Is there a need for several questions or a single question? - Several questions are asked in the
following cases:
When there is a need for cross-checking
When the answers are ambiguous
When people are hesitant to give correct information.

Overcome the respondents inability and unwillingness to answer-The respondents may

be unable to answer the questions because of following reasons-
The respondent may not be fully informed
The respondent may not remember
He may be unable to express or articulate
The respondent may be unwilling to answer due to-
There may be sensitive information which may cause embarrassment or harm the
respondents image.
To overcome the respondents unwillingness to answer:
Place the sensitive topics at the end of the questionnaire
Preface the question with a statement
Use the third person technique (For example - Mark needed a job badly and he used wrong
means to get it - Is it right?? Different people will have different opinions depending upon the
situation)
Categorize the responses rather than asking a specific response figure (For example - Group
for income levels 0-25000, 25000-50000, 50000 and above)

Decide on the structure of the question-Questions can be of two types:

Structured questions-These specify the set of response alternatives and the response
format. These can be classified into multiple choice questions (having various response
categories), dichotomous questions (having only 2 response categories such as Yes or No)
and scales (discussed already).
Unstructured questions-These are also known as open-ended question. No alternatives are
suggested and the respondents are free to answer these questions in any way they like.

Determine the question language/phrasing-If the questions are poorly worded, then either
the respondents will refuse to answer the question or they may give incorrect answers. Thus, the
words of the question should be carefully chosen. Ordinary and unambiguous words should be
used. Avoid implicit assumptions, generalizations and implicit alternatives. Avoid biased questions.
Define the issue in terms of who the questionnaire is being addressed to, what information is
required, when is the information required, why the question is being asked, etc.

Properly arrange the questions-To determine the order of the question, take decisions on
aspects like opening questions (simple, interesting questions should be used as opening questions
to gain co-operation and confidence of respondents), type of information (Basic information relates
to the research issue, classification information relates to social and demographic characteristics,
and identification information relates to personal information such as name, address, contact
number of respondents), difficult questions (complex, embarrassing, dull and sensitive questions
could be difficult), effect on subsequent questions, logical sequence, etc.
Recognize the form and layout of the questionnaire-This is very essential for self-
administered questionnaire. The questions should be numbered and pre-coded. The layout should
be such that it appears to be neat and orderly, and not clattered.

Reproduce the questionnaire-Paper quality should be good. Questionnaire should appear to be

professional. The required space for the answers to the question should be sufficient. The font type
and size should be appropriate. Vertical response questions should be used, for example:
Do you use brand X of shampoo ?
Yes
No

Pre-test the questionnaire-The questionnaire should be pre-tested on a small number of

respondents to identify the likely problems and to eliminate them. Each and every dimension of the
questionnaire should be pre-tested. The sample respondents should be similar to the target
respondents of the survey.

Finalize the questionnaire-Check the final draft questionnaire. Ask yourself how much will the
information obtained from each question contribute to the study. Make sure that irrelevant
questions are not asked. Obtain feedback of the respondents on the questionnaire.
Types of Questions to be asked in Questionnaire:
Open ended questions: Anopen-ended questionis designed to encourage a full, meaningful
answer using the subject's own knowledge and/or feelings. It is the opposite of a closed-ended
question, which encourages a short or single-word answer.
Dichotomous Questions:
Thedichotomous questionis aquestionwhich can have two possible answers.Dichotomous
questionsare usually used in a survey that asks for a Yes/No, True/False or Agree/Disagree
answers. They are used for clear distinction of qualities, experiences or respondent's opinions.
Multiple choice questions : Multiple choiceis a form of an objective assessment in which
respondents are asked to select the only correct answer out of thechoicesfrom a list.

Phrasing of questions for questionnaire:

Difficult words should be avoided as far as possible.
Lengthy questions should be avoided.
One should avoid combining two questions into one.
Questions lacking specificity should be avoided or modified suitably.

Order of the questions:

Simple questions should be asked in the beginning.
Difficult questions or those on sensitive issues should be relegated to the end.
Questions of a general type should be asked in the beginning.
Questions which are specialised in nature should be left for the end.

CARE SHOULD BE TAKEN TO SUSTAIN THE INTEREST OF THE RESPONDENT UNTIL THE
LAST.
How many questions to be asked:
The researcher should put himself in the respondents shoes and imagine how he would react to
the questionnaire.
He can also canvass the questionnaire amongst some of his friends and acquaintances.

Layout of the questionnaire:

It should be neatly printed.
The individual pages should not have too many questions.
Proper spacing between the questions and within a question should be provided for.
Important wordings should be set in bold types or underlined.

THE QUESTIONNAIRE SHOULD HAVE EASY LOOKS.

Pre testing the questionnaire:
Pre-testing of the questionnaire implies that it is tried out on a few respondents and their
reaction to the questionnaire is observed.

It helps the researcher decide whether any changes in the question-content or wording of
questions are called for.
Also, through this the researcher can know the suitability of the instructions given to the
interviewers as also their capability.
Types of Questionnaire:
Data collection methods:
Qualitative Research-Qualitative Research is generally undertaken to develop an initial
understanding of the problem. It is non statistical in nature. It uses an inductive method,
that is, data relevant to some topics are collected and grouped into appropriate meaningful
categories. The explanations are emerged from the data itself. It is used in exploratory
research design and descriptive research also. Qualitative data comes into a variety of
forms like interview transcripts; documents, diaries and notes made while observing. There
are two main methods for collecting Qualitative data
Direct Collection Method-When the data is collected directly, it makes use of disguised
method. Purpose of data collection is not known. This method makes use of-
Focus Groups
Depth Interview
Case Study
Indirect Collection-Method
Projective Techniques

Quantitative Research-Quantitative Research quantifies the data and generalizes the

results from the sample to the population. In Quantitative Research, data can be colleted
by two methods
Survey Method
Observation Method
Unit 2:
Some basic terms:
1. Population
2. Census
3. Sample
4. Sample Survey
5. Sampling Unit
6. Frame
7. Sampling Error
8. Bias
9. Biased Sample

.Population/Universe:
When you conduct an experiment or survey you collect information from a group of people. Now,
while 'group of people' may seem like an adequate description, it is, in fact, not. We need more a
specific term because the statistics we use are different depending on group we use. But don't
worry, there's no complicated process to identifying the group of people you use.
The first group of people is apopulation, which is defined as the complete collection to be
studied. The second group is asample, which is defined as a section of the population.
Instatistics, apopulationis asetof all similar items or events which is of interest for some
question orexperiment.
A group from which the sample is drawn is called the population or universe. In different words,
the universe is the entire group of items about which researcher wishes to study and about
which he plans to generalize. Population may be made up of individuals, groups, associations,
areas, or households. If population is not defined, it seems infinite.

.Census:
an official count or survey, especially of a population.
Acensusis the procedure of systematically acquiring and recordinginformationabout the
members of a givenpopulation. It is a regularly occurring and official count of a particular
population.
Sample:
a portion drawn from a population, the study of which is intended to lead to statistical estimates of
the attributes of the whole population.
a small part or quantity intended to show what the whole is like.
a specimen taken for scientific testing or analysis.
Sample is a part of universe/population/census, which represents the characteristics of the whole
universe under study. Thus, sample is a small portion of the population/universe from which it has
been drawn that may represent that population.

Sample Survey:
A sample survey is a study that obtains data from a subset of a population, in order to estimate
population attributes.
Instatistics,survey samplingdescribes the process of selecting a sample of elements from a
targetpopulationto conduct a survey. The term"survey"may refer to many different types or
techniques of observation. In survey sampling it most often involves a questionnaire used to
measure the characteristics and/or attitudes of people. Different ways of contacting members of a
sample once they have been selected is the subject ofsurvey data collection. The purpose
ofsamplingis to reduce the cost and/or the amount of work that it would take to survey the entire
target population.

Sampling Unit:
A single section selected to research and gather statistics of the whole population. For example,
when studying a group of college students, a single student could be a sampling unit.
Aunitin a statistical analysis refers to one member of a set of entities being studied. A "sampling
unit" is typically thought of as an object that has been sampled from astatistical population.
Asampling unitis one of theunitsinto which an aggregate is divided for the purpose
ofsampling, eachunitbeing regarded as individual and indivisible when the selection is made.

Frame:
Instatistics, asampling frameis the source material or device from which asampleis drawn.
It is a list of all those within apopulationwho can be sampled, and may include individuals,
households or institutions.
Sampling Error:
A sampling error is a statistical error that occurs when ananalystdoes not select asamplethat
represents the entire population of data and the results found in the sample do not represent
the results that would be obtained from the entire population.
Errors in selection of sample or when wrong sample is selected and sampling process goes
wrong giving wrong results : sampling error
In simple terms, it is an error which occurs when the sample selected does not contain the true
characteristics, qualities or figures of the whole population.
The main reason behind sampling error is that the sampler draws various sampling units from
the same population but, the units may have individual variances.

Non-Sampling Error is an umbrella term which comprises of all the errors, other than the
sampling error. They arise due to a number of reasons, i.e. error in problem definition,
questionnaire design, approach, coverage, information provided by respondents, data
preparation, collection, tabulation, and analysis.

Bias:
Instatistics,sampling biasis abiasin which a sample is collected in such a way that some
members of the intendedpopulationare less likely to be included than others. It results in
abiased sample, a non-random sample of a population (or non-human factors) in which all
individuals, or instances, were not equally likely to have been selected.
inclination or prejudice for or against one person or group, especially in a way considered to be
unfair.
a systematic distortion of a statistical result due to a factor not allowed for in its derivation.
Biasis defined as a predisposition to one particular outcome over another.

Biased Sample:
Biased samplesare the unintentional result of selecting samples from a population that favor
one outcome over another.Eg:testing water from the well to make an estimate of the water in
the river, the estimate will be biased because the sample was biased.
The best sampling method to obtain an unbiased estimate is to randomly select from the
population of interest. To ensure a research study obtains an unbiased estimate, every member
Advantages of Sampling:
Sampling is cheaper than a census survey.
Both the execution of the field work and the analysis of the results can be earned out speedily.
It enables the researcher to collect more detailed information.
The quality of the interviewing, supervision and other related activities is better.
Very reliable.
Practical method when population is large
Better rapport

Limitations:
When the information is needed on every unit in the population, a sample survey cannot be
much help.
Sampling gives rise to certain errors.
Difficulties in selecting a truly representative sample
In adequate knowledge in the sampling->requires extensive knowledge
Changeability of units -> units are moving always
Absence of the informants.
Sampling:
Sampling is a process of selecting a few items from a given population to be
investigated.
Sampling Process:
Defining the target population.
Specifying the sampling frame.
Specifying the sampling unit.
Selection of the sampling method.
Determination of sample size.
Specifying the sampling plan.
Selecting the sample.

1.Defining the Target Population:

Defining the population of interest, for business research, is the first step in sampling process. In
general, target population is defined in terms of element, sampling unit, extent, and time frame.
The definition should be in line with the objectives of the research study. For ex, if a kitchen
appliances firm wants to conduct a survey to ascertain the demand for its micro ovens, it may
define the population as all women above the age of 20 who cook (assuming that very few men
cook). However this definition is too broad and will include every household in the country, in
the population that is to be covered by the survey. Therefore the definition can be further refined
and defined at the sampling unit level, that, all women above the age 20, who cook and whose
monthly household income exceeds Rs.20,000. This reduces the target population size and
makes the research more focused. The population definition can be refined further by specifying
the area from where the researcher has to draw his sample, that is, households located in
Hyderabad.
A well defined population reduces the probability of including the respondents who do not fit the
research objective of the company. For ex, if the population is defined as all women above the
age of 20, the researcher may end up taking the opinions of a large number of women who
cannot afford to buy a micro oven.
2.Specifying Sampling Frame:
Once the definition of the population is clear a researcher should decide on the sampling frame. A
sampling frame is the list of elements from which the sample may be drawn. Continuing with the
micro oven ex, an ideal sampling frame would be a database that contains all the households that
have a monthly income above Rs.20,000. However, in practice it is difficult to get an exhaustive
sampling frame that exactly fits the requirements of a particular research. In general, researchers
use easily available sampling frames like telephone directories and lists of credit card and mobile
phone users. Various private players provide databases developed along various demographic and
economic variables. Sometimes, maps and aerial pictures are also used as sampling frames.
Whatever may be the case, an ideal sampling frame is one that entire population and lists the
names of its elements only once.
A sampling frame error pops up when the sampling frame does not accurately represent the total
population or when some elements of the population are missing another drawback in the sampling
frame is over representation. A telephone directory can be over represented by names/household
that have two or more connections.

3. Specifying the Sampling Unit:

A sampling unit is a basic unit that contains a single element or a group of elements of the
population to be sampled. In this case, a household becomes a sampling unit and all women above
the age of 20 years living in that particular house become the sampling elements. If it is possible to
identify the exact target audience of the business research, every individual element would be a
sampling unit. This would present a case of primary sampling unit. However, a convenient and
better means of sampling would be to select households as the sampling unit and interview all
females above 20 years, who cook. This would present a case of secondary sampling unit.

4. Selection of Sampling Method:

The sampling method outlines the way in which the sample units are to be selected. The choice of
the sampling method is influenced by the objectives of the business research, availability of
financial resources, time constraints, and the nature of the problem to be investigated. All sampling
methods can be grouped under two distinct heads, that is, probability and non-probability
sampling.
5. Determination of Sample Size:
The sample size plays a crucial role in the sampling process. There are various ways of classifying
the techniques used in determining the sample size. A couple those hold primary importance and
are worth mentioning are whether the technique deals with fixed or sequential sampling and
whether its logic is based on traditional or Bayesian methods. In non-probability sampling
procedures, the allocation of budget, thumb rules and number of sub groups to be analyzed,
importance of the decision, number of variables, nature of analysis, incidence rates, and
completion rates play a major role in sample size determination. In the case of probability
sampling, however, formulas are used to calculate the sample size after the levels of acceptable
error and level of confidence are specified. The details of the various techniques used to determine
the sample size will be explained at the end of the chapter.

6. Specifying the Sampling Plan:

In this step, the specifications and decisions regarding the implementation of the research process
are outlined. Suppose, blocks in a city are the sampling units and the households are the sampling
elements. This step outlines the modus operandi of the sampling plan in identifying houses based
on specified characteristics. It includes issues like how is the interviewer going to take a systematic
sample of the houses. What should the interviewer do when a house is vacant? What is the
recontact procedure for respondents who were unavailable? All these and many other questions
need to be answered for the smooth functioning of the research process. These are guide lines that
would help the researcher in every step of the process. As the interviewers and their co-workers will
be on field duty of most of the time, a proper specification of the sampling plans would make their
work easy and they would not have to revert to their seniors when faced with operational problems.

7. Selecting the Sample:

This is the final step in the sampling process, where the actual selection of the sample elements is
carried out. At this stage, it is necessary that the interviewers stick to the rules outlined for the
smooth implementation of the business research. This step involves implementing the sampling
plan to select the sampling plan to select a sample required for the survey.
Types of Sampling/Types of Sampling Designs/Types of Samples:
Probability Sampling:
One type of sampling isprobability sampling, which is when the researcher chooses subjects
randomly to be part of a sample.
It is a bias-free method of selecting sample unit as it depends on a chance rather than a judgment.
Each sample unit of the population has known chance of being selected for the sample.

1. Simple Random Sampling:

It is the simplest type of probability sampling. The most fundamental feature of simple random
sampling is that each sample element has known and equal chance (probability) of being selected.
More specifically, we can say that every possible sample of given size drawn from a specified
universe has known and equal chance of being selected. The sample is drawn by randomly
(haphazardly) from the sample frame (a list of exclusive and exhaustive enumeration of all sample
elements). It is used only when population under study is relatively small.

2. Stratified Sampling:
In case of the stratified random sampling, the population under study is divided into certain groups
known as strata or parts. Then, from each stratum, an appropriate sample is drawn randomly.
Number of strata depends on degree of heterogeneity in the population under study.
The higher is the degree of heterogeneity, the larger the number of strata will be and vice versa.
For example, if we want to know attitudes of students toward private tuitions, we divide the total
number of respondents (students) of Gujarat State in various parts or strata such as college
students and school students; stratification may follow level of education such as first year
students, second year, third year, post graduate level, diploma level; it may be on the basis of
technical and non-technical disciplines; may be city-wise or university-wise classification.
Stratification takes place in a several ways. Now, from each of the stratum, a sample of appropriate
number of students is selected. Sample drawn from each of the stratum represents only that
stratum. Final generalization is drawn by combining response of all the samples drawn from each of
the strata.
3. Systematic Sampling:
Here, a specified system or pattern is followed to draw a sample. For example: If population
consists of 100 items, every item multiple of five can be selected, such as 5, 10, 15, 20.
Sometimes, odd or even numbers are selected. In short, a system is followed to select the sample.
It is possible when the population under study is well-defined and items are properly arranged, and
population is definite. Sometimes, specially prepared tables are also used.

4. Cluster Sampling:
It is also known as block sampling. In the sample methods discussed so far, the units of sample are
selected individually, for example, a customer. But in case of cluster sampling, each sample unit is
not individual unit but cluster or a group of units. For example, a household containing 5 members
constitutes a sample unit.
So, population must be divided into mutually exclusive and collectively exhaustive groups. In short,
it is similar to simple random sampling with the difference of a cluster as a sample unit. It may be
one-stage or two-stage sampling depending upon the procedure followed.
In this sampling plan, the total population is divided into these groups (known as clusters) and
asimple random sampleof the groups is selected. The elements in each cluster are then sampled.
If all elements in each sampled cluster are sampled, then this is referred to as a "one-stage" cluster
sampling plan. If a simple random subsample of elements is selected within each of these groups,
this is referred to as a "two-stage" cluster sampling plan.
Cluster: a group of similar things or people positioned or occurring closely together.
(of data points) have similar values.

5. Area Sampling:
It is also a form of the specified stratified sampling. The word area in area sampling originally
refers to a piece of the land. An area sampling is actually sample of areas. It extensively used in
actual practice. It suggests primary sampling of geographical area like a sample of countries,
states, towns, villages, blocks, societies, apartments, or other areas of discretion. Here, people
reside in particular piece of land are studied.
Area sampling is also of two types, one-stage area sampling and two-stage area sampling. One-
stage area sampling involves choosing a simple random sample of n areas from population of N
areas of particular region. In case of two-stage area sampling, first areas are selected and then
Non Probability Sampling:
Here, selection of sample is based on some sort of judgment of researcher. There is no chance of
any particular element to be selected. In case of non-probabilistic sampling, one must rely on
experience and expertise of the person drawing the sample. In case of this sampling procedure, we
are unable to measure sampling error. Therefore, we are unable to say that sample estimates
calculated from non-probabilistic sample are accurate.

They include:
1. Convenience Sampling
2. Judgment Sampling
3. Quota Sampling
4. Snowball Sampling.

Convenience Sampling:
members of the population are chosen based on their relative ease of access. To sample friends,
co-workers, or shoppers at a single mall, are all examples of convenience sampling. Such samples
are biased because researchers may unconsciously approach some kinds of respondents and avoid
others (Lucas 2014a), and respondents who volunteer for a study may differ in unknown but
important ways from others (Wiederman 1999).

Snowball sampling- The first respondent refers an acquaintance. The friend also refers a friend,
and so on. Such samples are biased because they give people with more social connections an
unknown but higher chance of selection (Berg 2006), but lead to higher response rates.
Insociologyandstatisticsresearch,snowball sampling (orchain sampling,chain-referral
sampling,referral sampling) is anon-probability sampling technique where existing study subjects
recruit future subjects from among their acquaintances. Thus the sample group is said to grow like
a rolling snowball (similarly tobreadth-first search (BFS)incomputer science). As the sample builds
up, enough data are gathered to be useful for research. This sampling technique is often used in
hidden populations which are difficult for researchers to access; example populations would be
drug users or sex workers.
Snowball sampling uses a small pool of initial informants to nominate, through their social
networks, other participants who meet the eligibility criteria and could potentially contribute to
a specific study. The term "snowball sampling" reflects an analogy to a snowball increasing in
size as it rolls downhill.
This is referred to metaphorically as snowball sampling because as more relationships are built
through mutual association, more connections can be made through those new relationships
and a plethora of information can be shared and collected, much like a snowball that rolls and
increases in size as it collects more snow. Snowball sampling is a useful tool for building
networks and increasing the number of participants. However, the success of this technique
depends greatly on the initial contacts and connections made. Thus it is important to correlate
with those that are popular and honorable to create more opportunities to grow, but also to
create a credible and dependable reputation.

Judgmental sampling- The researcher chooses the sample based on who they think would
be appropriate for the study. This is used primarily when there is a limited number of people
that have expertise in the area being researched, or when the interest of the research is on a
specific field or a small group.
Judgment sampleis a type of nonrandomsamplethat is selected based on theopinionof
anexpert. Results obtained from a judgment sample are subject to some degree ofbias, due to
theframeandpopulationnot being identical. The frame is a list of all theunits, items,people,
etc., that define the population to be studied.

Quota Sampling:
The researcher finds and interviews a prescribed number of people in each of several
categories.
Quota samplingis a method for selecting survey participants that is a non-probabilistic
version ofstratified sampling.
In quota sampling, a population is first segmented intomutually exclusivesub-groups, just as
instratified sampling. Then judgment is used to select the subjects or units from each segment
based on a specified proportion. For example, an interviewer may be told to sample 200
females and 300 males between the age of 45 and 60. This means that individuals can put a
demand on who they want to sample (targeting)
Quota meaning:
a limited or fixed number or amount of people or things, in particular:
a fixed share of something that a person or group is entitled to receive or is bound to contribute.
a fixed minimum or maximum number of a particular group of people allowed to do something,
e.g. immigrants to enter a country, workers to undertake a job, or students to enrol for a course.
the minimum number of people required for a purpose.

Strata meaning:
form or arrange into strata.
arrange or classify.
a level or class to which people are assigned according to their social status, education, or
income.
a layer or a series of layers of population
a group into which members of a population are divided in stratified sampling.
Characteristics of good sample design:
1. Goal orientation
2. Measurability
3. Practicality
4. Economy
Hypothesis testing:
We define hypothesis test as the formal procedures that statisticians use to test whether a
hypothesis can be accepted or not. Ahypothesis is an assumption about something. For
example, a hypothesis about family pets could be something like the average number of dogs
per American household is two.
Hypothesis testing is about testing to see whether the stated hypothesis is acceptable or not.
During our hypothesis testing, we want to gather as much data as we can so that we can prove
our hypothesis one way or another.
There is a proper four-step method in performing a proper hypothesis test:
Write the hypothesis
Create an analysis plan
Analyze the data
Interpret the results
Let's take a look. But first, let's meet Sam. Sam has a hypothesis that he wants to test. Sam
works as a researcher with the National Food Administration. He is the one that goes out and
tests the food that we eat to make sure that it is safe. Let's see how he follows the four-step
method.

Step One: Hypothesis:

The first step is that of writing the hypothesis. You actually have two hypotheses to write. One is
called thenull hypothesis. This is the hypothesis based on chance. Think of this as the
hypothesis that states how you would expect things to work without any external factors to
change it. The other hypothesis is called thealternative hypothesis. This is the hypothesis
that shows a change from the null hypothesis that is caused by something.
In hypothesis testing, we just test to see if our data fits our alternative hypothesis or if it fits the
null hypothesis. We don't worry about what is causing our data to shift from the null hypothesis
if it does. Keep in mind, when writing your null hypothesis and alternative hypothesis, they must
be written in such a way so that if the null hypothesis is false, then the alternative hypothesis is
true and vice versa.
What does Sam do here? Sam's null hypothesis is that all meat that is sold to supermarkets is
Step Two: Analysis Plan:
The second step is to create an analysis plan. This involves deciding how to read your results to
know whether your null hypothesis is true or your alternative hypothesis is true. Usually, this
involves analyzing just one single test statistic.
There are two ways to read your results: P-value method and the region of acceptance method.
TheP-valueis the probability of observing the desired statistic. If this P-value is less than the
significance level, then the null hypothesis is not valid. The significance level is the probability of
making the mistake of saying that the null hypothesis is not valid when it actually is true.
Theregion of acceptanceis a chosen range of values that results in the null hypothesis being
stated as valid.
For this step, Sam decides to analyze his data using the region of acceptance. The statistic that
Sam decides to use is the number of hours the meat is at that is being sold to supermarkets. Sam
goes to various meat providers and checks to see the age of the meat that is being sold. He then
analyzes this statistic to see how many meat providers are shipping meat out under 48 hours. The
region of acceptance is 99% or higher. This means that if 99% or more of the meat producers ships
out their meat in time, then the null hypothesis is valid.

Step Three: Data Analysis:

The third step is that of analyzing the data. It is the putting step two into action. It is in this step
that the data is analyzed and either a P-value is found, or the data's region is found.
It is in this step that Sam checks his data to see how many of his meat producers are shipping out
their meats within 48 hours. Sam looks at his data and sees that 99.9% of the meat producers are
shipping out their meats within 48 hours.

Step Four: Interpretation:

The fourth step involves interpreting the results. It is in this step that the data is compared to the
region of acceptance or the significance level. If the P-value is less than the significance level, then
the null hypothesis is not valid. If the data is within the region of acceptance, then the null
hypothesis is valid.
Sam looks at this data. His data shows that the data's region is at 99.9%. He compares it to his
acceptable 99%. Is 99.9% higher than 99%? It is. This means that his data is within the region of
acceptance. This tells Sam that he can say that the null hypothesis is valid. Now, he has the data to
Hypothesis testing:
Estimation of a parameter refers to a situation in which the presence of a certain characteristic
in a given population is to be estimated.
Testing a hypothesis involves a comparison of two or more numerical values.

DETERMINATION OF SAMPLE SIZE:

Sample size determinationis the act of choosing the number of observations orreplicatesto
include in astatistical sample. The sample size is an important feature of any empirical study in
which the goal is to makeinferencesabout apopulationfrom a sample. In practice, the sample
size used in a study is determined based on the expense of data collection, and the need to have
sufficientstatistical power. In complicated studies there may be several different sample sizes
involved in the study: for example, in astratifiedsurveythere would be different sample sizes for
each stratum. In acensus, data are collected on the entire population, hence the sample size is
equal to the population size. Inexperimental design, where a study may be divided into
differenttreatment groups, this may be different sample sizes for each group.

It is determined through following:

experience for example, include those items readily available or convenient to collect. A choice
of small sample sizes, though sometimes necessary, can result in wideconfidence intervalsor
risks of errors instatistical hypothesis testing.
using a confidence level determines how accurate a result will turn out with lower chances of
error.
The extent of error or imprecision allowed. To lower the margin of error usually requires a larger
sample size: the amount of variability in the population, ie the range of values or opinions, will
also affect accuracy and therefore size of the sample.
Several Objectives of research
Cost Constraints
Time Constraints
Nature of Data Analysis
A sample design is considered statistically more efficient than another if its standard error of
the mean is smaller, given the same sample size.

Determining the size of non probability samples:

1. Determine the size as if it were a probability sample.
2. Take as large a sample as possible within the constraints of time and money.
Sampling Distribution of the mean:
A sampling distribution is a graph of astatisticfor your sample data. While, technically, you
could choose any statistic to paint a picture, some common ones youll come across are:
Mean
Range
Standard deviationof thesample
Unbiased estimate ofvariance
Variance of the sample

Instatistics, asampling distributionorfinite-sample distributionis theprobability

distributionof a given statistic based on arandom sample. Sampling distributions are
important in statistics because they provide a major simplification en route tostatistical
inference.

Inprobability theoryandstatistics, aprobability distributionis a mathematical function

that, stated in simple terms, can be thought of as providing the probability of occurrence of
different possible outcomes in anexperiment. For instance, if therandom variableX is used to
denote the outcome of a coin toss ('the experiment'), then the probability distribution of X
would take the value 0.5 for{ X={heads}, and 0.5 for{ X={tails}

TheSampling Distribution of the Meanis the mean of the population from where the items
are sampled. If the population distribution is normal, then the sampling distribution of the
mean is likely to be normal for the samples of all sizes.

According to the central limit theorem, the various arithmetic means of a large number of
random samples of the same size will form a normal distribution.
If an arithmetic mean of all possible sample means is calculated, it will coincide with the
population mean.
Characteristics of Distribution of Sample Mean:
It is unimodal.(having or involving one mode.
(of a statistical distribution) having one maximum.
The mean of the sample distribution coincides with the mean of the population.
The standard deviation of the population, and the standard deviation of the sample means are
related.

Attitude Concept:
Anattitudedescribes a set of beliefs or views held about something and is defined in
consumer psychology as an enduring inclination or tendency to respond to a brand or
product in a specific way.

Measurement may be defined as the assignment of numbers to characteristics of objects

or events according to rules.
the size, length, or amount of something, as established by measuring.
a unit or system of measuring.
the action of measuring something.
The term scaling is applied to the attempts to measure the attitude objectively. Attitude is a
resultant of number of external and internal factors. Depending upon the attitude to be measured,
appropriate scales are designed. Scaling is a technique used for measuring qualitative responses of
respondents such as those related to their feelings, perception, likes, dislikes, interests and
preferences.
Types of Scales

Most frequently used Scales

Nominal Scale
Ordinal Scale
Interval Scale
Ratio Scale

Self Rating Scales

Graphic Rating Scale
Itemized Rating Scales
Likert Scale
Semantic Differential Scale
Stapels Scale
Multi Dimensional Scaling
Thurston Scales
Guttman Scales/Scalogram Analysis
The Q Sort technique

Four TYPES OF SCALES are generally used forMarketing Research.

Nominal Scale
This is a very simple scale. It consists of assignment of facts/choices to various alternative
categories which are usually exhaustive as well mutually exclusive. These scales are just
numerical and are the least restrictive of all the scales. Instances of Nominal Scale are - credit
card numbers, bank account numbers, employee id numbers etc. It is simple and widely used
when relationship between two variables is to be studied. In a Nominal Scale numbers are no
more than labels and are used specifically to identify different categories of responses. Following
example illustrates -
What is your gender?
[]Male
[]Female
Modeis frequently used for response category.

Ordinal Scale
Ordinal scales are the simplest attitude measuring scale used inMarketing Research. It is more
powerful than a nominal scale in that the numbers possess the property of rank order. The
ranking of certain product attributes/benefits as deemed important by the respondents is
obtained through the scale.
Example 1:Rank the following attributes (1 - 5), on their importance in a microwave oven.
Company Name
Functions
Price
Comfort
Design
The most important attribute is ranked 1 by the respondents and the least important is ranked 5.
Instead of numbers, letters or symbols too can be used to rate in a ordinal scale. Such scale
makes no attempt to measure the degree of favourability of different rankings.
Example 2- If there are 4 different types of fertilizers and if they are ordered on the basis of
quality as Grade A, Grade B, Grade C, Grade D is again an Ordinal Scale.
Example 3- If there are 5 different brands of Talcom Powder and if a respondent ranks them
based on say, Freshness into Rank 1 having maximum Freshness Rank 2 the second maximum
Interval Scales:
Interval scales are numeric scales in which we know not only the order, but also the exact
differences between the values. The classic example of an interval scale isCelsiustemperature
because the difference between each value is the same.
Like the others, you can remember the key points of an interval scale pretty easily. Interval
itself means space in between, which is the important thing to rememberinterval scales not
only tell us about order, but also about the value between each item.
Heres the problem with interval scales: they dont have a true zero. For example, there is no
such thing as no temperature. Without a true zero, it is impossible to compute ratios. With
interval data, we can add and subtract, but cannot multiply or divide. Confused? Ok, consider
this: 10 degrees + 10 degrees = 20 degrees. No problem there. 20 degrees is not twice as hot
as 10 degrees, however, because there is no such thing as no temperature when it comes to
the Celsius scale. I hope that makes sense. Bottom line, interval scales are great, but we
cannot calculate ratios,

Ratio Scales:
Ratio Scales are not widely used inMarketing Researchunless a base item is made available for
comparison. In the above example of Interval scale, a score of 4 in one quality does not
necessarily mean that the respondent is twice more satisfied than the respondent who marks 2
on the scale. A Ratio scale has a natural zero point and further numbers are placed at equally
appearing intervals. For example scales for measuring physical quantities like - length, weight,
etc.
Ratio scales are the ultimatenirvanawhen it comes to measurement scales because they tell us
about the order, they tell us the exact value between units, AND they also have an absolute
zerowhich allows for a wide range of bothdescriptive and inferential statisticsto be applied. At
the risk of repeating myself, everything above about interval data applies to ratio scales + ratio
scales have a clear definition of zero. Good examples of ratio variables include height and
weight.
Ratio scales provide a wealth of possibilities when it comes to statistical analysis. These
variables can be meaningfully added, subtracted, multiplied, divided (ratios). Central
tendencycan be measured by mode, median, or mean; measures of dispersion, such as
In summary,nominalvariables are used to name, or label a series of values. Ordinalscales
provide good information about theorderof choices, such as in a customer satisfaction survey.
Intervalscales give us the order of values + the ability to quantifythe difference between
each one. Finally,Ratioscales give us the ultimateorder, interval values, plus theability to
calculate ratiossince a true zero can be defined.

Difficulty in measurement of attitude :

a) The attitude is intangible and not subject to visual observations.
b) The consumer attitude is a complex affair due to multiple influences. Hence, we cannot say
with certainty how a person will react.
c) Measuring attitude lacks proper scale. Marketing Research has no instruments device to
measure attitude correctly.
d) Its inability to predict behaviour.
e) It tend to overlook the immediate environment of the consumer.
f) Finally, the relationship between attitudes and buying behaviour still continues to be
indistinct.

(ii) Merits of Attitude Measurement:

a) A controlled and planned marketing development needs the knowledge of attitude of
consumers. In other words, the knowledge of response mechanism is so essential for successful
implementation of the marketing plans.
b) The attitude of consumers would aid in successful classification of types of consumers. The
basis of grouping is attitude of consumers towards certain product or service.
c) Attitude affords predictability which is very much useful to control marketing conditions.
d) The study of attitude has a practical importance. A good salesman must be well versed with
attitude of consumers, and understands how different types of consumers behave.
(i) Area of Application of Attitude Measurement:
An increased attention is being paid to the attitude survey by the marketing researchers. They
have been found to be extremely useful in the matters of various marketing problems
such as response to an advertisement, price change, product quality, brand loyalty and
trade mark etc.
Rating Methods:
Here a respondent has to indicate his rating of a product, service or concept along a
continuum or in an ordered set of categories.
Rating allows a respondent to register a degree on a scale.
The Rating method can be numerical, graphic, verbal or a combination of two or more of
these forms.
 Graphic Rating Scale
The respondents rate the objects by placing a mark at the appropriate position on a line that
runs from one extreme of the criterion variable to another. Example

BRAND 1
This is also known as continuous rating scale. The customer can occupy any position. Here one
attribute is taken ex-quality of any brand of icecream.

BRAND 2
This line can be vertical or horizontal and scale points may be provided. No other indication
is there on the continuous scale. A range is provided. To quantify the responses to question
that indicate your overall opinion about ice-ream Brand 2 by placing a tick mark at
appropriate position on the line, we measure the physical distance between the left
extreme position and the response position on the line.; the greater the distance, the more
favourable is the response or attitude towards the brand.
Its limitation is that coding and analysis will require substantial amount of time, since we
first have to measure the physical distances on the scale for each respondent.
Respondents are asked to indicate their response at a specific point along a continuum.
This scale brings out interval data.

Limitations:-
It becomes difficult to code and analyse the data.
It needs more time as compared to scales having predetermined categories.
 Itemised Rating Scale:
Under this scale, a respondent is asked to show his attitude by marking a position on a
continuum, which has a range of possible views on an attitude object.
The different positions on the continuum are given in a sequential order representing the
degree of attitude held.
A descriptive statement is given against each position.

They essentially take the form of the multiple category questions. The most common are -
Likert, Sementic, Staple and Multiple Dimension. Others are - Thurston and Guttman.
Summated Rating Scale:
A large number of statements are collected.

Then ambiguous, irrelevant or otherwise deficient statements are eliminated.

The remaining statements are then given to the few respondents who are asked to indicate
their reaction to using a five-point rating system: strongly approve, approve, undecided,
disapprove and strongly disapprove.

These categories are assigned values of 5,4,3,2 and 1 respectively.

Likert Scale
It was developed Rensis Likert. Here the respondents are asked to indicate a degree of
agreement and disagreement with each of a series of statement. Each scale item has 5
response categories ranging from strongly agree and strongly disagree.

For example quality of Mother Diary ice-cream is poor then Not Good is a negative statement
and Strongly Agree with this means the quality is not good.
Each degree of agreement is given a numerical score and the respondents total score is
computed by summing these scores. This total score of respondent reveals the particular
opinion of a person.
Likert Scale are of ordinal type, they enable one to rank attitudes, but not to measure the
difference between attitudes. They take about the same amount of efforts to create as Thurston
scale and are considered more discriminating and reliable because of the larger range of
responses typically given in Likert scale.
A typical Likert scale has 20 - 30 statements. While designing a good Likert Scale, first a large
pool of statements relevant to the measurement of attitude has to be generated and then from
the pool statements, the statements which are vague and non-discriminating have to be
eliminated.
Thus, likert scale is a five point scale ranging from strongly agreementto strongly
disagreement. No judging gap is involved in this method.
Semantic Differential:
Semantic Differential(SD) is a type of a rating scale designed to measure the
connotativemeaningof objects, events, and concepts. The connotations are used to derive the
attitude towards the given object, event or concept.
Connotation meaning: the emotions and associations connected to a word is known as
itsconnotativemeaning. Depending on our experiences, certain words have a positive, negative,
or neutral connotation.
Aconnotationis a commonly understoodculturaloremotionalassociation that some word or
phrase carries, in their stomach, in addition to the word's or phrase's explicit or literalmeaning,
which is itsdenotation.
A connotation is frequently described as either positive or negative, with regards to its pleasing or
displeasing emotional connection. For example, a stubborn person may be described as being
eitherstrong-willedorpig-headed; although these have the same literal meaning
(stubborn),strong-willedconnotes admiration for the level of someone's will (a positive
connotation), whilepig-headedconnotes frustration in dealing with someone (a negative
connotation).
(ofawordorexpression)signifyingorsuggestiveofanassociativeorsecondarymeaninginadditio
ntotheprimary
meaning

Thesemantic differential scalemeasures the connotative meaning of things. For example, while
the word heart is defined as the organ that pumps blood around the body, its connotative
meaning is love or heartache. The scale is used in surveys to gauge peoples feelings towards a
particular subject.
A semantic differential scale measures attitudes towards something. For example, you could
measure a persons attitude to the word Work with the following scale:

The terms to the left and right are polar opposite adjectives. For example, necessary is the
This is a seven point scale and the end points of the scale are associated with bipolar ) having
or relating to two poles or extremities)labels.

Suppose we want to know personality of a particular person. We have options-

Unpleasant/Submissive
Pleasant/Dominant
Bi-polar means two opposite streams. Individual can score between 1 to 7 or -3 to 3. On the basis
of these responses profiles are made. We can analyse for two or three products and by joining
these profiles we get profile analysis. It could take any shape depending on the number of
variables.
Meanandmedianare used for comparison. This scale helps to determine overall similarities and
differences among objects.
When Semantic Differential Scale is used to develop an image profile, it provides a good basis for
comparing images of two or more items. The big advantage of this scale is its simplicity, while
producing results compared with those of the more complex scaling methods. The method is easy
and fast to administer, but it is also sensitive to small differences in attitude, highly versatile,
reliable and generally valid.
In order to formulate a suitable semantic differential scale, several factors
should be considered-
Whether the cues should be balanced or unbalanced?
Which type of cue numerical, graphic, verbal, or some combination of these
should be used?
How many cues should be used in the scale?
Whether the scale should be of the forced or non-forced variety?
The researcher has to select the antonyms.
Stapel Scale:
It was developed by Jan Stapel. This scale has some distinctive features:-
Each item has only one word/phrase indicating the dimension it represents.
Each item has ten response categories.
Each item has an even number of categories.
The response categories have numerical labels but no verbal labels.
For example, in the following items, suppose for quality of ice cream, we ask respondents to
rank from +5 to -5. Select a plus number for words which best describe the ice cream
accurately. Select a minus number for words you think do not describe the ice cream quality
accurately. Thus, we can select any number from +5,for words we think are very accurate, to
-5,for words we think are very inaccurate. This scale is usually presented vertically.
+5
+4
+3
+2
+1
High Quality
-1
-2
-3
-4
-5
This is a unipolar rating scale.
Thurston Scale:
These are also known as equal appearing interval scales. They are used to measure the
attitude towards a given concept or construct. For this purpose a large number of
statements are collected that relate to the concept or construct being measured. The
judges rate these statements along an 11 category scale in which each category
expresses a different degree of favourableness towards the concept. The items are then
ranked according to the mean or median ratings assigned by the judges and are used to
construct questionnaire of twenty to thirty items that are chosen more or less evenly
across the range of ratings.
The statements are worded in such a way so that a person can agree or disagree with
them. The scale is then administered to assemble of respondents whose scores are
determined by computing the mean or median value of the items agreed with. A person
who disagrees with all the items has a score of zero. So, the advantage of this scale is
that it is an interval measurement scale. But it is the time consuming method and labour
intensive. They are commonly used in psychology and education research.
Guttman Scales/Scalogram Analysis:
It is based on the idea that items can be arranged along a continuem in such a way that a
person who agrees with an item or finds an item acceptable will also agree with or find
acceptable all other items expressing a less extreme position. For example - Children should
not be allowed to watch indecent programmes or government should ban these programmes
or they are not allowed to air on the television. They all are related to one aspect.
It is based on the assumption that the ordering of certain stimuli is possible.
Paired Comparison Scale:
A paired-comparison scale requires the respondent to pick two objects of a set with regard to
an attribute of interest.
A series of paired judgments between objects is made by the respondent on the basis of his
preference, extent of a certain attribute present or some other consideration.

Rank Order Scale:

The respondents are asked to rank various objects with regard to the attitude in question.
It is comparative in nature.

Advantages:-
It is simple to administer.
It needs relatively less time.
It is easily understood by a layman.

Limitations:-
It produces only ordinal data.
Comparative nature of the method may lead the respondents to rank objects regardless of
their attitudinal position towards the objects as a group.
Rank order scale continued:
Definition:TheRank Order Scalingis a yet another comparative scaling technique wherein
the respondents are presented with numerous objects simultaneously and are required to order
or rank these according to some specified criterion.
The Rank order scaling is often used to measure the preference for the brand and attributes.
The ranking data is typically obtained from respondents in theconjoint analysis(a statistical
technique used to determine how the brand and the combination of its attributes such as
features, functions, and benefits, influences the decision making of a person), as it forces the
respondents to discriminate among the stimulus objects.

A Rank Order scale gives the respondent a set of items and asks them to put the items in some
form of order.
The measure of 'order' can include such as preference, importance, liking, effectiveness and so
on.
The order is often a simple ordinal structure (A is higher than B). It can also be done by relative
position (A scores 10 whilst B scores 6).
Intensity Function:
Intensity function provides the basis for determining the psychological zero point along an
attitude continuum.
For measuring intensity, include an intensity item after each attitude item in the scale.

Limitations:-
The technique is methodologically weak.
The selection of the original sample attitude statements or items from the population
for testing the hypothesis of scalability is of an extremely subjective nature.
Attitudescan be defined as evaluations of ideas, events, objects, or people. Attitudes are
generally positive or negative, but they can also be uncertain at times. For example, sometimes
we have mixed feelings about a particular issue or person. Regardless, attitudes are an important
topic of study for social psychologists because they help determine what we do - what we eat,
how we vote, what we do with our free time, and so on.
Every attitude has three components that are represented in what is called theABC model of
attitudes: A for affective, B for behavioral, and C for cognitive. Although every attitude has these
three components, any particular attitude can be based on one component more than another.

Affective Component:
First, theaffectivecomponent refers to the emotional reaction one has toward an attitude object.
Think of someone - we'll name her Alice - who hasophidiophobia(aphobiaof snakes). A snake is
an attitude object. Whenever Alice is exposed to a snake - whether she sees one or thinks about
one - she feels extreme anxiety and fear. This is only one component of this specific attitude,
though; we will discuss the other two components a little later in this lesson.
Now, an attitude that is stemmed from or originally created by an emotion is called an
affectively-based attitude. Attitudes about hot-button issues - such as politics, sex, and religion -
tend to be affectively-based, as they usually come from a person's values. This type of attitude is
used to express and validate our moral belief or value systems.

Behavioral Component:
The next component of an attitude is thebehavioralcomponent, and it refers to the way one
behaves when exposed to an attitude object. Think about Alice and her snake phobia again. We
already identified the affective component of her attitude towards snakes - fear and anxiety. How
do you think she behaves when it comes to snakes? Most likely, she avoids them whenever
possible. If she does see one, she probably screams or cries. This behavior is the second
component of that particular attitude.
As for attitudes that are rooted in behavior, think again about the question: where does an
attitude come from? Sometimes, we are unsure of our feelings about a particular topic. Imagine a
friend asks if you like hummus. Since you don't regularly eat hummus and can't immediately
recall what it tastes like, you think back about the times that you have eaten it. You remember
Cognitive Component:
The third and final component of an attitude is thecognitivecomponent, and it refers to the
thoughts and beliefs one has about an attitude object. We've already determined that Alice
avoids snakes and is scared when she is exposed to them. But, what does she think about
snakes? It's likely she believes that all snakes are dangerous and gross. Beyond the physical
and emotional reactions of her phobia, there is also this cognitive component of her attitude.

The informational component consists of beliefs, values, ideas and other information a
person has about the object. It makes no difference whether or not this information is
empirically correct or real. For example, a person seeking a job may learn from his own
sources and other employees working in the company that in a particular company the
promotion chances are very favourable. In reality, it may or may not be correct. Yet the
information that person is using is the key to his attitude about that job and about that
company.
Cluster Analysis:
Cluster analysisorclusteringis the task of grouping a set of objects in such a way that objects
in the same group (called acluster) are more similar (in some sense or another) to each other
than to those in other groups (clusters).

Cluster Analysis- This statistical procedure isused to separate objectsinto a specific number of
groups that are mutually exclusive(cannot exist together) but that are also relatively
homogeneous(same or alike) in constitution. This process is similar to what occurs in market
segmentation where the market researcher is interested in the similarities that facilitate grouping
consumers into segments and is also interested in the attributes that makethe market
segmentsdistinct.
In logic and probability theory, two propositions (or events) aremutually exclusiveor disjoint if
they cannot both be true (occur). A clear example is the set of outcomes of a single coin toss,
which can result in either heads or tails, but not both.
Statistical classification technique in which cases, data, or objects (events, people, things, etc.)
are sub-divided into groups (clusters) such that the items in a cluster are very similar (but not
identical) to one another and very different from the items in other clusters. It is a discovery tool
that reveals associations, patterns, relationships, and structures in masses of data.
Cluster is a group of objects that belongs to the same class. In other words, similar objects are
grouped in one cluster and dissimilar objects are grouped in another cluster.

Conjoint Analysis:
Conjoint analysisis a statistical technique used inmarket researchto determine how people value
different attributes (feature, function, benefits) that make up an individual product or service.
The objective of conjoint analysis is to determine what combination of a limited number of
attributes is most influential on respondent choice or decision making. A controlled set of
potential products or services is shown to respondents and by analyzing how they make
preferences between these products, the implicit valuation of the individual elements making up
the product or service can be determined. These implicit valuations (utilities or part-worths) can
be used to create market models that estimate market share, revenue and even profitability of
Multiple Regression:
Multiple regression is a statistical technique to understand the relationship between one
dependent variable and several independent variables.
The purpose of multiple regression is to find a linear equation that can best determine the value
of dependent variable Y for different values independent variables in X.
The basic equation of Multiple Regression is
Y = a + b1X1+ b2X2+ b3X3+ + bNXN

Multidimensional Scaling:
It consists of a group of analytical techniques which are used to study consumer attitudes related
to perceptions and preferences. It is used to study-
The major attributes of a given class of products perceivedby the consumers in considering the
product and by which they compare the different ranks.
To study which brand competes most directly with each other.
To find out whether the consumers would like a new brand with a combination of characteristics
not found in the market.
What would be the consumers ideal combination of product attributes.
What sales and advertising messages are compatible with consumers brand perceptions.
It is a computer based technique. The respondents are asked to place the various brands into
different groups like similar, very similar, not similar, and so on. A goodness of fit is traded off on
a large number of attributes. Then a lack of fit index is calculated by computer program. The
purpose is to find a reasonably small number of dimensions which will eliminate most of the
stress. After the configuration for the consumers preference has been developed, the next step
is to determine the preference with regards to the product under study. These techniques
attempt to identify the product attributes that are important to consumers and to measure their
relative importance.
This scaling involves a unrealistic assumption that a consumer who compares different brands
would perceive the differences on the basis of only one attribute. For example, what are the
attributes for joining M.Com course. The responses may be -to do PG, to go into teaching line,to
get knowledge, appearing in the NET. There are a number of attributes, you can not base
decision on one attribute only. Therefore, when the consumers are choosing between brands,
Whenever we choose from a number of alternatives, go for multi- dimensional scaling. There
are many possible uses of such scaling like in market segmentation, product life cycle, vendor
evaluations and advertising media selection.
The limitation of this scale is that it is difficult to clearly define the concept of similarities and
preferences. Further the distances between the items are seen as different

Dispersion:
the extent to which values of a variable differ from a fixed value such as the mean.

Factor Analysis:
a process in which the values of observed data are expressed as functions of a number of
possible causes in order to find which are the most important.
Overview:Factor analysis is used to uncover the latent ((of a quality or state) existing but
not yet developed or manifest; hidden or concealed.)structure (dimensions) of a set of
variables. It reduces attribute space from a larger number of variables to a smaller number of
factors.

Univariate Analysis:
How many months does it take for avocado plants to produce their fruit? Which illnesses
cause the greatest number of deaths? What is the maximum number of children who can ride
safely on a schoolbus? What is the typical net worth of an American family? Each of these
questions can be answered using univariate data.Univariate datais a collection of
information characterized by or depending on only one random variable.
Take for example the last question: what is the typical net worth of an American family? We
are interested in how responses vary from person to person when asked about their family's
net worth. Only, no one would answer this question by providing every response received to
the question. Instead, we would want to summarize the data using statistics that represent
the majority of people in the population for whom the question is being asked.
Univariate analysisis the simplest form of analyzing data. Uni means one, so in other
words your data has only one variable. It doesn't deal with causes or relationships (unlike
regression) and it's major purpose is to describe; it takes data, summarizes that data and
Experimental Design:
Experimental designis the process whereby a researcher makes decisions about how
to answer their research questions. For example, should Mandy choose between grades
and enjoyment, or study them both? How should she measure her variables? These are
questions that Mandy will answer in the experimental design portion of the research
process. Let's look closer at the types of variables and one particular type of
experimental design: multivariate design.

Independent variablesare variables that do not depend on other variables to change.

They are independent of the other variables in the study, and that's where they get their
name from. For example, in Mandy's study, her independent variable is gender. A person
won't change gender because they did well in a math class. That would be crazy!
But adependent variablechanges value depending on what other variables do. Their
values are dependent upon the independent variables. For example, a girl might do
better in the math class than a boy does. The variable of grade is dependent on gender
for its value.
Research Report:
Research report is the systematic, articulate, and orderly presentation of research work
in a written form.
Research report is a research document that contains basic aspects of the research
project.
Research reports are detailed and accurate accounts of the conduct of disciplined
studies accomplished to solve problems or to reveal new knowledge.
Research report is a research document that contains basic aspects of the
research project.

Report Format:
There is no one best format for all reports. Format depends on several relevant
variables. One must employ a suitable format to create desirable impression with clarity.
Report must be attractive. It should be written systematically and bound carefully. A
report must use the format (often called structure) that best fit the needs and wants of
its readers. Normally, following format is suggested as a basic outline, which has
sufficient flexibly to meet the most situations.

Structure of Research Report:

Generally, a research report, whether it is called dissertation or thesis
1) The Priliminary i.e. preface pages
2) The text of the report / Main body of the report
3) The Reference material.

Chapter 1-Introduction:
1.0 Introduction
1.1 Background of the study
1.2 Problem Statement
1.3 Purpose and objective of the study
Chapter 2-Literature Review:
2.0 Introduction
2.1 Body of the literature
2.1.1 General area of research
2.1.2 Underlying theory
2.1.3 Variables used from previous literature
2.2 Theoretical Framework
2.3 Hypotheses
2.4 Conclusion

Aliterature reviewis a text of ascholarly paper, which includes the current knowledge
including substantive findings, as well as theoretical and methodological contributions to a
particular topic.
Literature reviews aresecondary sources, and do not report new or original experimental
work. Most often associated with academic-oriented literature, such reviews are found
inacademic journals, and are not to be confused withbook reviewsthat may also appear
in the same publication. Literature reviews are a basis for research in nearly every
academic field

Chapter 3-Research Methodology:

3.0 Introduction
3.1 Research Design
3.2 Variable and Measurement
3.3 Questionnaire design
3.4 Population and Sample
3.5 Scope of the study
3.6 Data analysis method
3.6.1 Goodness of data
3.6.2 Inferential analysis
3.7 Conclusion
 Chapter 4- Data Collection,Data Analysis:
4.1 Introduction
4.2 Goodness of Measure
4.2.1 Representativeness of data
4.2.2 Validity test
4.2.3 Reliability test

4.3 Inferential analysis

4.3.1 Descriptive analysis
4.3.2 Test of difference
4.3.3 Test of relationship
Correlation analysis
Hypothesis testing

4.4 Conclusion

Chapter 5-Discussion and Conclusion:

5.1 Recapitulation of major findings
5.2 Discussion
5.3 Implication
5.3.1 Theoretical Implication
5.3.2 Practical Implication
5.4 Limitation
5.5 Recommendation for future research
5.6 Conclusion
Reference Material:
The reference material is generally divided as fallows
1. Bibliography (APA Style or ..)
2. Appendices (SPSS output & Data Stream)
3. Glossary of terms (if any)
4. Index (if any)

Reference materials are various sources that provide background information or quick facts
on any given topic.
We refer to them to use data in them for our research purpose.

Difficulties or problems in writing a report:

1) The Problems of Communications
a. Technical terms should be properly explained.
b. Neither too simple nor too difficult expression
c. Level of Knowledge and subject-matter
d. Language and drafting
2) The problem of objectivity .
3) The Problems of expression of bitter truths and unpleasant facts
Characteristics of a good report:
1) Attractive
2) Clear Topic
3) Balanced Language
4) No repetition of facts
5) Statement of scientific facts
6) Practicability
7)Description of the difficulties and the shortcomings
Research Report Types:
Market Research Report Services - 14 Types
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SWOT analysis
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From an internal perspective, you would have done everything that is required for your
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With the aim of facilitating effective corporate strategies to target 'attractive' and profitable
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If you are looking at expanding your business into new industry sectors, we will perform a full
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Industry analysis and profiling
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Industry feasibility studies
We can provide you with a critical and objective study of the feasibility of you entering into a
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We can get you an exhaustive analysis of your company, its history, performance, operations etc.
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Sectional highlights
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For Evaluation:
Read previous slides and use your brain
to judge or determine the significance, worth, or quality of; assess: toevaluatethe results of
an experiment. Mathematics. to determine or calculate the numerical value of (a formula,
function, relation, etc.).