1Introduction To BR-01

8/7/2019 1Introduction To BR-01

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Varsha Varde 1

Business Research Methods

Introduction to Research


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Varsha Varde 2

Definition

Business research is defined as the

systematic and objective process ofgathering ,recording and analysing data

that generates information to guide

business decisions.


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Varsha Varde 3

USE OF BUSINESS REASEARCH BR is used to help solving operational and

planning problems in various functional areas in abusiness organisation

Marketing:

To understand market trends

To Gain Competitive advantage Finance:

To find the best investment option

HR :

To devise effective HR policies Manufacturing :

To find optimal product mix


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Varsha Varde 4

Scope of Business Research

Market Research: Aims at understanding and examining market

place in which the company operates (Deviseeffective marketing strategies & marketing plan)

Operations Research:

Involves use of mathematical models to findoptimal solutions to business problems(forecasting demand, optimising production,finding best investment option)

Motivational Research: Involves analysing reasons and motives behind

peoples behaviour (to understand consumerbehaviour ,employee behaviour)


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Basic research

Applied research

Business Research Types


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Basic Research

Attempts to expand the limits of

knowledge.

Not directly involved in the solution to aspecific problem.


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Basic Research Example

Is executive success correlated with high

need for achievement?

Are members of highly cohesive workgroups more satisfied than members of

less cohesive work groups?

Understanding consumer buying process


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Applied Research

Conducted when a decision must be made

about a specific real-life problem


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Applied Research Examples

Should McDonalds add Italian pasta

dinners to its menu?

Business research told McDonalds itshould not?

Should Procter & Gamble add a high-

priced home teeth bleaching kit to its

product line?

Evaluating impact of a training programme

on employee performance


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Varsha Varde 10

Techniques for research

Both the research forms use scientific

methods in various stages of research

process


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Scientific Method

The analysis and interpretation of

empirical evidence (facts from observation

or experimentation) to confirm or disprove

prior conceptions.


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Varsha Varde 12

Use Of Scientific Method

Basic Research :testing prior conception

making inferences

establishing general laws Applied Research : assures objectivity

in gathering facts and

testing creative ideas for

alternative business

strategy


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Varsha Varde 13

Role of Business Research in

decision Making It provides accurate ,timely and

relevant information to the Top

Management in various stagesof decision making process


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Stages in Decision Making

Identifying problems and opportunities

Diagnosis and assessment

Selecting a course of action Implementing a course of action

Evaluating the course of action


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Varsha Varde 15


BR helps in providinginformation about problems

and opportunities throughscanning internal & external

business environment


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Varsha Varde 16


Indian apparel company that wants to enter

US market can undertake BR in

-Identifying fashion trends in the market

-Determining brand awareness about the

company among customers-Perception about the company among the

potential employees

-Examining competitors and their

characteristics

-Understanding American consumer

behaviour


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Varsha Varde 17

Diagnosis and assessment After identifying problem/opportunity BR

helps in provision of diagnostic information For opportunities explore ,clarify & refine the

nature of opportunity

For multiple opportunities set priorities

For problems specify what happened & why

For prioritization of problems study itsinfluence on business operations & time fact

Quantitative and qualitative investigations arcarried out to identify alternative courses ofaction


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Varsha Varde 18

Selecting a course of action

After identifying alternative courses of

action BR is conducted to obtain specificinformation that will aid in evaluating

alternatives & selecting the best course of

action-Selection of a marketing strategy using

results of consumer-jury test

-Selection of investment option usingresults of forecasts of revenue potential


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Varsha Varde 19

Implementing & Evaluating a course of action

After selecting the best course of action it

has to be effectively implemented .At thisstage BR is mainly used to evaluate , monitorand control the programmes that are beingimplemented.

BR serves as a tool to find out-Whether planned activities were properlyexecuted

-Whether they accomplished what they were

expected to accomplish Tools used : Evaluation Research

:Performance Monitoring Research


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Evaluation Research

Evaluation research is the formal,objective measurement and appraisalof the extent to which a given activity,

project, or program has achieved itsobjectives.

-Evaluation of discount couponscheme is carried out by comparingcoupon redemption rate with theobjectives set for the scheme


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Performance-monitoring Research

Research that regularly provides feedbackfor evaluation and control

Indicates things are or are not going as

planned

Research may be required to explain why

something went wrong

-Continuously tracking sales at retail stores to

identify products with high sales ,buyingbehaviour of consumers and consumer

preferences towards its products


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Determining When to Conduct

Business Research

Time constraints

Availability of data

Nature of the decision Benefits versus costs


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Is sufficient time

available before

a managerial

decisionmust be made?

Is the infor-

mation already

on hand

inadequate

for makingthe decision?

Is the decision

of considerable

strategic

or tacticalimportance?

Does the value

of the research

information

exceed the cost

of conductingresearch?

Conducting

Business

Research

Do Not Conduct Business Research

Time Constraints

Availability of Data

Nature of the Decision

Benefits vs.

Costs

Yes YesYesYes

No No No No

Determining When to Conduct

Business Research


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Value

Decreased

uncertaintyIncreased likelihood

of a correct decision

Improved business

performance and

resulting higher

profits

Costs

Research

expenditures

Delay of business

decision andpossible disclosure

of information to

rivals

Possible erroneous

research results

Value Should Exceed

Estimated Costs


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Cross-functional Teams

Cross-functional teams are composed of

individuals from various organizational

departments such as engineering,

production, finance, and marketing who

share a common purpose.


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Varsha Varde 28

Business Research in the 21st

Century Increased globalization Growth of the Internet and other

information technologies


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Global Research

Business Research is increasingly global

Market knowledge is essential

A.C. Nielsen - more that 67% internationalbusiness

Indian Companies-

ORG_MARGIMRB


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Varsha Varde 31

The Internet

Is Transforming Society Time is collapsing. Distance is no longer an obstacle.

Crossing oceans is only a mouse clickaway.

People are connected 24 hours a day,

seven days a week. "Instantaneous" has a new meaning.


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Varsha Varde 32

Internet Research

Seeking facts and figures about an issue

Surveys on Web sites

Documents

1Introduction To BR-01