Types of Business and Management Research

Question:

Discuss about the Market Research for Reliability, Validity and Generalizability.

Business and management research involves the procedure of gathering information about various aspects of a business including but not limited to customer feedbacks, industrial forecast, financial details, competitors and market size (McQuarrie, 2015). The research conducted can be qualitative or quantitative. The latter results in numerical conclusions while the former generates non numerical data. Market research is an important aspect of every business and ensures that the manager has sufficient knowledge about the product, industry and the market. Various business heads invest heavily in market research in order to get a real picture of the market and its’ customers (Sarstedt, 2014).

In the era of cut throat competition, it becomes imperative that the quality of research done is impeccable. Business researches are required to be conducted at every step of the business. Before starting the business, a thorough understanding of target market, their needs and demands and competitor analysis remains crucial (Nunan, 2013). After the business has been established, market researchers must be strictly on their toes to come up with innovative products and services after studying the changing customer needs.

Case studies, surveys, focus groups, interviews are predominant methods used to conduct business researched. Irrespective of the method used, the quality and level of detail are critical to the research (Bryman, 2015). Given the varied diversity of subject and different forms of qualitative research, it is difficult to put a finger on one best way for assessing any research.  Therefore, it has been consigned that any business research must be reliable, general and valid (Hair, 2015). These three parameters are most crucial to any research. This report throws light on these three attributes of qualitative and quantitative research (Zikmund, 2013). Business examples have been cited to understand the practicality of the same.

Validity of a research refers to the appropriateness of the tools used to conduct the research, the process involved in the research and the data collected during the course of the research. There are many aspects of a research which ensure that the research is valid (Silverman, 2016). Firstly, the research question must be adequately defined to ensure it research takes us to the desired outcome. Secondly, the methodology of the research conducted must be appropriate for the intended outcome of the research. Thirdly, sampling and analysis of data must be performed in an apt manner to suit the envisioned consequence. And lastly, the results and conclusions drawn at the end of the research are valid for the chosen sample and decided context (Diehl, 2017). Validity of a research is a pre requisite, it is a basic must for the research and though not sufficient alone, it is extremely necessary for a research.

Importance of Market Research in Business

For example, if a healthcare business wishes to introduce a new protein supplement, it needs to conduct a thorough research about the market in which the product is to be launched. It is essential that the target market is analyzed well in advance and an appropriate sample is selected to conduct the research. Let us assume, the business starts by giving away free samples to customers for a few days to gain an understanding about customer’s reaction and feedback on the same. Now, it is crucial that these samples are given away at gyms, yoga classes, joggers’ parks and other fitness institutions. This establishes the validity of the sample. Distributing samples outside restaurants and students would deem the research completely invalid owing to the targeted audience at these places (Murphy, 2014).

This validity plays a very important role in the research as it is the foremost quality check done while conducting any research. A research must be valid to ensure its use to the business (Lakshmi, 2013). For example, a research conducted to study the eating demands of children in Iceland will not be valid to any company from the food industry in India. Similarly, if a business sells clothes and footwear offline then researches conducted by e commerce companies of the country would not be valid despite being a part of the same industry. Therefore, validity of a research is not a quality check aspect but rather a pre requisite to begin the research in the right manner (Noble, 2015).

Validity also throws light on the credibility and believability of the research. It can be categorized as internal validity and external validity. Internal validity dictates the structure of experimental design, the tools used to conduct the research and the procedure of the research (Zohrabi, 2013). For example, choosing between conducting surveys or one on one interviews of the sample is a part of making the research valid. On the other hand, external validity refers to the ability of the research to assist people other than the researcher. It applies to people beyond the sample study. External validity questions if there are any other causal relationships beyond those mentioned in the result (Leung, 2015). For example, a research is conducted to analyze the demand for sweatshirts in colleges. The researching firm establishes that there is a demand for 600 sweatshirts in Dubai. However, by the time the sweatshirts were ordered and manufactured, the demand went down to hardly 150. This was because the research was conducted when the weather was cold and the country was experiencing low temperatures. But once a shift in season was witnessed, the research was no longer valid. This is an example of external validity.

Significance of Validity in Business Research

Both internal and external validity of a research define the usage, practicality and application of the research (Scollon, 2009). It must assist the marketer with a thorough market analysis and help the business take the right steps in the market.

Reliability refers to the repeatability of findings of the research. This implies that if the same research is conducted for the second or the third time, would it result in the same outcome or not. If the research yields the same results upon being conducted again, it can be concluded that the research is reliable. This is based on the assumption that external factors remain constant. Reliability is an extremely important aspect of a research as it ensures that research done is consistent and dependable. This dependability on the research is of grave importance to marketers as their business is largely impacted by the outcomes of the same (Button, 2013).

For example, if a research is conducted to garner details about the average age of people working in insurance companies, then if the same research is conducted after 6 months, it must yield approximately similar results. Then it would be considered as a reliable research. The idea behind reliability of a research implies that the outcomes and results of the research must be more than a one off finding and is inherently repeatable. Without this replication of results, the findings and outcomes of the research become swerving and failing (Mohamad, 2015). The reliability tests the extent to which the research can be trusted.

Reliability in a quantitative research refers to the exact replication of the results obtained during the course of the research. For example, researches done to analyze demand of a product, time taken to manufacture a product or existing competitors of the product must demonstrate the same results irrespective of who conducts the research given that all external factors remain constant. For the research to be reliable, the numbers should be the same. On the other hand, the reliability of a qualitative research is more challenging and counter intuitive to achieve. But it is important that the deviation in the results is minimum. For example if a product quality is tested AA- in the first research and BB+ in the second attempt of the same research, then the research is clearly not reliable. Qualitative research focuses on the ‘why’ and ‘how’ of a research problem.

If a research establishes that the employee salary and employee loyalty are directly correlated and then if the same research is conducted within the same industry, nature of business and working conditions, the results must be same. However, unlike quantitative research, it would be difficult to put a number to this research but it is anyhow imperative to establish the reliability of the research.

Examples Illustrating Validity in Business Research

Reliability of a research makes the research trustworthy and ensures that it can be used by the firm. On the other hand, if the research is corrupt, then it may lead to adverse decisions made my business which is sure to cost them time and money. Therefore, researchers must ensure the reliability of the research before taking into accounts any of its conclusions.

Generalizability refers to the extent to which the research findings can be extended and made use of in a similar setting. The dependability of this extension of research outcomes is not entirely absolute but it is definitely probable. A research finding maybe valid in one setting but not in another. This is where generalizability comes into picture. If a research is true to its conclusions outside its current setting, then it can be concluded that the research is generalizable (Glaeser, 2017).

For example, a research conducted by a Dubai fast food company relating to the demand of mayonnaise among children and if the same research can be utilized by another fast food company of Australia, then the research is generalizable. On the other hand, research conducted by McDonalds in USA about the consumption and demand for burgers cannot be generalized to McDonalds in Middle east due to different eating culture and religious beliefs of the two geographies.

A research that can be generalized is of more value to the researcher and assists in defining the span of research and its utility (Crano, 2014). For example, a research done to establish the number of youth applying for colleges in summer 2018 can also be used by coaching institutes and recruitment agencies for part time jobs. However, it is important to note that unlike validity and reliability, generalizability is not a pre requisite of a research and is not compulsory to achieve. A research conducted by a specific business of a specific industry is done to assist that particular business. A gluten free product manufacturing company can research on the increasing disadvantages of excessive gluten consumption by people. This research can be done exclusively for that company and cannot be generalized. It is important to understand that there is nothing wrong with a research which cannot be generalized.

In the course of a business research there are various aspects that might cause a threat to the validity, reliability and generalizability of the research. Some of which are listed as below:

1. Research problem is not properly defined.
2. Nature of information collected is affected by situational context
3. Biasness of the researcher
4. Time spent in collecting the data is long enough to change the data
5. Subjects have matured over a period of time
6. Repeated testing of the subject
7. Differential selection of subjects

Role of Reliability in Business Research

Conclusion

Market and business research are crucial aspects of any business. IT forms the foundation of the business and provides the marketer with in depth detail about various aspects of the market. The following report throws light on the importance of validity, reliability and generalizability of any research and what are the factors that may cause a threat to these aspects.

Validity of the research refers to the appropriateness of the research tools used, samples selected, data collected and conclusions drawn. Reliability of the research throws light on the trustworthiness of the research and the similarity of outcomes if the research is conducted more than once. Generalizability of the research lays emphasis on the extent to which research findings will be extended outside their current settings. It is vital that the researcher ensures the validity and reliability of the research.

References

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