Chapter 6—Problem Definition: The Foundation of Business Research TRUE/FALSE A research proposal is a written expression of the key question(s) that a research user wishes to answer ANS: F This is a decision statement PTS: REF: p 108 NAT: AACSB: Reflective Thinking The term problem definition refers to the process of defining and developing a decision statement and the steps involved in translating it into more precise research terminology, including a set of research objectives ANS: T PTS: NAT: AACSB: Reflective Thinking REF: p 108 The problem definition stage is the easiest stage of the research process ANS: F This is far from the easiest stage because it can be the most complex PTS: REF: p 109 NAT: AACSB: Reflective Thinking It is easier to define the problem in recurring business situations ANS: T PTS: NAT: AACSB: Reflective Thinking REF: p 110 When a sudden change in the business situation takes place, it can be easier to define the problem ANS: T PTS: NAT: AACSB: Reflective Thinking REF: p 111 A problem occurs when there is a difference between the current conditions and a more preferable set of conditions ANS: T PTS: NAT: AACSB: Reflective Thinking REF: p 112 The first step in the problem-definition process is to identify key problems(s) from symptoms ANS: F This is the second step The first step is to understand the business situation by identifying key symptoms PTS: REF: p 112 NAT: AACSB: Reflective Thinking When the definition of the problem is unclear, the first step is to perform a situation analysis in an attempt to clarify the problem © 2010 Cengage Learning All Rights Reserved May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part ANS: T PTS: NAT: AACSB: Reflective Thinking REF: p 112 One of the best ways to identify the symptoms of a problem is to interview key decision-makers in the organization ANS: T PTS: NAT: AACSB: Reflective Thinking REF: p 113 10 Interactive techniques simply involve asking multiple what, where, who, when, why, and how questions ANS: F These are interrogative techniques PTS: REF: p 114 NAT: AACSB: Reflective Thinking 11 Probing is an interview technique that tries to draw deeper and more elaborate explanations from a discussion ANS: T PTS: NAT: AACSB: Reflective Thinking REF: p 114 12 A research user’s decision statements need to be translated into the research objectives of the study ANS: T PTS: NAT: AACSB: Reflective Thinking REF: p 116 13 The unit of analysis for a study indicates the level of significance that will be acceptable for acting on the results ANS: F The unit of analysis indicates what or who should provide the data and at what level of aggregation PTS: REF: p 119 NAT: AACSB: Reflective Thinking 14 Income is an example of a variable ANS: T PTS: NAT: AACSB: Reflective Thinking REF: p 119 15 A continuous variable is one that can take on a range of values that correspond to some quantitative amount ANS: T PTS: NAT: AACSB: Reflective Thinking REF: p 119 16 An independent variable is a variable that is predicted and/or explained by other variables ANS: F This is a dependent variable An independent variable is one that is expected to influence the dependent variable PTS: REF: p 120 NAT: AACSB: Reflective Thinking © 2010 Cengage Learning All Rights Reserved May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part 17 Research hypotheses express the research objectives in terms of questions that can be addressed by research ANS: F These are research questions Research hypotheses are much more specific and are declarative PTS: REF: p 121 NAT: AACSB: Reflective Thinking 18 Managerial action standards specify a performance criterion upon which a decision can be based ANS: T PTS: NAT: AACSB: Reflective Thinking REF: p 123 19 The greater the number of research objectives, the better the research ANS: F Research objectives should be limited to a manageable number as it becomes easy to lose focus with too many PTS: REF: p 123 NAT: AACSB: Reflective Thinking 20 A research proposal is a written statement of the research design ANS: T PTS: NAT: AACSB: Reflective Thinking REF: p 124 21 A wise researcher will not agree to a research job for which no written proposal exists ANS: T PTS: NAT: AACSB: Reflective Thinking REF: p 125 22 Basic business research refers to research usually performed by academic researchers and supported by some public or private institution ANS: F This is funded business research, which is usually basic research, but not all basic research is funded research PTS: REF: p 127 NAT: AACSB: Reflective Thinking 23 Tables placed in research proposals that are exact representations of the actual tables that will show results in the final report with the exception that the results are hypothetical (fictitious) are referred to as surrogate tables ANS: F These are called dummy tables PTS: REF: p 127 NAT: AACSB: Reflective Thinking MULTIPLE CHOICE A written expression of the key question(s) that a researcher user wishes to answer is referred to as a: © 2010 Cengage Learning All Rights Reserved May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part a b c d problem definition decision statement research proposal hypothesis ANS: B PTS: NAT: AACSB: Reflective Thinking REF: p 108 When a researcher defines and develops a decision statement and the steps involved in translating it into more precise research terminology, he or she is involved in what process? a hypotheses development b research planning c research process d problem definition ANS: D PTS: NAT: AACSB: Reflective Thinking REF: p 108 Which of the following make defining problems more difficult? a situation is recurring or routine b a dramatic change occurs c symptoms are scattered d symptoms are consistent ANS: C PTS: NAT: AACSB: Reflective Thinking REF: p 111 All of the following are gaps that represent problems EXCEPT: a actual business performance is less than possible business performance b actual business performance is greater than expected business performance c actual business performance is worse than expected business performance d expected business performance is greater than possible business performance ANS: B PTS: NAT: AACSB: Reflective Thinking REF: p 112 Which of the following is the FIRST step of the problem definition process? a determine the unit of analysis b identify the problem c identify key symptoms in the situation d determine the relevant variables ANS: C PTS: NAT: AACSB: Reflective Thinking REF: p 112 Which of the following is the LAST step of the problem definition process? a state the hypotheses and the research questions b determine the relevant variables c determine the unit of analysis d understand the background of the problem ANS: A PTS: NAT: AACSB: Reflective Thinking REF: p 112 All of the following are steps in the problem-definition process EXCEPT: a identify key problem(s) from symptoms © 2010 Cengage Learning All Rights Reserved May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part b determine the unit of analysis c develop dummy tables d determine relevant variables ANS: C PTS: NAT: AACSB: Reflective Thinking REF: p 112 Julius is gathering background information to familiarize himself with his new client’s decisionmaking environment He is analyzing marketplace conditions and conducting interviews with employees of the company Julius is conducting a: a gap analysis b pre-research analysis c basic analysis d situation analysis ANS: D PTS: NAT: AACSB: Reflective Thinking REF: p 112 All of the following are helpful hints that can be useful in the interview process when attempting to understand the situation EXCEPT: a develop hypotheses before conducting interviews b develop many alternative decisions and problems c think about possible solutions to the problem d be open-minded ANS: A PTS: NAT: AACSB: Reflective Thinking REF: p 114 10 Clint and his fellow researchers are asking managers and line workers multiple what, where, who, when, why, and how questions to get a better understanding of their client’s business decision-making situation Asking these types of questions is representative of which type of technique? a peeling techniques b iceberg technique c 80/20 techniques d interrogative techniques ANS: D PTS: NAT: AACSB: Reflective Thinking REF: p 114 11 An interview technique that tries to draw deeper and more elaborate explanations from the discussion is called: a probing b peeling c immersion d ethnography ANS: A PTS: NAT: AACSB: Reflective Thinking REF: p 114 12 Which of the following is the most important question a researcher can ask when using a probing technique? a How does that make you feel? b Why you think that is so? c What has changed? d What does _ make you think of? © 2010 Cengage Learning All Rights Reserved May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part ANS: C PTS: NAT: AACSB: Reflective Thinking REF: p 114 13 Which of the following essentially answers the question, “What information is needed to address this situation?” a dependent variable b independent variable c research objectives d research design ANS: C PTS: NAT: AACSB: Reflective Thinking REF: p 117 14 When a researcher determines what or who should provide the data and at what level of aggregation, he or she is determining the: a hypotheses b research questions c analysis technique d unit of analysis ANS: D PTS: NAT: AACSB: Reflective Thinking REF: p 119 15 Which of the following is a possible unit of analysis in a research study? a an employee b a sales region c a zip code area d all of the above ANS: D PTS: NAT: AACSB: Reflective Thinking REF: p 119 16 In research, anything that varies or changes from one instance to another is called a: a variable b constant c category d classification ANS: A PTS: NAT: AACSB: Reflective Thinking REF: p 119 17 Something that does not change from one instance to another is called a: a hypothesis b constant c variable d category ANS: B PTS: NAT: AACSB: Reflective Thinking REF: p 119 18 All of the following are types of variables EXCEPT: a continuous b categorical c constant d dependent © 2010 Cengage Learning All Rights Reserved May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part ANS: C PTS: NAT: AACSB: Reflective Thinking REF: p 119 19 A variable that can take on a range of values that correspond to some quantitative amount is called a: a categorical variable b continuous variable c classificatory variable d independent variable ANS: B PTS: NAT: AACSB: Reflective Thinking REF: p 119 20 What type of variable is "gender”? a continuous variable b primary variable c dependent variable d categorical variable ANS: D PTS: NAT: AACSB: Reflective Thinking REF: p 119 21 What type of variable is "dollar sales volume"? a continuous variable b independent variable c categorical variable d classificatory variable ANS: A PTS: NAT: AACSB: Reflective Thinking REF: p 119 22 In the statement: "Years of sales experience is an important variable in predicting unit sales performance," what type of variable is "years of experience"? a dependent variable b independent variable c categorical variable d classificatory variable ANS: B PTS: NAT: AACSB: Reflective Thinking REF: p 120 23 In the statement: "Years of sales experience is an important predictor of dollar sales performance," what type of variable is "dollar sales performance"? a dependent variable b categorical variable c classificatory variable d independent variable ANS: A PTS: NAT: AACSB: Reflective Thinking REF: p 120 24 Which of the following expresses the research objectives in terms of questions that can be addressed by research? a situation analysis b dependent variable c research question © 2010 Cengage Learning All Rights Reserved May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part d independent variable ANS: C PTS: NAT: AACSB: Reflective Thinking REF: p 121 25 A statement such as: "If we increase price five percent, sales will likely drop eight percent or more," is an example of a: a hypothesis b dependent variable c problem definition d research objective ANS: A PTS: NAT: AACSB: Reflective Thinking REF: p 122 26 A statement such as: "If our new soft drink reaches a local market share of one percent after nine months of test marketing the product in St Louis, we will launch the product nationally," is an example of a: a hypothesis b situation analysis c managerial action standard d problem definition ANS: C PTS: NAT: AACSB: Reflective Thinking REF: p 123 27 A written statement of the research design is called a: a research hypothesis b research proposal c research question d research summary ANS: B PTS: NAT: AACSB: Reflective Thinking REF: p 124 28 Sharon is a management professor who received a grant from the American Management Association to study how employees make decisions in cross-functional groups Sharon’s research is: a applied business research b dependent business research c funded business research d analytical business research ANS: C PTS: NAT: AACSB: Reflective Thinking REF: p 127 29 Tables placed in a research proposal that are exact representations of the actual tables that will show results in the final report but contain hypothetical results are called: a dummy tables b surrogate tables c interim tables d placeholder tables ANS: A PTS: NAT: AACSB: Reflective Thinking REF: p 127 © 2010 Cengage Learning All Rights Reserved May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part COMPLETION "What is to be measured in this research study?" is a fundamental question to ask at the stage of a research design ANS: problem definition PTS: REF: p 108 NAT: AACSB: Reflective Thinking A is a written expression of the key question(s) that a research user wishes to answer ANS: decision statement PTS: REF: p 108 NAT: AACSB: Reflective Thinking A preliminary study of background information that led up to the current situation is called a ANS: situation analysis PTS: REF: p 112 NAT: AACSB: Reflective Thinking is an interview technique that tries to draw deeper and more elaborate explanations from a discussion with a decision maker ANS: Probing PTS: REF: p 114 NAT: AACSB: Reflective Thinking Lance is studying consumers to determine how they decide to use credit in purchase situations In this case, consumers are the ANS: unit of analysis PTS: REF: p 119 NAT: AACSB: Reflective Thinking Anything that changes in value from one instance to another in a research study is called a(n) ANS: variable PTS: REF: p 119 NAT: AACSB: Reflective Thinking Age is an example of a type of variable ANS: continuous PTS: REF: p 119 NAT: AACSB: Reflective Thinking The variable that is measured to determine the outcome of the research process is called the variable ANS: dependent © 2010 Cengage Learning All Rights Reserved May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part PTS: REF: p 120 NAT: AACSB: Reflective Thinking The variable that is manipulated in an experiment to determine its effect on sales performance is known as the variable ANS: independent PTS: REF: p 120 NAT: AACSB: Reflective Thinking 10 The research objectives of a study are translated into research that can be answered by the research study ANS: questions PTS: REF: p 121 NAT: AACSB: Reflective Thinking 11 A performance criterion that expresses what a manager will if a criterion is achieved in a research study is called a ANS: managerial action standard PTS: REF: p 123 NAT: AACSB: Reflective Thinking 12 A written statement of the research design for a study is called the ANS: research proposal PTS: REF: p 124 NAT: AACSB: Reflective Thinking 13 Basic research usually performed by academic researchers and supported by some public or private institution is called business research ANS: funded PTS: REF: p 127 NAT: AACSB: Reflective Thinking 14 Tables in a research proposal which contain fictitious, but realistic, data of the likely outcome of the research study are referred to as tables ANS: dummy PTS: REF: p 127 NAT: AACSB: Reflective Thinking ESSAY Discuss factors that make defining problems more difficult ANS: Factors that make it more difficult to define problems include: (1) Situation frequency - recurring and/or routine situations allow easier problem definition and may even be automated through a company’s DSS © 2010 Cengage Learning All Rights Reserved May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part (2) Dramatic changes - it is easier to define the problem when a sudden change in the business situation takes place (3) How widespread are the symptoms? - the more scattered any symptoms are, the more difficult it is to put them together into some coherent problem (4) Symptom ambiguity - the higher the ambiguity, the more difficult it is to define the problem PTS: REF: pp 109-111 NAT: AACSB: Reflective Thinking| AACSB: Communication List the steps in the problem-definition process ANS: (1) Understand the business situation by identifying key symptoms (2) Identify key problem(s) from symptoms (3) Write managerial decision statement and corresponding research objectives (4) Determine the unit of analysis (5) Determine the relevant variables (6) Write research questions and/or research hypotheses PTS: REF: p 112 NAT: AACSB: Reflective Thinking| AACSB: Communication Compare and contrast continuous, categorical, dependent, and independent variables and give an example of each ANS: A variable is anything that varies or changes from one instance to another A continuous variable is one that can take on a range of values that correspond to some quantitative amount Age, sales, or satisfaction are examples Categorical variables (also called classificatory variables) indicate membership in some group For example, male/female; freshman, sophomore, junior, or senior A dependent variable is a process outcome or a variable that is predicted and/or explained by other variables An independent variable is one that is expected to influence the dependent variable in some way For example, advertising expenditures (independent variable) might influence sales (dependent variable) Independent and dependent variables can be continuous variables or categorical variables PTS: REF: pp 119-120 NAT: AACSB: Reflective Thinking| AACSB: Communication Explain the difference between research questions and hypotheses ANS: Research questions express the research objectives in terms of questions that can be addressed by research For example, a research question might be “Are consumers’ perceptions of food quality, price, and atmosphere related to customer loyalty?” Hypotheses are more specific than research questions One key distinction between research questions and hypotheses is that hypotheses can generally specify the direction of a relationship For example, a hypothesis might be stated as, “Food quality perceptions are related positively to customer commitment toward a restaurant.” At times, a researcher may suspect that two variables are related but have insufficient theoretical rationale to support the relationship as positive or negative In this case, hypotheses cannot be offered At times in research, particularly in exploratory research, a proposal can only offer research questions Research hypotheses are much more specific and therefore require considerably more theoretical support In addition, research questions are interrogative, whereas research hypotheses are declarative © 2010 Cengage Learning All Rights Reserved May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part PTS: REF: p 121 NAT: AACSB: Reflective Thinking| AACSB: Communication What is a research proposal and how is it useful for both the researcher and the client? ANS: The research proposal is a written statement of the research design It includes a statement explaining the purpose of the study (in the form of research objectives or deliverables) and a definition of the problem, often in the form of a decision statement It outlines the particular research methodology and details procedures that will be used during each stage of the research process Normally a schedule of costs and deadlines is included It becomes the primary communication document between the researcher and the research user A research proposal is useful to both the researcher and the client in two ways: (1) Planning tool - forces the researcher to think critically about each stage of the research process Research clients evaluate the proposed study with particular emphasis on whether or not it will provide useful information and whether it will so within a reasonable budget It helps managers decide if the proper information will be obtained and if the proposed research will accomplish what is desired (2) Contract - serves as the researcher’s bid to offer a specific service Both the researcher and client should sign the proposal indicating agreement on what will be done Thus, it is a record of the researcher’s obligations and provides a standard for determining whether the actual research was conducted as originally planned PTS: REF: pp 124-127 NAT: AACSB: Reflective Thinking| AACSB: Communication © 2010 Cengage Learning All Rights Reserved May not be scanned, copied or duplicated, or posted to a publicly accessible website, in whole or in part  ... EXCEPT: a actual business performance is less than possible business performance b actual business performance is greater than expected business performance c actual business performance is worse... actual business performance is worse than expected business performance d expected business performance is greater than possible business performance ANS: B PTS: NAT: AACSB: Reflective Thinking REF:... "Years of sales experience is an important predictor of dollar sales performance, " what type of variable is "dollar sales performance" ? a dependent variable b categorical variable c classificatory