Internationa Business
Research
CHAPTER 1
• ResearchL simply the process of finding solutions to a problem after a thorough
study and analsys of situational factors. Along these lines, people constantly
engage themselves in exploring and examining issues- and hence are involved
in some form of research activity.
• Research in some other form many help managers in organization to make
decision at the workplace.
• The difference between making good decision and committing blunders often
lies in how we go about the decision-making process.
• Business research can be described as a systematic and organized effort to
investigate a specific problem encountered in the work setting, which needs a
solution. It comprises a series of steps that are designed and executed with the
goal of finding answers to the issues that are of concern to the manager in the
work environment.
• First step in research is to know where the problem areas extist in the
organization
• The entire process by which we attempt to solve problems is called research.
These processes have to be carried out systematically, diligently, critically,
objectively and logically.
—> business research: is an organized, systematic, data-based, critical,
objective, inquiry or investigation into a specific problem, undertaking with the
purpose of finding answers or solutions to it. Research provides the necessary
information that guides managers to make informed decision to successfully deal
with problems.
• primary data: first hand data
• Secondary data: that are already available
• Quantitative: numbers
• Qualitative: in the form of words.
• there are different types of questions research projects can address and there
are many different approaches to collecting and analyzing different types of
data.
Building theory
To test a theory
To describe what is going on
• theory: a certain phenomenon and the idea is that this explanation will hold in
a wide range of settings (scientists)
1. in accounting: budget control systems, practices and procedures
2. Finance: the operations of financial institutions, optimum financial ratios,
mergers and acquisitions, leveraged buyouts, intercorporatie financing, yield
on mortgages, the behavior of stock exchange, the influence of psychology on
the behavior of financial practitioners and the subsequent effect on markets.
3. Management: the study of employees attitudes and behaviors, human
resources, the impact of changing demographics on management practices,
, production operations management, strategy formulation, information
systems.
4. Marketing: issues pertaining to customer decision making, customer
satisfaction and loyalty, market segmentation, creating a competitive
advantage, product image, advertising, sales promotion, marketing channel
management, pricing, new product development, and other marketing aspects.
• research can be undertaken for two different purposes
• To solve a problem faced by the manager in the work setting, demanding a
timely decision—> applied research (page 6 voor voorbeelden)
• To generate a body of knowledge by trying to comprehend how certain
problems that occur in the organization can be solved —> basic, fundamental
or pure research.
• the primary purpose of conducting basic research is to generate more
knowledge and understanding of the phenomena of interest and to build
theories based on the research results.
• The main distinction between applied and basic business research is that the
formed is specifically aimed at solving a currently experiences problem within a
specific organisation, whereas the latter has to broader objective of generating
knowledge and understanding of phenomena and problems that occur in
various organizational settings.
- a grasp of research methods enables managers to understand, predict and
control their environment.
• being knowledgeable about research and research methods helps professional
managers to:
• Identify and effectively solve minor problems in the work setting
• Know how to discriminate good from bad research
• Appreciate and be constantly aware of multiple influences and multiple effect
of factors impinging on a situation
• Take calculated risks in decision making, knowing full well the probabilities
associated with the different possible outcomes
• Prevent pssobiel vested interest from exercising their influence in a situation
• Relate to hired researchers and consultants more effectively
• Combine experience with scientific knowledge while making decisions.
• the management service department, organization and method department,
R&D: the own consulting or research department of some organizations.
—> internal consultants of the organization: they face certain problems and feel
help. It is useful in several ways, and enlisting its help might be advancingeous
under some circumstances but not others.
1. the advantageous of internal consultants/ researches:
• The internal team stands a better chance of being readily accepted by the
employees in the subunit of the organization where research needs to be
done
• The team requires much less time to understand the structure, the philosophy
and climate and the functioning and work systems of the organization.
• They are available to implement their recommendations after the research
finding have been accepted
• The internal team might cost considerable less than an external team. They
will need less time to understand the system.
, 1. disadvantages of internal consultants/ researches:
• In view of their long venture as internal consultants, the internal team may
quite possibly fall into a stereotyped way of looking at the organization an its
problems
• There is a scope of certain powerful coalitions in the organization to influence
the internal team to conceall, distort or misrepresent certain facts.
• There is a possibility that event the most highly qualified internal research
team are not perceived as experts by the staff and management, and hence
their recommendations may not get the consideration and attention they
deserve.
• Certain organizational biases of the internal research team might, in some
instances, make the findings less objective and consequently less scientific.
• the advantages of external consultants/ researchers:
1. They can draw on a wealth of experience from having worked with different
types of organizations that have had the same or similar problems. They think
conversantly and divergently.
2. The external team might have more knowledge of current sophisticated
problem-solving models through their periodic training programs, which the
teams within the organization may not have access to.
• disadvantages of external consultants/ researchers
• The cost of hiring an external team is usually high and is the main deterrent,
unless the problem is critical
• In addition to the considerable time the external team takes to understand
the organization being researched, they seldom get a warm welcome, nor are
readily accepted by employees.
• The external team also charges additional fees for their assistance in the
implementation and evaluation phases.
1. managers are responsible for the final outcome by making the right decisions
at work. This is greatly facilitated by research knowledge. Ig also helps to
facilitate effective interactions with consultants and comprehension of the
nuances of the research process.
2. Ethics: a code of conduct or expected societal norms of behaviors while
conducting research. Ethical conduct applies to the organization and the
members that sponsor the research, the researchers who undertake the
research and the respondents who provide them with the necessary ata.
Steps of the research process
• Data collection
• Data analysis
• Reporting
• Dissemination of information on the internet
There are business journals such as the journal of business ethics and the
business ethics quarterly that are mainly devoted to the issue of ethics in
business.
CHAPTER 2
• Managers frequently faces issues that call for critical decision making.
Managerial decision based on the results of good research tend to be effective.
