1-1

Chapter 1
Research
in Business

1-2

Learning Objectives
Understand . . .
what business research is and how it differs from
business decision support systems and business
intelligence systems
trends affecting business research and the
emerging hierarchy of business decision makers
the distinction between good business research
and research that falls short of professional quality
the value of learning business research
process skills

1-3

Why Study
Business Research?

Business
research provides
information to
guide business
decisions

1-4

Business Research
Defined
A process of determining, acquiring,
analyzing, synthesizing, and disseminating
relevant business data, information, and
insights to decision makers in ways that
mobilize the organization to take
appropriate business actions that,
in turn, maximize business performance

1-5

Studying Business
Research
New
Research
Perspectives

Growth of
Internet

Stakeholder
Influence

Greater
Computing
Power
Business as a
discipline

Factors
Complex
Decisions

Competition
Government
Intervention

1-6

Computer Advances

Data warehousing
Storing vast amounts
of data in electronic
storehouses

Data mining
Applying
mathematical models
to extract meaningful
knowledge from data
in internal databases

1-7

Business Planning Drives

Business Research

Organizational
Mission

Business
Goals

Business
Strategies

Business
Tactics

1-8

Information Sources
Decision Support
Systems
Numerous elements of
data organized for
retrieval and use in
business decision making
Stored and retrieved via
Intranets
Extranets

Business Intelligence
Systems
Ongoing information
collection
Focused on events,
trends in micro and
macro-environments

1-9

Exhibit 1-1 Sources of

Business Intelligence
Government/
Regulatory

Competitive

Economic

Demographic

Business
Intelligence

Technological

Cultural/
Social

1-10

Business Tactics and

Research
Hagen-Dazs Tactics
Super premium
Dozens of flavors
Small packages
Signature colors on
packaging
Available in franchise
and grocery stores

1-11

Exhibit 1-2 Hierarchy of

Business Decision Makers

Visionaries
Visionaries

Standardized
Decision Makers

Intuitive Decision Makers

1-12

Research May Be
Unnecessary
Can information be applied to a critical
decision?
Does it improve managerial decisionmaking?
Are sufficient resources available?

1-13

Information Value Chain

Data collection/
transmission

Data
management
Characteristics

Decision
support systems

Data
interpretation
Models

1-14

Exhibit 1-8 Characteristics

of Good Research
Clearly defined purpose
Detailed research process
Thoroughly planned design

High ethical standards

Limitations addressed
Adequate analysis
Unambiguous presentation
Conclusions justified
Credentials

1-15

Exhibit 1-4 Who Conducts

Business Research?

Internal

External

1-16

Exhibit 1-4
Business Research Suppliers

External Research Suppliers

Business Research Firms
Communication Agencies
Consultants
Trade Associations

1-17

Business Research Firms

Business Research Firms

Full Service

Specialists

Custom

Methods

Proprietary

Syndicated
Data
Other

1-18

Specialty Business
Research Firms

Methodology
Process
Industry
Participant group
Geographic Region

1-19

Consultants and
Trade Associations
Consultants
Business
General Business

Trade Associations
General business
Business
specialties
Research
specialties

1-20

Trade Associations
NHRA

CASRO
MRA
ESOMAR
BRA
AMA
WAOBRP
MPA

NAB

1-21

Exhibit 1-4 Who Conducts

Research?