Research Methods for

Business
A Skill Building Approach
Eighth Edition

1
 Chapter 15

Quantitative Data Analysis

2
Getting the Data Ready for
Analysis
 Data coding: assigning a number to the
participants’ responses so they can be entered into
a database.

 Data Entry: after responses have been coded, they

can be entered into a database. Raw data can be
entered through any software program (e.g.,
SPSS)
 Editing Data

 An example of an illogical response is an outlier response.

An outlier is an observation that is substantially different
from the other observations.

 Inconsistent responses are responses that are not in

harmony with other information.

 Illegal codes are values that are not specified in the coding
instructions.
Transforming Data
Getting a Feel for the
Data
Frequencies
 Descriptive Statistics:
Central Tendencies and
Dispersions
Reliability Analysis
 Chapter 16

Quantitative Data Analysis: Hypothesis

Testing

10
 Type I Errors, Type II
Errors and Statistical
Power
 Type I error (): the probability of rejecting the
null hypothesis when it is actually true.

 Type II error (): the probability of failing to

reject the null hypothesis given that the alternative
hypothesis is actually true.

 Statistical power (1 - ): the probability of

correctly rejecting the null hypothesis.
Choosing the Appropriate
Statistical Technique
 Testing Hypotheses on a
Single Mean
 One sample t-test: statistical technique that is used
to test the hypothesis that the mean of the
population from which a sample is drawn is equal
to a comparison standard.
 Testing Hypotheses about
Two Related Means
 Paired samples t-test: examines differences in
same group before and after a treatment.
 The Wilcoxon signed-rank test: a non-parametric
test for examining significant differences between
two related samples or repeated measurements on
a single sample. Used as an alternative for a paired
samples t-test when the population cannot be
assumed to be normally distributed.
 Testing Hypotheses about
Two Related Means - 2
 McNemar's test: non-parametric method used on
nominal data. It assesses the significance of the
difference between two dependent samples when
the variable of interest is dichotomous. It is used
primarily in before-after studies to test for an
experimental effect.
 Testing Hypotheses about
Two Unrelated Means
 Independent samples t-test: is done to see if there
are any significant differences in the means for
two groups in the variable of interest.
 Testing Hypotheses about
Several Means
 ANalysis Of VAriance (ANOVA) helps to
examine the significant mean differences among
more than two groups on an interval or ratio-
scaled dependent variable.
 Regression Analysis
 Simple regression analysis is used in a situation
where one metric independent variable is
hypothesized to affect one metric dependent
variable.
 Scatter plot
100

80
LKLHD_DATE

60

40

20

30 40 50 60 70 80 90
PHYS_ATTR
 Simple Linear
Regression
Yi   0   1  X i   i

ˆ1  `0
̂0
1

̂ 0

X
Ordinary Least Squares
Estimation
n
Minimize e
i 1
2
i

Yi
ei
ˆi
Y

Xi
 SPSS
Analyze  Regression  Linear

Model Summary

Adjusted Std. Error of

Model R R Square R Square the Estimate
1 .841 .707 .704 5.919

ANOVA

Sum of
Model Squares df Mean Square F Sig.
1 Regression 8195.319 1 8195.319 233.901 .000
Residual 3398.640 97 35.038
Total 11593.960 98
 SPSS cont’d

Coefficients

Unstandardized Standardized
Coefficients Coefficients
Model B Std. Error Beta t Sig.
1 (Constant) 34.738 2.065 16.822 .000
PHYS_ATTR .520 .034 .841 15.294 .000
 Model validation
1. Face validity: signs and magnitudes make sense
2. Statistical validity:
– Model fit: R2
– Model significance: F-test
– Parameter significance: t-test
– Strength of effects: beta-coefficients
– Discussion of multicollinearity: correlation matrix
3. Predictive validity: how well the model predicts
– Out-of-sample forecast errors
 SPSS

Model Summary

Adjusted Std. Error of

Model R R Square R Square the Estimate
1 .841 .707 .704 5.919
 Measure of Overall Fit:
R2
 R2 measures the proportion of the variation in y that is explained
by the variation in x.

 R2 = total variation – unexplained variation

total variation

 R2 takes on any value between zero and one:

– R2 = 1: Perfect match between the line and the data points.
– R2 = 0: There is no linear relationship between x and y.
 SPSS

Model Summary

Adjusted Std. Error of

Model R R Square R Square the Estimate
1 .841 .707 .704 5.919

= r(Likelihood to Date, Physical Attractiveness)

 Model Significance
 H0: 0 = 1 = ... = m = 0 (all parameters are zero)

H1: Not H0
 Model Significance
 H0: 0 = 1 = ... = m = 0 (all parameters are zero)

H1: Not H0

 Test statistic (k = # of variables excl. intercept)

F = (SSReg/k) ~ Fk, n-1-k

(SSe/(n – 1 – k)

SSReg = explained variation by regression

SSe = unexplained variation by regression
 SPSS

ANOVA

Sum of
Model Squares df Mean Square F Sig.
1 Regression 8195.319 1 8195.319 233.901 .000
Residual 3398.640 97 35.038
Total 11593.960 98
 Parameter significance
 Testing that a specific parameter is significant (i.e., j  0)

 H0: j = 0
H1: j  0

 Test-statistic: t = bj/SEj ~ tn-k-1

with bj = the estimated coefficient for j

SEj = the standard error of bj
 SPSS cont’d

Coefficients

Unstandardized Standardized
Coefficients Coefficients
Model B Std. Error Beta t Sig.
1 (Constant) 34.738 2.065 16.822 .000
PHYS_ATTR .520 .034 .841 15.294 .000
 Conceptual Model

+
Physical Likelihood
Attractiveness to Date
 Multiple Regression
Analysis
 We use more than one (metric or non-metric)
independent variable to explain variance in a
(metric) dependent variable.
 Conceptual Model

Perceived
Intelligence +

+
Physical Likelihood
Attractiveness to Date
 Model Summary

Adjusted Std. Error of

Model R R Square R Square the Estimate
1 .844 .712 .706 5.895

ANOVA

Sum of
Model Squares df Mean Square F Sig.
1 Regression 8257.731 2 4128.866 118.808 .000
Residual 3336.228 96 34.752
Total 11593.960 98

Coefficients

Unstandardized Standardized
Coefficients Coefficients
Model B Std. Error Beta t Sig.
1 (Constant) 31.575 3.130 10.088 .000
PERC_INTGCE .050 .037 .074 1.340 .183
PHYS_ATTR .523 .034 .846 15.413 .000
 Conceptual Model

Gender
Perceived
Intelligence + +

+
Physical Likelihood
Attractiveness to Date
 Moderators
 Moderator is qualitative (e.g., gender, race, class) or quantitative
(e.g., level of reward) that affects the direction and/or strength of the
relation between dependent and independent variable

 Analytical representation

Y = ß 0 + ß 1X1 + ß 2X2 + ß 3X1X2

with Y = DV
X1 = IV
X2 = Moderator
 Model Summary

Adjusted Std. Error of

Model R R Square R Square the Estimate
1 .910 .828 .821 4.601

ANOVA

Sum of
Model Squares df Mean Square F Sig.
1 Regression 9603.938 4 2400.984 113.412 .000
Residual 1990.022 94 21.170
Total 11593.960 98
 Coefficients

Unstandardized Standardized
Coefficients Coefficients
Model B Std. Error Beta t Sig.
1 (Constant) 32.603 3.163 10.306 .000
PERC_INTGCE .000 .043 .000 .004 .997
PHYS_ATTR .496 .027 .802 18.540 .000
GENDER -.420 3.624 -.019 -.116 .908
PI_GENDER .127 .058 .369 2.177 .032

interaction significant effect on dep. var.

 Conceptual Model

Gender
Perceived
Intelligence + +

+
Physical Likelihood
Attractiveness to Date

+
Communality of +
Perceived Fit
Interests
 Mediating/intervening

variable
Accounts for the relation between the independent and dependent
variable

 Analytical representation
1. Y = ß0 + ß 1X
=> ß1 is significant

2. M = ß2 + ß 3X
=> ß3 is significant

3. Y = ß 4 + ß 5X + ß 6M
=> ß5 is not significant
=> ß6 is significant With Y = DV
X = IV
M = mediator
 Step 1

Mode l S umm ary

Adjus ted St d. Error of

Model R R Square R Square the E stimate
1 .963 .927 .923 3. 020

ANOVA

Sum of
Model Squares df Mean Square F Sig.
1 Regression 10745.603 5 2149.121 235.595 .000
Residual 848.357 93 9.122
Total 11593.960 98
 Step 1 cont’d

Coefficients

Unstandardized Standardized
Coefficients Coefficients
Model B Std. Error Beta t Sig.
1 (Cons tant) 17.094 2.497 6.846 .000
PERC_INTGCE .030 .029 .044 1.039 .301
PHYS_ATTR .517 .018 .836 29.269 .000
GENDER -.783 2.379 -.036 -.329 .743
PI_GENDER .122 .038 .356 3.201 .002
COMM_INTER .212 .019 .319 11.187 .000

significant effect on dep. var.

 Step 2

Mode l S umm ary

Adjus ted St d. Error of

Model R R Square R Square the E stimate
1 .977 .955 .955 2. 927

ANOVA

Sum of
Model Squares df Mean Square F Sig.
1 Regression 17720.881 1 17720.881 2068.307 .000
Residual 831.079 97 8.568
Total 18551.960 98
 Step 2 cont’d

Coefficients

Unstandardized Standardized
Coefficients Coefficients
Model B Std. Error Beta t Sig.
1 (Cons tant) 8.474 1.132 7.484 .000
COMM_INTER .820 .018 .977 45.479 .000

significant effect on mediator

 Step 3

Mode l S umm ary

Adjus ted St d. Error of

Model R R Square R Square the E stimate
1 .966 .934 .930 2. 885

ANOVA

Sum of
Model Squares df Mean Square F Sig.
1 Regression 10828.336 6 1804.723 216.862 .000
Residual 765.624 92 8.322
Total 11593.960 98
 Step 3 cont’d

Coefficients

Unstandardized Standardized
Coefficients Coefficients
Model B Std. Error Beta t Sig.
1 (Cons tant) 14.969 2.478 6.041 .000
PERC_INTGCE .019 .028 .028 .688 .493
PHYS_ATTR .518 .017 .839 30.733 .000
GENDER -2.040 2.307 -.094 -.884 .379
PI_GENDER .142 .037 .412 3.825 .000
COMM_INTER -.051 .085 -.077 -.596 .553
PERC_FIT .320 .102 .405 3.153 .002

insignificant effect of indep. var on dep. Var.

significant effect of mediator on dep. var.
 Chapter 17

Qualitative Data Analysis

49
 Qualitative Data
 Qualitative data: data in the form of words.

 Examples: interview notes, transcripts of focus

groups, answers to open-ended questions,
transcription of video recordings, accounts of
experiences with a product on the internet, news
articles, and the like.
 Analysis of Qualitative
Data
 The analysis of qualitative data is aimed at making
valid inferences from the often overwhelming
amount of collected data.

 Steps:
– data reduction
– data display
– drawing and verifying conclusions
 Data Reduction
 Coding: the analytic process through which the
qualitative data that you have gathered are
reduced, rearranged, and integrated to form
theory.

 Categorization: is the process of organizing,

arranging, and classifying coding units.
 Data Display
 Data display: taking your reduced data and
displaying them in an organized, condensed
manner.

 Examples: charts, matrices, diagrams, graphs,

frequently mentioned phrases, and/or drawings.
 Drawing Conclusions
 At this point where you answer your research
questions by determining what identified themes
stand for, by thinking about explanations for
observed patterns and relationships, or by making
contrasts and comparisons.
 Reliability in Qualitative
Research
 Category reliability “depends on the analyst’s
ability to formulate categories and present to
competent judges definitions of the categories so
they will agree on which items of a certain
population belong in a category and which do
not.” (Kassarjian, 1977, p. 14).
 Interjudge reliability can be defined degree of
consistency between coders processing the same
data (Kassarjian 1977).
 Validity in Qualitative
Research
 Validity refers to the extent to which the
qualitative research results:
– accurately represent the collected data (internal
validity)
– can be generalized or transferred to other contexts or
settings (external validity).