Example Business Decision Situations, Corresponding
Research Hypotheses, and Variable Descriptions
Dependent variable (DV)
– Is of primary interest to the researcher. The goal of the research
project is to understand, predict or explain the variability of this
Independent variable (IV)
– Influences the DV in either positive or negative way. The variance
in the DV is accounted for by the IV.
Writing Research Objectives and
– Express the research objectives in terms of questions that can
be addressed by research.
– Help to develop well-formulated, specific hypotheses that can be
– Help the researcher design a study that will produce useful
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Clarity in Research Questions and
– The researcher’s translation of the problem into a specific
• Provide input that can be used as a standard for selecting from among
– Statements that can be empirically tested.
• State what is expected to be found through the study.
Managerial Action Standard
– A specific performance criterion upon which a decision can be
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Research Propositions and
– Statements explaining the logical linkage among certain
concepts by asserting a universal connection between
• Example: Treating employees better will make them more loyal
– Formal statement of an unproven proposition that is
• Example: Giving employees one Friday off each month will result in
lower employee turnover.
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Hypotheses Are the Empirical
Counterparts of Propositions
– Examining a research hypothesis against reality using data.
– Anything that may assume different numerical values.
– The empirical assessment of a concept.
– The process of identifying the actual measurement scales to
asses the variables of interest.
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A proposition that is empirically testable. It is an empirical
statement concerned with the relationship among
– Must be adequate for its purpose
– Must be testable
– Must be better than its rivals
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Statement of Hypotheses: formats
Hypotheses can be set either as propositions or in the
form of if-then statements.
– Employees who are more healthy will take sick leave less
– If employees are more healthy, then they will take sick leave
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Directional and nondirectional
Directional hypotheses: the direction of the relationship
between the variables (positive / negative) is indicated
– The greater the stress experienced in the job, the lower the job
satisfaction of employees
– Women are more motivated than men
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Directional and nondirectional
Nondirectional hypotheses: the direction of the
relationship between the variables is not indicated
– There is a relationship between age and job satisfaction
– There is a difference between the work ethic values of European
and Asian employees
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Create diagrams to illustrate the following relationships:
1) A manager believes that good supervision and training
will increase the production level of the workers
2) A marketing manager believes that selecting
physically attractive spokespersons and models to
endorse their products increases the persuasiveness
of a message
3) A store manager feels that lucrative wage during
festive seasons will make the employees happy