WRITTEN AND VIDEO CASESCases provide an alternative to a project emphasis and offer a hands-on supplement to the Discussion Questions, Close-Ups, Bringing Research to Life, Snapshots, and Classic and Contemporary Readings !e enjoy case use and find that it enlivens evening and "ee#end courses as "ell as other course structures that have longer session duration $lso, many instructors use cases to augment or replace projects Some instructors also find cases an e%cellent evaluation e%ercise, using them to replace multiple choice tests &he ninth edition of Business Research Methods contains 'oth "ritten and video cases (our ne" video cases, prepared 'y the te%t authors, appear on the video cassette )leven ne" "ritten cases, as "ell as several smaller "ritten cases from the "or# of other *r"in+,c-ra"-.ill authors/ Bryant and Smith 0 Practical Data Analysis: Case Studies in Business Statistics); Dillon, ,adden, and (irtle 0Marketing Research in a Marketing Environment, third edition, *r"in, 122345 and, one case from Siegel 0Practical Business Statistics, third edition, *r"in, 12264 7ideo cases and cases "ith data sets are indicated "ith special icons in the te%t case section at the end of each chapter &he majority of the cases have data sets that add further integration to the learning o'jectives 'y connecting statistical tools to concept understanding Video Cases by Chapter Use Video Titles 1 8 9 3 : ; 6 < 2 1= 11 18 19 13 1: 1; 16 1< 12 8= 81 Covering >ids "ith .ealth Care X X X X X Cummins )ngines X X X Data Development Corporation X X X X )ndries (asteners X X X )nvirosell, *nc -oodyear?s $@uatred X X X X Aohn Deere and Company X >BSD San Diego X X X X X X Le%us SC 39= X X X Cut'oard ,arine Corporation X X X X De''le Beach Co X X X X X X X Star'uc#s, Ban# Cne, and 7isa Launch Star'uc#s Card Duetto 7isa X X X X US&$/ Come Cut S"inging X X X X X X X X X 7ol#s"agen?s Beetle X X X X 1 Written Cases by Chapter Use Written Titles 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 $ -), of a Study X X X X X $gri Comp X X X $*DS Rates for (emales X BBQ Droducts Crosses Cver the Lines of 7aried &astes X X X Calling up attendance X X X X X Camp'ell-)"ald Dumps $"areness into the $merican .eart $ssociation X X Camp'ell-)"ald/ R-)-S- D-)-C-& Spells Loyalty X X X X X Can Research Rescue the Red Cross X X X Can the Study Be SavedE X X Covering >ids "ith .ealth Care X X X Donatos/ (inding the Be" DiFFa X X X X X X X X .ealthy Lifestyles X .eroBuilderscom X X X X X .i&ech )ngineering X *n@uiring minds "ant to #no"--BC!G X X X X X X X X X X X ,astering &eacher Leadership X X X X X X X X X X X X ,atching !its "ith Aason on Sampling &heory X ,cDonaldHs &ests Catfish Sand"ich X X X X ,edical La'oratories X BCRCC/ &eeing up a Be" Strategic Direction X X X X X X X X X X X X X X BetConversions *nfluences >elley Blue Boo# X X X X Cpen Doors/ )%tending .ospitality to &ravelers "ith Disa'ilities X X X Cverdue Bills X X Derformance )valuations X X X Ramada Demonstrates its Dersonal Best X X X X X X X X Retailers Unhappy "ith Displays from ,anufacturer X X X X Ru''ergate X State (arm/ Dangerous *ntersections X X X X X X Written Titles (cont) 1 8 9 3 : ; 6 < 2 1= 11 18 19 13 1: 1; 16 1< 12 8= 81 Sturgel Division X X X 8 &he BraFing Cperation X X &he Catalyst for !omen in (inancial Services X X X X X X X X &-Shirt Designs X X X US&$/ Come Cut S"inging X X X X X X 7iolence on &7 X X !aste Daper X X Iero% $'uses X X JahooG/ Consumer Direct ,arries Durchase ,etrics to Banner $ds X X X X Teaching Tips &he videos accompanying this te%t "ere selected for discussion of the concepts in Business Research Methods 2th edition )ach video synopsis that follo"s highlights ho" that video might 'e used, as "ell as descri'ing the video and identifying the principals spea#ing on the videos &he videos offer e%amples from 'oth consumer goods and services and industrial goods companies !ith video lengths ranging from 1=-16 minutes, each video is designed to 'e discussed "ithin a one-class format *f you have not previously used video cases in teaching Business Research Methods, the follo"ing ideas suggest "ays you might use the accompanying video cases (or an INDIVIDUAL EXERCISE OR ASSIGNMENT/ • Sho" the video during or outside of class, possi'ly through a campus ca'le net"or# or at assigned times during several days prior to the case discussion • $ssign a series of 'ac#ground and analytical @uestions for "hich the student must prepare ans"ers • Questions may include/ • !hat are the 'ac#ground facts relating to the caseE • .o" does the management!research "uestion hierarchy apply to the video caseE • .o" are one or more distinct te%t concepts relevant to the caseE • .o" do the various concepts interrelate to each other "ithin the caseE • !hich concepts might 'e applied differently if the video-case firm "ere a different type of organiFation or in a different stage of development or facing a different management pro'lemE • During the su'se@uent class, select an individual to ans"er each @uestion, "ith one or more additional students chosen to contri'ute further detail or analysis to the initial student?s ans"er • ,ove progressively from case fact or definition @uestions to analytical @uestions that tie case facts to the te%t concepts • Sho" the video during class • $ssign each student the responsi'ility for focusing on ho" one or more distinct te%t concepts are relevant to the case • $ssign each student a set of analytical @uestions that form the foundation of the su'se@uent discussion • Jou can assign more than one student to each concept • $llo" students appro%imately 1= minutes follo"ing the video to draft ans"ers to the @uestion set • Call on individual students to present their ans"ers to the assigned @uestions, "ith additional students called to develop a full understanding of an appropriate ans"er to each @uestion 9 (or a TEAM EXERCISE/ • Divide the class into teams/ • Sho" the video outside of class, possi'ly through a campus ca'le net"or# or at assigned times during several days prior to the case discussion • $ssign each team the responsi'ility for discussing a series of analytical @uestions • Jou can assign each team 'ac#ground @uestions, as "ell as analytical @uestions • Jou can assign each team the same or different @uestions • .ave each team select a spo#esperson to present that team?s analysis • Sho" the video during class • $ssign each team the responsi'ility for discussing a series of @uestions • Questions may include/ • !hat are the 'ac#ground facts relating to the caseE • .o" does the management!research "uestion hierarchy apply to the video caseE • .o" are one or more distinct te%t concepts relevant to the caseE • .o" do the various concepts interrelate to each other "ithin the caseE • !hich concepts might 'e applied differently if the video-case firm "ere a different type of organiFation or in a different stage of development or facing a different management pro'lemE • Jou can assign each team the same or different @uestions • .ave each team select a spo#esperson to resent that team?s analysis (or a COMBINATION e%ercise/ • $ssign a series of 'ac#ground and analytical @uestions for "hich the student must prepare ans"ers • Questions may include/ • !hat are the 'ac#ground facts relating to the caseE • .o" does the management!research "uestion hierarchy apply to the video caseE • .o" are one or more distinct te%t concepts relevant to the caseE • .o" do the various concepts interrelate to each other "ithin the caseE • !hich concepts might 'e applied differently if the video-case firm "ere a different type of organiFation or in a different stage of development or facing a different management pro'lemE • Sho" the video outside of class, possi'ly through a campus ca'le net"or# or at assigned times during several days prior to the case discussion • During the su'se@uent class session/ • Divide the students into teams • $ssign each team the responsi'ility of developing a full analysis of the @uestions • .ave each team select a particular individual to share the team?s analysis for each @uestion • )very student in the team should serve as team spo#esperson for at least one @uestion • Conduct a class discussion of the @uestions su'se@uent to this team discussion • Start the discussion of each @uestion "ith a different team, "ith a spo#esperson from each of the other teams contri'uting further detail or an alternative analysis to the initial team?s ans"er • ,ove progressively from case fact or definition @uestions to analytical @uestions that tie case facts to the te%t concepts and each other 3 Video Cases Coering !ids "ith #ealth Care Duration/ 1; minutes #o"$When Use% • &o discuss the ,anagement-Research Question .ierarchy • &o discuss multi-stage research design • &o discuss e%ploration as a critical research step • &o discuss sampling design o Sampling frame o Screening of participants • &o discuss ho" research findings "ere incorporated into mar#eting materials Co&pany 'ac(gro)nd Robert Wood 1ohnson Foundation: &his health care philanthropic organiFation, among is 'roader mission, see#s to improve the health and health care of all $mericans 'y assuring that all $mericans have access to @uality health care at reasona'le cost *t supports training, education, research 0e%cluding 'iomedical research4, and projects that demonstrate the effective delivery of health care services Rather than paying for individual care, it concentrates on improving the effectiveness of health care systems and the conditions that promote 'etter health Wirthlin Worldwide is a full-service research organiFation Communication strategy development and consulting is one of its core competencies *t serves as a strategic partner to corporations and their agencies on the full process of advertising+pu'lic relations development and evaluation GMMB is a full-service advertising agency "ith special e%pertise in "or#ing "ith non-profit organiFations Co&pany UR*s% Ro'ert !ood Aohnson (oundation/ """+r",-+org !irthlin !orld"ide/ """+"irthlin+co& -,,B/ """+g&&b+co& $dvertising Research (oundation 0$R(4/ """+ar-site+org Video Content and Disc)ssion% &his video descri'es the research done 0focus groups, survey, ad testing4 to increase enrollment in the federal governmentHs SC.*D program ,anaged at the state level, the State ChildrenHs .ealth *nsurance Drogram provides 'asic health coverage for the children of the nationHs "or#ing poor Research 'y !irthlin !orld"ide needed to discover "hy families "ho "ere eligi'le for the assistance "erenHt enrolling $n early, une%pected finding 0that "or#ing families thought they "erenHt eligi'le 'ecause they "ere "or#ing and earning money4 changed the direction of the campaign &he findings "ere used 'y -,,B, *nc to develop a major advertising and pu'lic relations initiative to increase enrollment "hich "as @uite successful &he initial "ave of the campaign resulted in the enrollment of more than one million eligi'le families Be" research "as planned and might no" 'e availa'le to prove the continuing success of the multi-year campaign &he research and su'se@uent mar#eting campaign "ere sponsored 'y the Ro'ert !ood Aohnson (oundation Video Presenters: • Stuart Schear, Senior Communications Cfficer, Ro'ert !ood Aohnson (oundation • David Richardson, Dresident !irthlin !orld"ide • David Smith, Dartner, -,,B • Aean Statler, Senior 7D, !irthlin !orld"ide • $nnie Burns, Senior Dartner, -,,B • ,aury -iles, Senior Research )%ecutive, !irthlin !orld"ide Video Content: : Issues Video Content !hat is the SC.*D Drogram and "hen "as the la" passed that ena'led the programE • State ChildrenHs .ealth *nsurance Drogram 0SC.*D4 "as created 'y &itle II* of the (ederal Balanced Budget $ct of 1226 *t is jointly financed 'y the (ederal and State governments and is administered 'y the States !ithin 'road (ederal guidelines, each State determines the design of its program, eligi'ility groups, 'enefit pac#ages, payment levels for coverage, and administrative and operating procedures SC.*D provides a capped amount of funds to States on a matching 'asis for (ederal fiscal years 0(J4 122< through 8==6 (ederal payments under title II* to States are 'ased on State e%penditures under approved plans effective on or after Ccto'er 1, 1226 !hat is Ro'ert !ood Aohnson (oundationE !hy "as Ro'ert !ood Aohnson (oundation "illing to sponsor the researchE • R!A( is a health care philanthropic organiFation that see#s to improve the health and health care of all $mericans 'y assuring that all $mericans have access to @uality health care at reasona'le cost !hat is the management dilemma driving the researchE • ,any families eligi'le for SC.*D have not enrolled $t the time of this research, more than 11 million children "ere "ithout health insurance !hat is the research @uestion driving the research designE • .o" do "e convince "or#ing families "ithout health insurance that SC.*D is for them and that they should sign up for this coverage R!A( used an independent consultant to manage the R(D process .o" "as the proposal process conductedE !hat did the independent contractor add to the processE • R!A( supervises many grants related to health- care initiatives $n independent consultant gave this particular program a coordinator "ho "as undistracted 'y other projects !hat type of research firm is !irthlin !orld"ideE !hy "ere they chosen for the researchE • (ull service research firm &hey had a previous relationship "ith -,,B, the agency hired to develop the communication program *n "hat "ays "as -,,B, the advertising agency chosen to develop the mar#eting campaign, involved in the researchE • &hey "ere an e@ual partner in planning the design, influencing the @uestionnaire used for the survey, and the copy testing !hile names and other contact information of eligi'le families "ere #no"n to government officials, it couldnHt 'e accessed to develop a sample frame due to privacy la"s .o" did !irthlin develop the sampling designE • !irthlin used screening procedures to identify "hether the household they "ere spea#ing "ith "as eligi'le for SC.*D !hat "ere some of the original hypotheses a'out "hy families "erenHt enrolling for SC.*D 'enefitsE • &hat people "erenHt enrolling 'ecause of the K"elfareH sigma associated "ith government health care initiatives • &hat people "erenHt enrolling 'ecause healthcare for their children "asnHt a priority Doverty, "elfare, charityLthese are 'elieved to 'e e%ceedingly sensitive issues to the "or#ing poor .o" did !irthlin desensitiFe these issuesE • &hey used a laddering intervie" process that reached for the emotional drivers 'eneath parenting decision ma#ing !hy "ere focus groups used and "hat did they revealE • &hey "ere used to understand the attitudes of the "or#ing poor a'out preventative health care, and to determine if their attitudes differed ; Issues Video Content from those of other families "ithout health care insurance !hy "as a phone survey chosenE • *t "as the @uic#est "ay to reach the largest num'ers of a national population of "or#ing poor • !irthlin needed to screen large num'ers of families to determine "hich "ere li#ely eligi'le for SC.*D and therefore a mem'er of the relevant population5 phone screens "ere e%pedient !hat #ey findings "ere critical in the development of the su'se@uent mar#eting materialsE • &hat <;M felt 'eing a good parent meant providing healthcare insurance for their children 0disproved early hypothesis4 • &hat families "erenHt enrolling 'ecause they thought that such programs "ere not for them, 'ut for families "here the head of the household didnHt "or# or made far less money5 they needed to #no" that an income of 9:,=== or less @ualified them for the coverage in most states • ,ajor 'arrier to enrollment "as lo" a"areness of the program !hat are the criteria on "hich the $R( David Cgilvy $"ard for )%cellence in $dvertising ResearchE • )ach year, the $dvertising Research (oundation honors research that has 'een sho"n to ma#e an important contri'ution to creating, identifying and improving great advertising &he a"ard is named after the legendary adman, David Cgilvy, 'ecause of his passion for the role of research in crafting great advertising Research case studies su'mitted for consideration must demonstrate measura'le success and descri'e research that shaped the communication strategy, the actual advertising, the evaluation and strengthening of the advertising, or guided the media e%posure !ey Research .acts $fter the advertising, • 38M of eligi'le households in the test group "ere a"are of the program • ::M of SC.*D-eligi'le families #ne" a'out any options • 88M of SC.*D-eligi'le families #ne" a'out SC.*D • 6=M to ;==M increase in SC.*D hotline calls across all states • *n test mar#et/ ; of 1= sa" the ads5 8:M of those called the hotline • 2:M of parents calling learned a'out the program from advertising, not DR efforts • $ds and DR efforts reached 6<,<:=,=== families • $d "ith the 'roadest appeal "as Nhard choicesO 0pin# hair4Psho"n in the video Other Web sites o- interest% ARF/Ogilvy Award/ http/++"""arfsiteorg+a"ards+ogilvyQintrohtml Covering >ids/ """covering#idsorg Additional in-or&ation o- Interest% 6 *n 8==3, according to the Ro'ert !ood Aohnson (oundation "e'site, NBearly 33 million $mericans, over < million of them children, go "ithout health insurance &his is the single greatest 'arrier to o'taining timely, appropriate health care servicesO !ey /raphics in Case% C)&&ins Engines Duration/ 13 minutes #o"$When Use% • &o discuss ho" statistical @uality control is used to enhance @uality • &o discuss data from a statistical @uality control program can 'e used in other functional areas of 'usiness • &o discuss longitudinal studies 0Customer Council4, and "hen and ho" they are used • &o discuss ho" a communication "e' site can also 'e used for compiling information < • &o discuss ho" special events 0Cummins Signature ;== &our4 can 'e used for competitive intelligence gathering Co&pany 'ac(gro)nd% Cummins )ngines is a (ortune :== company founded in 1212 "ith its head@uarters in Colum'us, *ndiana *t ma#es advanced, fuel-efficient diesel po"er systems and engine related components, and specialiFes in customiFed diesel engine production, shipping more than 1=== engines per day to customers and dealers on every continent and purchasing engines for use in every conceiva'le situation and climate Cummins has a long history of innovation, from pole performance at the *ndianapolis :== to the first natural gas fueled engine to pass California?s tough emissions regulations Cummins operates four strategic 'usiness units/ po"er generation, automotive, industrial, and filtration !ith more than 8:,=== people around the "orld and :3== authoriFed Cummins distri'utors, Cummins has the "orld covered &he Signature ;== engine is the ne"est and most advanced diesel engine on the mar#et *t is so po"erful and smooth in operation that it captured the competitor?s attention during the #ic#-off promotional event Co&pany UR*: """+c)&&ins+co& Video Content and Disc)ssion% &he Signature ;== engine is the ne"est and most advanced diesel engine on the mar#et *t is so po"erful and smooth in operation that it captured the competitor?s attention during the #ic#-off promotional event Darts of this video are e%tracted from a corporate video introduction to Cummins? @uality control programs &he video descri'es ho" customer and supplier relationships, and the information shared "ithin these relationships led to the Signature ;== engine Video presenters: • none Video Content: Issues Video content !hat type of data is generated 'y Cummins statistical @uality control programE $nd "hat does the collection of this information permit Cummins to doE • Cummins electronic and advanced statistical control programs allo" every employee to trac# every engine during its manufacture • &hese programs also/ • time the delivery of parts and components to assem'ly, as needed, • permit each plant to • operate on a Fero defects precision standard, • operate "ithout inventory, and • manage a ro'otic manufacturing process 0such as engine painting4 • permit monitoring of critical ?clean environment? measures of temperature and dust--"hich impact engine performance .o" is longitudinal study data different • Cummins formed a Customer Council as 2 Issues Video content than cross-sectional study dataE part of its alliance program to produce more customer-focused products &he council "ould generate trac#a'le attitudes over time that could 'e matched to • manufacturing innovations #$deas are the %o&er 'ehind Cummins4, • product alterations 0#eeping Cummins on the leading edge of advanced, fuel- efficient engines4 , or • changes in employee training or motivations programs .o" might employee input influence the creation of a ne" po"erful engine li#e the Signature ;==E • Seasoned, s#illed line employees "ere used during the design of the Signature ;== engine .o" could managers of the various strategic 'usiness units use trac#ing of "e' connections 'y customers and suppliersE • *t?s e%tensive "e' site offers customers and dealers/ • "iring diagrams, • sensor locations, • a glossary of technical terms, • shop-tal# tips for ma#ing engine repairs, and • a mechanism for locating the closest supplier "ithin Cummins? e%tensive customer service net"or# .o" can 'oth Cummins and its competitors 0li#e Caterpillar4 use special promotional events, li#e the Signature ;== tour, to collect informationE • Drospective Cummins customers had an opportunity to test-drive the engine during the tour *ntervie"ing drivers "ould allo" Cummins to verify performance and spot potential pro'lems "ithin a "ider group of users • Cummins representatives as# @uestions and collected comments made 'y potential customers • &hese could 'e used in the preparation of second generation promotional materials for dealers • Cummins could use competitor comments and @uestions to identify potential advantages or disadvantages that the Signature ;== might face "hen it is availa'le to the diesel purchasing mar#et • Competitors studied the engine and the customers? reactions to the test-drive and performance discussions &his could 'e used in their formation of a counter-attac# strategy 1= Data Deelop&ent Corporation Duration/ 11 minutes #o"$When Use% • &o provide an overvie" of some of the issues facing the research industry • &o discuss the pros and cons of various sampling techni@ues • &o discuss various research design issues Co&pany 'ac(gro)nd% (ounded in 12;=, this Be" Jor# head@uartered research firm is one of the United State?s largest research firms "ith a reputation for @uality custom, @ualitative, and @uantitative research !ith five offices and a staff that averages more than 8= years of e%perience, DDC has completed more than 16,=== domestic and international studies $ leader in in-home and office personal intervie"ing, DDC !$&S centers have 16= C$&* 0Computer- $ssisted &elephone *ntervie"ing4 e@uipped stations &hey offer a net"or# of C$D* 0Computer-$ssisted Dersonal *ntervie"ing4 in more than 1<= mall locations, *nteractive Soft"are 0S&CR)4 simulations of store shelving, 'uildings, etc to develop and evaluate logos, signage, pac#aging, etc DDC?s *nternet Survey -roup offers "e'- 'ased studies Co&pany UR*% """+datadc+co& Video Content 0 Disc)ssion% Cfficers and project directors for Data Development Corp descri'e themselves as a ?generalist? research firm &hey specialiFe in mar#eting research, 'ut they do all types of research using a variety of research methods Dresident Aoe -oldstein emphasiFes that research is ?mostly art and partly science? &he video touches on numerous issues as the DDC officers descri'e "hat types of research they do, and ho" and "hy they do these types of research Video Presenters/ Several DDC officers and project directors contri'ute their ideas in the video/ • David Rausch, Sr 7D • Chip Lister, Sr 7D • ,orris Cohen, Sr 7D • Shoshana Shapiro, Sr 7D • Aoe -oldstein, Dresident and ,anaging Director Video Content Issue Video Content !hy research is used 'y 'usinesses • Business o"ner+manager loses o'jectivity the more involved they 'ecome "ith a project • Due to the high cost of ne" product decision, managers need to predict "ith accuracy "hat is li#ely to happen 'efore it happens !hat ma#es good researchE • *nformation "here error is lo" • *nformation "here the data is logical and ma#es sense *mpact of technology on research methodology • $'ility to use hand held computers and computer soft"are to replace hand sorting of ?cards? used to measure comple% attitude measurements 11 Issue Video Content Dro'lems plaguing the research industry • Declining "illingness to participate in any type of research • Competition for possi'le respondents time from telemar#eters selling products and services • Research that attempts to evaluate very minor differences or proposed changes, that results in consumer confusion $ppropriate sampling methods • ,easuring attitudes demands a longer time frame 01:-8= minutes4 and often leads to purposive sampling rather than pro'a'ility sampling 0eg mall intercept intervie"s4 • Random-digit dialing is an appropriate method for phone intervie"ing to get a more scientific sample Research Design issues • (ace to face intervie"s are 'est to measure attitudes, eg personal intervie"s in the home and mall intercepts are mentioned • Dhone intervie"s are appropriate "hen you don?t need the respondent to respond to visual stimuli &ype of research gaining favor • Customer satisfaction 0determining "hether your customer is happy "ith your offering and ho" happy they are4 Endries .asteners Duration/ ; minutes #o"$When Use% • &o discuss difference 'et"een pro'lem-focused and opportunity-focused research • &o discuss o'servation studies for generating information • &o discuss process mapping as a research techni@ue • &o discuss )lectronic Data *nterchange 0)D*4 as a research and communications techni@ue • &o discuss data mining, the use of internally-generated secondary data in 'usiness decision ma#ing • &o discuss partnerships or alliances "ith customers or suppliers in data collection and information management Co&pany 'ac(gro)nd% )ndries (asteners, no" )ndries *nternational is a "holesaler of parts to C),s 0original e@uipment manufactures4 and repair service companies Located in Brillion, !isconsin, this company employs 8== people Co&pany UR*% """+endries+co& 18 Video Content and Disc)ssion% &he president of )ndries (asteners and Supply, *nc discusses the outcome of data collection, 'oth internal and from its customers, "hich resulted in the development of ne", profita'le customer services that provide significant cost savings for its customers Video presenters: • Bo' )ndries, Dresident Video Content: Issues Video content !hat are ?soft costs? for a 'usiness or organiFationE • Soft costs include activities not related to the product, such as 'uying, storing, handling, @uality inspection, and invoicing • Several levels "ithin a channel may duplicate a soft cost-activity 0eg @uality inspection4 that generates e%cessive and unnecessarily high soft costs • )liminating soft cost-activities or their duplication can yield significant savings &rends contri'uting to the discovery of opportunity • *ncreasing use of just-in-time manufacturing • *ncreasing concentration of purchasing among a one or small group of partner- suppliers Research on soft cost-activities that "ere duplicated or unnecessarily high • )ndries (asteners ?follo"ed? each part it supplied to its C), or repair service customers !hat soft-cost activities "ere discovered as possi'le candidates for cost-saving programsE • Quality inspection of parts 0@uality audits4 • *nvoicing .o" )D* 'ecame part of the communication process • )ndries no" uses )D* "ith some of its customers !hat value added functions created savings for its customers • Reduced manufacturer inventories • ,anage procurement of parts • )liminate multiple invoicing, in some cases reducing invoices to one • Speeding communication 'et"een )ndries and its customers Enirosell Duration/ 1= ,inutes #o"$When Use% • &o discuss o'servation studies • &o discuss mechanical vs human o'servation 19 • &o discuss alternative arenas for mechanical o'servation research 0other than the mar#eting and operations issues descri'ed here4 • &o discuss alternative mechanical devices used for o'servation • &o discuss "ays of presenting data to clients • &o discuss privacy issues involved "ith filming unsuspecting participants • &o discuss the role technology has in o'servation studies 0'oth generation of information and analysis of that information4 Co&pany 'ac(gro)nd% (ounded in 1262 as )nvironmental $nalysis R Dlanning Consultants, the firm changed its name in 12<2 to )nvirosell, *nc )nvirosell specialiFes in 'ehavioral research, specifically in the retail environment )nvirosell?s specialty is e%amining consumer-shopping 'ehavior, and it has done this for (ortune :== companies including 'an#s, stores, restaurant chains, as "ell as consumer product companies )nvirosell has offices in Be" Jor#, ,ilan 0*taly4, Sydney 0$ustralia4, and Sao Daulo 0BraFil4, "ith some thirty percent of total company revenue generated offshore Daco Underhill, its founder, sees himself as a ?retail anthropologist? )nvirosell has si%teen full-time and thirty part-time staff mem'ers in its Be" Jor# City head@uarters *t films 'et"een :=,=== and 6=,=== shoppers annually !hile )nvirosell is a for-profit-institution, Envirosellers regard themselves as consumer advocates and thrill to see the results of their "or# in stores, sho"rooms, restaurants, 'an#s, ur'an streets, shopping malls and airports around the "orld $ccording to their "e' site, SLife is a'out casting shado"s and "e are proud of oursS Co&pany UR*% www.envirosell.com Video Content and Disc)ssion% &he managing director, research director, and senior analyst share information from several o'servational studies done in 'an#s, as "ell as music, general merchandise, and other retail environments )nvirosell strives to understand "hat people 'uy and ho" to get them to 'uy more ,anaging Director Underhill descri'es the process as an e%ercise in Ten/ analysts "atch video or time-lapsed still images repeatedly loo#ing for clues that often emerge only in the eighth or tenth vie"ing Video Presenters/ Several DDC officers and project directors contri'ute their ideas in the video/ • Daco Underhill, ,anaging Director • $nne ,arie Luthro, Senior $nalyst • Bar'ara !eisfelt, Research Director Video Content/ &he video touches on numerous issues as the )nvirosell contri'utors descri'e the types of research they do or have done ho" these studies "ere conducted and reported to the client, and "hat they "ant to see as the result of their involvement Issue Video content *n "hat scenarios is an o'servation study superior to a communication study for studying 'ehaviorE • Study participants remem'er and perceive their 'ehavior differently than their actual 'ehavior &his is not a result of intentional lying, 'ut rather an ina'ility to perceive reality &he environments in "hich o'servation studies are conductedE • 7ideo descri'es domestic and international studies and their results in 'an#s, music, grocery, and general merchandise retail environments 13 Issue Video content .o" )nvirosell?s studies are conductedE • Survey, time-lapsed fill cameras, video cameras !hat an )nvirosell study might impact • Cverall floor plans for retailers can 'e affected • &raffic patterns can 'e changed 'y moving fi%tures • $isle "idth can 'e adjusted • Display locations are modified • ,erchandise can 'e move to a different height on a shelving fi%ture • Signage can changeLin location and content .o" o'servation information is presented to a client • )nvirosell uses time-involvement maps, "here different colors on a map indicate the duration of time spent in any one location and arro"s indicate direction of movement Other So)rces o- In-or&ation% Bumerous articles have 'een "ritten a'out research in the retail environment and )nvirosell &hese articles can 'e found in an archive on the )nvirosell "e' site or via one of the numerous *nternet search engines Cne article of particular interest for students might 'e/ La'ich, >enneth S$ttention Shoppers/ &his ,an is !atching JouS (ortune, Auly 12, 1222 (or retail managers interested in learning more a'out this type of research, Daco Underhill has a 'oo# on the mar#et, )hy )e Buy: *he Science o+ Sho%%ing Simon R Schuster, 1222 /oodyear1s A2)atred Duration/ 13 minutes #o"$When Use% • &o discuss the coordination of a series of research projects involved in any large-scale management project • &o discuss the strengths of various types of research designs to ans"er the various management and research @uestions • &o discuss the differences in sample design in researching the t"o different relevant populations of interest/ customers and $@uatred dealers • &o discuss different "ays to gain competitive intelligence • &o discuss the management-research @uestion hierarchy Co&pany 'ac(gro)nd% -oodyear &ire and Ru''er Co "as esta'lished in 1<2< in $#ron, Chio (rom its start manufacturing 'icycle and carriage tires, -oodyear has 'ecome on of the "orld?s largest corporations -oodyear operates in the US and 9= other countries, "ith more than 8<,=== investors and 1=:,=== associates !ith more than U19 Billion in 1222 sales, their mission for the ne" millennium is to 'e the 'est tire and ru''er company in the "orld and the uncontested leader in innovation *n 1229, the $@uatred tire, "inner of more than a doFen a"ards, including Aapan?s prestigious 1: S-ood Droduct Design $"ard,S reached t"o million units in the United States &his revolutionary tire pumps a"ay over t"o gallons of "ater per second as you drive at high"ay speeds $nd a ne" tread ru''er compound provides road-hugging traction and e%tends the treadlife By 1223, the highly popular $@uatred tire line had e%panded "ith the introduction of a ne" a@uachannel tire, the !rangler $@uatred for light truc#s and multi-purpose vehicles Driven 'y $@uatred?s success, all-time record sales for 1223 "ere U189 'illion, "ith record income of U:;6 million By 1226, "ith sales of U198 'illion and earnings of U;11 million, -oodyear completed its 26-year history once more in record territory (iscal 8=== sales "ere 1U133 'illion "ith earnings of U3= million5 8==1 sales "ere U138 'illion, "ith a loss of U8=;3 million $ccording to the ,--. Annual Re%ort, N&he -oodyear $@uatred tire, the most successful ne" product in the history of the tire industry, is a prime e%ample of Va mar#et driven strategyW !e created the "et-traction tire category and have led it for a decadeO Co&pany UR*% """+goodyear+co& Video Content and Disc)ssion% &his video profiles the genesis of the -oodyear $@uatred tire Video presenters: • ,arco ,olinari 7D Sales R ,ar#eting • Aohn ,ontgomery Director of ,ar#eting Communications Video Content: Issues Video content !hat pro'lem or opportunity drove the research for -oodyearE • -oodyear regularly trac#ed its customer satisfaction • &he 1228 study revealed a trou'ling development/ a commodity mentality among tire 'uyer, most of "ho thought ?a tire is a tire? !hat research revealed the "et-traction mar#et segment "ithin the tire aftermar#etE • -oodyear does on-going consumer trac#ing studies as part of its monitoring of the mar#et -oodyear also did focus groups to understand tire 'uyers needs • -oodyear "as in the midst of a consumer study to understand the criteria tire 'uyers use to choose tires "hen it discovered the commodity mentality dilemma *ts results sho"ed the follo"ing criteria/ tread life 01=4 and "et traction 0;84 "ere the most po"erful criteria, follo"ed 'y handling 01<4, sno" traction 0164 and dry traction 064 -iven the -oodyear consumer study findings on tire 'uying criteria, "hat measurement strategy "as employedE • -ood year "as using a rating scale, or a composite $ ten represented the highest value possi'le and the num'er on the 'ar chart "as an average of the rating of the sample !hat "as competition doingE • -oodyear?s competitive analysis indicated they "ere e%ecuting a high-mileage 1; Issues Video content strategy 0going after the treadlife segment4 • 8 ne" tires "ith more than <=,=== miles treadlife "ere a'out to 'e introduced !hat strategy did -oodyear pursueE • -oodyear decided to pursue a ?"et traction to drive a safety response? strategy • -oodyear "anted to ?position -oodyear as the undisputed leader in "e' traction, and hence the perceived leader in safetyS !hat research "as done to hone in on this strategyE • (ocus groups • 1-on-1 personal depth intervie"s • nation"ide customer surveys !hat decisions "ere made 'ased on the researchE • Deep a@ua-channel design • Bame/ $@uatred • Decision to mar#et to the tire aftermar#et rather than to the automo'ile company as an original e@uipment tire • Decision to price the tire at a 1=M premium • Decision not to discount the tire at its introduction !hat additional information "as collected via customer researchE • Drice elasticity • Durchase intent • ,edia ha'its !hat information "as #no"n a'out the dealer given the promotional program underta#en to ma#e them part of the $@uatred teamE • &he "ay they used point of sale 0DCS4 displays and literature • &hat persuasive selling "as used "ith customers and that e%periencing the tire on "et pavement "as critical to such persuasion/ 0ride and drive events held in <= US cities4 !hat "as the dealer structureE • ;== franchised dealers • 1=36 company o"ned stores • 33== independent dealers !here did -oodyear esta'lish dealer contactE • $t the annual industry trade sho" in Las 7egas !hat promotion decisions "ere madeE • -oodyear used print and 'roadcast directed pu'licity 0earned coverage in numerous ne"spapers and magaFines as "ell as &oday and -ood ,orning $merica4 • -oodyear used &7 rather than magaFine advertising, "ith the rest on ca'le or syndicated sho"s • Launch message/ safety 'enefits of "et traction 0achieve a"areness, stimulate interest4 • (ollo"-up message/ $@uatred "on 16 Issues Video content numerous a"ards 0precede from li#ing to preference4 • 8 nd (ollo"-up approach/ sho" product demonstration 0from conviction to purchase4 Other Disc)ssion 3)estions% Issues Video content $pply the management -Research @uestion hierarchy to the $@uatred scenario • ,anagement dilemma/ "hy does the tire 'uyer see all tires as essentially compara'leE • ,anagement @uestion/ "hat can "e do to distinguish -oodyear tires as superiorE !ill the tire 'uyer pay a premium for safetyE • Research Question/ !hat is the tire 'uyer loo#ing for in a tire and "hyE • *nvestigative @uestions/ "hat are the "ants, fears, needs, driving ha'its, and purchase 'ehaviors of the tire user Sampling • Sample frame "ould have 'een readily availa'le for -oodyear?s dealer net"or#5 earning participation "ould have 'een the challenge • -iven that -oodyear tires are original e@uipment on many ne" cars, an alliance "ith auto manufacturers could have generated an appropriate sample frame for the consumer study to gage the aftermar#et 4ohn Deere and Co&pany Duration/ 18 minutes #o"$When Use% • &o discuss environmental scanning as a critical 'usiness information component • &o discuss plausi'le sources of information as part of an environmental scanning • &o discuss management research hierarchy • &o discuss plausi'le e%ploratory research to shed light on pro'lems or opportunities identified during environmental scanning • &o discuss sampling strategy Co&pany 'ac(gro)nd% Aohn Deere has a rich 1;=-year history of serving the agricultural, construction, forestry and la"n care mar#ets *t?s emphasis on helping its customers achieve 'etter productivity, has made it possi'le to successfully operate in more 1< than 1:= countries, in := currencies and every time Fone of the "orld During the 126=s, 12<=s, and 122=s the company faced numerous challenges to its core 'usinesses, yet its attention to environmental scanning and staying close to its customers permitted it to prosper "hen competitors have a'andoned "hole segments of the 'usiness for industrial e@uipment or gone out of 'usiness altogether Co&pany UR*% """deerecom Video Content and Disc)ssion% &he company?s need for information is dependent on its volatile environment &he video traces the environmental influences on the company from the early 126=s through the late 122=s &he goal for Aohn Deere "as to dou'le its sales from the mid-122=s 'y 8=== Video presenters: • ,ar# Rostvold, Senior 7ice Dresident, CR C) Division Video Content: Issues Video content &he environmental arenas that Aohn Deere felt it necessary to monitor • Dolitical-legal • Competitive • Cultural-social • Demographic &rends contri'uting to strategic planning turmoil at Aohn Deere • Dresident Aimmy Carter impose an em'argo on sale of grain products to Soviet Union or its allies 012624 • Loss of sales to US farmers at a time "hen they "ere highly leveraged • Dramatic increase in farm 'an#ruptcies • -overnment introduction of Dayment-in- >ind su'sidies, "hich paid farmers to lo"er their production 'y holding 'ac# acreage from cultivation • Continued shift a"ay from agriculture as an occupation • $ging of the 'a'y-'oomers and their gro"ing interest in gardening as a ho''y • Recession in the agriculture and construction industries in the early 122=s • $ging e@uipment 'y late 122=s • Rising farm incomes 'y late 122=s • Lo" interest rates 'y late 122=s • *ncreased acreage in cultivation 'rought a'out 'y the 122; (arm $ct • Be" environmental regulations in late 122=s dealing "ith • *ncreasing soil erosion • )ngine e%haust emissions 12 Issues Video content • !ater pollution 'y agricultural run-off • *ncreasing interest in and practice of ?precision farming? in the 122=s 0the use of glo'al positioning satellite technology to enhance grain yields 'y matching acreage productivity to seed and fertiliFer practices4 $ctions Aohn Deere too# in response to its environment • )%panded into financial services 0Aohn Deere Credit4 • )ngaged in e%tensive R R D to improve @uality • Strengthened its dealer net"or# • )ntered the la"n care industry • Became the supplier of e@uipment to the Drofessional -olf $ssociation tournament golf courses 0to enhance its image in this mar#et segment4 • &eamed up "ith B$SC$R, introducing the Aohn Deere racing team, for more e%posure • Cpen its Aohn Deere .ealthcare program to non-employees !NSD San Diego Duration/ 1: minutes #o"$When Use% • &o discuss research design issues • &elephone survey • Random digit dialing • Sample siFe • Sample (rame • Survey length • )%tracting sensitive information • Longitudinal studies • Dreliminary Data $nalysis • Reporting Results • &o discuss investigative @uestions and different response strategies feasi'le for measurement @uestions • &o discuss ho" syndicated research can 'e com'ined "ith custom research for 'etter understanding of respondents? motivations • &o discuss ho" research information can enhance a ?product? for a company doing 'usiness "ith other 'usinesses • &o discuss university-'ased research programs Co&pany 'ac(gro)nd% BBC 6+92 got its start as an U.( station in 12;: *t affiliated "ith BBC in 1266 and changed its call letters to >BSD in 12<< $ccording to its "e' site, N*n 122=, >BSD "as a"arded the )mmy for Cutstanding Be"s Station in San Diego &he station never lost this title, and has 'een a"arded more )mmys this decade than all other stations in San Diego com'ined Cn Bovem'er 8=, 122;, after a successful year as San Diego?s most "atched television station, >BSD "as purchased 'y BBC Cn Aanuary 1, 1226, it 'ecame #no"n as BBC 6+92 BBC 6+92 is no" 8= o"ned and operated 'y the television net"or# considered 'y many the "orld-leader in ne"s, entertainment and sports programmingO *n 8==8, >BSD sees the follo"ing as its mission/ NCur efforts "ill 'e focused on understanding and serving our community, 'enefiting the people of San Diego, attracting the largest possi'le audience, fulfilling the needs of our advertisers and increasing the profita'ility of our stationO 7$LS, a research service of SR* 0SR* Consulting Business *ntelligence4, is Sone of the first major consumer segmentation systems 'ased on lifestyle characteristics Consumer products and services companies throughout the United States have used 7$LS to improve product development, product positioning, advertising effectiveness and corporate imageS *n 12<2, SR* introduced 7$LS8, Sa ne" segmentation system that incorporates recent lifestyle trendsS Recently introduced, -eo7$LS po"ers the 7$LS segmentation system "ith geocoded demographics Co&pany UR*% """n'csandiegocom """sric-'icom Video Content and Disc)ssion% &he video descri'es the S>Bo" San DiegoS research project, underta#en so that advertisers purchasing time on this BBC-o"ned station "ould have a 'etter understanding of "hich programs attracted "hich potential target audiences *t descri'es the use of the 7$Ls profiling developed 'ased on a scaling system developed 'y SR* 0Stanford Research *nstitute4 Video presenters: • &"o >BSD anchors Video Content: Issues Video content !hy "as the >BSD project startedE • &o learn more a'out the vie"ers of >BSC programs, especially vie"ers of its a"ard- "inning ne"s programs, so that advertising could 'e sold more effectively .o" "as the study doneE • &elephone intervie"s "ere conducted "ith 1=== adults, :== men and :== "omen Random Digit Dialing "as used to select the household &he study is repeated annually to trac# changes in attitudes and 'ehavior $t "hat confidence level "as the study conductedE • 2:M 0BC&)/ &he video e%plains in layman?s terms "hat the confidence level means4 !hat type of information "as collected from respondentsE • Darticipants "ere as#ed numerous @uestions a'out their &7 vie"ing, entertainment, shopping, and other 'ehaviors, as "ell as a'out their attitudes, li#es and disli#es DoFens of investigative @uestions are ver'aliFed in the video 0BC&)/ &he actual measurement @uestions are on a 3-point scale of agreement4 .o" "as the information usedE • 7$LS segmentation profiles "ere used to 81 Issues Video content help advertisers select programs on "hich to advertise • Dr Depper advertising is used as a case $n a"ard-"inning &7 campaign "hich promoted peer acceptance 0Dr Depper made a pepper out of me4 didn?t increase sales, sales actually decreased $fter applying 7$LS, a ne" campaign repositioned the soft drin# for non- conformists 0.old out for the unusual4 Lost sales "ere recaptured and ne" customers "ere attracted Other in-or&ation% • http%$$ """+sric5bi+co&$VA*S$pres)rey+sht&l Students can learn more a'out 7$LS and ta#e a sample survey &he results are processed @uic#ly and the student is assigned to one of the eight 7$LS segments !ith the results they receive lin#s to learn more a'out the segmentation system and their particular classification, as "ell as 'ehavior and purchase patterns typical for that 'ehavior *e6)s SC 789 Duration/ < minutes #o"$When Use% • &o provide an e%ample of the use of syndicated research • &o discuss the integration of @ualitative and @uantitative techni@ues • &o reveal a comple% research design "ith many phases • &o discuss ho" intercept personal intervie"s might 'e done Co&pany 'ac(gro)nds% Tea& One Adertising% &eam Cne $dvertising is a full-service agency, including comprehensive relationship mar#eting, event mar#eting+promotions, and interactive services .ead@uartered in )l Segundo, Calif, and a division of Saatchi R Saatchi, the agency has regional offices in Be" Jor#, Chicago and $tlanta *e6)s% Le%us, the lu%ury vehicle division of &oyota ,otor Sales, US$, *nc, mar#ets and sells lu%ury cars and sport utility vehicles through 1<6 dealers in the United States *t is one of the fastest gro"ing lu%ury nameplates in the industry Company URL: """+tea&onead+co&: """+le6)s+co& Video Content and Disc)ssion% &his video case follo"s the research used to develop the ne"est Le%us, the SC 39=, its hardtop converti'le (rom auto sho" intervie"s to Qual-Quant clinics and positioning analysis, students "ill learn a'out ho" &eam Cne $dvertising, Le%usHs US agency, used research to position this latest entry into the cro"ded sport coupe category &his research "on &eam Cne and Le%us the 8==8 David Cgilvy Research $"ard, Dura'les Category Video Presenters// • Unspecified )%ecutive at the auto sho" 88 Video Content Issues Video Content !hat role did the Detroit $uto Sho" play in the research *t "as the first o'servation study of the reaction of sho" attendees to the prototype SC39=Hs design Site of intercept personal intervie"s, getting reactions to the car !hat motivates people to 'uy cars and ho" did &oyota discover this &oyotaHs Consolidated Dynamic Study CDS4 revealed that t"o primary factors influence purchase/ Rational 0right4 reasons and )motional 0real4 reasons Research revealed that Le%us did "ell on the rational reasons 'ut not the emotional ones Le%us SC 39= "as specifically developed to 'e the emotional flagship for the Le%us 'rand repositioning !hat do the motivators affectE &oyotaHs CDS revealed four #ey dynamics/ 'rand dominance, model leadership, user needs and "ants, and segment imagery !hat cars "ere primary competitors for the lu%ury coupe mar#et Corvette 0leader4, Aaguar I>), ,ercedes and Dorsche .o" did Le%us use syndicated researchE $llison-(ischer *nternational does several syndicated studies for the automo'ile industry • $utomotive *ntensions R Durchases Study 0@uarterly, trac#s demand, lin#s 'rand e@uity to shopping and purchase 'ehavior4 • $utomotive Shopping Study 0records internet and dealer shopping activity and ho" retail process interacts "ith demand and sales performance5 reveals the 'ehavioral 'asis for automotive mar#et segments • $dvanced $utomotive (eatures Study reveals purchase interest of auto features among ne" vehicle intenders5 trac#s interest in e%isting options5 evaluates ne" features R technologies • RL Dol# measures trends in the lu%ury and lu%ury coupe segment .o" did &oyota use @ualitative researchE &hey invited 1:3 people to Dallas to participate in several @ualitative e%ercises, including focus groups 0done 'y -rieco Research -roup4Lto descri'e the typical driver in terms of financial security, affluence, professional success, and status 89 Issues Video Content consciousness image sorts 0done 'y &hompson Consulting4 Lto capture references that people had difficulty putting into "ords 'ut that "ould influence the positioning related to the use of D)S*R) .o" "as the advertising that "as ultimately created tested 'efore it "as airedE Diagnostic Research tested the ads via Nclutter reelO methodology Le%us ad "as 'uried in the middle position of other product ads and the audience dial tested their interest in the ad $lso, intervie"s "ere done "ith participants Car "as seen to 'e se%y and seductive, alluring, sophisticated, and distinctively styled !hat did post-advertising trac#ing studies revealE &hat the car "as distinctive loo#ing, sporty, lu%urious, had e%cellent acceleration and handling Did the "e' play a role in the researchE Jes, they trac#ed visitors to the &oyota and Le%us "e' sites over several months 7isits increased :;M over the month immediately 'efore the advertising ,ore than 9==,=== visitors to the SC 39= "e' site in several months after the ad campaign !as Sales trac#ing included in the researchE Jes, sales met or e%ceeded the monthly goal in each of the seven months follo"ing the campaign Additional In-or&ation% $t time of press, the Le%us commercial campaign that resulted from this research "as unavaila'le due to a pending la" suit Dlease "atch the Business Research Methods "e' site5 "hen this campaign 'ecomes availa'le "e "ill ma#e it availa'le there O)tboard ;arine Corporation Duration/ 18 minutes #o"$When Use% • &o discuss data mining, secondary data • &o discuss the management-research @uestion hierarchy • &o discuss research design and sampling design • &o discuss ho" the environment of research affects its design 0industrial vs consumer goods4 Co&pany 'ac(gro)nd% &he three Aohnson 'rothers 'egan 'uilding this "orld class outdoor recreational products company "ith the development of a t"o-cycle in'oard marine engine in 12=9 ,ean"hile Cle )vinrude of !isconsin "as inventing the first successful vertical-cran#shaft out'oard motor &hese t"o technology innovators "ould eventually merge to 83 'ecome Cut'oard ,arine and ,anufacturing Company in 129;, then shorten its name to Cut'oard ,arine Corporation in 12:; SCut'oard ,arine Corporation 0!au#egan, *L4 is a leading manufacturer and mar#eter of internationally-#no"n 'oat 'rands, including Chris-Craft, (our !inns, Seas"irl, Aavelin, Stratos, Lo"e, .ydra-Sports, and Drincecraft5 marine accessories and marine engines, under the 'rand names of Aohnson and )vinrude5 and (*C.& Ram *njection X the "orldHs premier lo"-emission t"o-stro#e out'oard engine technologyS 1 &he company?s history is rich "ith a"ards for its innovations $ccording to Soundings &rade Cnly, S&he need to serve t"o different masters - government as "ell as consumers - has driven engine ma#ers in recent years to develop the most innovative out'oard technology the industry has seen in a generationS 1 (or the nine months ended Sept 9=, 1222 C,CHs net sales increased 38 percent, to U<:=8 million 1 &he recreational products division of Bom'ardier *nternational purchased the )vinrude and Aohnson assets of C,C on ,arch 18, 8==1 Bom'ardier *nc, a diversified manufacturing and service company head@uartered in Canada, is a N"orld leading manufacturer of 'usiness jets, regional aircraft, rail transportation e@uipment and motoriFed recreational products *t is also a provider of financial services and asset management *n 8==8, the Corporation employed :;,=== people in 18 countries in Borth $merica, )urope and $sia, and more than 2=M of its revenues are generated outside CanadaO 8 1 """omc-onlinecom $ccessed Aune 8=== 8 NBom'ardier (inaliFes $c@uisition of C,CHs )ngine $ssetsO Dress Release 9+13+8==1 Co&pany UR*% www.bombardier.com Video Content and Disc)ssion% &his video discusses the evolution of a product and the importance of #eeping competition off 'alance 'y continually Sattac#ingS your o"n 'est product and developing replacements that they competition cannot match or cannot as cost-effectively produce &he e%ample used is the standard for 'ass fisherman, the 1:=hp )vinrude *ntruder 1:= Bo specific research is mentioned Video presenters: • Bo' Shaughnessy, 7D Sale and ,ar#eting Video Content: Issues Video content !hat type of data must C,C collect in order to e%ecute its Sattac# your o"n 'est productS strategyE !hich of that data can 'e internally data minedE !hich must come from secondary sourcesE !hat must 'e ne"ly collectedE • C,C needs information a'out its customers/ • "hat they have 'een 'uying 0data mined4 • "hat competitive they consider "hen comparing engines 0data mined or secondary source e%ploration, or primary data collection4 • &he features and attri'utes they see# in their pleasure crafts and engines 0customer "ishes and e%pectations need primary data--video indicates these are al"ays changing4 • C,C needs information a'out leading- 8: Issues Video content edge technology affecting speed, performance, and other attri'utes 0'oth secondary data searches and data mining their o"n product development logs4 • C,C needs information a'out competitors? current products and competitive intelligence a'out product development 0com'ination of secondary data searching and primary data via reverse engineering of competitors products4 • *nformation a'out "hat competitors are advertising 0secondary data searching4 Build the management-research @uestion hierarchy • management dilemma • 1:= hp 'ass-fishing motor is nearing the end of its life cycle5 it is losing mar#et share • management @uestion 1 !hat should replace the current 1:=hpE 8 !hat can 'e done to e%tend the life of the current 1:= hp motorE 9 !hat can 'e done to reduce costs and increase gross margins associated "ith producing the current 1:= hpE 3 !hat cele'rities "ould 'e appropriate to endorse the ne" 1:= hp motorE • research @uestion 014 • research @uestion 084 • research @uestion 094 • research @uestion 034 • !hat features and 'enefits "ill attract today?s 'ass fishermanE • !hat is attractive a'out the current features of the 1:= hp that "ill attract "ater s#iers, offshore fishersE • Jou could hypothesiFe a'out processes, materials, and supplier relationships here • !ould >en Coo# or some other "inning 'oatman 'e appropriate for the ne" 1:=hp ,easurement and *nvestigative @uestions • Student could 'e as#ed to offer suggestions 'ased on one of the a'ove research @uestions Design an appropriate design for determining customer preferences and e%pectations • 7ideo features trade sho"s5 this environment "ould allo" C,C to cost- effectively reach 'oatman and+or dealers 0t"o plausi'le relevant populations for research4 • *nformation needed is motivational so communication is necessary at some level .o" does the environment and industry affect research designE • &his is a technology driven industry, so product life is relatively short, research design must ma#e choices so that 8; Issues Video content information is collected and shared @uic#ly • Dealers are mentioned as important Research may 'e done more @uic#ly and at a more detailed level if sample respondent is a dealer rather than a 'oat 'uyer • Droduct is e%pensive, 'ut 'oatmen have repeatedly 'een "illing to pay for state-of- the-art &hese characteristics may indicate that C,C could communicate "ith its relevant population in a high-tech environment/ computer administered or !e' surveying should 'e e%plored • Design must not reveal C,C?s plans to its competitors as product life is so short5 this might lead to an in-house managed research process vs outsourcing to a research firm Additional in-or&ation% """soundingstradeonlycom <ebble 'each Co+ Duration/ 11 minutes #o"$When Use% • &o discuss types of research needed "ithin an organiFation?s strategic planning • &o discuss types of research needed to 'enchmar# the achievement of the organiFation?s vision • &o discuss various issues involved "ith research design • &o discuss sampling issues, including special pro'lems sampling the very rich • &o discuss the role that employee research could play at De''le Beach Resorts in its achievement of its seven core values Co&pany 'ac(gro)nd% Samuel ,orse, "ho ac@uired the e%tensive real estate in the ,onterey Deninsula once held 'y Dacific *mprovement Co "hich he managed, founded De''le Beach De''le Beach Company, a :9== acre comple% in ,onterey 0C$4, offers three lodging options 0Casa Dalmero opened in Septem'er 1222, *nn at Spanish Bay opened in 12<2 and the Lodge at De''le Beach opened in 12124, four golf courses, plus a ne" :-hole ?golf lin#s?, < restaurants, and an ocean-side Beach R &ennis Clu' &he tennis clu'Hs ne"ly remodeled state-of-the-art tennis facility offers ten hard surface and t"o clay courts and an e%tensive pro shop &he professional staff is availa'le to arrange golf or tennis lessons and clinics for players of any cali'er &he Spa at De''le Beach, opened Decem'er 1222, is a Slu%urious sanctuary designed to help guests rela%, restore and rejuvenateS De''le Beach has repeatedly "on a"ards as $merican?s 'est travel resort and is the host to the $&R& Dro-$mateur championship, the 1222 $mateur championship, and the US Cpen in 8=== *n Aanuary of 1222 &he *nn at Spanish Bay "as granted the coveted ,o'il (ive-Star a"ard from the 1222 ,o'il &ravel -uide De''le Beach achieves its @uality status 'y focusing on seven core values De''le Beach Company, "hich employs 1;== people, targets the upscale golf enthusiast Co&pany UR*% """pe''le'eachcom 86 Video Content and Disc)ssion% De''le Beach achieves its "orld-class standing 'y focusing on seven core values &he company is also land-loc#ed so it must develop ever-creative "ays to ma#e the facilities it has more intensively profit-generating !hile research methodology is descri'ed only superficially, the video can 'e used to discuss the "ide range of research that a corporation might need to maintain an a"ard-"inning reputation Video Presenters/ • Richard (o"ler, Ban@uet $sst ,gr *nn at Spanish Bay • Several unnamed De''le Beach employees contri'ute to this video Issue Video Content !hat are the core values at De''le BeachE • Service/ Scustomers deserve our 'est effortS • &eam"or# • Constant *mprovement • (ulfilled )mployees • Being a -ood Beigh'or • Caring for the )nvironment • Building (inancial 7alue !hat 'usiness practices are employed to e%ecute its core valuesE • Service R &eam"or# • ,o"s golf courses at da"n to avoid interrupting play • &eam"or# and (ulfilled )mployees/ • surveys employees • .olds to"n meetings "ith employees • )%tends golf privileges to employees • RecogniFes employees "ith service a"ards • Being a good neigh'or • Support employees volunteer efforts at ;3 charities • Donates land for community purposes • (inances the De''le Beach (oundation • Build (inancial 7alue • )ncourages local patronage of its restaurants • 8 nd largest employer, contri'uting U<= million through employee "ages and 'ringing in U3:= million to community through tourist e%penditures 8< Issue Video Content • Developed the De''le Beach 'rand into a variety of merchandise offerings Starb)c(s= 'an( One= and Visa *a)nch the Duration/ 1= minutes Starb)c(s Card D)etto Visa #o"$When Use% • &o discuss multi-stage research designs • &o discuss the integration of @ualitative and @uantitative research • &o discuss the use of !e' surveys • &o discuss focus groups as an e%ploratory tool to refine a su'se@uent @uantitative study • &o have the students generate measurement @uestions from the e%tensive list of investigative @uestions presented &he Star'uc#s story is also featured in a "ritten case on the CD that provides additional information, and is featured in a snapshot in Chapter 16 Co&pany 'ac(gro)nds% Starb)c(s% Star'uc#s Coffee Company is the leading retailer, roaster and 'rand of specialty coffee in the "orld, "ith more than <,6== retail locations in Borth $merica, Latin $merica, )urope, the ,iddle )ast and the Dacific Rim *n addition to its retail operations, the Company produces and sells 'ottled (rappuccinoY coffee drin#s, Star'uc#s Dou'leShotZ coffee drin#, and a line of superpremium ice creams through its joint venture partnerships 'an( One% Ban# Cne is part of the ne" AD,organ Chase created on Auly 1, 8==3 upon completion of the holding company merger 'et"een AD,organ Chase R Co and Ban# Cne Corporation &he mergers of the 'ro#er+dealer, credit card companies, and lead 'an#s "ill 'e completed over the ne%t nine months &he Ban# Cne 'rand continues to 'e used in the mar#etplace *t is the num'er one issuer of 7isa cards in the "orld AD,organ Chase has assets of appro%imately U11 trillion and operations in more than := countries Visa% 7isa is the "orld?s leading payment 'rand and largest payment system, ena'ling 'an#s to provide their consumer and 'usiness customers "ith a "ide variety of payment alternatives Cardholders in more than 1:= countries carry more than 1 'illion 7isa-'randed cards, accepted at millions of locations "orld"ide !ithin the United States, nearly 13,=== financial institutions issue 92; million 7isa cards, accounting for more than U1 trillion in annual transaction volume Company URLs: """+starb)c(s+co&: """+ban(one+co&: """+isa+co& Video Content% *n the very mature financial services industry, it is rare for a ne" financial product to garner much attention, let alone 'e named one of Business)eekHs outstanding products of the year But "hat started as a "ay for Star'uc#s to add value to its e%isting Star'uc#s Card program developed into a financial product that many other institutions are interested in e%ploring &his case reveals the research that "as done to develop this ne" payment option for Star'uc#s customers Video Presenters// • Bone Video Content 82 Issues Video Content !hat research led Star'uc#s to choose 7isaE Star'uc#s contacted several of financial institutions and credit card companies to determine their interest 0Not in the ideo% Before the selection "as made, they visited the 7isa card operations of Ban# Cne to determine if their operations "ere as customer focused as Star'uc#Hs o"n operations4 !hat investigative @uestions drove the research once the partners "ere chosenE !ould customers 'e confused 'y the dual function of the card !ould they feel the Duetto card "as valua'leE 0(or the loyalty aspect of the card4 !hat ,onthly re"ards "ould have the greatest appealE !ould instant re"ards from the card prompt customers to use the Duetto 7isa rather than another credit card that also offered re"ards 0airlines, hotels, etc4 !hat is the 'est "ay to deliver the re"ardsE !hat is the difference 'et"een a stored-value card and the Duetto cardE $ stored-value cardLli#e a de'it cardL "hile the Duetto had 'oth the stored-value feature and the credit card feature 08 functions on the same card4 .o" did Star'uc#s use @ualitative researchE &hey used four focus groups comprised of current Star'uc#s customers5 t"o groups of those "ho had used the stored-value Star'uc#s card and t"o groups of those "ho had not used the stored-value card &he groups "ere used to determine ho" to e%plain the dual functionality in the @uantitative study, to determine the appeal of different monthly a"ards 'eing considered and ho" to deliver them5 to determine if past negative credit-card e%perience "ould carry over to the Star'uc#s Duetto card5 and to determine if the paring of the card "ith the Star'uc#s foundation "ould 'e an important feature of the card .o" many @uantitative studies "ere done 'efore the Duetto "as introduced &"o/ a product functionality study and a product optimiFation study5 'oth "ere done online !hy do you thin# these @uantitative studies "ere done onlineE 0not in the video/ speed, easy availa'ility of data'ase of customer e-mails5 in-store intercepts "ere considered 'ut Star'uc#s and Ban# Cne "anted to #no" the differences in geographic patterns4 .o" "ere @uantitative studies used Droduct (unctionality Study, among current 9= Issues Video Content users+non users of the Star'uc#s stored value card, "as used to determine if the dual function "as understood the impact on the 'rand the li#elihood of future purchases if person o"ned the Duetto 7isa 'arriers to using the Duetto 7isa perceptions of the different card attri'utes Droduct CptimiFation Study, among current users+non users of the Star'uc#s stored value card, "as used to (orecast sign-ups for the Duetto 7isa Determine "hich Duetto card attri'utes "ere most important Determine impact of the different card features *dentify Ksurprise and delightH 'enefits Develop a profile of the li#ely Duetto 7isa applicant !ho "as the launch announcement used for research purposesE $nnouncement contained information a'out ho" interested customers could get early e- mail notification of the card &ens of thousands of customers re@uested early notification through the Star'uc#s "e' site !hat research follo"ed the launch of the Duetto 7isa ,ajor Brand &rac#ing study "as done online to determine a"areness of the card, understand ho" the cardHs 'enefits "ere understood, determine intension to apply as "ell as those "ho had already applied, and "hy or "hy not Quarterly 'rand trac#ing studies evaluate the perception of the 'rand, num'er of cards issued, percent of card holders "ho use the card as their primary card, and the dollar value of purchases made "ith the card Ban# Cne also trac#s Ratio of approved accounts to applications ,ar#et cost of account ac@uisition Bum'er of accounts "ith actual purchases &rends in monthly activity Datterns of spending on an account over time $ Brand Loyalty Study measures "ho is using the card, using one or 'oth functions, and using the Duetto 7isa to activate the auto reload feature of the stored-value function of the card 91 Issues Video Content !as the product introduction successfulE Jes, all partners said the card "as meeting their e%pectations Special Content to ;ention Star'uc#s Card Duetto &, "as selected 'y Business)eek as one of the outstanding products of 8==95 it "as the only financial product to receive that recognition &he launch mar#eting program 'ased on the research that is descri'ed in this video "on a 8==9 Silver S$BR) a"ard 0Silver S$BR)s are a"arded for the 'est programs in specific industry sectors Drograms can involve "or# in any practice area, including mar#eting communications, pu'lic affairs, crisis or issues management, investor relations, or employee communications, for an organiFation in the relevant industry4 &he Star'uc#s Card Duetto &, 7isa "as named Card&ra#Hs &op Card of 8==9 98 U+S+T+A+% Co&e O)t S"inging Duration/ 11 minutes #o"$When Use% • &o discuss telephone surveys • &o discuss t"o-stage surveys • &o discuss post-advertising testing • &o discuss ethnographic intervie"ing • &o discuss sample siFe and sampling issues 99 • &o discuss the management-research @uestion hierarchy &his case also has a "ritten counterpart that comes complete "ith survey instruments Co&pany 'ac(gro)nd% The Taylor Research and Cons)lting /ro)p% $ privately-held company esta'lished in 12<6 'y Scott &aylor, it provides @ualitative and @uantitative mar#et and opinion research and consulting services to 'usinesses in a variety of industries United States Tennis Association% )sta'lished in 1<<1, the US&$ is the national governing 'ody for the sport of tennis and the recogniFed leader in promoting and developing the gro"th of tennis on every level in the United States - from local communities to the cro"n je"el of the professional game, the US Cpen Vigilante% $n ur'an advertising and mar#eting agency esta'lished in 1226, 7igilante crafts mar#eting communication programs relevant to the consumers of ur'an culture using 'oth traditional and non- traditional channels including advertising, sales promotion, events, street and entertainment mar#eting, media planning, strategic planning and research Co&pany UR*s% """+)sta+co&: """+igilantenyc+co&: """+thetaylorgro)p+co& Video Content and Discussion: &he United States &ennis $ssociation funded one of the most aggressive surveys ever underta#en a'out a single sport in order to revitaliFe tennis in the minds of consumers &he survey results "ere supplemented "ith @ualitative research 'y 7igilante, a specialist in ur'an communication campaigns !hat resulted "as a full-scale mar#eting initiative involving the esta'lishment of &ennis !elcome Centers and the Come /ut S&inging advertising, merchandising, and pu'lic relations campaigns &his case reveals the research and ho" the mar#eting initiative developed from it Video presenters: • none Video Content: Issues Video content !hat is the 'asic research designE &"o rounds of phone surveys "ere follo"ed 'y 9=-3= street ethnography *D*s, and post advertising 'ehavior trac#ing, "hich included 7isits to tennis"elcomecentercom *n@uiries at tennis facilities Lesson sign-ups at tennis facilities Sales of rac#ets, 'alls, and apparel !hy did the study include 8:,===[ households • US&$ needed a 'enchmar# study that provided data in each of its 16 sections and that detailed information 'ased on ethnicity, age, !hat "as the underlying management dilemma driving the researchE • &ennis participation, "hile flat, suffered from the lea#y-'uc#et syndrome/ : million young players started each year, 'ut : million young adult players lapsed each year 93 Issues Video content • &ennis is vie"ed as an elitist sport of "ealthy Caucasian country-clu''ers !hat "as the research @uestionE • .o" can "e get people to see tennis as the "ell-rounded sport it is, one offering fitness, socialiFation and competition that appeals to all ethnic groupsE !hat "ere the major investigative @uestions driving the :-minute random- dialed phone surveyE • !ho plays tennisL'y demographic segmentE • !hy do people playE !hy donHt they playE • !ho plays+doesnHt play tennis in the household 0among people over ; years of age4E !hat types of measurement @uestions "ere used in the shorter phone surveyE • Dretested @uestions used on earlier surveys • Cpen-ended @uestions to get peopleHs perceptions !hat "ere the various cells defined for the longer 1=-1: minute phone survey among 8=98 participantsE • &hree groups "ere defined/ • Current players • (ormer players • Bever played !hat types of measurement @uestions "ere used in the longer phone surveyE • Dretested @uestions for comparison to earlier surveys • Closed @uestionsLfor greater ease in analysis !hat "ere some of the findingsE • ,inority participation "as gro"ing • :M of current players are $frican- $merican5 yet 1=M of ne" players are • 1;M of current players are .ispanic- $merican5 yet 88M of ne" players are • Una"are of &ennis facilities in their area • &ennis is not perceived as a good fit • N&ennis is not for meO • Culturally, ethnically, and financially people didnHt thin# tennis fit them 7igilante "as charged "ith coming up "ith an ad campaign that could ma#e tennis appear Ncool, relevant, cutting edgeO and accessi'le to former players !hat research did they use to guide campaign developmentE • &heir Street Spies methodology used street ethnography 09=-3= *D*s4 • 7ideo-taped intervie"s done as intercepts • *ntervie"ers matched participants in age, ethnicity and lifestyle Did the findings confirm or refute the @uantitative studyE • Confirmed • N* canHt afford itO • N*tHs too e%pensiveO • N*Hd rather play 'as#et'all or soccer or video gamesO • NDonHt have a clue a'out ho" to startO 9: Issues Video content • )thnography revealed the edginess that tennis offered to satisfied players that "as the genesis of the NCome Cut S"ingingO tagline and Ncampaign rallying cryO • )thnography revealed the characteristics used for cele'rity selection criteria/ Nno holds 'arredO attitude, physically fit !hat research "ent into selection of 7igilante as the ad agencyE • *dentified three agencies that had a good trac# record "ith sport related positioning ad campaigns • 7igilante "as one identified and they had a reputation for ethnically-'ased campaigns .o" "as the @uantitative research used to guide the campaignE • US&$ provided 7igilante "ith all the results of the e%tensive telephone survey • Survey revealed the four primary target audiences for the campaign/ seniors, Caucasian men R "omen, ethnic players, youth players • Survey revealed the #ey communication messages for the campaign 0fitness, socialiFation, competition4 !hy "asnHt ad testing done 'efore the print advertising campaign "as used • 0Bot in the video4 Budget "as too small to do 'oth the @uantitative study the section leaders "anted and e%tensive pre-campaign research Vol(s"agen1s 'eetle Duration/ 1; minutes #o"$When Use% • &o discuss ho" the ?pro'lems? driving 'usiness change over time and ho" failure to recogniFe the change can 'lind-side a 'usiness • &o discuss plausi'le e%ploratory research 7ol#s"agen could have done to prevent disenfranchising its customer group in the mid-6=s • &o discuss ho" @ualitative research is conducted • &o discuss ho" @ualitative research supports manufacturing and mar#eting decisions • &o discuss the advantages and disadvantages of trade sho"s and other special events as research venues Co&pany 'ac(gro)nd% Cut of the ru''le of !orld !ar **-torn )urope, the Beetle "as originally introduced in the United States in 1232 (erdinand Dorsche designed the original 7ol#s"agen Beetle "hile *van .urst masterminded production &he Beetle 'ecame a sym'ol of the 12;=?s re'elliousness, 'ut lost the love of a generation "hen it stressed engineering over style and lo"-cost operation, "hat the 'a'y-'oomers considered crucial in the 126=s By 1263, the Beetle had lost ground to its aggressive Aapanese rivals for the value segment of the US automo'ile mar#et $nd 'y 1262 you could no longer 'uy a Bug in the States But the Beetle still had a franchise in the US, as one spo#esperson comments/ S!here ever it is introduced, the ne" Beetle garners the same reaction/ people smileS *n 122< "hen the Beetle "as reintroduced in the United States, it surpassed all sales estimates &he second year it dou'led its sales 9; .istorically, the Beetle is the "orld?s 'est selling car, having sold in more countries than any other automo'ile, more than 81 million in its lifetime 8==8 model year "as the fifth for the Be"Beetle *n Decem'er 8==8 7ol#s"agen introduced the first 1<= horsepo"er version of the 1< & called the Be" Beetle &ur'o S Co&pany UR*% """v"com Video Content and Disc)ssion% &he video profiles the history of the original Beetle in the US mar#et from its introduction in 1232 to its demise in 1262, then follo"s the initial t"o years of the B)! Beetle?s re'irth 122<-22 *t is ideal for discussing @ualitative research, as the advertising profiled is dependent on an in-depth understanding of the needs of today?s small-car segment Research is alluded to, 'ut not descri'ed Video presenters: • Aac# Dol'y, &7 $nchorman R Barrator • ,aria Leonhauser, spo#esperson for 7! • Unspecified ,an-on-the-street Video Content: Issues Video content !hat management dilemmas should have led 7ol#s"agen to research its US mar#etE • )mphasis on engineering, not style, "hen mar#et "as interested in more ?flash? or piFFaFF • )ngineering "as state-of-the-art 'ut e%terior styling stayed relatively constant5 mar#et couldn?t value "hat it didn?t #no" • Cil em'argo of the early 126=s forced gasoline prices up and generated long lines By necessity, cars "ith e%ceptional gas mileage "ere favored over superior performance vehicles • Aapanese entered the mar#et "ith more stylish and more cost efficient cars *s the reveal of the design of a ne" 0or re'orn4 car the first research that 7ol#s"agen "as li#ely to have doneE !hat type of research "ould 'e done at such an eventE *s the attendee at such a sho" li#ely to 'e mem'ers of the relevant sample populationE • &he 0conce%t .0, "hat a 122=s Beetle "ould loo#, li#e earned enthusiastic revie"s at auto sho"s around the "orld • Beetle arrived "ith due pomp and circumstance, under spotlights, "ith the "orld?s journalists snapping and filming the arrival • ,any concept cars are revealed at the major "orld auto sho"s !hat management dilemma+opportunity led to the reintroduction of the Beetle in the 122=sE • Aapanese cars? prices had increased 'eyond the value-car segment?s a'ility to 'uy • )uropean styling "as once again gaining favor around the "orld !hat @ualitative research could have revealed the major themes used in the • Cne enthusiastic 'uyer relates the nostalgia that the car evo#es, 'ut also claims that 96 Issues Video content advertising that re-introduced the BeetleE everyone can see themselves in the Beetle 'ecause of its great engineering and great ?curves? • $ds stress the • po"er of the engineering--'ecause people thought the original Beetle "as under-po"ered 0Less flo"er ,ore po"er4 • Color 0!hat color do you dream inE4 • &echnology 0Reverse engineered from U(Cs4 • $ttitude of Bostalgia 0)ngine?s in front, 'ut the heart?s in the same place4 Other in-or&ation -ro& VW <ress% $pril =3, 8==1 7CL>S!$-)B *S $!$RD)D &!C B)S& C$R D*C>S (RC, ,CB)J ,$-$T*B) NLthe 7ol#s"agen Be" BeetleLearned a five-star safety rating, ma#ing it the only car in its class to achieve these outstanding results !ith high safety standards, a uni@ue style and e%cellent driving capa'ilities, it is not a surprise that the Be" Beetle "as a"arded ,oneyHs Best Dic# in the small car category $fter ma#ing its de'ut in 122<, the Be" Beetle has proven itself as much more than a se@uel to its legendary namesa#e *t has "on several distinguished automotive a"ards, including NBorth $merican Car of the Jear,O as selected 'y the continentHs top automo'ile "riters and ,otor &rendHs *mport Car of the year &he Be" Beetle has esta'lished itself as a totally modern creation, 'oth functional and fun to drive ,oney ,agaFine descri'es the Be" Beetle is descri'ed as, NL pure passion on "heels L it offers more than just loo#s/ &he Be" Beetle is a terrific small carO &uesday, Bovem'er =8, 1222 VOLKSWAGEN SALES UP 65.4 PERCENT-BEST OCTOBER IN 25 YEARS -BEST 1ETTA AND PASSAT OCTOBER EVER-NEW BEETLE UP 21 PERCENT 7ol#s"agenHs popular Be" Beetle again posted healthy sales gro"th *n Ccto'er, 7ol#s"agen sold 6,92= Be" Beetles &his is a 81 percent increase over last yearHs sales of ;,1=2 So far in 1222, Be" Beetles sales are ;2,;81, an increase of ;:8 percent over the same period in 122< "hen sales "ere 38,13; !ednesday, Aanuary =;, 1222 AUTOMOBILE MAGAZINE ANNOUNCES ITS 1999 AUTOMOBILE OF THE YEAR, THE VOLKSWAGEN NEW BEETLE, AT THE NORTH AMERICAN INTERNATIONAL AUTO SHOW $utomo'ile ,agaFineHs )ditor and Du'lication Director David ) Davis, Ar stated/ S*t gives us great pleasure to recogniFe the Be" Beetle for its character, its @uality, its value, its impact on the glo'al automotive industry, and the sheer joy it 'rings to anyone "ho drives it, sits in it, or sees it on the road *t is the most important automo'ile to de'ut in the 1222 model year and our #ind of carGS 9< &uesday, Aanuary =:, 1222 VOLKSWAGEN RECORDS BEST SALES SINCE 1981-BEST DECEMBER IN 17 YEARS N*n 122<, 7ol#s"agen sold 812,;62 ne" cars in the US, up :29 percent over 1226 *t "as the 'est 7ol#s"agen total in the US since 12<1 "hen the -erman automa#er sold 86<,:19O &uesday, Ccto'er 18, 1222 &.) 8=== 7CL>S!$-)B B))&L) Since its introduction, the Be" Beetle has garnered numerous distinguished automotive a"ards, including NBorth $merican Car of the Jear,O as selected 'y the continentHs top automo'ile "riters, $utomo'ile ,agaFineHs $utomo'ile of the Jear, ,otor &rend ,agaFineHs 1222 *mport Car of the Jear, AD Do"er and $ssociatesH ,ost $ppealing Small Car, )uropean Car ,agaFineHs -rand Dri% 122< "inner, Consumers DigestHs Best Buy, ,otor!ee#Hs DriversH Choice $"ard for Best of the Jear, &ime ,agaFineHs &he Best of 122< Design, Business !ee#Hs Best Be" Droducts, $frican $merican on !heels Ur'an Car of the Jear, Dopular ScienceHs Best of !hatHs Be" for 122<, and many others Aune <, 122< VW'S NEW LOVE BUG STIRS BUYER PASSION: SUPPLIES SHORT, CONSUMERS PAY PREMIUMS, AND LOCAL CAR DEALERS ARE RIDING HIGH, Crain?s Chicago Business, 7ol#s"agen of $merica *nc 0$u'urn .ills, ,*4 has shipped just ;=8 ne" Beetles to authoriFed dealers in Chicago since rolling out its reincarnation of the 12;=s classic in late ,arch Customers pay up to U1=,=== more than the model?s U1:,8== list price for the hottest color/ yello" $rea 7! sho"rooms are dra"ing dou'le the usual num'er of customers -- and seeing total sales soar 3=M to :=M ,ean"hile, the -erman automa#er is overhauling other product lines, positioning its dealers to regain mar#et share from their Aapanese competitors for the first time in a generation Customers? ardor hasn?t 'een dampened 'y the -erman automa#er?s ,ay recall of 1=,1== Beetles to correct a "iring pro'lem that could cause engine fires 7ol#s"agen is no" poised to recapture some of the customer 'ase it lost to Aapanese 'rands after it pulled the plug on the original Bug in 1262 7! has redesigned the Dassat and this fall "ill unveil an overhauled -olf compact that is already garnering high praise in )urope Since rolling out the Beetle nationally in $pril, total US sales for 7ol#s"agen are up 38M over compara'le 1226 totals 92 Written Cases Case% A /E; o- a St)dy Abstract/ &he -lo'al )ntrepreneurship ,onitor )ntrepreneurial $ssessment, a joint project of &he >auffman Center for )ntrepreneurial Leadership at Ba'son College and &he London Business School, has underta#en a long-term, large-scale project to prove the causal lin#s 'et"een a government?s economic policies and initiatives, the resulting entrepreneurial activity and su'se@uent economic gro"th &his case descri'es multiple-stage research, including thousands of intervie"s in several countries 'y esta'lished research firms &his case deals "ith the concept of causal studies vs descriptive studies and "hat needs to 'e included in the research design of each study type *t also deals "ith "hat constitutes control in research design5 in this conte%t it is 'est used "ith chapters 3-2 &his is also a great case to use to discuss constructs vs concepts, as )%hi'it C--),- 11 clearly has struggled "ith defining numerous constructs and multiple-measurement varia'les and, therefore, could 'e used to further e%plore te%t )%hi'it 8-9 &he case also mentions the use of standardiFed data5 in this conte%t you could use the case to e%plore ho" SstandardiFedS data from different countries really is and "here the student see#s such country-specific data 1 Using the -), Conceptual ,odel, students should first identify that the de%endent varia'le the study purports to measure is the construct of economic gro&th through -DD and jo's But they might also note that the construct of 'usiness dynamics is also a dependent varia'le of interest, as it contains ne" firm+jo' creation, firm+jo' gro"th, firm+jo' dissolution, and firm+jo' shrin#age &he independent varia'les in the study are numerous and contained "ithin the -), Conceptual ,odel as the constructs of general national +rame&ork conditions, entre%reneurial o%%ortunities, entre%reneurial +rame&ork conditions, and entre%reneurial ca%acity )ach of these constructs contains numerous other concepts and constructs .ere is an e%cellent opportunity to discuss the nature of constructs and the importance of 'rea#ing do"n such comple% entities in terms of more concrete and truly measura'le elements as is done in )%hi'it 8-9 8 ,any of the varia'les leading to the dependent varia'le could 'e seen as e%traneous, intervening or moderating, as easily as they can 'e identified as independent )%traneous varia'les are descri'ed in Chapter 8 as almost infinite in num'er and treated Sas independent or moderating varia'lesS and Sassumed or e%cluded from the studyS &he -), authors too# great care in trac#ing as many of these varia'les as possi'le, and chose at the outset to use most as independent varia'les having some, hopefully measura'le, influence of the chosen dependent varia'le0s4 ,any of the attitudinal varia'les in the model are treated as moderating varia'les--a class of Sindependent varia'les 'elieved to have a significant contri'utory or contingent effect on the *7-D7 relationshipS &he 'usiness start-up rate "as found to have a high correlation "ith people?s perceived opportunities 0=<<4 and "ith the -), Cpportunity Derception *nde% 0=624--"hich factors in perception of positive opportunity in a person?s country to start a 'usiness, the capacity 0s#ills and motivation4 to pursue the opportunities, the level of respect for entrepreneurial efforts 'y others in the society, and the level of resentment against those "ho do "ell in an entrepreneurial venture4 Jou could use this @uestion to discuss factors not mentioned in the -), Conceptual ,odel that might contri'ute to 'usiness+jo' formation and ultimately to higher -DD Cne factor that usually comes up in such a discussion is creativity of ideas &his can generate a lively discussion a'out ho" the study could have measured for ?creativity? Students might also mention demographic characteristics of the country, such as median age 3= Using Bill -ates as a model, you can e%pect many students to 'elieve in the notion that entrepreneurial ventures are generally started 'y young adults &hey might point out after you sho" the graphs 'elo" that Aapan has a median age of almost 3= years compared to 939 for the US $lso, the percentage of the population under the age of 1: in the US is 88M, compared "ith Aapan at only 1:M $dditionally, students may raise the issue of economic sta'ility -iven the unprecedented economic gro"th e%perienced in the US in the latter part of the 8= th century, they may "ant to use economic sta'ility as a moderating varia'le SCURC)/ 1EM .222 34 E5ecutive Re%ort Such varia'les need to 'e assumed, discounted, or controlled in order for causation to 'e proven "ith some degree of certainty $ great effort has 'een e%pended in this study to achieve high levels of 'oth validity and relia'ility &his @uestion is designed to e%hi'it a lively discussion in the conte%t of control as it is descri'ed in Chapter 19 9 Chapter 1: and sampling concerns are the focus of this @uestion &he study has e%tracted information from t"o different samples in the participant countries/ a survey of 1=== adults and an in-depth personal intervie", plus a follo"-on survey, "ith 3= #ey informants $ key in+ormant is an e%pert "ith su'stantial e%perience in each of the nine entrepreneurial frame"or# conditions >ey informants "ere as#ed to identify the Ssingle most important critical issue facing the entrepreneurial sector in their countryS *t "as assumed that these e%perts "ould focus on factors "ith the highest correlations "ith 'usiness start-up rates Bational teams of intervie"ers "ere created and as#ed to 31 develop a list of such #ey informants in their country $ discussion could focus on the issue of pro'a'ility vs nonpro'a'ility samples, and a'out the "ay that such individuals "ere chosen &his @uestion is also suita'le for discussing ho" a national pro'a'ility study could 'e conducted in each country, and the special considerations that "ould have to ta#e place to conduct such a study in 1= countries "ith numerous languages, as "ell as cultural and social mores &he national study of 1=== adults "as randomly selected in each country, 'ut no sample frame is discussed in any of the methodology sections in the reports $ "ell-esta'lished research firm, "ith international offices in numerous countries, dre" each sample and conducted each study Using statistical profiles on age and education for each country, the research firm 'uilt a representative sample using random digit dialing procedures in 2 of the 1= countries 0personal intervie"s "ere used in Aapan4 3 &his @uestion addresses research design issues &he multi-stage study first identified critical issues affecting entrepreneurial activity &hese issues "ere dra"n from face-to-face, personal intervie"s "ith as fe" as 3 e%perts per country Detailed intervie" records "ere compiled on each country?s intervie"s (ollo"ing his or her intervie", each #ey informant also completed a detailed, 18-page @uestionnaire ,ultiple-item indices "ere developed from these intervie"s then used to developed the 1=-item yes+no @uestion survey given to the sample of 1=== adult in each country Survey information "as then com'ined "ith statistical data collected, via government and not-for-profit organiFations, in each country to develop comparative indices for each country Jou might as# students to discuss the value of pre-selecting e%perts to refine the focus of each measurement @uestion, the purpose and uses of multi-stage studies, and the types of 'ias or error 'uilt into the study 'y the multi-stage process : &his final @uestion as#s "hether this study @ualifies as a causal study 0vs a descriptive study4 Depending on "hen you use the case in your course, some students may 'e encouraged to use the sym'ols of e%perimentation in Chapter 11 to descri'e this study &heir result "ill li#ely not reflect any of the standard models Students should 'e further encouraged to address issues of relia'ility and validity, and as#ed ho" the study stac#s up in this regard Some students may conclude that the act of calculating correlation statistics ma#es this a causal study Cthers "ill suggest that 'uilding the -), Conceptual ,odel is a stage of the research design preliminary to the actual causal study &hey may indicate that the model needs to 'e tested over time 0in not only the countries included in the preliminary study 'ut in other countries not included in these early-stage tests4 'y manipulating one or more varia'les comprising one of their indices and measuring the net effects &his last stance is li#ely the most via'le, as -),-study designers plan su'se@uent measures over time on each of their multiple-item indices, and simultaneous trac#ing changes in the factors "hich comprise their model Case% AgriCo&p Abstract: $griComp, a supplier of computer systems for farmers, has surveyed it dealers on "hether to change its procedure for settling "arranty claim disputes Currently local dealers handle "arranty services for customers via local repair follo"ed 'y a reim'ursement claim to $gri Comp Denied claims follo" an internal company appeal process Dealers have 'een complaining a'out the fairness of the appeal process and in a recent survey "ere as#ed to respond to an alternative process, an impartial mediator &he student is as#ed to revie" survey results and determine "hether the costly e%ternal mediator process "ould 'e "orth implementing to #eep the dealers happy 38 &his case offers a chance for students to deal "ith the data 'efore it?s crossta'ulated Bothing very fancy is re@uired, 'ut the students "ill need to recogniFe that a crossta'ulation is in order 0or at the very least that some separate ta'ulations are needed4 &he dealer preferences are different for those "ho have used the e%isting appeals process than for those "ho haven?t &he more they?ve used the process, the less they perceive a need for change *f the data are ta'ulated in the aggregate, this trend is not apparent 1. 1ody wonders just how important the process is to the dealers? Was there widespread discontent or had he just heard from a few malcontents at the dealers' meeting? Jou can start "ith a @uestion li#e S.o" do the dealers feelES and follo" it up "ith SDo all of the dealers feel that "ayES &his "ill normally 'ring out a cross ta'ulation or something li#e the series of ,*B*&$B dotplots given 'elo" &hen you should turn the discussion to ho" 'est to summariFe or display the conclusions )ither some sort of crossta'ulation 0using appropriate percentages instead of counts4 or plots li#e those 'elo" "ill "or# &he main point is to 'e sure students don?t simply declare a SsignificantS lac# of independence and let it go at that &hey should have to say something a'out "hat #ind of dependence they find, not just assert the a'sence of independence &he more the dealers have used the e%isting appeals process, the less they agree "ith the statement that it should 'e replaced, so it appears that Aody "as hearing from some malcontents &he cross-ta'ulation of responses 'y num'er of uses is given on the ne%t page &he corresponding chi-s@uared is <81; on 18 degrees of freedom, so something is clearly going on Students may offer a variety of summaries of just "hat is going on, and you should prompt them for such summaries if all they offer is chi-s@uared &he general trend is illustrated 'y such diagrams as the dotplots given on the page follo"ing the crossta'ulation 39 Crosstabulation (count) of REP by USE USE REP 0 1 2 3 +------+------+------+------+ 1 | 12 | 12 | 4 | 6 |34 +------+------+------+------+ 2 | 6 | 2 | 1! | 12 |63 +------+------+------+------+ 3 | ! | 1! | 16 | 1! |60 +------+------+------+------+ 4 | 4 | " | ! | #2 |3 +------+------+------+------+ # | 1 | 12 | 12 | 3 |62 +------+------+------+------+ 31 ! #! 12# 2"2 USE ($%rc%nt) REP 0 1 2 3 +------+------+------+------+ 1 | 3!& | 1#&3 | 6&" | 4&! |34 11&6' +------+------+------+------+ 2 | 1"&4 | 34&6 | 31&0 | "&6 |63 21&6' +------+------+------+------+ 3 | 2#&! | 23&1 | 2&6 | 14&4 |60 20&#' +------+------+------+------+ 4 | 12&" | 11&# | 13&! | 41&6 |3 2#&0' +------+------+------+------+ # | 3&2 | 1#&# | 20& | 2"&6 |62 21&2' +------+------+------+------+ 31 ! #! 12# 2"2 100&0 100&0 100&0 100&0 33 (ot$lot of REP by USE USE 0 ) ) ) ) ) ) ) ) ) ) ) ) ) ) & 1 2 3 4 # USE 1 & ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) & ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) 1 2 3 4 # USE 2 ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) 1 2 3 4 # USE 3 (Eac* +ot r%$r%s%nts 3 $oints) ) ) ) & ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) ) 1 2 3 4 # 3: Case% AIDS Rates -or .e&ales Abstract: *n the early 12<=s, $*DS "as not generally considered a 'ig issue for "omen &he student is as#ed to e%amine 1221 data from the US Department of .ealth and .uman Services to present summary date that "ill reveal if this "as the case a decade later, and to highlight salient features or any important trends &his case is richer than it may loo# Beither formal techni@ue nor 'usiness #no"ledge is re@uired Com- puting a fe" percentages and plotting or ta'ulating the results "ill handle just a'out everything here, 'ut to ans"er the underlying @uestion, the student must thin# hard a'out the underlying data gathering process and the @uality of the data *t re@uires no computer access 0though students familiar "ith spreadsheets often choose to use them for the graphics pac#ages that come "ith them4 *t?s a good case to assign early in the semester *t forces the students to formulate the @uestion, decide "hat #ind of num'ers "ould help ans"er it and summariFe those num'ers &he student "ho has a good general education has as much to offer here as the technically advanced one, perhaps more *t deals "ith a topic of current interest, is moderately sensitive 0to some4, and helps to ma#e the point that statistics is supposed to 'e a real e%ercise that helps us understand real things, not just a mathematics e%ercise &he class discussion should focus on the follo"ing !hat trends do you find in the ne" cases of $*DS for females in the USE !hat @uantities in 0or computed from4 the data measure those trendsE Do the data suggest these trends "ill continueE !hat assumptions are you ma#ing in your ans"erE Students often approach a course in research methods "ith the idea that there must 'e one right ans"er to every study !e "ould li#e them to discard this idea in favor of the idea that "hile some ans"ers may 'e 'etter than others, generally the different approaches illuminate different aspects of the situation *t?s easy to discourage those "ho aren?t used to offering their vie"s if you get too specific in "hat you say, so "e prefer to 'egin discussion of this case in a general "ay, "ith some @uestion li#e S!hat?s going on "ith these dataES $ follo"-up @uestion li#e SCan you e%plain "hat features of the data led you to conclude thatES seems to "or# fairly "ell Something li#e S!hat "ould 'e a good "ay to summariFe "hat you?ve just said so as to communicate it to othersES may lead to a discussion a'out the strengths and "ea#nesses of various ta'les or charts $t some fairly early point, you should as# for other approaches, too, 'oth as to the @uantities to 'e com- puted and the form of their presentation *f a good climate has 'een esta'lished, there "ill 'e at least t"o general #inds of analysis and four or five different forms of presentation &hese provide motivation for a summary of the alternatives, discussions of ratios versus a'solute num'ers, ta'les versus graphs, different forms of graph, and so on $t its 'est, this case points out to the mathematically oriented that they had 'etter pay attention to the pro'lem and to the data, not just to the e@uations, and points out to the mathopho'es that it may not 'e as 'ad as they feared--simple techni@ues and some clear thin#ing go a long "ay Likely Results ,ost students "ill provide some sort of ta'le or plot sho"ing that the a'solute num'er of ne" $*DS cases in females has risen fairly sharply over the years ,ost conclude that "hether $*DS "as a pro'lem for "omen in the past or not, it certainly seems to 'e 'ecoming one no" ,any of the students "ill also point out that the mi% of sources of transmission of $*DS has also changed, "ith heterose%ual transmission rising to over 9=M of the ne" cases 'y 122= *ntravenous drug and heterose%ual transmission no" account for a'out three-@uarters of the ne" cases in females &he sharp drop in ne" cases in 1221 is the com'ined result of the reporting delays to CDC and the fact that the 1221 figures are only for si% months &he delays affect the 122= results, too Students usually notice the missing si% months in 1221, 'ut have varying levels of success in recogniFing the pro'lem "ith the reporting delays 0though it seems as though there "as enough information in the case to alert them to this possi'ility4 &here are usually some "ho conclude, though, that Sa"areness has increased and the trend is leveling off,S or something li#e that 0"hich later data "ould not confirm4 Students might 'e encouraged to chec# in their li'raries for later figures for female $*DS cases to see ho" the trends for 122= and 1221 loo# after more complete data are availa'le 0see 3; 'elo"4 $lternatively, you could suggest using the information given in the case 0:=M to ;=M reported "ithin 9 months, etc4 to derive appro%imate figures, and discuss their strengths and "ea#nesses *f you "ant more updated statistics, chec# our "e' site or try http/++"""cdcgov+hiv+graphics+"omenhtm 0active Aune, 8===4 Some students may have difficulty in discussing the topic, particularly the parts a'out se%uality &his may come out as hemming and ha"ing or reluctance to participate &he instructor "ill "ant to 'e sure he or she has esta'lished a climate of mutual respect to help "ith this *t?s an opportunity to point out that real pro'lems involving statistics don?t come as antiseptic little modules at the end of the chapter5 they come complete "ith strong feelings Dart of the art of statistics is to identify the part of those issues that can 'e dealt "ith statistically Case% ''3 <rod)cts Cross Oer the *ines o- Varied Tastes Abstract/ &his case as#s students to assess measurement and scaling issues in the conte%t of the introduction of a froFen, micro"avea'le BBQ product line into the southeast 'y Rich Droducts, Buffalo, BJ &he ne" line is 'eing introduced "ith commercials depicting Ru'y, a fictitious "aitress at Dor#-C-Rama "ho prefers the taste of the ne" froFen line &his case deals "ith measurement and scaling issues &he student must select a method to measure attitudes to"ard the product category and the specific 'rand *n addition, the student must decide on a measurement method to measure preference among a num'er of 'rands in the product category Student may attac# issues such as validity and relia'ility of the measures 1 !hat measurement and scaling issues should 'e considered "hen developing a study to measure consumersH attitudes to"ard 'ar'ecue in general and specifically Rich Droducts Bar'e@ueE Chapter 19 presents difference methods for measuring attitudes &he student should select a method and defend "hy they chose that method &heir defense should rest on the issues of validity and relia'ility Some additional issues that may 'e addressed are/ $ .o" "ill the managers use the attitude measuresE *f they simply "ant to determine the overall attitude to"ard RichHs 'ar'ecues then different approaches are availa'le .o"ever, if they are interested in developing advertising copy, employing segmentation, or altering the product then the measurement device must collect information on the salient attri'utes *n essence, the student must decide "hether they "ant to collect formative or reflective indicators of the attitude B $ fundamental issue for the collection of attitudes for RichHs product is consumer a"areness of the 'rand &he 'rand is ne", conse@uently, "ill people have an attitude to"ard itE !ill the company need to develop concept story 'oards, allo" consumers to try the product, etcE C $nother issue is the target mar#et *t "ould appear that some consumers "ill have "ell developed attitudes to"ard 'ar'ecue 'ut others "ill not &he @uestion is/ Can the same instrument or measurement device 'e used for 'oth types of consumersE 8 $ssume RichHs "anted to test peopleHs preferences for their 'ar'ecue versus the other leading 'rands 0of "hich there are five4 !hat "ould you recommend to measure these preferencesE $ &he first choice the student "ill have to ma#e is "hether to use comparative or noncomparative methods Comparative scaling results in data that must 'e interpreted in relative terms and has ordinal data properties $n attractive feature of comparative scaling is that relatively small differences among o'jects 'eing compared can 'e detected *t must 'e remem'ered that the respondent is instructed to directly compare o'jects5 conse@uently, differences are forced to surface Comparative scales are, in general, easily understood 'y respondents 'ut can 'ecome 36 time consuming as the num'er of o'jects to rate increases X leading to respondent fatigue B !ith noncomparative scaling the respondent is not instructed to compare the o'ject 'eing rated against "ither another o'ject or some specified standard .ence, small differences among o'jects may not surface C Cnce students have discussed these issues they should choose a particular method and defend their choice &he advanced student may "ant to discuss other potential analysis for the data such as multidimensional scaling approaches Case% Calling Up Attendance Abstract/ $ study 'y Drince ,ar#eting for &CS ,anagement -roup, "hich mar#ets &eleCenter System soft"are, measures customer satisfaction "ith the current edition of the soft"are and aims to predict attendance at a t"o-day educational event, Users (orum &his case has numerous tie-ins to various chapters Used "ith Chapter 9, you can 'uild the management-research @uestion hierarchy Used "ith Chapter 3, your students can 'uild the research process model up through data collection Used "ith Chapter 1:, you can discuss sample frames, and screening for @ualified respondents, as "ell as various methods for dra"ing a sample from a sample frame 0customer list4 Used "ith Chapter ; you can discuss the types of data 'eing collected as "ell as relia'ility and validity issues Used "ith Chapter 19 you could discuss "hy a rating scale is appropriate to evaluate customer service and li#ely attendance Used "ith Chapter 1= you can discuss the appropriate communication methods Used "ith Chapter 18, you could discuss preliminary analysis planning Used "ith Chapter 1;, you could discuss "hat to do "ith the 1;M of the sample that felt ill-e@uipped to ans"er the issue @uestions and "hat preliminary analysis "ould 'e appropriate to ans"er the management @uestions ; &his @uestion gets the student in the ha'it of formulating the management-research @uestion hierarchy 0Chapter 94 as the 'eginning step of a research project &he management dilemma facing &CS is ho" to prepare for the scheduled Users (orum "hen it doesn?t #no" "hat specific presentations to 'uild into the program, nor ho" many people to e%pect at the Cpryland .otel event • Management questions/ !hat topics should 'e addressed in the presentations or materials distri'uted at the Users (orumE .o" should solutions 'e delivered, given the attendance e%pected 0"ritten materialsE "hole session devoted to the issueE4E • Research questions/ !hat issues cause the most concern among the current users of the &eleCenter System soft"areE .o" many current users see attendance at Users (orum as a via'le means to address trou'lesome issues, such as ease of use, technical support access and responsivenessE • Investigative questions/ !hat is the current users? evaluation of customer service, especially on ease of use, soft"are-generated reports, technical support service, and effectiveness of soft"are for its intended purposeE !ho, if anyone, from a current user?s company "ill attend the Users (orumE Do ne" users of the soft"are have different concerns than more esta'lished usersE .o" many representatives from a single company may come to the Users (orumE !hat type of respondent 0user or manager4 is most li#ely to attend the (orumE Do the different types of respondents have different concerns "ith &eleCenter System soft"areE • Measurement questions/ !e don?t have the actual instrument, 'ut "e #no" that Drince ,ar#eting collected information relative to investigative @uestions using a 6-point rating scale, "here S6S "as the most positive on the scale !e also #no" they "ere a'le to classify the respondent as a soft"are user or call center manager 3< 6 &he o'vious choice, as indicated 'y )%hi'it 1=-8, is the telephone intervie" Because &CS needs the information is a relatively short amount of time, one must e%clude personal intervie"ing as a collection method -iven the technical s#ills of the respondents, self-administered via computer "as a possi'ility, if &CS had e-mail addresses or Drince felt the response timeframe "ould 'e met Drince ,ar#eting chose a phone intervie" 'ecause of the a'ility to control the process and meet their three-"ee# promise, 'ut also 'ecause of the limited num'er of data varia'le they "ere collecting &hey could choose any of the three methods 0human, C$&*, or computer-delivered4, 'ut human-administered definitely gives Drince and &CS the most control C$&*, ho"ever, gives the telephone intervie"er the a'ility to enter the responses in process, permitting Drince to tally the results more @uic#ly possi'ly ma#ing them availa'le to &CS in real time, so they could prepare for presentations "ithout "aiting for the formal estimate of attendance < &he re@uest for a preliminary analysis plan relates "ell to )%hi'its 11-1 and 11-8 and "ould 'e fairly simple for this study &CS "ould "ant to fre@uencies on the attitudinal-scale varia'les $nd "e "ould "ant to cross- ta'ulate such varia'les 'y "hether the respondent definitely "ould 'e, might 'e, or definitely "ould not 'e in attendance at the Users (orum (re@uencies 0or cross-ta'ulated fre@uencies4 "ould tell us the most pressing issues, assuming Drince has done a good jo' of anticipating issues in the design of the data collection instrument or "as a'le to transform the data during data preparation into homogenous groups of responses on issues !e also "ant to 'e a'le to predict attendance, so "e "ould "ant fre@uencies on the attendance varia'le, as "ell as their interest in more information a'out attending the Users (orum .opefully "e can cross- ta'ulate this information against classification varia'les such as industry of the firm and years of soft"are use that "ould 'e readily availa'le from the customer data'ase the &CS provided to Drince ,ar#eting 2 *n data analysis, the ne" users "ho felt ill-e@uipped to evaluate the soft"are ease of use @uestion 01;M of the sample4, "ould li#ely not 'e included 0counted as missing cases4 in the analysis of this issue .o"ever, their li#ely attendance could still 'e important to the prediction of attendees overall *f some of these ne" users did identify soft"are installation, technical support, or use concerns, you could cross-ta'ulate a status varia'le 0ne" user vs esta'lished user4 against the various issues varia'les Such data e%ploration actions may very "ell lead to Users (orum sessions e%clusively designed for ne" users 1= Jou can use this @uestion to tie the trends cited 'elo" and )%hi'it 1-1 to the communication data collection approach Jou could also tie this @uestion 'ac# to Chapter : and the su'ject?s right to privacy &he issue of incorporating mar#eting promotion "ithin the conte%t of customer satisfaction research is commonly done, although it can 'e a t"o-edged s"ord (rom a mar#eter?s perspective, you have a potential attendee on the phone and you could efficiently use his or her time 'y telling them a'out the Users (orum (rom a professional researcher?s perspective, such a com'ination use of the survey is totally inappropriate and contri'utes to the gro"ing refusal rate among potential respondents *f research is accompanied 'y a sales presentation, potential respondents have the right to 'e angry "hen they agreed to participate only in a survey Such a change in orientation and purpose is a violation of the su'ject?s right to privacy Trends in Research <ro-ession What ;anagers Sho)ld Watch .or &he Dositive &rends Budding recognition of the importance of the researcher participating in strategic planning Strategic planning initiatives that have an appropriate research component )merging return to the strong, internal research group or a long term partnership "ith an e%ternal research supplier Better methodologies performed 'y #no"ledgea'le professionals generating significant value to management decision ma#ing 32 Trends in Research <ro-ession What ;anagers Sho)ld Watch .or The Negatie Trends *ncreasing pressure for rapid measurement and feed'ac# ,ethodologies that raise @uestions a'out representativeness of samples Drojects fielded "ithout thoroughly understanding the management dilemma, "hich results in information of little value to solve the dilemma *ncreasing pressure on research specialists to interpret research results and provide strategic recommendations Research providers "ho may 'e technically competent "ith e%pertise in @uantitative s#ills, 'ut "ho are not trained or have limited training in management *ncreasing demand for information privacy, reducing respondent "illingness to cooperate Research providers "ho are #no"ledgea'le a'out e%tracting valua'le #no"ledge from internal data'ases 0data mining4 -eneral consulting firms moving to"ard functional specialiFation and increasingly doing their o"n research Consultants "ho lac# the technical s#ill in research methodologies creating a lac# of transition from management dilemma to research protocol Consultants sharing information among specialiFed clients, generating a loss of intellectual capital that fosters distinctive competenciesPthe 'asis of competitive advantage Continued perception of research as an e%pense rather than an investment in reducing uncertainty Research 'udgets 'eing cut during economic do"nturns *ncreasingly "ide range of competence among those offering services in the research industry *nsufficient @uality of credentials among research professionals 'eing used or considered $ssignment of projects to researchers "ith insufficient technical 'ac#ground to the @uality research !idening cultural mindset gap 'et"een 'usiness strategists and research specialists Brea#do"n in communication 'et"een researcher and manager "ho "ill use the research results, resulting in information, not #no"ledge Consulting and industryHs e%pectation that ne" hires have received scientific research training in college $ssuring that curricular demands placed on the ne" hires at their collegiate institutions have included research methodologies Decrease or decay in intellectual transfer 'et"een academia and research profession $ssuring that firms hired as research specialists #eep a'reast of the ne"est methodologies through continuing education efforts &hese trends are dra"n from various presentations at the annual $merican ,ar#eting $ssociationHs ,ar#eting Research conference since 1226 Case% Ca&pbell5E"ald <)&ps A"areness into the A&erican #eart Association Abstract/ Jou "ouldnHt thin# that an organiFation that does as much good as the $merican .eart $ssociation "ould have lo" a"areness, 'ut at the start of the descri'ed research program its unaided a"areness level "as just 1; percent (or a company reliant on contri'utions, lo" a"areness is a major pro'lem &his case profiles the research 'ehind the $merican .eart $ssociationHs first-ever paid advertising campaign """+ca&pbell5e"ald+co&: """+a&ericanheart+org 1. After watching the ads, take the Learn and Live quiz. Take a position on the tracking of individuals taking the quiz as a measure of direct response of the ad`s effectiveness; defend your position. (http://www.americanheart.org) Jou might find it useful to use this discussion @uestion as a class e%ercise Jou can divide your class into pro+con teams and have each come up "ith the arguments for that position := • $rguments for using involvement "ith the online @uiF as a means of ad trac#ing might include/ • &hat getting audience mem'ers to the !e' site "as clearly an important action o'jective of the ad • )ngaging visitors 'y involving them in the ta#ing of a @uiF is more li#ely to reveal their understanding of the underlying message of the ad campaign • $rguments for not using involvement "ith the online @uiF as a means of ad trac#ing might include/ • &hat many individuals that see+hear and understand the message may not 'e encouraged to visit the !e' siteLso the communication o'jective may 'e met "hile the action o'jective may not • *ndividuals that see+hear the ad and understand the message may not have access to a computer Since computer access "as not a varia'le in choosing the media for the campaign to e%clude this portion of the relevant population "hen trac#ing ad results creates error 2. What are the advantages and disadvantages of using secondary data in this particular case? &he primary reason Camp'ell-)"ald 0C-)4 used secondary data during their preparation of the $.$Hs pitch for the advertising account "as to gain a 'etter understanding of the organiFation and of heart disease, as "ell as understand "hat motivated giving to a non-profit organiFation Using secondary data shortened the time they "ould spend on research $lso, they @uic#ly discovered the scope of the potential pro'lem facing $.$ !hile they "ouldnHt have "anted to craft a creative strategy 'ased solely on secondary data, effective use of secondary data collected during e%ploration is actually e%pected in 'usiness research *t "as the intervie" of Aohn Daling 0primary data4 a'out ho" people perceived ris#, ho"ever, that gave them the insight to develop the approach that "on C-) the $.$ 'usiness 3. Discuss the role of Diagnostic Research in the American Heart Association`s selection of the personal stories creative approach. Diagnostic Research "as hired to pretest the various creative approaches that evolved from the focus group discussions, the intervie" "ith Aohn Daling, and the secondary data search DR sho"ed the animatic prepared 'y C-) to a sample of 1=== adults in a mall setting &he $.$ animatic "as positioned "ithin a pod of animatics for other products and services, similar to the "ay the audience "ould see the real $.$ commercial &he su'se@uent intervie"s measured 'rand recall and the main idea that the audience o'tained from the ad &he DR methodology indicated that all three creative approaches tested "ould generate appropriate 'rand recall and message capture &hat meant the C-) might need additional research to correctly select the 'est creative approach or they "ould need to use their vast e%perience to recommend the 'etter approach for $.$ to ta#e at this particular time in $.$ history &his is good time to mention that even great research doesnHt ma#e the decision for the manager Rather, research provides the undecided manager "ith evidence to s"ay his judgment in one direction or another, or it su'stantiates a direction in "hich the decision-ma#er might 'e leaning 4. Explain why both qualitative and quantitative research techniques were used to develop the personal stories campaign? &he use of more than one research techni@ue in 'uilding an advertising campaign is fairly common in 'usiness research &he @uantitative data derived from previous $.$ surveys and from the DR animatic testing allo"ed C-) to @uantify the ris# of each campaign *t "as the @ualitative research, first the intervie" "ith Aohn Daling that gave C-) its understanding of personal ris#, as "ell as the focus groups that put a face to real, heart-disease stories that gave C-) their strategic approach to the pro'lem of raising $.$ a"areness and that, ultimately, provided the "inning campaign creative approach Jou might "ant to discuss "hether the mall setting "as conducive to either the vie"ing of the animatic or "hether patrons of malls represent an appropriate group from "hich to dra" a sample *f DR has facilities in the mall, as many such firms do, then the group from "hich it dra"s its sample might suffer from over-testing and thus inject error into the process :1 Depending on how much you wish to discuss advertising, other discussion opportunities include: • Discuss ho" students "ould test "hich of the personal stories ads "as most effective • Discuss "hether the appropriate sample should have 'een "eighted more to"ard females than males • Discuss "hat research could 'e used to determine "hether an ad campaign "ould 'e more effective in raising a"areness and understanding of the $.$, compared "ith other promotional methods Case% Ca&pbell5E"ald% R5E5S5<5E5C5T Spells *oyalty Abstract/ &he case descri'es a detailed study conducted 'y Camp'ell-)"ald, "ho sought to su'stantiate the importance of NrespectO "hen dealing "ith customers in different 'usiness related sectors &his agency, steadfast in its success through customer satisfaction principles, esta'lishes through its research that the construct of respect is held in high regard 'y customers and therefore plays a significant role, "hen determining, among other things, the longevity of client relationships 1. How would you operationally define the construct of respect? Take the perspective of each of the three client sectors: insurance, air travel, and retail. &his @uestion is fitting for discussions concerning concepts and constructs *t prepares students to identify the similarities and differences involved "ith the use of 'oth scientific terms 0Chapter 84 and ho" dictionary meanings differ from those used in testing Both terms are inherently similar yet the construct has specificity necessary for measurement and replication of a study Constructs are not easily o'serva'le, created for the e%press purpose of testing, and generally more comple% &he construct of respect though similar in various theories, assumes variations "hen operationally defined in the research literature and "hen vie"ed from the perspective of these three client sectors &he term res%ect as used in conversation has more individualiFed e%periences attached to it and is idiosyncratic to individual spea#ers &hus it is difficult to find agreement among students in this definition during a discussion Jou "ill find that through 'rainstorming, students may indicate that the definitions overlap and they may point out difficulties "hile trying to NoperationallyO define them !hen such constructs are used in pure research, measurement scales are essential to further specify meanings &he important thing for students to grasp is that through operational definitions, a person should 'e a'le to measure or conceptualiFe the construct, given the specific purpose of the research $dvise students that operational definitions often serve the same purpose for researchers, as common jargon does for narro" language groups .ere are some student definitions of respect after reading the case/ • *nsurance/ tailor products for specific customer needs5 maintain the individualHs right to privacy "hen dealing "ith client information5 sho" concern for unfortunate mishaps5 provide contractually correct compensation in a timely fashion, refraining from unethical and dishonest conduct • $ir &ravel/ strive to meet e%pectations in chec#-in, 'oarding, on'oard services, de'ar#ing, and luggage handling5 providing appropriate reim'ursements or compensation to customers "hen necessary5 sho" concern for safety and on-time schedules • Retail/ maintain a polite and cordial demeanor "hen dealing "ith the pu'lic5 listen to customersH specific needs and match your product accordingly5 remain professional "hen faced "ith unpleasant circumstances, regardless of "ho is at fault 2. Map the overall design of the research described here. &he nature of this @uestion gets students into the ha'it of identifying the different types of designs and the steps involved "hen conducting research *t allo"s students to 'ecome more familiar "ith the various methodologies utiliFed and is an opportune time to e%plore data collection techni@ues and the constraints researchers sometimes :8 encounter "hen utiliFing such techni@ues $s such this @uestion is @uite applica'le to Chapter ;, "hich discusses design strategies as "ell as 11, "hich e%plores data collection methods • &he first step involved Camp'ell-)"aldHs e%ploratory attempts to discover the reasons for the disconnect 'et"een respect 'onds and its customers Camp'ell-)"ald discovered firms "ere accustomed to using Customer Relationship ,anagement 0CR,4 soft"are, as a mechanism for trac#ing satisfaction 'ehavior among customers .o"ever, research revealed that investment in technology and soft"are to model li#ely 'ehavior "as not achieving its desired goal $mong the reasons for Camp'ell-)"ald interest "as the apparent connection 'et"een customer satisfaction and customer loyalty and purchase 'ehavior &his stage also tapped into feed'ac# from -artner -roup and $ccenture, relationship e%perts such as Dr Dhil and Steven Covey5 and information garnered from e%isting literature on the dynamics of people relationships o &his is an opportunity to as# students "hat other e%ploratory avenues that Camp'ell-)"ald might have pursued o &his is also an opportunity to discuss the different 'et"een pure and applied research &he Camp'ell-)"ald clients in the three sectors did not have specific relationship management issues they "ere researching "hen they signed on as part of the respect research initiative • &he second stage of the research --data collection-- revealed the use of t"o levels of primary data &hrough partnership "ith Synovate, Camp'ell-)"ald first utiliFed SynovateHs omni'us *elenation 0nationally representative telephone survey4 to ascertain "hether the pu'lic vie"ed respect as an issue "hen they dealt "ith companies &his data "as used to justify Camp'ell-)"aldHs 'elief that respect "as a salient issue to customers .ere you can discuss the implications involved "ith using an omni'us study and ho" the process of as#ing a fe" @uestions to a national pro'a'ility study can prove helpful to a researcher Camp'ell-)"aldHs decision to e%plore this data may have yielded significant findings, "hich further validated their conclusion that Nrespect truly mattersO Jou can as# students their vie" of ho" credi'le the use of an omni'us study data is and "hy • &o esta'lish the varying perspectives of respect concerning the different sectors 0insurance, airline and retail4 Synovate utiliFed a sample of 18 focus groups, four each in the a'ove named sectors &his stage e%plored the scope of the research @uestion and seeded the su'se@uent 3-page @uestionnaire &o 'etter allo" for a representative sample, the focus groups included men and "omen from 'oth Chicago and Detroit &his is an apt time to discuss the advantages and disadvantages of using focus groups Considering the sample usedPfour each in three sectorsPraises @uestions a'out accuracy and representative results from t"o mar#et areas (eed'ac# from the focus groups "as used to design measurement @uestions for the mail survey sent to Camp'ell-)"aldHs clientsH customer lists from each sector &he focus groups "ere used fairly traditionally in this case to see a more detailed @uantitative study • &he final data collection phase of the research "as a national pro'a'ility mail survey conducted 'y Synovate Cne possi'le discussion @uestion is/ !hy did Camp'ell-)"ald choose BC& to use the Synovate panel to increase the response rate to the survey VCamp'ell-)"ald feared it "ouldnHt 'e representative of the three sectorsW $nother might relate to the non-response error inherent in a mail study and ho" it is handled !ith only a small response rate 0less than 2M4 could Camp'ell-)"ald have concluded that respect matters to only a small portion of the relevant population and the remainder simply didnHt careE -enerally this is a good time to discuss the strengths and "ea#nesses of mail surveys A. What types of studies were involved in Campbell-Ewald`s respect initiative? :9 &here "ere three study types involved in Camp'ell-)"aldH respect initiative Jou can use this time to as# students ho" they "ould relate the case to other types of studies Jou can also discuss the characteristics of these studies and the purposes each serve in research -iven the outlines of each study, you can as# the student to indicate its strengths and "ea#nesses • )%ploratory study Camp'ell-)"ald used secondary data searches to define the construct 0including studies pu'lished 'y -artner -roup and $ccenture, 'oo#s 'y authors such as Dr Dhil and Steven Covey, and information from other e%isting literature4, and focus groups to help refine attitudinal statements to 'e used in later @uantitative research &he t"elve focus groups study completed the e%ploratory phase of the research and segued into the survey • Descriptive Study Camp'ell-)"ald utiliFed data from SynovateHs &elenation telephone survey, "hich served as a preliminary step in the large @uantitative study "hich follo"ed • )%planatory study .ere Camp'ell-)"aldHs research team attempted to isolate the components of respect and e%amine its relationship to satisfaction and loyalty &hey "ere interested in discovering ho" customers vie"ed the issue of respect "hen dealing "ith companies &hey aimed to ascertain "hat caused customers to remain loyal to 'usinesses and in so doing Nidentify the tenets of strong personal relationships &his effort aided in the creation of its five NDeople DrinciplesO !ith its e%tensive clientele, "hich included customers in different sectors 0insurance, travel, retail and government4 Camp'ell-)"ald sought to discover, 'ased on their five principles, ho" respect "as vie"ed in each sector &o 'uild on this, Camp'ell-)"ald capitaliFed on SynovateHs e%perience in conducting large scale mail surveys, "hich "as a significant source in the data collection process *ts sophisticated analytical techni@ues, namely its Nproprietary 'rand propensity modelO called N&he ,omentum )ngine,O aided in providing more detailed information in analyFing relationships "ith sales gro"th -iven its varying client list, therefore its sample siFe, Camp'ell-)"ald desired a more comprehensive feed'ac# B. What are the strengths and weaknesses of the various methodologies? &his @uestion is applica'le to Darts 8 and 9 of the te%t "here the methods of primary data collection are presented Mail Surveys (Self Administered Surveys)/ &he use of this methodology, though often cost effective in research, can 'e pro'lematic "hen it comes to response rates ,ail surveys are typically ine%pensive .o"ever, lo" cost is no guarantee that responses "ill 'e su'stantial (ive thousand surveys "ere distri'uted, and the amount returned 0:M X 2 M4 opens the discussion to nonresponse 'ias Response rates for mail surveys are typically lo", 'ut steps can 'e ta#en to adjust this &his is an apt time to discuss the pros and cons of using different survey methods and the challenges researchers sometimes encounter !as the survey too lengthy at four pagesE Did that contri'ute to the lo" response rateE !ere participants just not interested in the "hole issue of respect from the companies they dealt "ithE &he siFe of the dataset for each sector 08==- :== cases4 o'scures the fact that "hile the data are sufficient for statistical analysis, representativeness is in @uestionE Jou can as# the student/ • !hat steps could Synovate ta#e to increase response ratesE • .o" can a researcher minimiFe nonresponse errorE • .o" effective "ould incentives 'e given sample siFe and costE Camp'ell-)"aldHs decision to disguise their clients, 'y sending surveys under SynovateHs letterhead could have increased or decreased response rates By disguising the surveyHs sponsor participants may 'e less inclined to complete the survey ,any might have 'een unfamiliar "ith "ho Synovate, further reducing :3 their li#elihood of response Some participation in any survey is dependent on participants recogniFing the value they 'ring and on the rapport 'et"een participant and researcher, participants may 'e more li#ely to participate in the survey "hen they are familiar "ith the organiFation or feel some sense of loyalty to it $t the same time, disguising the name may have proven helpful, as this "ould give respondents the opportunity to give an honest opinion of ho" they felt Camp'ell-)"aldHs clients treated them, or ho" they vie"ed the issue of respect Focus Groups/ &he use of focus groups, as a "ay of developing measurement @uestions that "ould clarify the core motivational drivers in categories 'eing studied, proved useful as a "ay of defining the parameters of respect .o"ever, having clients actively involved in this process of creating the measures and the su'se@uent development of the survey can, potentially, create some 'ias $s such, measurement @uestions could 'e created that only defines ho" specific NclientsO may conceptualiFe respect and not necessarily 'e applica'le to all mem'er firms in a sector Since a communication agency rarely represents more than one firm in a category, having the measurement @uestions apply more to one firm 0eg, Continental4 in a category rather than all other firms in the sector is really not pro'lematic &he use of mainly Ntop customersO as the sample frame, 'egs the @uestion as to ho" representative that sample may 'e for pure research Telephone Omnibus Survey: $n omni'us survey has a very short turn-around "hile it limits the num'er of @uestions contri'uted 'y any one sponsor &herefore, the omni'us can sometimes represent a 'undle of @uestions that have little direct connection &his leap from topic to topic can sometimes confuse a participant and as a result the sponsor may get less than the clarity hoped for (or an undefined construct li#e respect, the omni'us survey should have 'een a comforta'le respite from more product+store+issue specific @uestions &he lo"er cost and shorter turn-around "ould have prevented the larger study from 'eing slo"ed C. How do the methodologies complement each other? &he use of the focus groups for ideation and creating measurement @uestions is a useful "ay of getting first hand #no"ledge as to the type of issues that customers "ere most concerned a'out in each sector "hen it came to respect Using feed'ac# from the focus groups, Synovate "as a'le to create and appropriately tailor the measurement @uestions that participants could relate to Camp'ell-)"aldHs decision to actively engage its clients in this process, further ena'led them to seed the survey @uestions $dditionally, the incorporation of a :-point scale complements the attitudinal nature of the investigation 3. Analyze the use of the 5-point scale for measurement of respect dimensions. What other statements would you add to the sample provided in Exhibit C-E-1? &his type scale as a measurement tool is a simple and useful "ay of recording responses !ith the attitude statements connected to a five-point Nstrongly agree to strongly disagreeO scale, comparisons 'et"een sectors is more efficient for data analysis of attitudes -iven the length of the survey, this is an easy "ay to allo" participants to indicate their opinion, "hile providing them "ith a middle ground, in the event they neither agree nor disagree :: &hough the scale channels a response "ithin a specific conte%t, participants responding to comple% construct such as respect may either add to measurement error 'y responding to statements "ith "hich they have no e%perience or desire to ma#e additional "ritten clarification Using some open-ended @uestions could have 'een advantageous $ useful comparison is the evaluation surveys that students complete at the close of each semester, "here they rate their professors and the course &o generate a discussion you can as# students ho" li#ely they are to complete open-ended @uestions on such surveys, and "hyE Jou can also as# students to suggest statements they "ould include in the Camp'ell-)"ald study as opened-ended @uestions Camp'ell-)"ald and its partners used correlation, multiple regression, and other multivariate analyses in an effort to identify customers "ith the greatest potential to drive sales gro"th Bonmetric scales "ould have presented severe data analysis pro'lems since the lac# the po"er to e%tract the information re@uired 'y the research @uestion E6hibit C5E5> Sa&ple o- Attit)dinal State&ents Researchers as#ed participants their degree of agreement "ith several respect validation statements $ sample of these statements, developed from focus group discussions, appears 'elo" Strongly Agree Neither Disagree Strongly Agree Agree nor Disagree /eneral Respect Initiaties= across categories Is interested in listening to what is important to me as a customer Places their own interests above those of the customer Notifies me in advance of sales and special promotions Rewards me for repeat business Honor commitments/promises they’ve made to me Speci-ic Respect Initiaties= "ith category Accepts returns without a hassle (retail !lights ta"e off and land on schedule (airline travel Handles claims in a timely manner (insurance 4. Discuss the pros and cons of the sampling plan for the mail survey. Camp'ell-)"ald received names of customers from their clients &hese clients provided names mostly from their top customers Synovate distri'uted five thousand surveys to each sector/ insurance, air travel and retail .o"ever, the case did not indicate as to ho" customers "ere chosen as part of the sample to determine if this "as done in a randomiFed manner *t also did not indicate if criteria "ere set to choose customers, such as length of time "ith a particular client or company, their gender, or age groups Considering that clients provided names of their mostly from their top customers, esta'lishing "hether or not this is a representative sample of their customer population, is pertinent information Su'se@uently, "ith the target population 'eing mostly Ntop customersO this potentially limits the a'ility to ma#e inferences a'out the general population and inevita'ly raise @uestions as to the accuracy of the findings -iven the nature of the research, and the fact that five thousand surveys "ere sent out to each sector "ith a small return, it is safe to assume that not every customer relevant sampling element is represented &his is a good time to discuss "ith students, the pros and cons of using pro'a'ility versus nonpro'a'ility sampling :; Students may argue that this "as the most cost effective method to ta#e, "hile others may argue that the sample produces much 'ias and therefore @uestions the accuracy of the results Case% Can Research Resc)e the Red Cross? Abstract/ &he $merican Red Cross, #no"n for its "orld"ide efforts in providing disaster relief and assistance to the sic# and needy, comes under intense scrutiny and attac# for the misappropriation of post Septem'er 11 donations &he case descri'es the concerns e%pressed 'y 'oard mem'ers of the Red Cross "ith regard to ho" such pro'lems could 'e prevented in future fundraising efforts *t also outlines ho" this organiFation sought to address its e%isting dilemma of changing the pu'licHs perception of the "ay in "hich funds are managed and "hether pu'lic donations "ere 'eing used appropriately &his case is @uite applica'le to Chapters 1 through 9, "here students are introduced to the research process and the different types of studies that the Red Cross could have underta#en to avoid their e%isting dilemma &he case also ties in to Chapter 9 and prepares students for the creation of the management-research @uestion hierarchy 0)%hi'it 9-8, ,anagement-Research Question .ierarchy4 $dditionally, it allo"s for discussions on the decisions made 'y researchers "hen designing samples 0Chapter 1:4 By descri'ing and discussing the dilemma faced 'y the Red Cross, students "ill 'e a'le to use )%hi'it 9-9, (ormulating the Research Question, to identify management dilemmas and in so doing formulate appropriate research @uestions that the Red Cross could consider for discovering 'etter "ays of funds management Used "ith Chapter 18 and 19, students can discuss the types of measurement scales *n addition, the case ties into the data collection methods descri'ed in Chapters 1= R 114 1. If you had been McLaughlin or Decker, what research would you want done? Jou can 'egin discussions of this @uestion 'y having students suggest ho" ,cLaughlin or Dec#er might define the dilemma Some may suggest that the dilemma faced 'y the Red Cross lies in ho" to 'etter manage and appropriately ma#e use of pu'lic donations Cthers may see the dilemma as ho" to overcome the negative perception that donors may have of the Red CrossHs fund raising activities and regaining pu'lic trust Cthers might see the dilemma as one of education of the pu'lic and ho" 'est to do such activities Students may also suggest that the Red Cross needs to find "ays to reassure donors that their donations "ill 'e distri'uted appropriately Both ,cLaughlin and Dec#er could 'enefit from e%ploring ho" current funds are pooled and distri'uted, ho" informed donors are of the "ays in "hich the Red Cross manages and distri'utes donations ,anagement could also e%plore if its decision to use a portion of the Li'erty (und as reserve for future disaster, "as consistent "ith its mission and previous fundraising strategies 2. Create the Management-Research Question hierarchy for the research you think might help the Red Cross make decisions related to public relations efforts and future advertising soliciting donations. )%hi'it 9-8 and 9-: are useful as a guide for this discussion/ !e suggest using the management dilemma facing the Red Cross as the pu'licHs perception of its mismanagement of donations &he Red Cross must change ho" it is perceived 'y donors "ho may @uestion "hether their donations are 'eing used for the causes for "hich the Red Cross "as perceived to 'e soliciting funds &he Red Cross must a'le to provide services 'ased on the contri'ution it receives from pu'lic donors *f it "ere to continue to 'e seen as engaging in activities inconsistent "ith its mission, the Red Cross could face a significant decrease in its funding sources &his may also place a negative stigma on the nonprofit charita'le sector and its future fundraising activities &herefore, :6 the Red Cross must regain and maintain its credi'ility in the pu'licHs eyes, so as to 'e a'le to ensure the continued receipt of donations Some of the options students might generate are/ ;anage&ent 3)estions Research 3)estions Inestigatie 3)estions $ll management @uestions are not e@ually addressed 'y research .o"ever considering the gravity of the e%isting dilemma, ho" should the Red Cross ma#e donors clearly a"are of their policies "ith regard to ho" contri'utions are e%pendedE .o" should the Red Cross change the "ay it advertises is policies "ith respect to donation allocationE • !hat is donor understanding of the e%isting policies relating to ho" donations are raised and spentE Should the Red Cross consider revising its policies relating to ho" donorsH contri'utions are pooled and distri'utedE Should the Red Cross use separate fund-raising activities for each disaster or should it solicit funds only for the general fund that may 'e allocated to any disaster "here neededE • !hat practice 0specific fund or general fund4 is more li#ely to generate more largesse among donorsE • !hat level of trust do donors have that the Red Cross "ill spend its donations "iselyE • !hat are the donation patterns/ primarily to specific pleas for help or have donors simply donated to further the general mission of the organiFationE .o" can the Red Cross 'etter manage the funds it receives from fundraising activities, specifically funds raised in e%cess of the amount needed for a specific disasterE Should the Red Cross utiliFe a predetermined donation goal, redirecting funds to the general fund after that goal for donations is received, and communicate this goal to the potential donorsE • .o" is a dollar estimate of a donation need level determinedE • !hat is the potential donorHs understanding of this estimation processE • !ill a dollar donation goal for a particular disaster relief fund discourage donations once that goal is reachedE • .o" "ould potential donors "ant to learn a'out progress to"ard goal achievementE 3. If you created a RFP, what would it contain? Chapter 3 introduces the R(D, "hich is supplemented 'y the sample on your te%t D7D, and provides additional insight as to the contents and assessment of a Re@uest for Droposal &he proposal "ould contain/ • Definition of the pro'lem facing the Red Cross 0the management dilemma4 • *dentifying the limitations involved :< • Droviding a description of the policies relating to Red CrossHs fundraising • -uidelines 4. What considerations should influence sampling decisions in any research the Red Cross would do on this issue? -iven that the $merican Red Cross is a national organiFation and their reputation "as at sta#e, the selection of an appropriate pro'a'ility sampling techni@ue is indicated &he larger @uestion is "hether sample units should 'e stratified in some "ay Students should 'e encouraged to 'rainstorm all the possi'le su'groups "ithin the donor population ,any donors may have made contri'utions to the Red Cross via its "e'site, "here they "ere given the option of contri'uting to a particular cause &o allo" for accuracy and effectively address the issue of the e%isting policies relating to ho" donations are raised and spent, a sample could 'e dra"n from persons "ho have 'een previous donors to a particular fund Dersons "ho visit the "e'site for general information and not for donation purposes could also 'e targeted as possi'le sampling units Students should also 'e encouraged to identify the sample frames availa'le to the Red Cross due to its past fundraising practices ,a#e sure that students donHt just focus on "e' site contri'utors as a sample frame "hen ma#ing sampling decisions, as the Red CrossHs population of donors e%tends 'eyond "e'site contri'utors Cnce students have focused on a type of pro'a'ility sample, they should also consider sampling procedures for dra"ing that sample (or e%ample, if they have decided that a stratified sample is appropriate, and that the larger Kformer non-profit donor populationH is the 'asis for sample unit selection, ho" might such donors 'e screened to determine "hether they have donated previously to the Red Cross general or disaster-specific funds 5. If a survey is used, what scales would be most appropriate? Jou can use this @uestion as a group activity "here students can formulate or use the class- generated investigative @uestions to argue for specific types of measurement @uestions Cne de'ate to e%pect is the use of ran#ing versus rating scales, or for specific types of ran#ing or rating scales, for e%ample Li#ert versus paired comparison scale *n Chapter 19, the section on Selecting a ,easurement Scale along "ith )%hi'its 19-8 and 19-2 provides the conte%t for decision ma#ing Students should also 'e challenged to as# for the appropriate type of survey !hether the students choose phone, intercept, or "e' survey should influence the types of scales used $lso, given the large siFe of a national pro'a'ility sample of donors, simplicity and practicality should 'e considerations in selecting appropriate scales Students "ill li#ely offer that numerical and Li#ert scales meet such criteria $nd 'oth also allo" for the production of ordinal and interval data, suita'le for e%tensive analysis !ith respect to the li#elihood of donors ma#ing donations to a particular cause or a general fund, or having them indicate their preference to "here their funds should 'e spent, the Constant Sum or (orced Ran#ing scales may also 'e offered and "ould 'e appropriate :2 Case% Can this St)dy be Saed? Abstract: &his case depicts a discussion 'et"een individuals "ho are trying to assess the @uality of research 'ased on the sampling procedure and the results 'ased on the sampling process *t as#s the student to evaluate the sampling process and ma#e recommendations to use the collected data or resample Data ta'le included 1. Do you agree that drawing a second sample was a good idea? *tHs not entirely clear that this "as a good idea and it may "ell have 'een unnecessary &here are several issues here/ $ !hile itHs usually 'etter to have more information, it is not al"ays "orth the e%tra cost B &he second sample may not have 'een necessary 'ecause the standard error of the first sample initial returns 0U:66<\<328;+ 81; 4 is already less than the U1== to "ithin "hich they "ant to #no" average spending C &hose "ho chose to respond initially may not 'e entirely representative Rather than choose a ne" sample and receive another 'iased group of responses, the follo"-up of non-respondents is prefera'le D .o"ever, there is nothing fundamentally "rong "ith choosing a second sample for the purpose of o'taining more information *t is permissi'le to dra" t"o random samples and then com'ine them, forming a single random sample "ith a larger siFe, provided the decision to dra" the second sample "as not 'ased on estimates o'tained from the first sample 2. Were the follow-up mailings were a good idea? Explain. Jes, these pro'a'ly "ere a good idea Since the 3== in the initial mailing of the first sample "ere chosen to represent the entire mem'ership, the opinions of the initial non-respondents are important *t can happen that those "ho respond initially are different from the others/ perhaps they have more time, or are more actively involved in the issues Since the purpose is to survey the mem'ership 0and not just the most active mem'ers4 these e%tra efforts should help ensure representation 3. Which of the results are useful? Are these data sufficient to solve the management problem or is further study needed? $ &here are some useful results here, 'ut even after follo"-up efforts, only a'out 6=M have responded !e still lac# information from a'out 9=M of these people &he follo"-up averages are much lo"er than the others )vidently there is a relationship 'et"een planned spending and sending in the @uestionnaire &hose "ith high spending "ere more li#ely to send it in Differences from one sample to the other are important Considering the differences 'et"een initial mailing and follo"-up responses, these 9=M could "ell 'e 'elo" any of the reported averages !e donHt #no" *n the real "orld, there often is non-response that cannot 'e eliminated as a pro'lem B &he pilot study should pro'a'ly not 'e com'ined "ith the other responses &he pilot study "as not a random sample to 'egin "ith and has served its purpose in testing the ;= @uestionnaire &he pilot study averages are very much higher than any of the others $s these "ere not randomly dra"n, "e have no reason to consider them representative of the mem'ership in general C *t might 'e argued that all other responses 0first and second sample, initial mailings and follo"-up responses4 are useful and should 'e com'ined &he resulting average 0U9,9634 has a standard error of U;3, "hich is less than the U1== re@uired &his then represents the planned spending of the appro%imately 6=M of mem'ers "ho are li#ely to ans"er these @uestionnaires D *deas for further study could include different design methods or additional follo"-up of non- respondents Case: Donatos: Finding the new Pizza Abstract/ &he case descri'es a multi-stage study conducted 'y Donatos, an independent, premium piFFa restaurant chain, aimed at trac#ing interest and response rates to a ne"ly introduced BC DCU-. piFFa concept &he research conducted 'y Donatos is an attempt to test and su'se@uently meet the needs of its lo"-car'ohydrate diet mar#et *n so doing, it also aims to measure customer satisfaction "ith the ne" piFFa concept 1. Map the research design used by Donato`s for new product development. &his @uestion provides an appropriate introduction for students to the various descriptors of research design discussed in Chapter ;, )%hi'it ;-8 Descriptors of Research Design .ere the frame"or# and procedures for research activity is outlined Students "ill 'e a'le to discuss the e%ploratory steps ta#en 'y Donatos, such as their monthly !$SSUD ,eetings, e-mail comments from customers and monitoring of eating trends from different sources &he case also allo"s students to distinguish 'et"een different data collection methods, such as the self- administered intercept survey and call-'ac# phone survey employed 'y Donatos Secondary data "as also used during the e%ploratory stages from sources that documented and monitored eating trends &herefore, students can discuss the pros and cons of using this type of data &he e%perimental design also utiliFed "ill allo" for discussions relating to the taste tests conducted among employees and ho" DonatoHs decision to e%clude its Nspecial ingredients from the "e'site may have affected the yielded responses &he case indicates that Donatos has monitored different sources, such as the syndicated data, BDD )ating &rends, "hich provides indications of changes in eating ha'its &hey have also garnered feed'ac# from comments customers send via e-mail from their "e'site, in addition to the !$SSUD meetings held on a monthly 'asis, "here employees "ere as#ed to provide feed'ac# on e%isting social and cultural trends &hese steps then esta'lish the e%ploratory stages of their research &hrough this stage, Donatos "as a'le to discover that there "as an e%isting interest in lo"-car'ohydrate eating plans • Stage 8 of the study, the research-'ased product development phase, involved development of the product prototype .ere data "as collected from employee taste testing5 in restaurant tests, "here participants "ould complete self-administered intercept surveys5 call-'ac# phone surveys for customers "ho "ere serviced through delivery and concept screen activities "here participants "ere sho"n photographs of food products and then @uestioned Jou can use this time to discuss/ • !hy a phone survey and self-administered intercept survey "as used • &he pros and cons of using the self-administered intercept and phone survey 0Use )%hi'it 1=-: ;1 Comparison of Communication $pproaches as a guide4 • .o" relia'le "ould the feed'ac# 'e from employee taste testing activitiesE • Stage 9 involved choosing a mar#eta'le name for the ne" piFFa concept, here Donatos tested three different names using a "ee#end omni'us phone survey &he case indicates that their typical ne"-product development research "ould routinely ta#e 18-13 months to complete -iven the time constraints that Donatos faced 0the possi'le short-term nature of the lo"-car'ohydrate trend4, you can as# students to discuss the implications of the findings yielded from the phone survey completed over a "ee#end period • Stage 3, the final stages of the design, addressed the trac#ing of response rates "here Donatos employed ongoing telephone trac#ing studies, in restaurant comment cards and e-mails from customers through its "e'site Jou can as# students to discuss the usefulness of this stage of the research Some may indicate that for the purposes of future research, Donatos can 'enefit from the findings in terms of strategies that "ere or "ere not employed, or other data collection techni@ues 0personal intervie"s or mail surveys4 and sampling methods 2. Evaluate the WASSUP meetings as an exploratory methodology to help define the research question. &he !$SSUD meetings underta#en 'y Donatos, served as an e%ploratory step to further identifying the dilemma faced, that 'eing ho" to address increasing interest in lo"-car'ohydrate diets &hese meetings not only supplemented revie"s done of other sources, namely the feed'ac# via e-mails and monitoring of eating trends, 'ut it provided additional insight into the dynamics of other social and cultural trends &he )ASS3P meeting is essential to Donatos, as it is a'le to gather useful information a'out the mar#et from employees, and create a synthesis of this information to 'est determine ho" its decision "ill affect not only the general pu'lic, 'ut also persons of different cultures &his feed'ac# from the meeting "ill also 'e helpful "hen tailoring research @uestions, as through e%ploring #no"ledge from different cultures 0li#es and disli#es4 Donatos can then esta'lish a central focus and design specific research @uestions Jou can have students suggest possi'le research @uestions that "ould 'e applica'le to the study, "hich Donatos could ta#e to solve the e%isting pro'lem or address concerns a'out the lo"-car'ohydrate diet mar#et Chapter 9 0)%hi'it 9-3 (ormulating the Research Question for ,ind!riter4 can 'e used as a guide Donatos may suggest the follo"ing e%amples as research @uestions/ • Should "e introduce a ne" piFFa concept to satisfy the lo"-car'ohydrate diet mar#etE • Should the crust-free piFFa concept 'e modifiedE • Should the soy crisp recipe 'e used or should "e introduce another protein rich alternativeE 3. Evaluate the test market Donato`s used. What were its pros and cons? )valuation of the test mar#et relates "ell to Chapters 1:, "hen discussing the intricacies of sampling and Chapter 11 on )%periments and &est ,ar#ets &his @uestion also 'ecomes useful "hen preparing students for data collection in research 0Dart 34 and discussing ethical implications involved "hen dealing "ith participants 0Chapter :4 &he test mar#et 0customer reactions to the product in t"o stores in one mar#et4 used 'y Donatos raises important relia'ility @uestions First, one city is rarely used in a test mar#et as researchers have found distinct eating preferences 'y geography ;8 Second, "hile the test "as conducted over several days in the t"o stores, unli#e the introduction of many ne" food products no promotion "as done to attract customers to the restaurant for the purpose of purchasing the BC DCU-. piFFa &his might 'e indicative of a sample of customers "ho did not match the profile of the potential customer/, those individuals follo"ing a lo"-car'ohydrate diet $s the test mar#et continued over time, a screening @uestion a'out "hether a customer came to Donatos specifically to purchase the BC DCU-. piFFa could have 'een used to distinguish these desired sample units from those "ho "ere li#ely not the primary target mar#et segment for the lo"-car'ohydrate piFFa Third, the ideal situation for a true e%periment "ould 'e test products prepared under controlled conditions ,ost test mar#ets, ho"ever, use actual mar#et conditions "ith limits the availa'ility of control &he case indicates that 1;-16 year old employees "ere preparing the BC DCU-. piFFas that "ere used during the test mar#et5 this "ould 'e typical in most DonatosH restaurants $ discussion of the type of e%periment 'eing conducted is appropriate here &here are some advantages as "ell as disadvantages that this test mar#et 'rings to the study $s a class activity, you can as# students to suggest possi'le pros and cons of the test mar#et and instrument used, these may include the follo"ing/ $n restaurant tests- Pros: • Reduced research cost 'y virtue of having its o"n current customers as testers • &he a'ility to capitaliFe on a greater speed of data collection • Re@uires less supervision and manpo"er as test "as conducted on site • )liminates the need for higher-cost product-testing facilities Cons: • !al#-in customers may not 'e representative of the target mar#et for lo"-car'ohydrate piFFa as piFFa "as not at the time considered a lo"-car'ohydrate option Call!'ack %hone survey- Pros: • $llo"s for feed'ac# from a "ide range of customers • Delivery customers may provide useful responses, given that the call must 'e initiated 'y them • $'ility to reach customers "ho other"ise "ould 'e inaccessi'le • Customers can remain anonymous if they choose to e%press negative vie"s a'out the taste of the piFFa Cons: • Donatos cannot guarantee that customers "ill 'e "illing to ta#e the time to participate in a call- 'ac# phone survey, thus non-response error could 'e very large • &he study did not indicate some form of incentive for customers, upon ma#ing the call (ailure to do this may not encourage customers to "ant to participate • Customer-initialed calls create a self-selection sample "hich might not 'e indicative of the desired sample unit • -iven that intervie"ers are needed to facilitate the survey, Donatos may incur additional costs "ith this type of instrument ;9 4. What measurement scales would you have used on the survey used as part of the in-restaurant product tests? Jou can 'egin 'y discussing the different types of rating and ran#ing scales that may 'e appropriate for the in- restaurant tests, using )%hi'it 19-8, Sample Rating Scales, as an initial guide Jou can have students de'ate the usefulness of rating scales, such as the Li#ert or Bumerical scales, "here the li#es and disli#es of a product can 'e easily rated Some may argue that utiliFing ran#ing or paired-comparison scales "ould 'e most effective, as Donatos could provide other types of piFFas or different lo"-car'ohydrate ingredients and as# customers to ma#e comparisons and choose their preferences &o 'egin the discussion you can have students 'rainstorm the different types of piFFas Donatos "ould sell and have them compare the types of ingredients+toppings that "ould most appeal to lo"-car'ohydrate eaters Jou can also have them rate and+or ran# their suggestions &his can serve as a preface to discussions relating to ran#ing and rating scales (or the in-restaurant tests, a numerical scale or Li#ert scale "ould 'e the most appropriate measurement scales Both "ould allo" participants the opportunity to indicate their Nli#ingO or NpreferenceO attitude to"ard the product &he Li#ert scale "ould allo" Donatos to compare a customerHs preference to others, "hile the numerical scale provides the fle%i'ility of using 'oth ordinal and interval data for the purposes of analysis N*ntention to purchaseO is another dimension that can 'e easily measured 'y the Li#ert or numerical scale $nother important advantage of the use of these scales is the simplicity involved in administering them Case% #ealthy *i-estyles Abstract: &he case provides state 'y state data from the Centers for Disease Control and Drevention?s 0CDC in $tlanta4 $nnual Behavioral Ris# (actor Surveillance Survey &he student is as#ed to present a summary of the data Jou might start the discussion 'y as#ing students ho" their state 0the one in "hich they are currently residing or the one in "hich their college is located4 fares in the healthy lifestyle race Unless you live in one of the si% unrecorded states, your students "ill 'e interested in finding out "here your state falls relative to others &he @uestion helps students to personaliFe the data set, "hich ma#es them more interested in studying the num'ers &here "ill pro'a'ly 'e at least one surprise in the num'ers, no matter "here you live *f your state is not listed, choose ,ichigan or Utah Utah falls 'elo" the averages in all categories e%cept seat 'elt use, and ,ichigan e%ceeds the averages e%cept in seat 'elt use 1. Report any interesting (i.e., unexpected, humorous, or odd) differences between the states. &here are lots of une%pected results, too Borth and South Da#otans, for instance, don?t seem to li#e to "ear seat 'elts !isconsin has the highest D!* rate 0'ut, of course, "e don?t #no" "hether this is more drin#ing and driving or a greater "illingness to admit to this 'ehavior--may'e people from !isconsin are simply more honest than those in other statesG4 $lso, higher percentages of sedentary respondents in a state tend to relate to lo"er percentages of 'ingers 2. Devise a weighted index of all seven lifestyle variables. The weighted index is to serve as an overall or composite measure of health lifestyles. Apply your weight to the states of Minnesota, Florida, and California as an example of what your weighted index shows. &his @uestion "ill pro'a'ly create a spirited de'ate &here is no right or "rong ans"er, 'ut can 'e a marvelous lead-in to "eighted averages 0or, in this case, "eighted proportions4 ;3 3. Discuss any noteworthy limitations of the survey or the data set. Students "ill have to face missing data and "ill 'e frustrated/ the data set clearly indicates missing data for $las#a, $r#ansas, >ansas, and !yoming, 'ut fails to add the states of Bevada and Be" Aersey to the Smissing informationS list &he moral of the study--just 'ecause you?ve got a data set doesn?t mean it?s all there Jour students "ill li#ely have more @uestions than ans"ers 'y the time they finish digging through the data set (or instance, there is no real clue in the case a'out "hy si% of the states "ere e%cluded, nor if those states "ere someho" atypical &he !)* varia'le is not "ell defined &he means and standard deviations are/ SMK WEI SED ACT ALC DWI SEA ,)$B 899:; 883<2 :6<;6 8221 138<2 8611 8<<= S&D)7 86<1 83=2 ;326 6=; 33:= 181< 186; ,ost of the dotplots tend to 'e fairly symmetric and 'ell shaped in appearance, e%cept for $LC, "hich loo#s to 'e some"hat 'imodal ,ost of the interesting outcomes are clear from direct state-'y-state compari son of items in the ra" data Several interesting correlations arise S,> and !)* are positively correlated 0=39:4 Several of the cor - relations "ill 'e very difficult to understand5 for e%ample, $C& is the percentage of people indicating no lei sure time activity Jour students "ill struggle "ith the correlation of -=;;9 'et"een $C& and $LC Before leaving the classroom discussion, 'e sure that you mention the limitations of loo#ing at correlations among aggregate @uantities Case% #ero')ilders+co& Abstract/ &his case descri'es a study conducted 'y the president of .eroBuilderscom, "hose entrepreneurial Feal led to the creation of an e-commerce toy company C"ing to the increased demands for the creation of Nhero dolls,O research "as conducted to ascertain the via'ility of mar#eting action figure dolls to the then competitive commercial environment &his case relates "ell to Chapter 1, "here students "ill 'e introduced to the role of research in 'usiness, and ho" the application of different types of studies aids in furthering effective research strategies *t also e%poses students to the mechanisms involved in e%ploratory studies and the 'enefits associated "ith its use 0Chapters 9, 6, R <4 1. Which of the four types of studies are presented in this case? Jou can 'egin 'y discussing the usefulness of 7icaleHs e%ploratory findings and as# students to suggest other types of e%ploration they "ould pursue 'efore launching such a 'usiness5 and, ho" he 'enefited from completing this stage of his research Jou can as# students to create a list of the information needs they "ould prepare 'efore starting an e-commerce 'usiness to sell dolls made in the image of modern day heroes &he most appropriate study, as presented in this case, is an e%ploratory one .ere the researcher attempts to gain additional insight as to the via'ility of mar#eting an action figure &his type of study gives the researcher the opportunity to e%plore the commercial mar#et of action figure dolls to determine the pros and cons of such a venture *t also presents other prospects "here 7icale choose to conduct @ualitative research, "here he consulted "ith a la"yer to determine the legal implications involved "ith mar#eting dolls in the image of living heroes or political figures Uncertain of the potential of starting an action figure 'usiness, 7icale also e%plored retail stores that mar#eted action figure dolls, to ;: further determine the possi'ility of products gaining distri'ution .ere he 'enefited from #no"ing that an e%tensive action figure mar#et did e%ist, and identifying the companies involved in the production of action figure dolls *f you use this case during discussions of Chapters 9 and <, you can also use this @uestion as a preface to discussions of other data collection methods 2. Evaluate the research that HeroBuilders.com conducted prior to launching its hero and villain action figures using the criteria in Exhibit 1-8. &he research conducted 'y .eroBuilderscom prior to launching its hero and villain action figures presents some limitations 'ased on the criteria listed in the e%hi'it Purpose clearly defined: &he purpose of the research "as clearly defined .ere 7icale aimed to e%plore the potential of the action figure 'usiness .o"ever he failed to indicate the scope of the research "ith regard to the creation of villain action figures &he case indicates that his initial survey of the mar#et primarily involved only hero action figures Research process detailed: &he case indicates that 7icale e%plored the e-commerce 'usiness to sell dolls 'y revie"ing the *nternet sites of other companies involved in the mar#eting of action figure dolls5 he also loo#ed at the retail environment, "here he further discovered the e%tent of the action figure mar#et *n addition, he sought legal advice to determine the implications of creating prototypes of political figures &here "as no indication of an intervie" guide or a @uestionnaire used to guide data collection, nor "as there evidence of an o'servation chec#list used in his discovery trips to retail toy stores &his is a good time to discuss the inconsistencies that might 'e introduced in research studiesPeven e%ploratory onesPif the researcher doesnHt have a mechanism for collecting compara'le data Jou might as# students to develop a list of @uestions that 7icale might have used "hen, for e%ample, he visited the action figure sections of toy or general merchandise stores Research design thoroughly planned: &he research designHs plan also lac#ed important detail *t "as not clear if considera'le thought "as given to ho" the research "ould 'e e%ecuted 7icale conducted the research himself, "hich raises @uestions as to the o'jectivity of his results and "hether his personal 'ias did not play a role in its relia'ility &he assessment of the retail environment 0toy stores4 that he e%plored did not ma#e clear ho" he chose the types of stores visited, "hat process "as used, or if location "as a factor in his consideration High ethical standards applied: -iven that 7icale conducted his research independently provided him much fle%i'ility in e%ecuting this study, it "ould therefore 'e difficult to determine if high standards of ethics "ere applied &he case did not indicate "hether 7icale encountered limitations during his e%ploratory research Students should 'e as#ed to detail "hat limitations 7icale might have encountered &hey should have limited difficulty in listing such limitations as a limited sample of stores that this 'usy e%ecutive might have visited, or the failure to chec# out different types of stores that also might 'e used for distri'utionPother than toy stores, or his o'vious potential 'ias to"ard the idea of producing such dolls .eroBuilderscom proceeded "ith the e-commerce 'usiness of ma#ing action figure dolls, "hich indicates that the mode of analysis 0not revealed4 applied to the data received may have 'een favora'le .o"ever, given that the research process "as highly su'jective as it "as carried out 'y the o"ner of the company, coupled "ith the limitations evident in the research process and design, one may @uestion the conclusions dra"n from this study ;; Some students #no" instinctively that not all research employs every criteria listed and many studies possess fla"s although not crippling to the result ,oreover, some researchers may 'e limited 'y cost and time factors that conse@uently affect the usefulness of their research 3. What other issues other than those Vicale chose to evaluate, would you have included in your research plan for HeroBuilders.com? &he decision made 'y 7icale, to capitaliFe on the action figure 'usiness "ith the incorporation of his modern day hero concept, "as apparently given much thought .o"ever, an across-the-'oard study of the costs involved in such a venture could have 'een 'eneficial, considering the competitive nature of the e%isting mar#et *n addition to conducting research on the mar#eta'ility of dolls in the image of heroes, it may also prove helpful to e%plore ho" the general mar#et "ould respond to dolls patterned after villains such as Csama Bin Laden and Saddam .ussein Despite the numerous re@uests for villain dolls, this introduction could 'e damaging to the sale of dolls depicted in a Nhero li#e imageO Considering the delicate nature of 211 issues, patriotic $mericans may find it distasteful that villain images such as those introduced 'y .eroBuilderscom are mar#eted Despite the apparent profit motive involved, this mar#et should 'e further e%plored prior to the introduction of such dolls, to evaluate long term implications $s outlined, a majority of the responses that 7icale received regarding the creation of the product came from Nfriends and ac@uaintancesO $s such, it may have 'een "orth"hile to perform a 'roader survey to esta'lish other mar#eting factors 0eg, ho" much persons "ould 'e "illing to pay for a such a doll, their primary motivation for purchasing such a figure and for "hom they "ould 'e purchasing the doll, or ho" they "ould li#e to learn a'out the doll4, 'ut also ho" the general mar#et of doll 'uyers felt a'out villain dolls 7icale could have also ta#en his research of the retail mar#et a step further 'y e%ploring the cost+profit factors "ith individual stores and "e' sites that mar#eted action figures and toys Case% #iTech Engineering Abstract: &he student is as#ed to evaluate the effectiveness of a variety of promotional approaches used 'y this designer and manufacturer of industrial products Based on the data, the student is as#ed to identify the most effective method currently employed or a com'ination of approaches 1. What is the most effective type of advertising for HEI to undertake? Do you have any recommendations on the appropriate mix of the five different types of advertising? &he ans"er to the promotional method evaluation depends on ho" students interpret the "ord effective *f the goal is to find the media "ith the highest average num'er of responses 0leads4, then postcards are the "ay to go *f the goal is to minimiFe costs per response generated, then ne"s releases, postcards, and literature all appear to 'e via'le $ nice lead-in to the discussion of this case is to as#/ S!hat do you thin# management had in mind "hen they used the "ord effective, and ho" did your interpretation factor into your analysisES Let the students discuss the issue of responses versus cost per response $t some point, lead the discussion to"ard via'ility of $BC7$ "ith une@ual variances $s# at some point "hether there are any pro'lems "ith the data 0Dostcards have three Fero values, "hich is unusual given the apparent effectiveness of postcards Cne might suspect that these "ere actually missing o'servations replaced "ith Feroes in the coding of the data set4 $s# ho" these pro'lems did, or should have, influenced the chosen statistical methodology ;6 *t is crucial to mention that these data may not ans"er the real @uestion that should 'e as#ed--ho" many dollars in sales, not just leads, are 'eing derived from .i&ech?s advertising e%pendituresE !hile personal selling is a #ey promotional method for most industrial products, and the success of various sales representatives differ, the degree to "hich SleadsS generated 'y a particular advertising approach is not addressed 'y the data Results are suspect for several reasons 7ariances are une@ual 'et"een groups and some of the data might 'e "rong &hese issues can generate lively classroom discussions $ very important point a'out this case, "hich only a fe" of your students "ill identify, is that the data set doesn?t really ans"er the critical @uestion &he 'ottom line to management is "hether spending translates into sales, not just re@uests for more information &his issue cannot 'e addressed "ith the given data set &he data set is also amena'le to $BCC7$ methods Typical Results and Approaches $BC7$ rejects e@ual means for 'oth R)SDCBS) and U+L)$D 0a generated varia'le defined to 'e SD)BD+R)SDCBS)4 $verage R)SDCBS) is greatest for postcards, and average U+L)$D is lo"est for postcards, ne"s releases, and literature, as illustrated 'y the printouts that follo" Analysis of Variance Printout for RESPONSE ,-,./S0S 12 3,R0,-CE 1- RESP1-SE S1URCE (2 SS 4S 2 $ 4E(0, 4 1!!#16 4142" 3#&4 0&000 ERR1R !0 1063246 132"1 515,. !4 2"4!"62 0-(030(U,. "# PC5 C06S 21R 4E,- 7,SE( 1- P11.E( S5(E3 .E3E. - 4E,- S5(E3 -+---------+---------+---------+----- 4,8S 1 4&4 34& (---9---) P1S5 1 44#&" 23"&3 (---9--) E(05 1 46&0 2!& (---9---) -E:S 1 "4&6 43& (--9---) .05 1 !!&! 2&# (---9---) -+---------+---------+---------+----- P11.E( S5(E3 ; 11#&3 0 1#0 300 4#0 Case% In2)iring ;inds Want to !no"@No"A Abstract/ &his case descri'es a multi-stage, communication study underta#en 'y the research department of Denton ,edia, a pu'lisher of 'usiness trade magaFines, to determine the long-term via'ility of a reader and advertiser service, the reader service card, a post-card siFed device used 'y readers to re@uest additional information from a particular advertiser &he discussion @uestions guide the student through the research process $s such, the case may 'e used throughout the course@especially through Chapter 13@simply 'y assigning different discussion @uestions as e%ercises during different points in the course 1 !e suggest using )%hi'it 9-8 for this discussion5 it is helpful if you can project the graphic on the screen in front of the class ;< $ &he management dilemma is a declining num'er of reader service cards returned "hich is causing a smaller num'er of in@uiries and thus a smaller num'er of sales leads for Denton advertisers Students "on?t have too much difficulty in identifying the management dilemma, 'ut you might use this opportunity to discuss that research can 'e proactivePactually preceding the development of a pro'lem *f Denton sa" this as a value enhancing service for advertisers, shouldn?t they have 'een trac#ing the change in rate of response card return at the very leastE Denton also should have 'een trac#ing advertisers? continued interest in the reader service card program--after all, the reader service card program has a cost associated "ith each issue 0card printing, return postage, and card handling and for"arding4 that needs to 'e offset 'y perceived value on the part of the advertiser Students are usually @uic# to point out that advertisers don?t al"ays trac# the success of their advertising 0not as true an o'servation for 'usiness-to-'usiness advertising as it is for consumer advertising4 'ecause not all advertising as#s for a specific action But in the case of advertising designed to generate leads, Denton clearly had the a'ility to trac# reader service card activity 0a research activity in its o"n right4 B ,anagement @uestion/ !hat should 'e done to ensure that advertisers and readers ali#e are getting the information they need and "antE C Research Question/ Should the reader service card program 'e maintained, discontinued or modifiedE Rather than three alternatives, Denton may have only loo#ed at maintaining or discontinuing the reader service card Bothing in the @uestionnaire indicates that they "ere e%ploring other unspecified options D *nvestigative @uestions/ !hat means do advertisers offer to o'tain information a'out advertisers? products and servicesE !hat influences a trade magaFine reader in their choice of response methodE !hat types of information are most fre@uently soughtE !hat is the time frame in "hich information is neededE Do purchasing agents have different needs than supervisorsE .o" many advertisers offer "e' access to informationE .o" many readers use company "e' sites for informationE $re readers changing their methods of response in the last : yearsE :-1= yearsE Do shifts in response methods parallel the decline in reader service card returnsE Does a reader?s gender, age, or jo' e%perience affect their choice of information retrieval methodE &o "hat degree do advertisers value the reader service card programE ) ,easurement @uestions/ see instrument in te%t 8 Using )%hi'it :-1 is appropriate for this e%ercise Since Denton is conducting this research internally, most of the sponsor?s rights are covered Su'ject?s rights are much 'igger issues here • $voiding Su'ject Deception/ Su'jects are all su'scri'ers to Denton?s trade magaFines, and the names are dra"n from the magaFine?s su'scri'er lists 0the sample frame4 &he cover letter states that the study is 'eing conducted to help Scompanies 'etter understand and respond to your re@uest for informationS !hile it doesn?t clearly state the reader service card is 'eing considered for elimination, modification or replacement, any reader "ho has 'een reading the magaFine for any length of time "ill #no" that the reader service card is one response option li#ely to 'e evaluated &his small deception is unli#ely to offend or distort data from a reader responding to the survey • Su'ject?s right of informed consent 0implied4/ &he cover letter invites readers to participate, so they have the right to choose • Students may "ant to discuss the right of privacy, 'elieving that the magaFine has used information e%tracted from reader service cards and su'scri'er records in "ays that the reader never intended • Su'ject?s right to confidentiality Denton offered an inducement--a dra"ing for a hand-held color &7--to participate, 'ut that is not li#ely to alter the information that respondents are "illing to share But to o'tain that entry right, the respondent must provide their contact information 0S&o ensure a correct entry in the random dra"ing for the held-held color &7, please ma#e and necessary changes to your mailing la'elS4, "hich affects their right of confidentiality 9 &he sampling plan called for using the su'scri'er data'ase 016 million4 as the sample frame &he case clearly specifies that they used a stratified disproportionate random sample, sending out 3=== surveys to o'tain the 61= completed surveys of "hich ;6; "ere considered usea'le 0came from purchasing decision-ma#ers4 Jou can ;2 also discuss the sampling plan for the stage 8 study of ad content $nd students might "ant to discuss "hy they didn?t dra" a sample of advertisers to participate in a parallel study *n terms of sample siFe, Denton mailed 3=== magaFine su'scri'ers and received ;6; usa'le out of 61= completed survey Denton chose a stratified sample in order to chec# response patterns in different su'sets 038 in all4 of the 'usiness-to-'usiness mar#et Jou can use this opportunity to discuss several sampling issues/ • &he effect of such stratification on sample siFe • &he effects of self-selection "ithin a mail survey on the @uality of the data 0and non-response error4 • &he importance of data preparation and "hy certain returned surveys may not 'e used *n Denton?s case, the discarded instruments "ere not completed 'y purchase decision-ma#ers, the only @ualified respondent from the vie"point of the advertisers • &he effect of error as it is introduced 'y the @uality of the sample frame 3 Denton had started their project "ith e%ploratory research that revealed that advertisers perceived they "ere getting fe"er via'le sales leads "ith the advertising in 122< than they "ere in earlier years Denton could have 'een conducting monitoring research "ith their advertisers or might have 'een receiving increasing complaints or comments in normal dealings "ith them • Stage 8 involved an o'servation study of 199= past advertising placed in Denton magaFines in t"o years, 1228 0;3<4 and 1226 0;2=4 &his did sho" a change in advertiser 'ehavior !hat "as missing at this stage "as an indication of change in respondent in@uiry 'ehavior &his "ould lead us to 'elieve that as Denton did not data mine for this information, that it "as not trac#ing the ads that generated response card in@uiries .aving the response cards in their possession it "ould have 'een @uite easy to do a tally on a periodic 'asis for each issue?s reader service cards • Stage 9 involved a mail survey of su'scri'ers, "hich involved an inducement to participate--a hand-held, color television givea"ay &he mail survey "as pretested in t"o "ays/ 'y phone, and then 'y mail &his is a perfect time to discuss/ • 7arious types of pretesting using )%hi'its 13-3 and 13-2 • !hy the mail survey "as tested t"ice • !hy a mail survey "as preliminarily tested 'y a means other than that chosen for the survey itself • !hen such inducements might cause error, "hen they might inject ethical issues, and "hat typical inducements are used/ money, merchandise, and coupons for discounts are common • Stage 3 involved 3= personal intervie"s Sto gain a deeper understanding of their 'ehavior and attitudesS &his is the perfect time to discuss the limitations of a survey for collecting the nuances of attitudes, and the strengths of the personal intervie" communication methodology : &he easiest "ay to conduct this e%ercise is for the students, armed "ith the issues list from their te%t, to criti@ue the data collection instrument as an out-of-class assignment Jou could have them criti@ue the "hole instrument, or you might divide the class up into teams, "ith several teams dealing "ith a @uestion- level criti@ue and others dealing "ith the instrument as a "hole &he follo"ing chec#list might 'e used for such a criti@ue Question Level Criti@ue Should this @uestion 'e as#edE *ssue 1/ Durposeful vs *nteresting *s the @uestion of proper scope and coverageE *ssue 8/ *ncomplete or unfocused *ssue 9/ ,ultiple Questions 6= *ssue 3/ Drecision Can the respondent ans"er ade@uatelyE *ssue :/ &ime for thought *ssue ;/ participation at e%pense of accuracy *ssue 6/ presumed #no"ledge *ssue </ Recall and memory decay *ssue 2/ Balance 0general vs specific4 *ssue 1=/ C'jectivity !ill the respondents ans"er "illingly *ssue 11/ Sensitive information *ssue 18/ Shared voca'ulary *ssue 19/ Unsupported $ssumptions *ssue 13/ (rame of Reference *ssue 1:/ Biased !ording *ssue 1;/ DersonaliFation *ssue 16/ $de@uate $ns"ers *ssue 1</ C'jective of the Study *ssue 12/ &horoughness of Drior &hought *ssue 8=/ Communication S#ill *ssue 81/ Respondent ,otivation *nstrument Level Criti@ue *ntroduction R screening *nstructions Crder+@uestion se@uencing &ransitions 'et"een sections Conclusion R disposition of instrument On an instrument level, students should compare their investigative @uestions developed in discussion @uestion 1 to identify "hether the 'oundaries of information re@uest methodologies have 'een ade@uately covered *t appears the researcher "as very thorough in this regard $lthough the layout has 'een modified to fit the page format of the te%t, students should loo# at the layout of the instrument in terms of structure &he layout of the scaled response strategy is clear, and @uestions clearly delineate 0'old te%t4 the time frame of the intention or actual 'ehavior Students should 'e as#ed to address the instrument?s scope/ Does it include all necessary @uestionsE $re @uestions included that seem e%traneousE Student?s might o'serve that the instrument scope goes farther than might 'e technically necessary 'y as#ing the desired information response that advertiser?s could provide &his @uestion 094 fulfills the S"hat?s in it for meES @uery that most respondents as# prior to participating in a survey $s a result, it might 'e 'etter placed earlier in the instrument Cthers might as# "hy the respondent is not as#ed directly ho" they "ould feel a'out eliminating the reader service card6 &his is the opportune time to as# "hether the communication method 0mail4 "ould have re@uired a different order or instructions if the survey had 'een done 'y phone !hile early placement of the screening @uestion 014 "ould serve a purpose in a telephone survey, in this instrument it serves as classification data and could 'etter 'e placed in the end $lso, an intervie"er instruction sheet, for repeating response scales, offering s#ip directions, pro'ing for reasons for chosen method of response "ould 'e necessary if the survey "as done 'y phone 61 Concerning instructions and transitions, if a respondent "ere to chec# the 3 th column in @uestion 3 for every option, it doesn?t tell them to discontinue S#ip directions also could have 'een offered in @uestion ;a, to allo" the respondent to s#ip @uestion ;' Students should 'e as#ed a'out the a'rupt change 'et"een the core target @uestions and the classification @uestions &he purpose of a 'etter transition 'et"een the target @uestions and the classification @uestions is to indicate "hy or ho" the personal information "ill 'e used, in order to gain full participation in these @uestions used for measuring association &his instrument loses that opportunity 'y its a'rupt transition (inally the students should discuss the end of the survey Both a conclusion and disposition instructions should follo" the last @uestion, telling the respondent, again, to return the completed survey in the postage-paid envelope and than#ing them for their participation *t "ouldn?t hurt to repeat the re@uest to correct the address la'el to insure an ade@uate entry for the television dra"ing &he information that is captured "ith the respondent?s identify "ill provide other crucial association varia'les At the question level, as# your students if they feel the chosen response strategies 0multiple choice-single response, chec#list, free-response4 are appropriate, and "hy or "hy not $dditionally, as# your students if any operational definitions are missing Some students, for e%ample, may not #no" "hat ?fa%-on-demand? is Jou might as# them to come up "ith operational definitions for those terms they feel the respondent might not #no" or "hich might cause confusion Students should 'e a'le to determine if the correct concept and construct has 'een measured in each @uestion 0increase7decrease in activity for @uestion 3, use7e5%ected use of *nternet in @uestion 6, etc4 ; .ave your students code the survey for analysis, identifying the num'er of varia'les, the numerical codes for each li#ely response, and the varia'le la'els &his is also a great opportunity for discussing the coding of free response @uestions as @uestions 8, 3', :a, :', 6', 1=, and 11 use the free response strategy Q # V Data Q #V Data Q # V Data Q #V Data 1 6 Bominal 3' 1: Crdinal ;' 1 Bominal 2 1 Bominal 8 3: Bominal :a 1 Bomina l 6a < Bominal 1= 1 Ratio 9 1; Crdinal :' Bomina l 6' < Bominal 11 1 Ratio 3a 1: Crdinal ;a 1 Bomina l < 1 Bominal 6 &his @uestion as#s the student to 'uild a preliminary analysis plan then fulfill it *t also allo"s you to discuss "hether it is the researcher?s role to provide a recommendation or merely to report the findings Jou can also use this @uestion to compare te%tual presentation 0as is used 'y the case4 "ith ta'ular and graphical formats (inally, as# this @uestion to determine "hat should 'e done "ith those original 38 su'sets of interest, and "hat might have 'een used as the factor of incidence for this study Jou might "ant to as# students to prepare 'oth ta'ular and graphic depictions of the data and compare the results !ithout a direct @uestion a'out eliminating the reader service card any recommendation is pro'lematic given the data presented .o"ever, one statistic "ill stand out as revealing to the student/ 'et"een ;2-61M responded 'y mail during the last year "hen they didn?t have an immediate need &his might e%plain "hy advertisers don?t perceive reader service card respondents as good sales leads--these in@uires may 'e primarily from potential purchasers "hose need is not clearly defined or "hose purchase is too far into the future to connect "ith that early reader service card in@uiry *s this enough to ma#e a Scontinue the reader service card? recommendationE See 'elo" 68 < )very survey has limitations 'ased on scope and methodology &his is a perfect time to discuss sources of error in this survey &he limitation of most concern is the non-response error &hat same 61M "ho had used a reader service card in the past year loo#s very different "hen you loo# at the total original mailing &he 323 respondents translates to only 189M of the original sample 61= of the original 3=== respondent, 166:M Cne could hypothesiFe that those "ho did not respond feel that they have sufficient "ays to reach advertisers a'out their products or services, therefore they are not interested in preserving one method versus another Could those "ho responded have some ulterior motive for "anting to #eep the reader service cardE Jou should also raise the concern a'out "eighting the responses 'ased on the disproportionate stratified sample that "as dra"n Does this create or solve a limitationE 2 $s# your students if a decision could 'e made 'ased on the information provided &his is an opportunity to discuss the ris# associated "ith decision ma#ing in the a'sence of perfect information and the value of a decision Denton o'viously thought there "as some ris# to this decision or they "ouldn?t have underta#en such a comprehensive study Some students might suggest an e%periment at this point Create a split run of an upcoming issue, one group gets ads tied to a reader service card "hile a second group gets ads not tied to a reader service card Be sure to 'ring out additional cost 0t"o different ads created for each advertiser, shorter production runs, more time 'efore ma#ing a decision on the issue at hand4 of this e%periment during the discussion Cther students might suggest trac#ing the returned reader service card use during the ne%t several months 0another descriptive study4 Cthers could argue that the appropriate sample for the original study "as incorrect, that it should have 'een advertisers5 if advertisers thought the reader service card "as no longer of value, then, and only then, should the device 'e eliminated Case% ;astering Teacher *eadership Abstract/ $ multi-stage, communication study of teachers 'y !itten'erg University?s Department of )ducation to determine the via'ility of starting a ,aster of )ducation program for Chio-certified teachers "or#ing "ithin school districts serving a five-county area &he discussion @uestions guide the student through the research process $s such, the case may 'e used throughout the course@especially through case 1:@simply 'y assigning different discussion @uestions as e%ercises during different points in the course !ith the comprehensive data set availa'le on the CD, this case can also 'e used for the data analysis chapters Bot all research projects are "ell designed, and this one has some very o'vious fla"s that "ill 'e revealed during the discussion of the seven discussion @uestions &his is a good case to use to discuss "hether @uestiona'le data helps reduce the ris# of poor decision ma#ing Jou can also tie this case 'ac# to the concerns in Chapter 1 a'out research 'eing done 'y those untrained in research &hose in charge of this project "ere all highly educated, and they had 'een schooled in their doctoral programs to do research for their dissertations But they "ere clearly not trained in 'usiness research methods as the research design, sampling and survey instrument demonstrate : !e suggest using )%hi'it 9-8 for this discussion, 'y projecting the graphic on the screen in front of the class • ,anagement dilemma/ &his is research 'ased on an opportunity rather than a pro'lem, so the symptom "hich starts this research is the passage of a la" 'y the State of Chio that re@uires teachers to o'tain a master of education degree prior to their second licensure rene"al 'et"een years : and 6 • ,anagement @uestion/ !hat should 'e !itten'erg?s role in meeting teacher certification re@uirementsE &he survey straddles the issue of professional development course"or# vs master of education degree course"or# • Research @uestion/ Should !itten'erg offer a ,aster of $rts degree in )ducationE 69 • *nvestigative @uestions/ .ere are some @uestions your students should generate .o" many teachers "ill need to o'tain a ,aster of $rts degree to 'ecome re-certified "ithin the ne%t five yearsE !hat do teachers see# in professional development programs in general and "hat "ould they see# in a masters programE .o" many teachers "ill pursue a ,asters degreeE .o" li#ely "ould these teachers 'e to attend !itten'ergE .o" many teachers are currently enrolled in masters programsE !hy did they choose the programs they didE .o" many teachers are in the mar#et area, especially Clar# CountyE !hen "ould teachers 'e li#ely to ta#e coursesE .o" far "ill they drive to ta#e coursesE !hat are the price, structure, and content of competitive schools? ,aster of $rts in education programsE .o" many teachers might leave the profession 0or Chio4 rather than comply "ith the ne" standardsE • ,easurement @uestions/ see survey ; &his @uestion is designed to reveal the purpose and methodology for the e%ploratory data stage of most research projects &his @uestion can 'e used "ith material from Chapter 6, especially )%hi'its 6-1 and 6-8 Jou might first as# students to detail "hich information from their list of investigative @uestions 0Q 1 a'ove4 might 'e e%tracted from a secondary source &hen you might as#/ !hat information dra"n from a secondary source is profiled "ithin the caseE .o" and "here+from "hom might that information have 'een collectedE Jou also might as# students to apply the five criteria for evaluation 0purpose, scope, authority, audience and format4 to each element of secondary data and its source $nd you could as# students to construct @uery statements to do an electronic search for li#ely secondary data during this e%ploratory phase of research (inally you can as# students to summariFe the e%ploratory findings *nformation !ittCDD collected and profiled in the case came from the follo"ing sources/ • !e'sites and catalogs provided competitor information on num'er, structure, format, and content of ,aster of $rts programs in education • &he school 'oards representing the various school districts in the mar#et area provided turnover and hiring information • &he Chio Board of Regents and the Chio Department of )ducation provided documents detailing the ne" teacher certification standards • Student teacher evaluation forms collected during the 122=s provided teacher attitudes a'out @uality of !itten'erg?s undergraduate teacher preparation 6 !ittCDD o'tained a mailing list of all 1;== teachers in the county--li#ely from the various school 'oards (irst, students should evaluate the sample frame &here is no mention in the case that this sample frame grouped the teachers 'y age, years of teaching e%perience, area of e%pertise, or any other classification varia'le that "as pertinent to the study 'ased on the ne" teacher certification standards Jou may use the ta'ular )%hi'it 1:-1 for this discussion )ach teacher received a survey, so in essence !ittCDD allo"ed each teacher to self-select themselves into the sample rather than designing a sampling plan &his is a good place to discuss census vs sample Students should then 'e as#ed to define the type of sample !ittCDD o'tained Some "ill argue that the results are a simple random pro'a'ility sample 'ecause every teacher had an e@ual chance of 'eing included in the sample Cthers "ill argue that !ittCDD started out ta#ing a census 'ut didn?t follo" through and "hat is left is no 'etter than a non-pro'a'ility convenience sample at "orst, or a purposive judgment sample at 'est *f "e loo# at one measure of sample @uality, accuracy, the very large non-response error ma#es us @uestion this sample?s accuracy Some students may argue that !ittCDD used Scurrent teachersS as a surrogate for teachers "ho "ill really 'e affected 'y the ne" standards &eachers "ho "ill 'e affected "ill 'e first certified in or after 8==8 ,ost of those plan-to-'e teachers "ould have not yet enrolled in an undergraduate program < &his @uestion uses the chapters on measurement, scaling, and instrument structure 63 $ &he cover letter clearly states the t"o-fold purpose of the study, 'ut it could have 'een "ritten from a different perspective--the teachers *f so, the letter could have alluded to the ne" state re@uirements and !itten'erg?s assessing their role in helping area teachers comply Several of the students "ill challenge the use of classification data at the 'eginning of the instrument, especially if one purpose of the early @uestions is to 'uild interest and motivation to respond to the target @uestions *f !ittCDD had used @uestion 9 to screen respondents that "ould have no interest in a masters 'ecause they already possessed one, it "ould ma#e sense to have classification @uestions early But, as the a'sence of 'ranching or s#ip directions indicates, this "as not done Students should assess the length of the instrument &he actual layout of the instrument too# 9 pages, "hich on receipt might have appeared e%cessive $s# your students to SpretestS the length of the instrument and determine "hether the cover letter "as sufficient to encourage participation in an instrument of that length Bo transition appears 'et"een classification and target @uestions, 'ut the survey does have a conclusion and disposition directions &he ran#ing @uestions do possess sufficient directions B !ith reference to response strategy appropriateness, numerical ran#ing, multiple choice-single response, and chec#list strategies are all appropriate for the data they "anted But clearer instructions 0chec# one only4 could have 'een provided for @uestion 19 Changing constructs "ithin a @uestion are trou'lesome 0eg @uestion ; as#s a'out enroll, 'ut responses offer the construct apply4 Clearly !ittCDD is concerned a'out the mar#et?s perception of price as 'eing too e%pensive Students might raise the issue of "hether discounting cost as an issue 0@uestions :, ;4 the designer further elevated the issue *n ran#ing @uestions, three is an accepta'le level *t might have helped if the teacher had 'een as#ed to put all 6 elements on a ran#ing @uestion--"ithout including the other to muddy the understanding -iven the space, @uestion 2 "ould 'e more informative as a rating scale that a chec#list !e don?t #no" ho" trou'lesome each chec#ed item might 'e 2 Data coding can 'e part of this e%ercise, at least to the point of identifying the num'er of varia'les related to each @uestion in the instrument Cf course, savvy students could go to the data set and count the num'er of varia'les 06;, ignoring C$S)4 )%hi'it C-!ittCDD-1 provides the actual code sheet for the survey !ithout this your students must guess at the varia'les in the dataset &he preliminary analysis plan should start "ith descriptive statistics/ fre@uencies "ith cross-ta'luations against the varia'les in @uestions 1-9, as most of the data is nominal or ordinal &here might 'e enough information from the various school 'oards to determine if the sample is representative or if the fre@uencies of some su'groups need to 'e "eighted more than others in loo#ing at the total data set &he student?s preliminary plan should detail ho" missing data "ill 'e handled "ith internal coding C'viously some su'sets of the sample 0those "ithout the ,asters degree, those "ith fe" years of service4 "ould 'e of more interest than others 1= Students "ill see the real-life application "hen analyFing a real data set, even one "ith some @uestiona'le data &his is good preparation for analysis of their o"n data, and "ill point out the pro'lems "ith preliminary analysis plans &his is a good e%ercise for interpreting hypothesis statistics, too, and to demonstrate that a researcher can cran# out any statistic they desire 'ut that some are not relevant to the data type provided 11 Because they started "ith a geographic varia'le 0address4, and 'ecause respondents have 'een as#ed to provide their names and addresses if they "ant more information, mapping data using -eographic *nformation System 6: 0-*S4 soft"are is possi'le Because various service divisions of the City of Springfield have done several -*S projects "ith the University, -*S codes for every address in the county are readily availa'le So a plot of those "ho have no degree yet sho" a high level of interest 'y giving their name and address "ould 'e possi'le Using the -*S 'loc# codes for those people and referencing it "ith the location of teachers "ith similar patterns might give !ittCDD information that could 'e used for promoting the ne" program, if they decide to move for"ard Jou might assign students to chec# for current status of the project at/ http/++""":"itten'ergedu+academics+educ+mastershtml Exhibit C-WittCPD-1: Variable and Value Codes for WittMasters.xls 1 Counting this year, ho" many years have you taughtE 07\Q14 \1 =-: years \8 ;-1= years \9 11-1: years \3 1;-12 years \: 8= or more years 8 Drofessional Responsi'ility and Su'ject (ield Chec# all that apply Grade Level (V÷Q2GRADE) Subject Area 0internal code 1\chec#ed, 8\no chec#ed4 Dreschool to -rade three \1 $rt 07\Q8Q1SUB4 ,usic 07\Q8Q;UB4 -rade four to -rade eight \8 Business+)conomics 07\Q8Q8SUB4 D)+.ealth 07\Q8Q6UB4 -rade nine to 18 \9 )nglish 07\Q8Q9UB4 Social Studies07\Q8Q<SUB4 Special )ducation \3 Languages 07\Q8Q3UB4 Science 07\Q8Q2SUB4 $dministration \: ,athematics 07\Q8Q:UB4 Cther QQQQQQQQQQQQQQQQQQQQ Cther/ \;QQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQ 9 .ighest level of education o'tained Dlease select one from the list 'elo" 07\Q9, internal code/ 1\chec#ed, 8\not chec#ed4 Less than a B$+BS B$+BS B$+BS plus graduate "or# Currently in ,$+,S program ,$+,S DhD or currently enrolled in DhD program ,$+,S plus additional graduate "or# *f you are currently enrolled in a graduate program, "hich college or university are you attendingE QQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQ 3 !hich of the follo"ing @ualities are most important to you in a graduate programE 0Dlease ran# the top three @ualities "ith S1S 'eing of most importance, andS8S 'eing of ne%t most importance, etc4 07alue codes internal code/ 1\chec#ed, 8\not chec#ed4 QQQQ Reputation 07\Q3Q14 QQQQ Quality of *nstruction 07\Q3Q34 QQQQ Class SiFe 07\Q3Q;4 QQQQ Schedule (le%i'ility 07\Q3Q84 QQQQ Cost 07\Q3Q94 QQQQ Closeness to home 07\Q3Q:4 QQQQ Cther 07\Q3Q<4 QQQQ *ndividual $ttention 07\Q3Q64 : *f costs "ere #ept competitive, ho" li#ely "ould you 'e to apply to a master?s degree program in education at !itten'ergE QQQQ Cther 07\Q:4 6; \1 definitely "ould apply \8 might apply \9 "ould not apply ; *f costs "ere #ept competitive, ho" li#ely "ould you 'e to enroll in graduate courses at !itten'erg to enhance s#ills "ithout pursuing a master?s degreeE 07\Q;4 \1 definitely "ould apply \8 might apply \9 "ould not apply 6 Dlease indicate the three most important reasons for your interest in graduate education at !itten'erg, "ith S1S 'eing your most important reason, S8S your ne%t most important reason, etc 07alue code is actual ran#4 QQDrofessional re@uirements 07\Q6Q14 QQQQ *ncreased employa'ility 07\Q6Q;4 QQDrofessional advancement 07\Q6Q84 QQQQ $dditional money 07\Q6Q64 QQDersonal satisfaction 07\Q6Q94 QQQQ >eep certification 07\Q6Q<4 QQ (uture re@uirement 07\Q6Q34 QQQQ Upgrade certification 07\Q6Q24 QQ Career change 07\Q6Q:4 QQQQ *mproving s#ills 07\Q6Q1=4 Cther/ 07\Q6Q114QQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQ < Dlease chec# the t"o most important reasons for your lac# of interest in graduate education at !itten'ergE 07alue code is actual ran#4 QQQQ Cost 07\Q<Q14 QQQQ Live too far a"ay 07\Q<Q:4 QQQQ (amily Responsi'ilities 07\Q<Q84 QQQQ &oo near retirement 07\Q<Q;4 QQQQ &ime to complete the degree 07\Q<Q94 QQQQ Lac# of information 07\Q<Q64 QQQQ Drofessional Commitments 07\Q<Q34 QQQQ $lready have a master?s degree 07\Q<Q<4 QQQQ )nrolled in master?s program 07\Q<Q24 Cther/ 07\Q<Q1=4QQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQ 2 Dlease indicate from the list 'elo" "hich of the follo"ing might 'e anticipated as an o'stacle to your enrolling in a masterHs level or graduate classes at !itten'ergE 07alue code/ 1\chec#ed, 8\not chec#ed4 QQQQ Child+)lder Care 07\Q2Q14 QQQQ &ravel 07\Q2Q34 QQQQ (inancial Beed 07\Q2Q84 QQQQ )mployment Schedule 07\Q2Q:4 QQQQ (amily Commitments 07\Q2Q94 Cther/ 07\Q2Q14QQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQ 1= !hat professional development areas most interest youE Dlease ran# the top three professional development areas that interest you, "ith S1S 'eing your are of strongest interest, S8S 'eing your area of ne%t strongest interest, etc 07alue code/ 1\chec#ed, 8\not chec#ed4 QQ )nhancing su'ject matter #no"ledge 07\Q1=Q14 QQ &eaching $rts 07\Q1=Q<4 QQ Using &echnology in the classroom 07\Q1=Q84 QQ &eaching Social Studies 07\Q1=Q24 QQ Child development 07\Q1=Q94 QQ &eaching )nglish+Language $rts 07\Q1=Q1=4 QQ &eaching reading+"riting 07\Q1=Q34 QQ &eaching ,ath 07\Q1=Q114 QQ Specific learning disa'ilities 07\Q1=Q:4 QQ &eaching Science 07\Q1=Q184 QQ &eacher Leadership Development 07\Q1=Q;4 QQ Ur'an Social Bac#grounds 07\Q1=Q194 QQ Developing social s#ills in students 07\Q1=Q64 QQ ,oral and Character Development 07\Q1=Q134 Cther/ 07\Q1=Q1:4QQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQ 11 .o" far "ould you have to drive to attend &CE 07\Q114 \1 under 1= minutes \8 1=-8= minutes \9 81-9= minutes 66 \3 91-3: minutes \: 3;-;= minutes \; more than ;= minutes 18 !hen during the year "ould you 'e a'le to ta#e graduate coursesE 0Chec# all that apply4 (all 0$ug - Dec4 07\Q18Q14 Spring 0Aan - $pril4 07\Q18Q84 Summer 0,ay - Auly4 07\Q18Q94 19 !hich day and time scheduling option 'elo" most appeals to youE 07alue codes/ 1\chec#ed, 8\not chec#ed4 07\Q19Q14 (all through Spring/ Day 0</== am - 3/== pm4 07\Q19Q84 (all through Spring/ Late $fternoon 03/== pm - ;/== pm4 07\Q19Q94 (all through Spring/ )vening 0;/== pm - 1=/== pm4 07\Q19Q34 (all through Spring/ Saturday 07\Q19Q:4 Summer Day 0</== am - 3/== pm4 07\Q19Q;4 Summer )vening/ 0;/== pm - 1=/== pm4 *f you "ould li#e to receive more information a'out graduate programming in education at &C, please put your name and mailing address 'elo" Bame/ QQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQ $ddress/ QQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQQ &han# you for your time and assistance Dlease return the survey in the postage-paid envelope 'y ,arch 8= Case% ;atching Wits "ith 4ason on Sa&pling Theory Abstract/ &his case ta#es the format of a de'ate 'et"een researcher Aason .enry and the ne" mar#et development 7D of a 'an#, Aasmine SAaFFS Rogers &hey are discussing the appropriate sample siFe for a study re@uired 'y the 'an# of small 'usiness applying for a loan to e%pand its operations &he student is as#ed to anticipate sampling decisions and e%plain the rationale for each sampling decision &his case is a perfect opportunity for students to delve into sampling theory, including 14 "hen the various formula are used, 84 the concept of incidence and ho" it affects sample siFe, 94 the role of pilot samples to determine incidence measures 0or "hat to use "hen no such measures e%ist4, 34 the effect of small population siFes "hen dra"ing pro'a'ility samples, and :4 ho" data collection procedures, li#e call'ac#s, affect sample siFe Jou might assign this case as an in-class e%ercise, dividing the class into teams "ith one set of teams playing Aason?s role, "ith the second set of teams playing the role of AaFF )ach team could 'e as#ed to "rite the dialog of their character at the appropriate place in the story or list the points that their character must ma#e to "in the de'ate Belo" each challenge "e?ve included the dialog that might actually follo" each de'ate challenge, as "ell as "hat you might e%pect the students to argue 1 Well, we've set the stage for you. Now see if you can anticipate how 1ason will convince 1azz to accept a small sample rather than a larger sized sample she obviously has in mind. Assume 1ason wants to win this battle of wits. What would he argue? 6< • &he students? natural inclination "ill 'e to 'ring up the idea of sample siFe 'eing calculated using ar'itrary decisions a'out desired confidence level and precision 0accepta'le confidence interval around the sample estimate4 • -iven the nature of the study 'eing discussed, a portion of the students? dialog should focus on a li#ely incidence factor Since the Chevron manager, $udrey, "ants to e%pand station hours and stay open from : am to midnight, a logical factor of incidence "ill li#ely 'e "or#-related 0eg, M of residents "ho go to and from "or# 'efore ; am or after 2 pm, assumed current hours4 or lifestyle-related 0eg, M of residents that currently purchase car-care services at times other than ;-2, or M of residents "ho drive for pleasure reasons 'efore ; am or after 2 pm4 After the discussion and sharing of ideas, share the following story continuation with your students: • 4ason% N&hen let me try &a#e the first @uestion you "ant K$re you currently retired from "or#EH &his is "hat "e call a proportions @uestion &hat is, a certain proportion of people "ill say they are retiredO • 4aBB% NJes,O said the 'an#er NSuppose 8= percent of the e%isting customer 'ase says they are retired * "ould ta#e that as a very 'ad omen for a station that opens early and closes late !hy "ould a retired person "ant to drop his car off at ; amEO • 4ason: N)%actly "ell, say 8= percent of the people sampled say they are retired &hatHs a proportion of 8=, rightE &his means that, of the full 1,===-odd customers "ho comprise the Kpopulation,H the actual proportion falls in a confidence interval centering around 8=O 8 Assume 1ason interrupts 1azz before she specifies her error interval. What will 1ason come back with if he is mentally calculating sample size? • &he student?s natural inclination "ill 'e to estimate the interval 'ased on the fact that AaFF chose the most commonly used confidence level 02:M4 Aason is trying to convince AaFF that a small sample siFe is appropriate for $udrey, the Chevron station o"ner So he?ll have to ma#e a larger confidence interval accepta'le to AaFF $ standard accepta'le confidence interval 0[ 9M4 "ould re@uire too large a sample siFe After the discussion and sharing of ideas, share the following story continuation with your students: • 4ason: NSo you "ill settle for a 2: percent confidence interval Jou remem'er your statistics, * can see !ell, "e need to compute the standard error of the proportion in order to compute the "idth of the confidence interval &o compute the standard error, "e "ill use the formula O 9 Is 1azz correct? Or has 1ason won this point? What will 1ason tell 1azz to do to improve her estimate? • &he students should 'e encouraged to recreate AaFF?s formula &o do so, they need to first realiFe that AaFF is estimating the confidence interval using her hypothetical incidence factor of 8=M retired people in a hypothetical sample &o do this, she needs the F value for 2:M confidence 012;4 $nd Aason?s proposed sample siFe of 1== )ven though the F value is 12;, AaFF is using 8 as a rough estimate 0[ 12; σ from the sample estimate includes 2:M of all estimates in the distri'ution4 &his is an opportunity to use some simple alge'ra on the sample formula for proportions and recreate it solving for confidence interval 62 After the discussion and sharing of ideas, share the following story continuation with your students: • 4ason% N&hatHs very good, AaFF, and *Hm going to let you #eep that stra" But you failed to consider a significant factor !ould you care to improve your estimateEO 3 Assume 1ason lets 1azz keep the straw even though she could have done her calculation differently. What might be considered 1azz's error(s)? • Aason 'elieves AaFF can improve her estimate 'ased on the fact that the population siFe is small, 1=== $t least one student "ill remem'er 0or you can remind them4 that "hen a calculated sample siFe is greater than :M of the population siFe that you can reduce the sample siFe "ithout sacrificing the @uality of the data • $t least one student "ill note that AaFF too# li'erties in calculating her estimate and suggest these "ere not appropriate shortcuts to ta#e Jou "ant to ma#e sure that students #ne" she "as using 8 as an estimate for 12; After the discussion and sharing of ideas, share the following story continuation with your students: • 4aBB/ N.ah,O she said, N* should have used 22 instead of 1== KB X 1H .ahGO and she reached for another stra" from the tum'ler, 'ut Aason snatched the stra" from her hands and set it on his side of the des# Bo" each of them had a stra" • 4ason/ N&hatHs too small a correction to matter Jou loseO • 4aBB/ NC>,O she said "ith moc# annoyance, N* should have multiplied 'y 12; instead of 8 &hatHs it, isnHt itEO $nd she reached for another stra", 'ut Aason clapped his hand over the tum'ler • 4ason/ NSorry,O he said, NthatHs true, 'ut again too small a correction to 'other "ith Jou should have allo"ed for the fact that she is sampling 1== out of a population of 1,=== &hat shrin#s the standard error of the mean 'y the s@uare root of 2==+222, "hich comes to O • 4aBB/ N&oo small a correction to 'other "ith,O shouted AaFF "ith glee N&a#e your hands a"ay from my stra"sG : 1ason's being put through his paces here. What should his answer be this time? Look at the nature of the second question to determine the correct formula to use. <= • &he second @uestion, 8)hat time do you leave your home in the morning to go to &ork9: "ill generate a mean estimate rather than a proportion, so Aason needs to apply a different formula &his mean time is a second incidence factor • *f the interval estimate around the mean time is unaccepta'ly large, then the sample siFe "ill need to 'e increased from the 1== proposed, even though the confidence interval around the proportion of retired customers 0[=<4 "as accepta'le to AaFF &his is a perfect time to indicate that "hen there is more than one critical measurement @uestion that you al"ays accept the largest sample siFe that is calculated to ensure the necessary confidence and precision in all estimates generated 'y all measurement @uestions After the discussion and sharing of ideas, share the following story continuation with your students: • 4ason/ N!ell, "e use a slightly different version of the formula this time &his time "e divide the estimated standard deviation of the error 'y the s@uare root of 1== to get the standard error of the meanO ; This is 1ason's last chance to impress 1azz.and win. What must he know and where might he have gotten this information, for a quick answer to the standard error of the sample? • AaFF has challenged Aason that ~one can?t #no" the standard error of the sample until the sample has 'een ta#en¨ But "e #no" that prior #no"ledge "ill almost al"ays reduce sample siFe So Aason "ants a pro%y measure for this purpose &he value of prior #no"ledge is "hy large proposed studies almost al"ays include pilot tests--not just to refine instruments 'ut to collect critical information a'out incidence factors, reducing the sample siFe needed and there'y reducing the costs associated "ith large studies After the discussion and sharing of ideas, share the following story continuation with your students: • 4ason% N!ell, then you are "rong Because * happen to #no" that the morning rush hour e%tends from a'out ;/9= to 2/9=, a period of 1<= minutes, and applying the rule of thum' that the standard deviation is roughly one-si%th of the range, * arrived at a rough value of 9= minutes for the standard deviation, "hich gives a standard error of the mean of 9 minutes, "hich is all the precision you could possi'ly "antO .e reached for the stra", 'ut this time she pulled it a"ay • 4aBB% N!ait a second, ,r Statistician !here did you get that rule of thum'EO • 4ason% N* donHt #no",O he admitted, N* pic#ed it up during my graduate student daysO • 4aBB% N.ah,O she e%ulted N>eep your stra"-pic#inH fingers a"ay from my stra"sGO • 4ason% N.o"ever,O he said, Non returning to my office * did have a t"inge of dou't a'out giving this advice to $udrey, so * called the planning department of the local 'us company, "hich #eeps enormously detailed statistical records as part of the re@uirement for their federal transportation su'sidy, and they confirmed that the ridership of their num'er 3: 'us through our to"n, and indeed the ridership of practically every other 'us on the system, has a standard deviation of 82 minutesO .e e%tracted the stra" Bo" he had t"o, to her one 6 So what's 1ason's final rebuttal? <1 • )ncourage your students to loo# at the data collection procedures $ mail study is 'eing discussed Jou might mention that initial response to such a survey is often "ell 'elo" the :=M that AaFF is estimating $s# students "hat might 'e done "ithin the conte%t of a mail study to increase response Students have often received mail studies themselves and "ill share the inducements that came "ith the survey/ money, entry into a dra"ing for a vacation givea"ay, coupons for theme par# visits or free meals or merchandise • Duplicate mailings "ill also li#ely 'e suggested, 'ut you should remind your students that $udrey is trying to #eep her costs do"n She is, after all, 'orro"ing money to erect improvements so she can #eep her 'usiness open longer hours to increase sales and profits • Call'ac#s are an o'vious choice since 14 the sample siFe is small, 84 the firm conducting the research is #no"n to the sample respondent and the respondent presuma'ly values the relationship, and 94 the researcher has a daughter "ho "ill li#ely "or# for su'-standard "ages After the discussion and sharing of ideas, share the following story continuation with your students: • 4ason/ NBot if her daughter ma#es follo"-up phone calls,O said Aason .)ll Script .ere is the full Close-Up as it appeared in the ; th edition &he 'old te%t is "hat has 'een omitted in the case that appears in the < th edition NDo you #no" if the post office accepts chec#sEO as#ed $udrey, the 'usiness manager at the Chevron station NCouldnHt say,O Aason replied NBecause * am going to spend a fortune on stamps and * donHt "ant to carry a lot of cash do"n thereO She "aved a thic# folio of three-up mailing la'els N*Hve got to survey our customers Cur 'an#er insists Jou #no" that ne" loan officerE &he ,B$E &he one named Aasmine, "ho calls herself KAaFFHEO !e as#ed her for U:=,=== so "e can open at : $, and stay open until midnightP"e have to put up a fence and some shru''ery, so as not to distur' the apartments in 'ac#, and install t"o ne" 'aysPand she told us to survey our customers to find out if many of them are retirees "ho go to 'ed early and "a#e up late and "ouldnHt use our service $nd find out "hen the others leave for "or# in the morning and come home at nightO NSo you have to do a surveyO NJes &hree or four @uestions, may'ePnothing complicated Li#e the t"o * mentioned and K.o" long have you 'een our customerEH O N.o" many years have you 'een our customer,O Aason murmured refle%ively NCh, yeah, right ,ore precise, isnHt itEO $udrey said NBut the point is, do you #no" "hat it costs to "rite to 1,=== customersEO .e crunched the num'ers in his head Dostage to send out the survey Dostage prepaid to have it mailed 'ac# Daper and printing Cne envelope out'ound and one in'ound Stuffing the out'ound and opening and coding the in'ound N,inimum of U1:= a survey,O he said, Nif your #ids do the stuffing and opening and encoding ,ay'e more Jou generate la'els from your computer, so you donHt pay for la'els, "hich saves a mint, may'e 8: cents a nameO NRight $ U1:= times 1,=== Dlus the #idsH time, if * can pry them a"ay from Little League, ,&7, and personal callsO NJou donHt need to survey 1,=== customers you #no"O N!haaatEO NDic# 1== at random from your computer list JouHll get a 1= percent margin of error and save U1,9:=, plus the #idsH timeO N&hatHs hard to 'elieveO NBut itHs true,O he said NLoo#, "hy donHt you ta#e some of the money you save, and instead of just sampling 1== from your e%isting customer 'ase, also do a separate survey of every 8=th person from the Cham'er of Commerce directory JouHll have one survey of customers and another of potential customers, and youHll still end up saving over U1,===O She thought for a moment N&he 'an#er "ill never 'elieve this,O she o'jected N&he ne%t time * ma#e a deposit, *Hll e%plain it to herO NJou do that,O she said, Nand "eHll "a% your car every three months for the ne%t t"o yearsO <8 Aason "as e%cited 'y the idea of having his car "ashed and "a%ed at no charge .e #ne" he "as trading consulting services cheaply for automotive services, 'ut it felt free, so the ne%t day "hen he "ent to the 'an# he approached the ne" 'an# officer Pthe ne" mar#et development 7D, actuallyP"ith carefully disguised e%citement &his "as going to 'e more fun than "or#ing for money -osh, she "as a tall "oman Aasmine Rogers &hirty-five, he guessed, ; feet 8 inches or even ; feet 9 .ard to tell "hen she "as sitting She sat grandly 'ehind a mahogany des# in a cu'icle "ith three glass "alls But the 'ac# "all "as coveredP'y sports memora'ilia $ 'as#et'all shirt said, N,organ StateP$frican &our, 12<:,O and there "as another shirt that said, N.arvard B-School *ntramuralsO &here "ere crossed field hoc#ey stic#s, too, and a 'oomerang, and a picture of her holding the 'oomerang "ith small fol#s he supposed "ere $ustralian nationals casting admiring glances at this tall $merican "oman She came out to greet him and propelled himPalmost lifted himPto a seat in her cu'icle NSo, "hatHs up, AasonE $re "e ta#ing good care of youE Do you need another doFen computersE !hatEO N* "anted to tal# to you a'out the survey you as#ed $udrey to ma#e She and Auan o"n the Chevron station O NCh, sure $udrey and Aohnny -ood people Say, if you are thin#ing of getting a B,!, * can give you a good rate on a loanO N!ell, *Hm not in that 'rac#et, AaFF Loo#, you told $udrey to ta#e a survey of her customers, and thatHs "hat * "anted to discussO N* didnHt intend her to have to hire a high-po"ered 'usiness consultantO N!ell, actually, this is more or less a favor, you see O She chuc#led .e thought she had a nice disposition for a 'an#er N$ favorE By any means did she offer to "a% your car a'out a million times for this favorE * had to turn do"n that particular offer, 'eing her loan officer Conflict of interest, you #no" But if you "ant to help her, hey, * say thatHs greatO N!ell, this is no 'ig deal, AaFF ,ore or less a 'ac#-of-the-envelope computation, you see )%cept * did it in my head, as there "as no envelope handyO N*n your headE *mpressive * "as on the math team in high school O N.ereHs the thing $udrey "as a'out to do a census of her customers O N$ censusE Surely not a survey of all her customers * "anted just a sample She must have misunderstoodO N!ell, thatHs the thing * mean, * 'elieve that a sample of may'e 1== customers "ill do the tric#O N* too# 'usiness research in B-school, Aason, and "hile * certainly donHt "ant to 'rea# $udreyHs 'ac#, a sample of 1== seems #ind of "ell, thinO N,ay'e * can convince youO N,ay'eO She steepled her fingers thoughtfully and smiled "ic#edly N$re you a 'etting man, AasonEO She placed a tall glass tum'ler holding several doFen drin#ing stra"s 'et"een them N* am "illing to 'et you cannot convince meO N&hen let me try &a#e the first @uestion you "anted K$re you currently retired from "or#EH &his is "hat "e call a proportions @uestion &hat is, a certain proportion of people "ill say they are retiredO NJes,O said the 'an#er NSuppose 8= percent of the e%isting customer 'ase says they are retired * "ould ta#e that as a very 'ad omen for a station that opens early and closes late !hy "ould a retired person "ant to drop his car off at ; $,EO ~Exactly . . . well, say 20 percent of the people sampled say they are retired. That`s a proportion of .20, right? This means that, of the full 1,000-odd customers who comprise the population,` the actual proportion falls in a confidence interval centering around .20.¨ NLet me jump ahead here, Aason, 'ecause lunch approaches rapidly * am "illing to settle for a 2: percent chance of correctly locating the population proportion "ithin an interval O ~So you will settle for a 95 percent confidence interval. You remember your statistics, I can see. Well, we need to compute the standard error of the proportion in order to compute the width of the confidence interval. To compute the standard error, we will use the formula. . . .¨ AaFF leaned for"ard and grasped AasonHs left hand "ith her right hand, to prevent him from "riting formulas in the air, and held up the inde% finger of her left hand for attention NCne second, Aason * am "illing to 'et you this,O she e%tracted one drin#ing stra" from the glass, Nthis valua'le drin#ing stra", that * can tell you the formula to use !e ta#e 8 and multiply 'y <, and divide 'y 1== 0"hich is your proposed num'er of su'jects4, and ta#e the s@uare root, "hich is, um ,O she rolled her eyes to the ceiling, N"hich is =3 $nd "e multiply 'y 8 So the 2: percent confidence interval e%tends 'et"een 8= plus and minus ==<, from 18 to 8<O She laughed merrily and moved the stra" closer to her side of the des# NCome on, Aason, play this game to "in * "onHt ta#e it out on $udreyO ~That`s very good, 1azz, and I`m going to let you keep that straw. But you omitted to consider a significant factor. Would you care to improve your estimate?¨ ~Hah,¨ she said, ~I should have used 99 instead of 100. N - 1.` Hah!¨ and she reached for another straw from the tumbler, but 1ason snatched the straw from her hands and set it on his side of the desk. Now each of them had a straw. ~That`s too small a correction to matter. You lose.¨ <9 ~OK,¨ she said with mock annoyance, ~I should have multiplied by 1.96 instead of 2. That`s it, isn`t it?¨ And she reached for another straw, but 1ason clapped his hand over the tumbler. ~Sorry,¨ he said, ~that`s true, but again too small a correction to bother with. You should have allowed for the fact that she is sampling 100 out of a population of 1,000. That shrinks the standard error of the mean by the square root of 900/999, which comes to. . . .¨ ~Too small a correction to bother with,¨ shouted 1azz with glee. ~Take your hands away from my straws! OK, I`ll give that to you, 1ason, a sample of 100 will give me all the precision I want for that question.¨ NBut "hat a'out the ne%t @uestion, K!hat time do you leave your home in the morning to go to "or#EHEO AaFF as#ed ~Well, we use a slightly different version of the formula this time. This time we divide the estimated standard deviation of the error by the square root of 100 to get the standard error of the mean.¨ She reached into the tum'ler and "ithdre" another stra" N!ait just a second, Aason * "ill 'et you this stra" that you donHt #no" the standard error of the sample until after you have ta#en the sampleO ~Well, then you are wrong. Because I happen to know that the morning rush hour extends from about 6:30 to 9:30, a period of 180 minutes, and applying the rule of thumb that the standard deviation is roughly one-sixth of the range, I arrived at a rough value of 30 minutes for the standard deviation, which gives a standard error of the mean of 3 minutes, which is all the precision you could possibly want.¨ He reached for the straw, but this time she pulled it away. ~Wait a second, Mr. Statistician. Where did you get that rule of thumb?¨ ~I don`t know,¨ he admitted, ~I picked it up during my graduate student days.¨ ~Hah,¨ she exulted. ~Keep your straw-pickin` fingers away from my straws!¨ ~However,¨ he said, ~on returning to my office I did have a twinge of doubt about giving this advice to Audrey, so I called the planning department of the local bus company, which keeps enormously detailed statistical records as part of the requirement for their federal transportation subsidy, and they confirmed that the ridership of their number 45 bus through our town, and indeed the ridership of practically every other bus on the system, has a standard deviation of . . . 29 minutes.¨ He extracted the straw. Now he had two, to her one. NC>, Aason, you "in Jou have convinced me *f she can retrieve 1== surveys, *Hll 'e satisfied But *Hll 'et she "ill have to send out 8== surveys to get 1== repliesO ~Not if her daughter makes follow-up phone calls,¨ said 1ason. Case% ;cDonaldCs Tests Cat-ish Sand"ich? Abstract/ &his case descri'es the test mar#eting for ,cDonald?s catfish sand"ich in the Southeastern US$ *t as#s the student to assume they are the ne"-product development team and assess the research design descri'ed &his case re@uires the student to assess the representativeness of the ten test cities in "hich the ne" catfish sand"ich is 'eing served in relation to three states in "hich this product "ill 'e rolled out &o assess the representativeness of the test cities in relation to the rollout plan, the student "ill have to collect secondary data on each of the test cities and the three states &here are a "ide variety of sources that students can ma#e use of !e have compiled some preliminary data on each of the test cities as sho"n in the accompanying ta'le &his "as a'stracted from the .22, Rand Mc;ally Commercial Atlas and Marketing 1uide <3 City/State Population Per Capita Income No. of H.H Median H.H. Income Food Store Sales Total Retail Sales R.McNally City Rating Bo"ling -reen, >J 3=,;31 1=,228 1;,=== 1<,=2; 1=:,9:= ;2=,<23 9-$ ,emphis, &B ;1=,996 18,111 891,9== 89,882 ;16,=;2 :,91;,296 8$$ Chattanooga, &B 1;8,3;; 18,=82 ;8,3== 81,989 8<:,888 1,289,;82 8-$ Aac#son, &B 3<,232 18,16< 12,8== 88,2=; 1=2,2:2 ;8;,:99 9-$ .untsville, $L 1:2,6<2 1;,:<< ;3,=== 98,=6= 8;:,8=: 1,6;2,98; 9-$$ Aones'oro, $> 3;,:9; 18,8;1 1<,1== 81,<83 <1,92= :8<,613 9-$ Colum'us, ,S 89,622 1=,8<3 2,1== 1<,9<6 :;,2<2 968,88< 9-$ &upelo, ,S 9=,;<: 18,82< 11,<== 83,:8; ;;,168 328,16< 9-$ -reenville, ,S 3:,88; <,821 1:,8== 1;,;;2 6=,2=8 9;8,32< 9-$ -reen"ood, ,S 1<,2=; <,638 6,=== 13,<8; 9<,<23 8=9,36: 3-B <: Case% ;edical *aboratories Abstract/ $ hospital faces a 8=M price increase from its outside testing la' 'ased on rising costs of testing and diminishing profits &he student is as#ed to analyFe data from 1; different medical la's and ma#e a recommendation a'out the financial health of each la', supporting or refuting the 'asis of the proposed price increase -eneral Comments &he tric# to this data set involves the first tas# re@uested in the case--to 'uild a model of CD$SS&S $s it turns out, the multiple regression model is an accounting identity &he CD$SS&S varia'le "as created 'y the e@uation/ CD$SS&S \ DD) [ $SS)&S - L*$B &he value for DD) of firm 1 in 12<; is actually 19:8:, "hich "as changed to 19:8; in the data set to permit calculation of the regression diagnostics Jour students "ill get an ans"er from the multiple regression, 'ut should 'e tipped off 'y t ratios for the estimated slope coefficients of several hundred thousandG &he reason "e created this case is that every semester "hen students are as#ed to design their o"n project and collect their o"n data, one or more students invaria'ly comes up "ith a deterministic model (or instance, one group proposed studying total electricity consumption in Denver as a function of consumption from residential, commercial, and manufacturing sectors, a tautology &he confusion li#ely arises from the message that higher R8 values are 'etter, yet "e don?t generally tal# a'out "hat it means to have an R8 of 1==M &his case "ill allo" you to rediscover "ith your students the difference 'et"een stochastic and deterministic models and the fundamental nature of residuals and residual analysis to multiple regression model-'uilding Discussion Questions 1 *s the e%ternal medical facility justified in claiming that la's around the country are e%periencing hard timesE .o" should you decide to ans"er this @uestionE 8 !hat are the major financial determinants of CD$SS&SE Suggestions for Discussion &he interesting part of the class discussion involves the matter of the 1==M R 8 Some students "ill overloo# the perfect R 8 value and simply "rite up the report, 'ragging a'out "hat a fine model they have derived Cthers "ill finally discover the tric# to the case &he 'est "ay to lead the class discussion in our e%perience is to plead total ignorance to the issue of the accounting identity $ct as if you are completely sur prised 'y the outcomes 'eing reported 'y your students &hen let them ta#e control of the discussion !hen the tric# is finally uncovered, as# your students a'out the general nature of the error term in regression analysis $s# them the purpose of the error term, "here and ho" the error term comes into play in generating the regression statistics, and "hat it means to have an e@uation "ith Fero residual values &ypical Results and $pproaches &he @uestion of "hether your medical la'oratory should 'e passing on higher costs can 'e addressed 'y loo#ing at the 'ehavior over time and across firms of the CD$SS&S varia'le $lthough CD$SS&S dropped from 1:6: to 1369 on average over the 12<; to 12<< period, CD$SS&S appears to 'e on its "ay 'ac# up thereafter, and reaches the level of 1;62 'y 122= .o"ever, "hen loo#ing at the means for each firm over the five years, there is a su'stantial difference in CD$SS&S among different firms &his vie" of the data suggests that your particular la' may 'e e%periencing some difficulty, 'ut not all la's are having the same pro'lem (urther investigation into their claims seems to 'e "arranted 'y these data <; Cn the model-'uilding portion of this case, some students may actually discover the accounting identity inherent to the multiple regression model of CD$SS&S on DD), $SS)&S, and L*$B and solve the puFFle 'y leaving out one or t"o of the predictors .ere?s a printout that you can ta#e to class that sho"s the essence of the case R%<r%ssion of 1P,SS5S on PPE= ,SSE5S an+ .0,7 1P,SS5S ; -0&000010 + 1&00 PPE + 1&00 ,SSE5S - 1&00 .0,7 Pr%+ictor Co%f St+%> t-ratio $ Constant -0&00000"#3 0&000014!! -0&64 0 PPE 1&00000 0&00000 436""&66 0&000 ,SSE5S 1&00000 0&00000 !23#&12 0&000 .0,7 -1&00000 0&00000 -"0"""&63 0&000 s ; 0&0001033 R-s? ; 100&0' R-s?(a+@) ; 100&0' ,nalysis of 3arianc% S1URCE (2 SS 4S 2 $ R%<r%ssion 3 42164 140## 1&31!E+12 0&000 Error 6 0 0 5otal " 42164 Unusual 1bs%r>ations 1bs& PPE 1P,SS5S 2it St+%>&2it R%si+ual St&R%si+ 1 13&# 6&"330 6&"33! 0&0000 -0&000! -!&6"RA 2 1#&1 6&2060 6&20#! 0&0000 0&0002 1&!# A 46 3#&" "0&"630 "0&"62" 0&0000 0&0001 0&"6 A 4" 20&4 26( 26( 0&0001 0&0000 0&10 A #4 33&2 43&2##0 43&2##0 0&0001 -0&0000 -0&43 A ## 33&3 3!&2410 3!&2411 0&0000 -0&0001 -1&0 A R +%not%s an obs& Bit* a lar<% st& r%si+& A +%not%s an obs& B*os% A >alu% <i>%s it lar<% influ%nc%. <6