This document discusses steps 4 and 5 of the research process - developing a theoretical framework and hypotheses. It defines key terms like variables, hypotheses, and theoretical frameworks. Variables can be dependent, independent, moderating, or intervening. A theoretical framework shows the relationships between variables and informs hypotheses development. Hypotheses are testable statements about the relationships between variables. The document provides examples of theoretical frameworks and hypotheses to illustrate these concepts.

1. RESEARCH METHODS
FOR BUSINESS
Mr. PHON Sophath
April 2022

2. CHAPTER 3
THE RESEARCH PROCESS: STEPS 4 AND 5:
THEORETICAL FRAMEWORK HYPOTHESIS
DEVELOPMENT

3. The Research Process for Basic and Applied
Research
①
OBSERVATION
Broad area
of research
interest
identified
②
PRELIMINARY
DATA GATHERING
Interviewing
literature survey
③
PROBLEM
DEFINITION
Research
problem
delineated
④
THEORETICAL
FRAMEWORK
Variables clearly
identified and
labeled
⑤
GENERATION
OF
HYPOTHESES
⑥
SCIENTIFIC
RESEARCH
DESIGN
⑦
DATA
COLLECTION
ANALYSIS,
AND
INTERPRETATION
⑧
DEDUCTION
Hypotheses
substantiated?
Research question
answered?

4. The Need for a Theoretical Framework
◦ A theoretical framework is a conceptual model of how
one theorizes the relationships among the several factors
that have been identified as important to the problem.
◦ The theoretical framework discusses the interrelationships
among the variables that are deemed to be integral to
the dynamics of the situation being investigated.
◦ Developing such a conceptual framework helps us to
postulate and test certain relationships so as to improve
our understanding of the dynamics of the situation.

5. Variables
◦ A variable is anything that can take on differing or varying
values. The values can differ at various for the same object or
person, or the values can differ at the same time for different
objects or persons. Examples of variables are exam scores,
absenteeism, and motivation.
◦ Types of variables:
1. The dependent variable (also known as the criterion
variable).
2. The independent variable (also known as the predictor
variable).
3. The moderating variable.
4. The intervening variable.

6. Dependent variable
◦ The dependent variable is the variable of primary
interest to the research. The researcher’s goal is to
explain or predict the variability in the dependent
variable.

7. Independent variable
◦ An independent variable is one that influences the dependent
variable in either a positive or a negative way. That is, when the
independent variable is present, the dependent variable is also
present, and with each unit of increase in the independent
variable, there is an increase or decrease in the dependent
variable also.
New product
success
Stock market
price
Independent variable Dependent variable
Managerial values Power distance
Independent variable Dependent variable

8. Moderating variable
◦ The moderating variable is one that has a strong
contingent effect on the independent variable-dependent
variable relationship. That is the presence of a third
variable (the moderating variable) modifies the originally
expected relationship between the independent and the
dependent variables.
Number of books Reading abilities
Independent variable Dependent variable

9. Number of books Reading abilities
Independent variable Dependent variable
Parents literacy
Moderating variable
Workforce diversity
Organizational
effectiveness
Independent variable Dependent variable
Managerial
expertise
Moderating variable

10. Intervening variable
◦ An intervening variable is one that surfaces between the time the
independent variables operate to influence the dependent
variable and their impact on the dependent variable. There is
thus a temporal quality or time dimension to the intervening
variable.
Training programs
Growth needs
Willingness
to
learn

11. Training programs
Willingness
to
learn
Effects for those low in
growth needs
Effects for those high in
growth needs

12. Workforce diversity Reading abilities
Creative
synergy
Independent variable Dependent variable
Intervening variable
Time: t1 t2 t3
Workforce diversity Reading abilities
Creative
synergy
Independent variable Dependent variable
Intervening variable
Time: t1 t2 t3
Managerial
expertise
Moderating variable

13. Theoretical Framework
◦ The theoretical framework is the foundation on
which the entire research project is based. It is
logically developed, described, and elaborated
network network of associations among variables
that have been identified through such processes
as interviews, observations, and literature survey.

14. The components of the
theoretical framework
1. The variables considered relevant to the study should be clearly
identified and labeled in the discussions.
2. The discussions should state how two or more variables are related to
each other. This should be done for the important relationships that
are the orized to exist among the variables.
3. If the nature and direction of the relationships can be theorized on
the basis of the findings from previous research, then there should be
an indication in the discussions as to whether the relationships would
be positive or negative.
4. There should be a clear explanation of why we would expect these
relationships to exist. The arguments could be drawn from the
previous research findings.
5. A schematic diagram of the theoretical framework should be given so
that the reader can visualize the theorized relationships.

15. Communication among
Cockpit members
Communication between
Ground control and cockpit
Decentralization
Training of cockpit crew
Independent variables
Air-safety
violations
Dependent variables

16. Communication among
Cockpit members
Communication between
Ground control and cockpit
Decentralization
Training of cockpit crew
Independent variables
Air-safety
violations
Dependent
variables
Nervousness
And diffidence
Intervening
variables

17. Communication among
Cockpit members
Communication between
Ground control and cockpit
Decentralization
Independent variables
Air-safety
violations
Dependent variables
Training
Moderating variables

18. Hypotheses Development
◦ Definition of hypothesis
An hypothesis is an educated guess about a problem’s solution. It can be
defined as a logically conjectured relationship between two or more
variables expressed in the form of testable statements.
◦ Statement of hypotheses: formats
If then statements → To examine whether the conjectured relationships
or differences exist or not, these hypotheses can be set either as
propositions or in the form of if-then statements.
◦ Null and alternate hypotheses
The null hypothesis is a proposition that state a definitive, exact
relationship between two variables.

19. Hypotheses Testing with Qualitative
Research: Negative Case Analysis
◦ Hypotheses can also be tested through qualitative data. For
example, let us say that a researcher has developed the
theoretical framework after extensive interviews, that unethical
practices by employees are a function of their being ignorant of
what is right or wrong, or because of a need for more money,
or because of the organization’s indifference to such practices.
To test the hypothesis that these three factors are the primary
ones that influence unethical practices, the researcher will look
for data that would disconfirm the hypothesis. When even a
single case disconfirms the hypothesis, he will revise the theory.

20. Summary
In this chapter we examined the four types of
variables: dependent, independent, moderating, and
intervening. We also discussed how theoretical
frameworks are developed and testable hypotheses are
generated therefrom as they relate to both qualitative and
quantitative research. In the next chapter we will examine
the basic research design issues.