A. Describe the role and goals of business research as a managerial decision-making aid.
B. Discuss the difference between the management decision problem and the research problem. Illustrate your answer with examples, ie. List some management problems and formulate the relevant business research problem.
A. The main function of business research is to provide managements with reliable, valid, timely, relevant and current information.
A manager's ability to rely upon their past experience as a guide to the future has been constrained by some factors, such as:
* An increasingly rapid rate of technological innovation and implementation.
* An acceleration in the globalisation of the provision of goods and services.
* Individual countries becoming ever more multicultural.
The amounts of 'danger' in the business environment have increased and change has become the only constant. Managers have to take decisions with far-reaching consequences, opportunities must be grasped, threats avoided.
However, managers do not make decisions in a vacuum. There is an environment outside their control of which they must take due note. Business research may be viewed as the managerial senses through which managers can view the outside world and then use the information gained from their corporate eyes, ears etc to moderate those processes over which they do have control, and thus marry their internal actions with environmental changes.
B. Organisations frequently meet business management challenges that cause them uncertainty. They may be very positive challenges (sales are rising) or decidedly negative (market share is falling). There may be a hypothesis as to the reason the issue has arisen, and this hypothesis may need to be tested. Alternatively, there may be no apparent reason and the issue may need to be thoroughly explored. In both cases a manager may need information to help develop an appropriate response...