MAR 4613 – FSU – Kim – Exam 1 – Marketing Research

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Albert Einstein Quote
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The FORMULATION of the problem is often more essential than it’s solution.
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The Process of Problem Definition
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Understand the Business Situation – Identify Key Symptom => Isolate the problem from the symptoms => Write Managerial Decision Statement and corresponding research purpose => Determine the unit of analysis? => Determine Relevant Materials => State research questions / objections / hypothesis
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Limitations of Observations in General
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– Observations can describe the event that occurred but cannot EXPLAIN why that event occurred. – Observations over long periods is EXPENSIVE or even impossible
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Researcher Needs to Understand
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the decision makers objectives for conducting research. the business context in which the decision maker operates objectives
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Situation Analyisis
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informal gathering of background information to familiarize the researcher and manager with the decision-making environment situation. Guidelines: 1) Develop many alt problem statements 2) think about potential solutions 3) Use free-associated techniques to generate lists of ideas 4) be open minded
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SYMPTOM
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the sign (indicator) that something is wrong
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PROBLEM
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the actual reasons (possible causes) for the discrepancy between what is (current situation) and what is desired.
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Process of Problem Definition
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1) Understand the Business Decision 2) Isolate Symptoms from Problem 3) Write Managerial Decision Statements and Corresponding Research Objectives 4) Determine Unit of Analysis 5) Determine Relevant Variables 6) State Research Questions and Objectives
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DECISION STATEMENTS
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capture the researchers understanding of the decision makers objectives (reasons) for seeking the research.
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Unit of Analysis
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The target population from whom data needs to be collected to serve the research objectives. (individuals, customers, competitors, etc..)
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Variable
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Anything that may assume different values among members of the target population. Categorical of Continuos Dependent or Independent
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HYPOTHESIS
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an unproven statement about the nature of relationships between variables or possible solution to a problem.
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CONTINUOUS Variable
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can take on a range of **quantitative** values.
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CATEGORICAL Variable
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Indicates membership in some group. Also called CLASSIFICATORY variable.
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Dependent Variable
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a process outcome or a variable that is predicted and / or explained by other variables.
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Independent Variable
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A variable that is expected to influence the dependent variable in some way.
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Research OBJECTIVES
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Goals that the research is designed to achieve.
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Research QUESTIONS
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Questions for which the research is designed to provide answers. The researchers translation of the managerial (marketing) problem into a specific inquiry.
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Research Proposal
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A WRITTEN statement of the research design (strategy blueprint) that oftens also includes.
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Contents of the Research PROPOSAL
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Purpose of the research Research Design Measurements Sample Design Data Gathering Data Processing Presentation of Results Time Schedule Budget
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For Management (the Client) // Functions of a Research Proposal
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1) Evaluation: it helps the client to evaluate the ability of the research to accomplish its objectives. 2) Choosing research suppliers: client judges quality of different research suppliers from their proposals 3) Judgement Standard It is a standard for determining if the research was conducted as planned.
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Functions of a Research Proposal // FOR THE RESEARCHER
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Thinking Ahead: it forces the researcher to think through the different stages of the research process. Bidding Document: it serves as the researchers bid to offer a specific service.
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Functions of a Research Proposal // For Both Parties
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Communication: it serves as a means of communication between the researcher and the client (decision maker) Written Contract: it serves as a written contract that can always be referred to.
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OBSERVATION
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the systematic process of recording actual behavioral patterns of people, objects, and events as they happen.
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LIMITATIONS on Observation of Human Behavior
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– Cognitive phenomena cannot be observed. – Interpretation of data may be a problem. – Not all activity can be recorded. – Only short periods can be observed. Observer BIAS possible. – Possible invasion of privacy.
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Nature of Observation Studies // VISIBLE OBSERVATION
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observation in whiche the observers presence is known.
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Nature of Observation Studies // HIDDEN Observation
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observation in which the subject is unaware that observation is taking place.
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Advantages of Observation over Surveying:
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Data are free from distortions, inaccuracies, or other response biases Data are recorded when actual and nonverbal behavior takes place.
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Benefits of Observing Human Behavior
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– Communication is not necessary – Data not distorted by self-report bias – No need to rely on memories – nonverbal behavior data may be obtained – certain data may be obtained more quickly – environmental conditions can be recorded – may be combined with survey to provide complementary evidence.
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COMPLEMENTARY EVIDENCE
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observation provides an additional source of information that helps explain other research findings.
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Response LATENCY
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the amount of time it takes to make a choice. Used as a measure of preference.
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DIRECT Observation
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straightforward attempt to observe and record what naturally occurs.
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CONTRIVED Observation
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Observation in which the investigator creats an artifical environment in order to test a hypothesis. Env. may increase the frequency of certain behavior patterns to be observed.
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Observer BIAS
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a distortion of measurement resulting from the cognitive behavior or actions of a witnessing observer. Record events subjectively Record events inaccurately Interpreting Observation data incorrectly.
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Ethical Issues of Human Observation
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Respondent’s right to PRIVACY Contrived observation as ENTRAPMENT
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Researchers feel comfortable collecting obersvation data if:
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– commonly performed in public – setting assures anonymity – observed person has agreed to be observed
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Observation of Physical Objects
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Artifacts: made and consumed withing a culture that signals something meaningful. Inventories: count and record physical inventories. Content Analysis: systematic observation and quantitative description of manifest content of communication.
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Mechanical Observation:
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TV / Radio Website Traffic (Click through rate) Scanner based consumer panel Camera Surveillance Neurolgical Device
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Measuring Physiological Reactions
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Eye Tracking Monitor Pupilometer (measures pupil) Psychogalvanometer: measures involuntary changes in electrical resistance of skin. Assumes physiological changes accompany emotion. Voice Pitch Analysis.
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Secondary Data
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Easier to collect, many sources, and cheap to get
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Secondary Data (What is it?)
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recorded prior to and for a purpose other than the current research project.
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Disadvantages of Secondary Data
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– Maybe outdated. – Units of Mesaurement might need to be converted. – Terminology – Lack of accuracy
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Primary Data
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Collect yourself
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Survey
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primary data method based on communication with representative of sample of individuals.
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Respondants
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people who verbally answer an interviewers questions
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Sample Survey
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Survey that emphasized contacting respondents who are a repre. sample of target pop.
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Census vs Sample
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Always Census
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Type of Data in Market Segmentation?
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Demographics Psycographics Lifestyle
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Type of Data in Customer Satisfaction?
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Satisfaction
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Type of Data in Advertising Testing
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Awareness Believiability Recall Recognition
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Advantages of Surveys
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Speed Cost Accuracy Efficiency
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Disadvantages of Survey
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Survey Error Communication Problems
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Classifying Survey Research Methods
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– By Method of Communication (Personal v Telephone) – By Degree of Structure (Unstructured Disguise) – By time Frame (Cross Sectional vs Longitudinal)
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Structured Questions
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Limit on responses (MC)
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Unstructured Question
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No limit on response
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Undisguised (Direct)
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assume respondent is willing to answer
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Disguised (Indirect)
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Assume the purpose of the study must be hidden (drugs)
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Undisguised (Direct) Unstructured
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Survey with open ended questions to discover new answers
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Cross Sectional Studies
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data collected at single point in time (only once, but could be a six month window)
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Longitudinal Studies
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Data collected at different points in time using: – Successive (different samples in a tracking or cohort study) – same sample in panel study
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Random Sampling Error
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OKAY
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Systematic Error (BIAS)
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NOT OKAY
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Respondent Error
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Sample biases that result from respondent action or inaction
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Administrative Error
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Error caused by improper admin (execution) of research tasks
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Nonresponse Error
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stat differences between the results of a survey in which the sample includes only those responses and a survey that would include those who failed to respond for various reasons (not home, refusal, self selection)
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Response bias
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deliberate falsification or unconscious misrepresentation
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Acquiescence Bias (Response BIAS)
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tendency to agree with everything interviewer says
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Extremity Bias (Response BIAS)
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tendency to use extremes in response
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Interviewer Bias (Response BIAS)
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interviews presence affect response
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Auspices Bias (Response BIAS)
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knowledge of sponsor of research affecting response
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Social Desirability bias
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acceptable answers rather than truth
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Categories of Admin Error
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Sample Selection Error: improper sample design or procedure Interviewer Error Interviewer Cheating Data Processing Error: incorrect into or bad programming
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Personal Interviews
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Door to Door Mall Intercept Interviews Pre-Arranged Meeting
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Advantages of Personal Interviews
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1) Feedback 2) probe complex questions 3) more willing respondents, time wise 4) reduction in rate of nonresponse (completing questionnaire 5) possibility of visual aide 6) High response rate
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Disadvantages of Personal Interviews
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Interviewer influence Respondents cannot be anon maybe need for several callbacks high cost
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Telephone Interviews
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most widely used commercial survey method
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Telephone Interviewing Systems
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– Central Location Interview: normally through WATS (wide area telecom service). allows supervision and control – Computer Assisted: (CATI): usually includes: phone number selection, auto dialing, sample selection, auto callback, reporting on # of completed interviews – Computerized voice activated: computer assumes all responsibility for interviewr
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Advantages of Telephone Interview
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– high speed of data collect – inexpensive compared to personal – better anon – releatively higher respondent cooperations and lower nonresponse compared to personal interview
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DisAdvantages of Telephone Interview
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– problems in getting good samples – answering machines – callbacks – respondents ability to easily hangup – inability to use visual aide – need for shorter forms of questioning – DO NOT CALL LISTS
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SELF-ADMIN Surveys
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respondent reads and fills out questions.
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Distribution of Self Admin
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– mail or postal – drop off – fax – inserts – direct – warranty
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Advantages of Self Admin
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– geographic flexibility – low cost – respondent convenience – respondent anon
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DisAdvantages of Self Admin
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– absence of interviewer (loss of control, misinterpretation, no visual aid) – standardized questions – takes long time to get data – short questionnaire low response rate – no assurance that the person the survey was meant for actually took it
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Response Rate Issues in Postal
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number of completed and returned surveys divided by number of eligible people contacted
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Increasing Response?
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Cover Letter Rewards Good questions advance notification prestige of sponsor color of paper type of postage
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Increase in response rate over control group:
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Prior tele calls (19%) $0.10 (17%) $0.25 (19% $1.00 (26%) Pen (12%) Pocket Knife (15%) Stamp (7%) Anon (in company) (20%) Anon external (10%) Follow ups (12%)
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Fax Survey
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eh. bad cause people dont really have fax anymore but quicker and cheaper than trad mail
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Electron Self Admin
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1) Email 2) Internet (Web HTML) 3) Kiosk 4) On site comp 5) Disk by Mail
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Advantages of Electron Self Admin
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1) Speed of Distribution 2) Low Cost 3) Faster response 4) greater flex 5) less paper
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DisAdvantages of Electron Self Admin
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1) Security 2) lack of anon 3) different types of computers and users 4) difficulties for email novices
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Advantages of Internet Survey
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– Speed – cost effective – visual appealing / interactive – accurate real time data – easy callback – flexible / personalized – anon
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DisAdvantages of Internet Survey
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– non widespread use of internet in general pop – difference in capabilities / computer skills – lack of security of personal info
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Protesting Survey Instruments
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– Pre-Testing: screening procedures that involves trial run with a group of responds to iron out problems – Basic Way to PreTest: >screen with other professionals >have client review final questionnaire >collect data from small pool
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Ethics
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– protect public from misrepresentation and exploitation – protect privacy – no deception – inform respondents of purpose – matain honesty / confidentiality – maintain objective

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