RESEARCH

METHODOLOGY
(Business Research Methods)

MBA III (Research Methodology) Course Instructor: Dr. Aurangzeb Z. Khan 1

 Secondary Data

Secondary (or historical) data is data which has

been acquired through a research or any other
effort in the past and for another purpose

Depending on the secondary data needed, there

may be numerous sources for acquiring this
secondary data

MBA III (Research Methodology) Course Instructor: Dr. Aurangzeb Z. Khan 2

 Advantages of Secondary Data

• Pool of already existing data

• Cost-effective vis-à-vis primary data
• Quick availability
• No need for designing and undertaking a
research study
• Collecting primary data may not be
feasible (privacy issues)
• Many different sources are available
MBA III (Research Methodology) Course Instructor: Dr. Aurangzeb Z. Khan 3
 Disadvantages of Secondary Data

• Relevance for researcher

• Does data apply to target population?
• Time-frame consistent with researchers
requirement? (outdatedness)
• Variation in terms of definition of terms
• Different units of measurement (data
conversion)
• Verification of data’s accuracy (inherent biases
due to vested interests)
• Reputation of the data-collecting organization
and research design used may not be good

MBA III (Research Methodology) Course Instructor: Dr. Aurangzeb Z. Khan 4

 Evaluating Secondary Data

Do the data help answer questions No!

set out in the problem definition?
Yes
Applicability to Current Project

Do the data apply to the time No! Can data

period of interest? be re-
worked?
Yes
Do the data apply to the population No!
of interest? If yes,
Yes continue
Do other terms and variable No!
classifications presented apply
to the project?
Yes
No! (Next
Are the units of measurement compatible?
Slide!)
MBA III (Research Methodology) Course Instructor: Dr. Aurangzeb Z. Khan 5
 Evaluating Secondary Data

Are the units of measurement compatible?

Yes

If possible, go to the original data source

Yes

Is the cost of data acquisition worth it? No!

Yes

Is there a possibility of bias? Yes!

Is using
data worth
No
No!
the risk? No Can accuracy of data collection be verified?
Inaccurate
Yes Yes (accurate) or unsure)
No
Use Data
MBA III (Research Methodology) Course Instructor: Dr. Aurangzeb Z. Khan 6
 Fact Finding

Fact finding is about collecting secondary (or descriptive) data

with a view to obtaining insights which can assist in decision-
making

Some examples:

(1) Macroeconomic Data of Pakistan

(2) Global Oil price trends
(3) FDI in China over the period 2000-2005
(4) Indo-Pakistan trade statistics
(5) Salary structure across ten selected industries

MBA III (Research Methodology) Course Instructor: Dr. Aurangzeb Z. Khan 7

 Model Building

 Model building is about specifying relationships

between two or more variables

 Models can range from very simple ones,

involving only two interrelated variables to
complex ones involving several interrelated
variables (multivariate statistical forecasting
models)

MBA III (Research Methodology) Course Instructor: Dr. Aurangzeb Z. Khan 8

 Classification of Secondary Data: Internal Sources

 Internal Sources (data already existing within an

organization, for example, data collected and
stored by various departments such as
accounting and finance, marketing)

 Sometimes one unit in an organization is

unaware that other units may be maintaining
data which may be relevant for it and undertakes
unnecessary and costly data collection

MBA III (Research Methodology) Course Instructor: Dr. Aurangzeb Z. Khan 9

 Classification of Secondary Data: External Sources

 External Sources (data generated or provided by

individuals and entities other than the researcher or
his/her organization)

 There are many types of external sources of secondary

data:

 Books and Professional Journals

 Federal Government sources
 Regional / Provincial Publications
 Electronic and Print Media Sources
 Commercial Sources
 Internet, CDs

MBA III (Research Methodology) Course Instructor: Dr. Aurangzeb Z. Khan 10

 Secondary Data in the International Context

 As economies and business becomes

increasingly global in outlook, so does the need
for secondary data from other regions and
countries

 Potential Problems:

 Unavailability of data in some countries

 Accuracy of data may be questionable
 Definitions and measurements of data may vary
 Comparability of data may be difficult

MBA III (Research Methodology) Course Instructor: Dr. Aurangzeb Z. Khan 11

 On-Line Sources of Secondary (Business) Data in Pakistan:
Selected Examples

 Business Recorder www.brecorder.com

 Forex Pakistan www.forexpk.com
 Karachi Stock Exchange www.kse.com.pk
 The Economist www.economist.com/countries/pakistan
 State Bank of Pakistan www.sbp.org.pk
 National Bank of Pakistan www.nbp.com.pk
 Federal Ministry of Finance www.finance.gov.pk
 Pakistan Federal Government www.pakistan.gov.pk

MBA III (Research Methodology) Course Instructor: Dr. Aurangzeb Z. Khan 12