11/12/2017 BUSINESS RESEARCH

METHODOLOGY

SUBMITTED BY
GROUP 9 SECTION A
AKSHAY DK
ARNAB MANDAL
GAURAV NANDU
RAHUL AGARWAL
SHUBHAM BHATIA
RESEARCH METHODOLOGY
Our research design talks about how corporate human rights and product controversy affects
financial performance of a company. For that we have taken data collected from Thomson
Reuters-Eikon. Here we have segregated data into some sectors which are as follows:
1. Banks: 209 which accounts for 8.21%(out of 2545 companies)
2. Industries: 334 which accounts for 13.2%
3. Construction and materials: 74 which accounts for 2.91%
4. Electronic and Electrical Equipment: 66 which accounts for 2.59%
5. Software and computer services: 86 which accounts for 3.38%
Convenient sampling has been used for hypothesis testing

Hypothesis 1 independent variables

1.Consumer Controversy: Is the company under the spotlight of the media because of a
controversy linked to its products or services quality and responsibility
2.Bribery & Corruption: Does the company describe in the code of conduct that it strives to
avoid bribery and corruption at all its operations?
3.Business Ethics controversy: If company’s business code of ethics controversy occur or not?
4.Insider Dealings Controversy: If company under spotlight is having trouble with insider
dealing controversy or not?
5.Responsible Marketing Controversy: Is the company under the spotlight of the media
because of a controversy linked to the company's marketing practices, such as over marketing
of unhealthy food to vulnerable consumers?
The financial indicator has been used is ROI (Return on investment) (Net income/total
investment)

Hypothesis 2 independent variables

1.Product Recall: Has the company announced a mass recall of products or has completely
withdrawn a product due to defects or safety reasons?
2.Product Accessibility: Number of controversies linked to the elements driving product quality
and responsibility published since the last fiscal year company update
3.Intellectual Property: Number of controversies linked to the elements driving intellectual
product published since the last fiscal year company update.
4. R&D : Number of controversies published in the media linked to responsible R&D
The dependent variable or financial indicator is used as ROI.
Moderate Variable: Sector

Data Analysis:
SPSS is a software which we are going to use for finding relationship between the non-financial
independent variables and dependent financial variables. We have got 2545 companies data
from Thomson Reuters Eikon. We are interested in determining correlation between the above
mentioned independent variables and dependent variable applying multiple regression to
develop a model to form a concrete and befitting relationship between them.
Now Independent variables can be continuous or discrete, depending on that we have to
conduct parametric or non-parametric test