Chapter Two

Problem Definition, Literature Review,

and Hypothesis Formulation
Selection and Formulation of Research Problem

 The selection of a problem is the first and most

important step in a research process.
 It is like determination of the destination before
undertaking a journey.
 The term 'problem' means a question or an issue
to be examined.
 The selection of a problem for research is not an
easy task;
 As a student this selection of problem arises when a
student has to undertake research as a part of his
course requirement.
What is a Research Problem?
• A research problem, in general, refers to some difficulty,
which a researcher faces (experiences) in the context of
both a theoretical or practical situation and wants to obtain a
solution for the same.
Why it is important?
• It establishes the importance of the topic.
• It creates reader interest.
• It focuses the reader’s attention on how the study will add
to the literature.
Sources of research problem
 Problems that we can investigate are all around us. They may
come from:
 Reading about a topic you are interested in
 Academic Experience
 Daily Experience
 Exposure to field situations
 Consultations
 Brain storming (speaking with experts in the field you are
interested in)
 Review of literature and related previous works of others.
Considerations in Selecting a Research
Problem
 When selecting a research problem/topic there are a number
of considerations to keep in mind some of which include:
1. The problem is appealing to the researcher or (Researcher’s
interest)
2. The scope of the problem is manageable to the researcher
(Magnitude/ Researcher’s competence)
3. The researcher has the knowledge, ability, time, and
resources needed to investigate the problem (Researcher's
own resources, research ability)
Considerations in Selecting a Problem…

4. The problem can be researched through the collection and

analysis of numerical data (availability and analysis) (make
sure about indicators and measurement concepts)
5. Investigating the problem has theoretical and practical
significance (importance and urgency, feasibility)
6. Relevance- ensure that the study adds value to the existing
body of knowledge
7. It is ethical to investigate the problem (Originality, Ethical
issues)
Formulating the Research Problem

 The problem selected for research may initially be a vague

topic.
 Hence the selected problem should be defined and
formulated clearly.
 It requires intensive reading of relevant literature in order
to understand the nature of the selected problem.
 Then only can a researcher gain clear insights into the selected
problem and be able to define and formulate it.
Problem Formulation…
 Formulation is translating and transforming the selected
research problem/topic into a scientifically researchable
question.

 A research question is the hypothesis of choice that best states

the objectives of the research study in a question form.

 It is concerned with specifying exactly what the research

problem is and why it is studied.

 Hence, the problem formulation should include both the what

and the why aspects.
Problem Formulation…

 three principal components in the progressive formulation

of a research problem are:
i. The original question (what one wants to know?)
ii. The rationale (justification)
iii. The specific questions (possible answers to the original
question).
Importance of Problem Formulation

• It determines the research destiny. It indicates a way for the

researcher.
• Research problem is like the foundation of a building. The
type and design of the building is dependent upon the
foundation.
• If the foundation is well-designed and strong, one can expect
the building to be also strong
• Similarly, if a problem is well formulated, one can expect a
good study to follow.
 Importance of Problem Formulation…
• The way you formulate your research problem determines
almost every step that follows:
 the type of study design that can be used;
 the type of sampling strategy that can be employed;
 the research instrument that can be used;
 the type of data analysis that can be undertaken; and
 In general, the quality of the research report (output of
the research undertakings) is dependent on the quality
of the problem formulation.
Approaches to Problem Definition
• Problem definition process should include the following
components:
a. Objective/theoretical framework: a research should have a
theoretical framework and objective evidence.
 theoretical framework is a conceptual scheme containing:
 Set of concepts and definitions
 a set of statements that describe the situations on which
the theory can be applied
 a set of relational statements divided into: axioms and
theorems
b. Analytical model: could be referred to as a likeness of
something
 set of variables and their interrelationships
represented in logical arrangements
 Approaches…
 it enables the formulation of empirically testable propositions
regarding the nature of some relationship.
 An empirical model refers to research that uses data derived
from actual observation or experimentation.
c. Research questions: refined statements of the specific
components of the problem.
o a statement that ascertains the phenomenon to be studied.
o The research questions should be raised in an unambiguous
manner.
o should be strongly guided by the problem definition,
theoretical framework and the analytical model.
o extreme caution should be taken while formulating research
questions as they are the forerunner for developing
hypothesis.
 Approaches…
• Research questions…
 A good research question also has some specific characteristics:
 It is generally written in the form of a question.
 It is well-focused.
 It cannot be answered with a simple yes or no.
 It should have more than one plausible answer.
 It is usually best to pose only one or two questions;
 Start questions with terms like, how, who, what, why, and
when.
Approaches…

d. Hypothesis: could be termed as tentative answers to a research

problem.
• hypothesis involves conjectural statements relating to two or
more variables.
• can be deduced from theories directly, from observation
intuitively, or from a combination of these.
• “Hypothesis is a formal statement that presents the expected
relationship between an independent and dependent
variable.” (Creswell, 1994)
• may show a relationship that will take a specific direction.
• A research question is essentially a hypothesis asked in the
form of a question.
• should be clear, value-free, specific, and amenable to empirical
testing.
 Approaches…
• Types of Hypothesis
• Two types: Null hypothesis and Alternative Hypothesis
a. Null Hypothesis ( Ho)
• is a statistical hypothesis, used to determine whether the
results of an experiment are statistically significant
• Assumes equality and represents no relationship/no
difference between variables (x and y)
• The null hypothesis is often implied rather than directly
stated in research articles
• The null hypothesis may read as “There is no difference
between----”.
• Null hypothesis states of what the researcher would
expect or predict.
Types of Hypothesis
b. Alternate Hypothesis (Ha or H1)
• A definitive statement that there is a relationship/difference
between x and y.
• Two types of alternate hypothesis are:
 Non-directional: posits a difference but no specific
direction is implied (yes/no)
• There is a difference in profitability between the public owned
commercial banks and private commercial banks.
 Directional: posits a specific type of difference
(more than/less than)
 The public owned commercial banks profitability is
higher than that of private commercial banks
 Reading Assignment: (1) Significance level and (2)Type
` I and Type II errors
Characteristics of good hypothesis
• Should be declarative statement—not a question
• Reflects the theory/literature on the topic area—it is a
substantive link to previous literature and theory
• Is brief and to the point—easy to understand and evaluate
• Hypothesis should be clear and precise.
• Must be testable—can carry out the intention of the research
question
• Hypothesis should state relationship between variables, if it
happens to be a relational hypothesis.
• Proposes a specific relationship between the independent (x)
variable and the dependent (y) variable.
• Thus, hypothesis must actually explain what it claims to explain;
it should have empirical reference.
Review of Literature
 Literature review examines recent (or historically significant)
research studies, company data, or industry reports that serve
as a basis for the proposed study.

 Essential preliminary task in order to acquaint your self with

the available body of knowledge in your area of interest.
 The review describes theoretical perspectives and previous
research findings regarding the problem at hand.
 Its function is to ‘look again’ (re + view) at what others have
done in areas that are similar though not necessarily identical
to, one’s own area of investigation.
Review of Literature
• It is desirable to examine theoretical, empirical and
conceptual literatures.
• Theoretical is general description (concepts, components---) of
issues under study
• Empirical literature is that which contains studies made earlier
and so it consists of many facts and figures observed in the
earlier studies.
• The conceptual literature is one which deals with variables
considered under the study.
 Reasons for Reviewing Literature
• is a means of demonstrating an author’s knowledge about a
particular field of study, including vocabulary, theories, key variables
and phenomena, and its methods and history.
• It also informs the student of the influential researchers and research
groups in the field.
• Literature review has the following functions:
̶ gives clarity and focus to the research problem
̶ helps to understand the subject area
̶ conceptualizes your research problem
̶ explains the link between the research problem and body of
knowledge.
̶ improves the methodology
̶ identifies the gaps and broadens the researcher knowledge in
the research area.
̶ contextualizes your findings (compare with others findings).
 Conceptual and Operational Definition
of Terms
• A conceptual definition uses words and concepts to describe a
variable (as in a dictionary).
• They are important in conveying what is being investigated
but do not indicate precisely what the variable means...
• An operational definition indicates how the concept is
measured or manipulated….what operations are preformed to
measure or manipulate the variable.
• It is essential to understand operational definitions because
researchers will use different ways of measuring or
manipulating the same variable...
• A variable must be operationalized in order test a hypothesis.
Operational Definitions…
 Example:
 Socioeconomic Status: High, Middle, Low
 The attributes of “High,” “Middle,” and “Low” are
meaningless if we cannot describe the categories...
 A subject classified as “High” in one study may be “Middle”
in another study.
Examples

Variable Conceptual Operational

Self-Concept Characteristics used Scores on the

to describe oneself. Blacksmith Self-
Esteem Inventory

Intelligence Ability to think Scores on the AAU

abstractly painter
 Examples

“There is a positive relationship

Hypothesis between self-esteem and creativity”

Operationalized Hypothesis
“There is a positive relationship between the scores
on the Blacksmith Self-Esteem Scale and the scores
on the Painter Test of Creative Thinking.”
This statement indicates the researcher has
selected these operational procedures as the
most valid for the two variables…
End of Chapter