Research Methods for Business

Sampling
Definition…

Sampling is the process

of selecting a small number of elements
from a larger defined target group (Population)
of elements such that
the information gathered
from the small group will allow judgments
to be made about the larger groups.
Definition…

Sampling is the act, process, or

technique of selecting a suitable sample, or
a representative part of a population for the
purpose of determining parameters or
characteristics of the whole population.
 Purpose Of Sampling …

To draw conclusions about populations from samples,

which enables us to determine a population`s

characteristics by directly observing only a portion (or

sample) of the population. We obtain a sample rather

than a complete enumeration (a census ) of the

population for many reasons.

6 MAIN REASONS FOR SAMPLING…
.
● Economy

.
● Timeliness

.
● The large size of many populations

.
● Inaccessibility of some of the population

.
● Destructiveness of the observation

.
● Accuracy
REASONS FOR SAMPLING…
● Economy - taking a sample requires fewer resources than a census.

● Time factor -a sample may provide you with needed information quickly.
● The very large populations -many populations about which inferences
must be made are quite large

● The partly accessible populations- There are some populations

that are so difficult to get access to that only a sample can be used.

● The destructive nature of the observation-sometimes the very

act of observing the desired characteristic of a unit of the population destroys it for the
intended use.

● Accuracy and sampling- A sample may be more accurate than a

census. A sloppily conducted census can provide less reliable information than a
carefully obtained sample.
 Important terminologies...
. Population
●

. Element
●

. Sample
●

. Sampling Unit
●

. Subject
●
Population
The population refers to the entire group of people,
events or things of interest that the researcher
wishes to investigate.
If an organizational consultant is interested in studying the effects
●

of a four-day work week on the white-coller workers in a telephone

company in Ireland. Then all white-coller workers in that company will
make up the population.
If regulators wants to know how patients in nursing homes run by a
●

company in France, then all the patients in all the nursing homes run by
them will form the population. If however, the regulators are interested
only in one particular nursing home run by that company, then only the
patients in that particular nursing home will make the population.
Element
An element is the
single member of the population.

If 1000 blue-coller workers in a particular organization are working

●

and an researcher is interested to know the satisfaction level of

these workers then each member (blue-coller) of the particular

organization will be considered as element.

●Census is a count of all elements in the human population.

Sample
A sample is a subset of the population. it comprises some
members from it.

●. If 200 members are drawn/selected from a population of 1000 blue-coller workers

to

study the desire outcome, then 200 members form the sample for the study.

. If there are 145 patients in a hospital and 40 of them are to be surveyed by the
●

hospital administrator to assess there level of satisfaction with the treatment

received, then these 40 members will be called the sample.

A sample is thus a subgroup or subset of the population. By studying the sample,

the researcher should be able to draw conclusions that are generalizable to the
population of interest.
Sampling Unit

The sample unit is the element or the set of

elements that is available for selection in some
stage of the sampling process.

Example of sampling units in a multi stage sample are city

blocks, house hold, and individuals with in the households.
Subject
A subject is a single member of the sample
just as an element is a single member of the
population.

●. If 200 members from the total population of 1000 blue-coller workers

form the sample for the study. Then each blue-coller worker in the
sample is a subject.

. If there are 145 patients in a hospital and 40 of them are to be

●

surveyed by the hospital administrator to assess there level of

satisfaction with the treatment received, then each member from sample
Representative of Sampling...

● Choosing the right sample cannot be overemphasized.

● If we choose the sample in a scientific way, we can be
reasonably sure that sample statistics (Mean, Standard Deviation, (S) Variation
in the sample ) and population parameters (Mean (u), Standard Deviation, Variation

in the sample ) are close to each others.

Acknowledgments to Uma Sekaran
What is a Good Sample?

. Accurate: absence of bias

●

. Precise estimate: sampling error

●

Sampling error is any type of bias

that is attributable to mistakes
in either drawing a sample or
determining the sample size.
Sampling Process…

Define the Population

Determine the Sampling Frame

Select Sampling Technique(s)

Determine the Sample Size

Execute the Sampling Process

 Defining Population of Interest…

Population of interest is entirely dependent on

Management Problem, Research Problems,
and Research Design.

Some Bases for Defining Population:

● . Geographic Area (Pakistan, Punjab, Banking sector, Our Institute etc.)
● . Demographics (Gender, Age, Color, Height etc.)
● . Usage/Lifestyle
● . Awareness
Sampling Frame …
A list of population elements (people, companies,
houses, cities, etc.) from which units to be sampled
can be selected.
●Difficult to get an accurate list.

Sample frame error occurs when certain elements of

●

the population are accidentally omitted or not included

on the list.
Sampling Methods/Techniques

Nonprobabili
Probability
ty
Sampling
Sampling
Sampling Methods/Techniques/Types

Sampling Techniques

Nonprobability Probability
Sampling Techniques Sampling Techniques

Convenienc Judgmenta Quota Snowball

e l Samplin Samplin
Sampling Sampling g g

Simple Random Systemati Stratified Cluster Other

Sampling c Samplin Samplin Sampling
Sampling g g Techniques
Probability Sampling Designs

A probability sample is one that gives every member

of the population a known chance of being selected.

All are selected randomly.

● Simple random sampling - anyone

● Systematic sampling

● Stratified sampling - different groups (ages)

● Proportionate

● Cluster sampling - different areas (cities)

Simple Random Sampling
Simple random sampling is a method of probability

sampling in which every unit has an equal nonzero

chance of being selected

Each element in the population has a known and equal

●

probability of selection.
This implies that every element is selected independently of
●

every other element.

Systematic Sampling

Systematic Random Sampling is a method of probability

sampling in which the defined target population is ordered and the
sample is selected according to position using a skip interval.

The sample is chosen by selecting a random starting point and then

●

picking every ith element in succession from the sampling frame.

The sampling interval, i, is determined by dividing the population size N by
●

the sample size n and rounding to the nearest integer.

For example, there are 100,000 elements in the population and a sample
●

of 1,000 is desired. In this case the sampling interval, i, is 100. A random

number between 1 and 100 is selected. If, for example, this number is 23,
the sample consists of elements 23, 123, 223, 323, 423, 523, and so on.
Stratified Sampling
Stratified Random Sampling is a method of probability sampling
in which the population is divided into different subgroups and
samples are selected from each

A two-step process in which the population is partitioned into subpopulations.

●

Divide the target population into homogeneous subgroups or strata

●

Draw random samples fro each stratum

●

Combine the samples from each stratum into a single sample of the target
●

population
A major objective of stratified sampling is to increase precision without increasing
●

cost.
 Cluster Sampling
The target population is first divided into mutually exclusive and collectively
●

exhaustive subpopulations, or clusters.

Then a random sample of clusters is selected, based on a probability sampling
●

technique.
For each selected cluster, either all the elements are included in the sample
●

(one-stage) or a sample of elements is drawn probabilistically (two-stage).

Elements within a cluster should be as heterogeneous as possible, but clusters
●

themselves should be as homogeneous as possible. Ideally, each cluster should be

a small-scale representation of the population.
In probability proportionate to size sampling, the clusters are sampled with
●

probability proportional to size. In the second stage, the probability of selecting a

sampling unit in a selected cluster varies inversely with the size of the cluster.
 Nonprobability Sampling
…Nonprobability sample is an arbitrary
grouping that limits the use of some statistical
tests. It is not selected randomly.

Classifications of Nonprobability Sampling

● Convenience Sampling
● Judgment Sampling
● Quota Sampling
● Snowball Sampling
 Convenience Sampling
Convenience sampling attempts to obtain a
sample of convenient elements. Often, respondents
are selected because they happen to be in the right
place at the right time.

● Use of students, and members of social

organizations
● Mail intercept interviews without qualifying the

respondents.

● “people on the street” interviews

 Judgmental Sampling

Judgmental sampling is a form of convenience

sampling in which the population elements are selected
based on the judgment of the researcher.

● Test markets
● Engineers selected in industrial marketing research
● Expert witnesses used in court
Quota Sampling
Quota sampling may be viewed as two-stage
restricted judgmental sampling.
1.The first stage consists of developing control
categories, or quotas, of population elements.
2.In the second stage, sample elements are
selected based on convenience or judgment.

Population Sample
composition composition
Control
Characteristic Percentage Percentage Number
Sex
Male 48 48 480
Female 52 52 520
____ ____ ____
100 100 1000
Snowball Sampling

In Snowball Sampling, an initial group of

respondents is selected, usually at random.

● After being interviewed, these respondents

are asked to identify others who belong to
the target population of interest.
● Subsequent respondents are selected based
on the referrals.
Factors to Consider in Sample Design

Research objectives Degree of accuracy

Resources Time frame

Knowledge of
target population Research scope
 Determining Sample Size
How many completed questionnaires do we need to
●

have a representative sample?

Generally the larger the better, but that takes more time
●

and money.

●Answer depends on:

●How different or dispersed the population is.

● Desired level of confidence.

● Desired degree of accuracy.
 Conclusion
In conclusion, it can be said that using a sample
in research saves mainly on money and time, if a
suitable sampling strategy is used, appropriate
sample size selected and necessary precautions
taken to reduce on sampling and measurement
errors, then a sample should yield valid and
reliable information.