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Home Articles

Business Statistics and Research Method for Commerce UGC NET

by Sreevidya M
February 24, 2022
in Articles, eBooks, UGC NET
Business Statistics & Research Method for Commerce UGC NET
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Table of Contents

  • Importance of Statistics in Economics
  • Importance of Statistics in Business
  • Types of data
  • Data collection methods

Business Statistics & Research Method is the 5th unit in the syllabus of Commerce UGC NET 2022. This article will aid you in getting a brief introduction to the subject as well as in the preparation of Business Statistics & Research Method notes for commerce UGC NET 2022.

Business research addresses methodical gathering and scrutiny of information intending to find solutions to complications faced by the administration. It can be done to discover, define or identify a phenomenon. It includes creating purposes and gathering appropriate data to get the solution to a business problem and it can be done to answer a business-associated enquiry. Business research can also be utilised to resolve a business-related challenge, such as finding how to reduce the quantity of additional inventory on hand. When determining whether business research is to be done or not, the company consider factors such as the accessibility of data, time restraints and the worth of the research data to the firm. Suitable preparation and information-gathering are crucial to derive relevant results.

Click here to attempt a UGC NET 2022 paper 1 mock test

Importance of Statistics in Economics

Statistics is achieving an increasing status in the subject of economics. The science of economics is turning into statistical in its technique. Statistics and economics are so interconnected that the latest schools such as econometrics and economic statistics are being developed. The inductive method of generalization utilized in economics has its fundamental basis on statistical theory. There are various parts of economics where statistics are utilized-

(A) Consumption- By the statistics of consumption, we can discover how individuals in various sections spend their income. The law of demand and elasticity of demand in the arena of consumption is based on inductive or inferential statistics.

(B) Production- By the statistics of production supply is regulated conferring to demand. We can discover the wealth invested in various manufacturing units and their yield. The choice about what to make, how much to make, when to make is based on evidence estimated statistically.

(C) Distribution- Statistics play a significant part in the area of distribution. We estimate the national income of a state by statistical approaches and equate it with that of other nations. At all the stages we need the aid of statistics

Importance of Statistics in Business

The use of statistical approaches in the solution of business complications dates almost wholly to the 20th century. At present, no business, big or small, public or private, can flourish without the aid of statistics. Statistics offers

essential methods to an entrepreneur for the preparation of different strategies and scheduling concerning his trade. Such as-

(A) Marketing- In the area of marketing, it is essential to find out first what can be traded and then to develop an appropriate plan so that products reach the ultimate customer. Skillful scrutiny of figures on population, purchasing power, behaviors of individuals, competition, transport price etc. should come before any try to start a new market.

(B) Quality Control- To get better value in a competitive market, it is essential to examine the quality of the goods produced. Statistical methods can also be utilized to regulate the quality of the goods manufactured by a company.

(C) Banking and Insurance Companies- banks utilize statistical methods to make verdicts concerning the average quantity of money required to meet the necessities of day to day dealings. Different strategies of investment and authorization of loans are also grounded on the estimation offered by statistics.

(D) Accounts writing and Auditing- Every firm keeps accounts/books of its profits and expenses. Statistical approaches are also used in accounting. In specific, the auditing purpose requires recurrent application of statistical sample and estimation measures and the price account utilizes regression analysis.

(E) Research and Development- Numerous business firms have their research and development section which is accountable for the gathering of such information. These sections also make graphs, groups and other statistical analyses for this reason.

Click here to view lecture notes on business finance

Types of data

Data are the groundwork and elementary raw material concerning any statistical enquiry that can be counted, classified, measured or quantified.

Criteria Types
Based on Characteristics of facts ·        Quantitative Data or Numerical Data: These kinds of information can be quantified directly (age, income, production, marks et). Those facts are known as variables and they may be discrete or continuous.

·        Qualitative Data or Categorical Data: They comprise information involving facts that can’t be quantified directly but are counted or categorized based on attributes like literacy, unemployment etc.

Based on variables ·        Univariate Data: here the frequencies are determined based on one variable. E.g. the number of employees based on the wages.

·        Bivariate Data: here the figures are edited or offered based on two variables simultaneously. For this two-way frequency, the table is drawn, one variable is placed horizontally and the other vertically. e.g.to present the number of pupils in one table based on marks gained in 2 subjects

based on arrangement ·        Raw Data: It is known as ‘Raw’ because it is untreated by statistical devices

·        Arrange Data: When the data is treated and is organized, brief, classified and tabulated in the right way

Based on collection ·        Primary Data: This is information that has been collected and assembled explicitly for the project at hand

·        Secondary Data: These are info sets that have been formerly gathered for some project other than the one at hand.

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Data collection methods

  1. Surveys: The most familiar technique of producing data is by using surveys which is a research method in which info is collected from a sample/ census of persons by questionnaires/interviews.
  2. Observation method: This technique is a methodical procedure of documenting the behavioral patterns of the public, things, and incidents without communicating with them. The investigator uses the observation technique of data gathering observers and reports data as incidents happen or collect evidence from past documents.
  3. The diary method: The diary technique needs the investigator to keep a journal/record of incidents over a certain period. It can be utilized to gather either quantitative or qualitative info, depending on the type of investigation that is being done.
  4. Experimental research: This is a more complicated method that is utilized generally when the investigator desires to regulate the research condition so that cause-and-effect relationships amongst variables can be appraised.
  5. Content analysis: Content analysis is an investigation method that is utilized to describe and estimate the gist of communications like advertisements, union contracts reports, letters, or any other record of ‘unstructured’ data. This method includes counting specific key phrases, words in the record.
  6. Grounded theory: Grounded Theory is a wholly qualitative method, utilized to gather/examine info from unstructured records. It is based on the supposition that too much ‘richness’ will be missing when we attempt to convert information into frequencies. The method utilized is one in which the records are methodically examined to find out traces of themes, patterns and categories.
  7. Case study method: Many authors do not mention a difference between other approaches of qualitative research and the Case Study method. This is because the Case Study Technique generally combines the use of numerous qualitative and quantitative methods. It is a little bit more involved technique which is suggested when the investigator wants to; define topics broadly, cover circumstantial conditions and not just the phenomenon of study, depending on several and not singular sources of evidence.

Main ideas and definitions that comes under the topic of Business Statistics and Research Method for the syllabus of Commerce UGC NET 2022 paper 2.  Make sure that you have good enough understanding of the syllabus before starting your preparation. Business statistics is an important topic from which questions are asked repeatedly over years. Download the Entri app to learn more topics under the unit of business statistics and research methods and to listen to video lectures.

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Sreevidya M

Post-Graduate in English Language and Literature, freelance writer and an SSC aspirant. Provides updates on notifications, syllabuses and dates for government exams.

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