Chapter 4: Business Related Information

Question-and-answer flashcards covering data vs information, research types, and ethical considerations from Chapter 4: Business Related Information.

What is the difference between data and information?

Data are raw, unprocessed facts and figures; information is data that has been processed so that it is meaningful and useful for decision-making.

Give an example of data becoming information in the Business Studies test scenario.

Raw percentages (e.g., 30 % failures) are analysed by class, teacher, gender or events, revealing why certain learners performed poorly and guiding corrective action.

What does the transformation of data into information enable managers to do?

Apply their knowledge and wisdom to make effective, value-adding decisions.

Define primary research in a business context.

Original research conducted by or for the business through methods such as interviews, questionnaires, surveys and observations.

List three common methods used to collect primary research data.

Interviews, questionnaires/surveys, and direct observation.

Define secondary research.

The use of existing data that has already been collected by other researchers or organisations, such as government reports, trade association publications or previous in-house studies.

Name four typical sources of secondary data.

Government agencies, trade associations, market research companies, and the business’s own research department or databases.

Which type of research would you use to analyse your own company’s sales patterns over the past five years, and why?

Secondary (internal) research, because the data already exists within the company’s records.

State one advantage of using secondary research.

It is usually faster and cheaper because the data has already been collected.

Why must businesses gather information about customers’ needs and wants?

To ensure they provide products and services that satisfy current and future customer demand, thereby adding value and securing loyalty.

How can information about competitors help a business gain customer loyalty?

By revealing who competitors are and what strategies they use, enabling the business to differentiate its offerings and win market share.

Why is ethical permission often required in research involving people?

To respect participants’ rights and ensure they consent to their personal information being collected and used.

Give an example of a situation where permission is NOT needed to collect data.

Counting how many cars pass a shopping centre, because the data does not identify or affect individual drivers.

Why must researchers protect sources when data could cause harm?

To prevent physical, emotional or financial harm to participants and to obtain truthful data.

What is researcher objectivity and why is it important?

Keeping personal opinions out of data collection and analysis; it ensures accurate and valid research results.

What ethical issue is involved in ‘adjusting’ research findings to fit what the sponsor wants to hear?

Misreporting or falsification, which compromises the accuracy and integrity of the research.

Define plagiarism in the context of research.

Presenting someone else’s work, words or ideas as your own, including copying without acknowledgment or using copyrighted material without permission.

What does POPI stand for and why is it relevant to business research?

Protection of Personal Information Act; it governs how businesses collect, store and use individuals’ personal data to ensure privacy and ethical handling.