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Application of Inductive Approach (Inductive Reasoning) in Business Research

The document discusses inductive reasoning, also known as the inductive approach. The inductive approach starts with observations and uses patterns identified in the observations to propose theories by the end of the research process. No theories are predetermined at the beginning of inductive research. The inductive approach builds meaning and relationships from data to identify patterns and inform theory development, though existing theories can guide research questions. Inductive reasoning involves learning from experiences by observing patterns and regularities to reach conclusions or generate new theories.

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84 views2 pages

Application of Inductive Approach (Inductive Reasoning) in Business Research

The document discusses inductive reasoning, also known as the inductive approach. The inductive approach starts with observations and uses patterns identified in the observations to propose theories by the end of the research process. No theories are predetermined at the beginning of inductive research. The inductive approach builds meaning and relationships from data to identify patterns and inform theory development, though existing theories can guide research questions. Inductive reasoning involves learning from experiences by observing patterns and regularities to reach conclusions or generate new theories.

Uploaded by

amir sohail
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as PDF, TXT or read online on Scribd
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Inductive Approach (Inductive

Reasoning)
Inductive approach, also known in inductive reasoning, starts with the observations and theories
are proposed towards the end of the research process as a result of observations[1]. Inductive
research “involves the search for pattern from observation and the development of explanations
– theories – for those patterns through series of hypotheses”[2]. No theories or hypotheses would
apply in inductive studies at the beginning of the research and the researcher is free in terms of
altering the direction for the study after the research process had commenced.

It is important to stress that inductive approach does not imply disregarding theories when
formulating research questions and objectives. This approach aims to generate meanings from
the data set collected in order to identify patterns and relationships to build a theory; however,
inductive approach does not prevent the researcher from using existing theory to formulate the
research question to be explored.[3] Inductive reasoning is based on learning from experience.
Patterns, resemblances and regularities in experience (premises) are observed in order to reach
conclusions (or to generate theory).

Application of Inductive Approach (Inductive


Reasoning) in Business Research
Inductive reasoning begins with detailed observations of the world, which moves towards more
abstract generalisations and ideas[4]. When following an inductive approach, beginning with a
topic, a researcher tends to develop empirical generalisations and identify preliminary
relationships as he progresses through his research. No hypotheses can be found at the initial
stages of the research and the researcher is not sure about the type and nature of the research
findings until the study is completed.

As it is illustrated in figure below, “inductive reasoning is often referred to as a “bottom-up”


approach to knowing, in which the researcher uses observations to build an abstraction or to
describe a picture of the phenomenon that is being studied”[5]

Inductive reasoning works the other way, moving from specific observations to
broader generalizations and theories. Informally, we sometimes call this a
“bottom up” approach (please note that it’s “bottom up” and not “bottoms up”
which is the kind of thing the bartender says to customers when he’s trying to
close for the night!). In inductive reasoning, we begin with specific observations
and measures, begin to detect patterns and regularities, formulate some
tentative hypotheses that we can explore, and finally end up developing some
general conclusions or theories.
Deductive Reasoning
Deductive reasoning works from the more general to the more specific.
Sometimes this is informally called a “top-down” approach. We might begin with
thinking up a theory about our topic of interest. We then narrow that down into
more specific hypotheses that we can test. We narrow down even further when
we collect observations to address the hypotheses. This ultimately leads us to be
able to test the hypotheses with specific data – a confirmation (or not) of our
original theories.

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