METHODOLOGY
The following section shall introduce the methodology of this study to the reader. Therefore, before highlighting the research question, the underlying research philosophy and research objectives are provided. Furthermore, the researchers research approach conveyed research strategies and choices, as well as data collection and analyzing techniques are stated. In addition to this, a more detailed explanation concerning research design and implementation are provided.
RESEARCH PHILOSOPHY
Researchers pointed out, that the underlying research paradigm of a researcher can be more important than the actual research method. The research paradigm, or underlying belief system, is the combination of a researcher’s fundamental beliefs which provide the basis for the research decisions on why and what shall be researched, how the study shall be conducted and which goal the interpretation is following. Therefore, the researcher will first start to address the research paradigm using the underlying research philosophy on the basis of Saunders' 'Research onion'. Saunders et al. (2009) developed a research philosophy method based on the different layers, similar to an onion, hence the research ‘onion'. According to their approach, which is used as a guiding tool, with the chapters described in the previous paragraph, starts the methodology with the illustration of the research philosophy.
Consequently, researchers found out, that the choice of research philosophy has a strong influence on a researcher’s understanding and investigation approach of particular problems. In this regards, Saunders et. al (2009) highlight the importance of the actual research question for the development of the research method and research design. The researchers also argue that the choice of merely one point of view, either interpretivism, positivism or realism, is rather unrealistic. This perception implies that a combination of different philosophies, a pragmatic approach, is not only most realistic but also quite common. Saunders et. al (2008) state that „pragmatism argues that the most important determinant of the epistemology, ontology and axiology you adopt is the research question” . Tashakkori and Teddlie (1998) present, that the pragmatic approach often uses an interactive strategy with mixed methods, both quantitive and qualitative methods by stating „study what interests you and is of value to you, study in the different ways in which you deem appropriate" .
Ontology refers to the nature of reality and is often described using objectivism and subjectivism. The researcher seeks a combination of both points of view, as the research is based on the investigator's initial subjective interpretation of observation, for which, theoretical findings shall provide a more objective support. These results shall then be tested employing a questionnaire. Hence, both objective assumptions are taken from the theory and applied to a business process, as well as subjective interpretation of business decisions are undertaken, which needs a more individual approach. Remenyi et al. (1998) stress the necessity to study “the details of the situation to understand the reality or perhaps a reality working behind them” .
Epistemology is a scientific approach to the development of knowledge and describes a researcher’s view towards the constitution of adequate knowledge. While some theories (positivism) argue, that only observable phenomena are adequate knowledge in a particular field of study, as this data is less open to bias and more objective. Other theories (interpretivism) claim the necessarily to investigate the underlying meaning and motivation of actions to the actor to apprehend their construction, as externalities within their decisions affect these. Hence, subjective meanings and social phenomena are more important than credible facts and objectivism. While realism tends to focus on a contextual explanation of facts, pragmatism bases the knowledge gaining process on the best approach to support the research question. More precisely pragmatism does not only focus on applies research, but also integrates different knowledge concepts to bolster data usage. The logical choice is explained in more detail in the next paragraph, but from an epistemological point of view is pragmatism the most suitable approach.
Axiology is concerned with the researchers view on the impact of values on the actual research. According to Heron (1996) values are directing and channelling all human actions and are therefore vital to any investigation. This research is neither value-free (positivism) nor value bound (interpretivism). Therefore, as values do have a particular role in the interpretation of the results, but are not value-laden (realism), and as both objective and subjective points of view are adopted, a pragmatic approach seems most appropriate for the researcher. Hence, the researcher can choose mixed or multiple method designs of both qualitative and quantitive nature. Furthermore, no particular sample size, structure or depth is given by default as long as the chosen method supports the research to its best ability.
RESEARCH OBJECTIVE
The following chapter highlights the research motivation and names the researcher’s personal objectives. Furthermore, the learning objective of the thesis is presented. The next chapter subsequently focuses on the presentation of the actual research question, which is followed by a detailed explanation of the research design.
The researcher’s motivation to conduct this study derives from his personal interest within the field of international market selection and his general interest in China. Both have influenced his reasoning theory and his previous observations concerning the research topic. During his studies – BA and MA in Business, language and culture (Chinese) at the University of Southern Denmark, Sønderborg – the researcher developed a profound concern about how and why different companies struggled within the Chinese business environment. More precisely why some western companies did not, or did only erroneously, adjust to Chinese "conditions" within the Chinese market, which often led to business difficulties and also a market failure. The preliminary investigation of this research reviled the observation that Western companies increasingly face more competition in Mainland China and often fail due to cultural difficulties, i.e. offering rather unattractive services or failing to approach the right consumer segment. This observation is also supported by various media articles. In this regards, the researcher considers the issue of market selection in combination with increasing economic pressure and a negligence of cultural characteristics as an important factor for further studies. Therefore, the primary reason for the research is the researcher's interest in finding necessary explanations which can be used to improve existing market selection models.
To support the investigator's initial findings and views, the learning objective of this study is to create knowledge in the form of applied research which can help to explain the researcher's observation and his conclusion. Therefore, one of the intentions of this paper is to find results in a solution to the identified problem which is believed to be a selection problem. Ideally, these results shall have practical relevance and value to managers in the organisation to be applied to real business cases and as such to improve business performance in micro market selection. Furthermore, it should enhance Chinese market and consumer knowledge by taking a different perspective and offering a more consumer orientated method for market selection.
Besides the learning objective, the researcher intends also to achieve some personal objectives. Therefore, this master thesis does not only serve the mere purpose of a thesis but shall also deepen knowledge about a vital process in business development which is a crucial step in the internationalisation process. A sound understanding of market conditions and the Chinese consumer can enhance career prospects through learning and specialising in a new field of expertise due to the fact, that the researcher might seek employment in a Western company in China. This knowledge shall improve business decisions such as the choice and placement of products and services by considering consumer preference and regional differences.