Induction and deduction are used together in research reasoning Induction and deduction are used together in research reasoning. Induction occurs when we observe a fact and ask, “Why is this?” In answer to this question, we advance a tentative explanation (hypothesis). The hypothesis is plausible if it explains the event or condition (fact) that prompted the question. Deduction is the process by which we test whether the hypothesis is capable of explaining the fact. You promote a product but sales don’t increase. (Fact1) You ask the question “Why didn’t sales increase?” (Induction) You infer a conclusion (hypothesis) to answer the question: The promotion was poorly executed. (Hypothesis) You use this hypothesis to conclude (deduce) that sales will not increase during a poorly executed promotion. You know from experience that ineffective promotion will not increase sales. (Deduction1) We deduce that a well-executed promotion will result in increased sales. (Deduction2) We run an effective promotion, and sales increase. (Fact2)