1. Chapter 9 Experiments McGraw-Hill/Irwin Copyright © 2011 by The McGraw-Hill Companies, Inc. All Rights Reserved.

2. 9-2 Learning Objectives Understand... Uses for experimentation. Advantages and disadvantages of the experimental method. Seven steps of a well-planned experiment. Internal and external validity with experimental research designs. Three types of experimental designs and the variations of each.

3. 9-3 Experiments Challenge Perceptions “ There is no such thing as a failed experiment, only experiments with unexpected outcomes.” Richard Buckminster Fuller, engineer and architect

4. 9-4 PulsePoint: Research Revelation 45 The percent of smartphone users who check their e-mail before they get dressed.

5. 9-5 Causal Evidence Agreement between IVs and DVs Time order of occurrence Extraneous variables did not influence DVs

6. 9-6 Causal Evidence?

7. 9-7 Evaluation of Experiments Advantages Ability to manipulate IV Use of control group Control of extraneous variables Replication possible Field experiments possible Disadvantages Artificiality of labs Non-representative sample Expense Focus on present and immediate future Ethical limitations

8. 9-8 Experimentation in the Research Process

9. 9-9 Conducting an Experiment Specify treatment levels Control environment Choose experimental design Select and assign participants Pilot-test, revise, and test Collect data Analyze data Specify treatment variables

10. 9-10 Experiment: Placement of Benefits Module

11. 9-11 Selecting and Assigning Participants Random assignment Matching

12. 9-12 Random Assignment

13. 9-13 Quota Matrix Example

14. 9-14 Measurement Options Scaling techniques Physiological measures Physiological measures Options Paper-and- pencil tests Observation Self- administered instruments

15. 9-15 Validity in Experimentation ExternalInternal

16. 9-16 Threats to Internal Validity Threats MaturationHistoryTesting Instrumentation Selection Statistical regression Experimental mortality

17. 9-17 Additional Threats to Internal Validity Diffusion of treatment Compensatory equalization Compensatory rivalry Resentful disadvantaged Local history

18. 9-18 Threats to External Validity Reactivity of testing on X Interaction of selection and X Other reactive factors

19. 9-19 Experiments Challenge Perceptions “We need to keep an open mind and approach life as a series of experiments. We need to observe the experiments happening around us and create new ones. Instead of accepting the world as we think it is, we need to keep testing it to find out what it is and what works.” Jerry Wind Wharton School of Business, University of Pennsylvania

20. 9-20 Experimental Research Designs Pre-experiments True experiments Field experiments

21. 9-21 After-Only Case Study X O Pre-experiment

22. 9-22 One Group Pretest-Posttest O 1 X O 2 Pre-experiment

23. 9-23 Static Group Comparison X O 1 O 2 Pre-experiment

24. 9-24 Pretest-Posttest Control Group Design RO1XO2RO3O4RO1XO2RO3O4 True experiment

25. 9-25 Posttest-Only with Control Group True experiment RXO1RO2RXO1RO2

26. 9-26 Nonequivalent Control Group Design O1XO2O3O4O1XO2O3O4 Field experiment

27. 9-27 Separate Sample Pretest-Posttest RO 1 (X) R XO 2 Field experiment

28. 9-28 Group Time Series Design R O 1 O 2 O 3 X O 4 O 5 O 6 R O 7 O 8 O 9 O 10 O 11 O 12 Field experiment

29. 9-29 Job Enrichment Quasi-Experiment

30. 9-30 Experiment: Refining Store Design

31. 9-31 Experiment: The Right Size of Flavor

32. 9-32 Key Terms Blind Control group Controlled test market Dependent variable Double-blind Environmental control Experiment Experimental treatment External validity Field experiment Hypothesis Independent variable Internal validity

33. 9-33 Key Terms Matching Operationalized Quota matrix Random assignment Replication Test market –Electronic test market –Simulated test market –Standard test market –Virtual test market Treatment levels Web-enabled test market

34. Appendix 9b Test Markets 9-34

35. 9-35 Test Market Selection Isolation Control of distribution Control of distribution Criteria Representative Over-testing Media coverage Multiple locations

36. 9-36 Types of Test Markets Standard Controlled Electronic Simulated Virtual Web-enabled

37. 9-37 Test Market Cities