Effectiveness of Celebrity Endorsements for Non-Profit Organization

ASSIGNMENT COVER SHEET Every piece of pen track down you submit for assessment must bedevil this c everyplace tacking attached. Please type in your details so copy and glue to the front of your assignment and save the file ready to upload. COURSE expound Course Code RBUS2900 Course Co-ordinator Dr. Ravi Pappu Course Name seam check over modes designation No 2B fitting delinquent(p) Date 28/05/2012 school- get on with child CONTACT DETAILS Student Number pack Jun Qiang pathetic Ng Han Siong Derrick Bram Wijaya Peng Yang Cheng Student Name 42683346 42485184 42734480 42602600 Email Address Low. emailprotected com Derrick. emailprotected com emailprotected com emailprotected com Work submitted may be subjected to a piracy detection regale. If this process is used, then copies of this work would be retained and used as source material for swaying future plagiarism checks. Due Date 28/05/2012 Submitted date 27/05/2012 RBUS2900 trading question orders appointment 2 B tutorial get across Cover sheet Student ID 42683346 42485184 42734480 42602600 Low Ng Wijaya Cheng James Jun Qiang Han Siong Bram Peng Yang WEDNESDAY, 12pm 1pm T27 subsidization 2B TOM MAGORSurname Given name give instructionial date & time Tutorial convention (e. g. T24 G1) engagement Number Tutors name Time Tutor T6 marry 12-1 Teegan T10 Wed 10-11 Teegan T14 Wed 1-2 Kim Tutorial T15 T16 Wed Wed 8-9 9-10 tomcat Teegan Tutorial T24 T25 Thu Thu 11-12 3-4 gunk scoop shovel T18 Wed 4-5 Kim T19 Wed 5-6 Kim T20 Tue 2-3 Kim Time Tutor T21 Tue 8-9 Rahil T22 Tue 9-10 Rahil T23 Tue 2-3 Rahil T26 Tue 12-1 Tom T27 Wed 12-1 Tom T28 Mon 10-11 Max RBUS2900 credit line interrogation order grant 2 start B RBUS2900 BUSINESS query METHODS Effectiveness of honor EndorsementsFor Non-Pro burst Organization James Jun Qiang Low Ng Han Siong Derrick Bram Wijaya Peng Yang Cheng 5/28/2012 This is a explore aim on how distinguish open fame link up factors go donor/ offer up intelli gences of the non-profit organization demonst ordinated. RBUS2900 cable interrogation system identification 2 exposit B EXECUTIVE SUMMARY This proposal is written to address the concerns of PeTA in investigating the consummation that eminence indorsers sacrifice on the organic law that they endorse. In particular, three aspects of the renown leave al i be examined.Firstly, due(p) to the high egress of advertisement used by PeTA that feature near nude celebrities, this composing bequeath dissect how does the physical magnet of a renown influence a consumers erudition of the composition. Secondly, as m all of these celebrities be underwriten to endorse quadruplicate brands, it would be beneficial for PeTA to study how does over moment influence the learning consumers sport of PeTA. Lastly, it is proposed that should consumers perceive that celebrities be creation salaried for their work endorsing PeTA, it would lead to a ban effect on the science of th e organisation.It is a analogous proposed that age, grammatical gender and education level entrust from each one have a talk over effect on the relationship that exist in the midst of each varying and the wisdom of PeTA. Based on the research objective, it is proposed that the most equal research manner is a pretest-posttest take for assembly audition whereby negative training ab bulge a renowns over bit and income from the blurb give be controlled and provided and the effects of this in jumpation pull up stakes be analysed. This method was elect as it allows for an isolation of the subjects into specifically nonwithstanding experiencing the breeding-based conditions.A control group allows for a to a greater extent accurate detection of changes. Respondents ordain be selected via simple ergodic sampling from a telephone leger used as a sampling frame. The moments of the audition depart then be tested using SPSS. Specifically, descriptive statistics, fac tor psycho abbreviation, opposite samples t-test and multiple reversion synopsis bequeath be utilised to produce the results. Due to the need to establish cause-and-effect in the investigate, it is proposed that multiple simple regression analysis would be most suited.This technique, coupled with theory, leave behind be able to provide PeTA with a good picture of whether recognition of a reputation contributor bequeath have an impact on the comprehension of the organisation. RBUS2900 handicraft search rule Assignment 2 piece of music B plank of Contents 1. intro .. 1 1. 1 1. 2 2. 1 2. 2 2. 3 2. 4 2. 5 3. 1 3. 2 3. 3 3. 4 Problem disceptation and Research Objectives immensity . 2 Perception of the organisation (Dependent multivariate quantity).. 3 attractive force (Independent variable 1) 3 Over-endorsement by renown (Independent variable 2) . 4 sensed celebrity income from endorsement (Independent variable 3) Mode range variables .. 6 Research picture. 7 Research method . 7 sample dispersion design study collection 9 m ad-libity 9 entropy collection method .. 10 traffic pattern 1 Relationship Model Diagram 2. HYPOTHESES discipline .. 3 3. RESEARCH METHODOLOGY 7 3. 4. 1 3. 4. 2 realise 2 Pretest-Posttest Group Experiment Method . 10 Figure 3 Survey Total wrongful make do diagram .. 2 Table 1 Survey hallucinations encountered 13 3. 5 Mea for surement (Please refer to supplement 2 for survey questions) . 13 Perception of organisation (Dependent variable). 13 attraction (Independent variable) . 14 Over-endorsement of celebrity (Independent variable) 4 Perception of income from endorsement (Independent variable) . 14 3. 5. 1 3. 5. 2 3. 5. 3 3. 5. 4 4. 1 4. DATA ANALYSIS.. 15 functioning.. 15 descriptive statistics. 5 element analysis. 15 paired sample T-test . 16 Multiple regression analysis . 16 Factor analysis. 7 diametric samples t-test .. 17 4. 1. 1 4. 1. 2 4. 1. 3 4. 1. 4 4. 2 4. 2. 1 4. 2. 2 transport results . 17 RBUS2900 Business Research Method Assignment 2 offend B Figure 4 type paired t-test results 18 4. 3. 3 4. 3. Multiple regression analysis . 18 intelligence of outcomes . 18 References . 20 APPENDIX .. 3 Appendix 1 .. 23 Table 1a Table 1b Table 1c Table 1d Appendix 2 Appendix 3 Conceptual definitions . 23 Hypotheses .. 4 List of measures .. 25 Data analysis techniques 26 Measurement dick (Survey) 27 Schedule .. 1 RBUS2900 Business Research Method Assignment 2 Part B 1. INTRODUCTION 1. 1 Problem bidding and Research Objectives stack for the Ethical Treatment of Animals (PeTA) is the largest animals rights organisation in the turn outing with more than three million members and supporters. It uses a variety of avenues to bring out front its campaign and one of them is through the use of celebrity endorsements. (PeTA, 2012) As a result, at that place is a need to analyse the long suit of celebrity endorsement in furthering the agenda of PeTA.In particular, due to the vast divergencys in types of celebrities as well as industries that the celebrities ar based in, consumers may have a different recognition of these celebrities as well as the organisation that is organism endorsed. As such(prenominal), a negative sensing of a celebrity and his/her industry may result in transference of negative perception to the organisation universe endorsed. (White, Goddard & Wilbur, 2009) This is especially applicable to PeTA who endorses celebrities that come from many different industries and each celebrity varies in terms of fond standing as well as reputation.As such, an investigation into the effects of celebrity perception resulting in negative information transference to the endorsed organisation will be most qualified to be undertaken for research by PeTA. Based on the problem stated above, there is a need to investigate the various aspects of a celebrity and its effect on PeTA as the endorsed organisation. Three autonomous factors ha ve been established that form the perception of a celebrity and the dependent variable of the endorsed organisation. (Please refer to rule 1) RBUS2900 Business Research Method Assignment 2 Part B 1 Figure 1 Relationship Model Diagram 1. Importance The importance of this research study is to ensure a suitable fit between the celebrity and PeTA. This fit is positiond by the perception of the celebrity and its effect on the perception of the organisation. By ensuring a good fit, PeTA will be able to focus more specifically on a target market that speciality have been otherwise unreachable due to the unsuitable fit between celebrity and PeTA. This is with the pretext that there is a overconfident correlation between perception of celebrity contributor and perception of organisation. RBUS2900 Business Research Method Assignment 2 Part B 2 . HYPOTHESES DEVELOPMENT 2. 1 Perception of the organisation (Dependent variable) Perception of the organisation is the dependent variable in th e case of this study as it seeks to rarify whether the below-mentioned nonparasitic variables will have an impact on the consumers perception of the organisation afterwards they have been subjected to the exposure of the independent variables. A homogeneous test conducted by Trimble and Rifon (2006), stated that the attitudes of the audiences toward a non-profit organisation increased when it was endorsed by a celebrity with a positive image.The variables mentioned below argon exchangeable in context with what Trimble and Rifon have done but analyses different variables and will provide a different conclusion. 2. 2 drawing card (Independent variable 1) attraction of a celebrity has always been a factor of consideration when selecting an endorser for a growth. This is particularly the case when evaluating the celebrity endorsers that have been chosen by PeTA whereby physically attractive celebrities argon chosen as endorsers. It is seen that physical attractive force is ab le to facilitate attitude change (Baker & Churchill 1977 Caballero & Pride 1984 Chaiken 1986 Horai et al. 974 Joseph 1982 Kulka & Kessler 1978 move & Aronson 1965 Mills & Harvey 1972) However, non all research has demonstrated that it increases attitude change in that it causes the consumer to develop a positive perception of the product/organisation creation endorsed. The bug Attractiveness Model, derived by McGuire (1985) in a study, purports that similarity, familiarity and equalability of a celebrity endorser will pin down their effectiveness in endorsing a product. This suggest contrary to the list of articles stated that the RBUS2900 Business Research Method Assignment 2 Part B 3 ttractiveness in the sense of likeability of a celebrity endorser freighter indeed increase the positive perception of the product/organisation that is endorsed. Hence, by studying the physical attractiveness of a celebrity endorser, especially in the light of how PeTA strongly uses physical attractiveness as an important consideration in selecting endorsers, it would be most suitable to study how the pronounced perception of physical attractiveness of a celebrity will indeed affect the perception of PeTA.The hypothesis derived from this variable is as such H1 The comprehend physical attractiveness of an endorser will result in an increased positive perception of the endorsed organisation 2. 3 Over-endorsement by celebrity (Independent variable 2) Mowen and Brown (1981) in their analysis of the effectiveness of celebrity endorsers have suggested that a natural occurrence from the vast routine of products endorsed by celebrities is that some celebrities tend to endorse a number of products.While ideally, it is stated that endorsers should not be tarnished by their associations with other products (Foote, Cone & Belding 1978), having a virgin endorser would generally be highly expensive and such would not be practical. Hence, the issue of multiple endorsements by a cel ebrity is especially apt in this case because PeTA is seen to have endorsed many celebrities that might endorsed products that be contrary to the nature of PeTA, which is to protect animals. This may cause a disparity in the perception consumers will now have over the endorsement of such celebrity of PeTA.Kaikati (1987) and Mowen and Brown (1981) have further substantiated that a celebrity endorser may be perceived to be less credible should the celebrity tell apart to endorse more brands and products. RBUS2900 Business Research Method Assignment 2 Part B 4 Hence, it is brought forth in the following(a) hypothesis H2 In situations whereby celebrities ar seen to endorse multiple products that might be antonymous to the nature of the organisation, there will be a reduce in positive perception of the endorsed organisation. 2. 4 Perceived celebrity income from endorsement (Independent variable 3)When endorsing a product, celebrities atomic number 18 often stipendiary for their services. This is very much accepted as a service rendered, is pass judgment to be compensable for. However, the issue in studying this is especially pertinent as by being paid, it is questionable whether that celebrity is truly endorsing the product out of true belief in the product or solely for the monetary arrive at involved. In the case of PeTA and its endorsed celebrities, it would be especially distract as bulwark of animals is more often a lifestyle and not just the habitude of a particular product.The celebrity endorsing the product is judge to believe in the protection of animals and not just for the monetary benefit involved. However, does this perception of being paid for the endorsement result in a related lessen of positive perception for the organisation endorsed? Correspondence Bias (Gilbert & Jones, 1986) refers to the observers exaggerated use of dispositional attributions, assumptions that the actor does what he does due to his interior(a) dispositions. Kardes (1993) has related this to endorsement advertisements whereby consumers disregard the situational constraints such as the money being paid to the celebrity, due to equilibrium preconceived opinion and thus contributes to the effectiveness of endorsement advertisements. Cronley et al. (1999) rig support for the above-mentioned theory in that participants of an experiment actually take for granted that the endorser actually liked the product regardless of whether the endorser was paid or not.This was correlated to the participants attitudes toward the advertisement, the product and the endorser. RBUS2900 Business Research Method Assignment 2 Part B 5 However, a study conduct by Sorum, Grape and Silvera (2003), had opposite results to Cronleys 1999 experiment. thither was no correspondence bias found in the study. As such, it would be most appropriate the study the supposed effects of correspondence bias on the consumers who see the PeTA advertisements and whether there is a disregard of situational constraints much like in the experiment conducted by Cronley et al. 1999) The hypothesis put forth is thus H3 The more a celebrity is perceived to be paid for the endorsement, the more negative the perception of the organisation. 2. 5 Moderating variables This study will utilise three moderating variables in the study of the effects of perception of the celebrity endorser in relation to the perception of the endorsed organisation. It is proposed that as age decreases, the effects of each independent variable on the dependent variable will decrease as well due to the decreased perception of the consumer of the variability of the independent variables.The Selectivity guess (Putrevu, 2001) has suggested that gender differences in information touch emerge because men are more likely to be driven by overall mental object themes and women are more likely to engage in detailed shade of messages. Hence as a moderating variable, it can be seen that gender is exp ected to have a moderating effect on the independent variables. Lastly, a study by Daneshvary and Schwer (2000) has concluded that education level is seen to have an impact on perception of endorsement.Lower levels of education are more waxy to association endorsements than item-by-items with a college education. Education provides individuals with analytical skills to decipher information and work up an RBUS2900 Business Research Method Assignment 2 Part B 6 informed purchase rather than just relying on one source of information. As such, it can be said that education will have a moderating effect on the independent variables. 3. RESEARCH METHODOLOGY 3. 1 Research design The research design chosen for this study will be causal in nature as it seeks to understand the cause-and-effect relationships that exist.In particular, it will seek to rationalize the segmentation in the perception of the organisation, by analysing the independent variables involved and looking to infer theo ries and selective information analysis results to draw a conclusive cause of the variance in the perception of the organisation. As elaborated by Zikmund et al, sooner causal studies are undertaken, researchers typically have a good understanding of the phenomena being studied. (2010) Hence a causal design is selected due to the vast knowledge already in existence in terms of the literature on perception of an organisation as well as the perception of a celebrity endorser.However, microscopic has been done to show any appropriate causation between the 2 variables especially one that is particular to the nature of a non-profit organisation. 3. 2 Research method Due to the nature of the research design, an experimental design of a pretest-posttest control group design will be used to explain the cause-and-effect relationship that is proposed between the independent and dependent variable. The subjects in the experimental group are tested before and after being exposed to the trea tment. The control group will also be tested at both(prenominal) times but would not be subjected to the treatment.In using this design, Dimitrov and Rumrill jr. have suggested three considerations in terms of hardness of the design. The jump two are pertinent to internal validation, which is the degree to RBUS2900 Business Research Method Assignment 2 Part B 7 which the experimental treatment makes a difference in the specific experimental settings and the thirdly one is in consideration of external validity which is the degree to which the treatment effect can be generalised across populations, settings, treatment variables and measurement instruments. (2003, p. 59) Maturation, an internal validity issue, occurs when biological and psychological characteristics of research participants change during the experiment, thus affecting their posttest scores. History, also an internal validity issue, occurs when participants experience an event that will affect their post-test score s. Whereas the interaction of pretesting and treatment, an external validity issue, happens when the pretest sensitises participants so that they respond differently to the treatment as they might have without the pretest. (Dimitrov & Rumrill Jr. , p. 60) Maturation and History will not be an issue for the conduct of our experiment as the time drop dead between the pretest and posttest phase is negligible and thus should not allow for any changes in Maturation and History. To prevent the participants from becoming sensitised and perform the experiment differently from what they would have without the pretest, we are utilising a fictional situation in order to control the knowledge of the participants on the subject. Please refer to the Data Collection portion to gain a better understanding. 3. 3 Sampling designBased on the purpose of this research, the decisions resulting from this experiment will have many strategic managerial implications. As such, the target population would be defined as the entire population in the world of people who are of suitable age to donate to a non-profit organisation. As seen from the PeTA website (n. d. ), one of the means of donating would be through credit card deductions. As such, a suitable age group would be the nominal age RBUS2900 Business Research Method Assignment 2 Part B 8 group for owning a credit card, which is 18 eld old.Hence the population would range from individuals of 18 years and above. Hence, the population in Australia will be subjected to a simple random sampling method to form the sample population. Chosen participants are expected to be of a variety with differing age groups, gender and income level. As such, a sampling frame of the national telephone numbers in Australia will be used. Factors to consider when determining sample size are the bureau interval compulsory to predict the result and the amount of hackneyed error permissible to estimate the population parameter.Hence, based on the formu la provided by Zikmund et al. (2010, p. 435), with a confidence interval of 95 percent, range of error of 0. 5 and an estimated population standard deviation of 4. 0, we will have a minimum sample size of 246. 3. 4 Data collection 3. 4. 1 Ethics Before proceeding on with data collection, the group will have to keep in mind the ethical issues involved. As researchers, the group will have to be responsible to the people who are involved in this research. Our group will adhere to these select principles such as a.Objectivity get through to avoid bias in experimental design, data analysis, data interpretation, helpmate review, personnel decisions, grant writing, expert testimony, and other aspects of research where objectivity is expected or required. Avoid or minimize bias or self-deception. scupper personal or financial interests that may affect research. b. Honesty RBUS2900 Business Research Method Assignment 2 Part B 9 Strive for honesty in all scientific communications. Honestly report data, results, methods and procedures, and publication status. Do not fabricate, falsify, or misrepresent data.Do not shit colleagues, granting agencies, or the public. c. Legality Know and obey relevant laws and institutional and political policies. d. Privacy Protect confidential communications, such as papers or grants submitted for publication, personnel records, trade or military secrets, and patient records. e. Nonmaleficence (principle of doing no harm) When conducting research on human subjects, minimize harms and risks and maximize benefits respect human dignity, privacy, and liberty take special precautions with vulnerable populations and strive to distribute the benefits and burdens of research fairly.These are some of the principles that researchers should adhere to (Peter Steane, 2004 Shamoo A & Resnik D, 2009) 3. 4. 2 Data collection method Jack R. Fraenkel, Figure 2 Pretest-Posttest Group Experiment Method 1993 In this design, the dependant variable will b e metric before and after the treatment level is presented. This allows the researcher to compute the means for pretest and posttest and measure the difference (Millsap, 2009). A scenario-based study was chosen because this RBUS2900 Business Research Method Assignment 2 Part B 10 ethod allows for easier operationalising of the manipulations, providing more control over the variables (Dong, Evans & Zou 2008). We have identified that we will be using communication as the mean of obtaining primary data, specifically conducting a survey. We have chosen to conduct a survey due to the following criteria (Zikmund et al. , 2010) ? ? ? Questions asked for the tested variables are internal to the respondents. Survey provides the top hat versatility as the research contains different type of data.As this is a low budget research project, survey is the most efficient and frugal data collection method. a. Pretest Written scenarios will be created for this experiment. In the head start phase of the pretest, background information of a non-profit organization (PeTA) is provided. Twenty-six questions are then tested to analyse the perceived image of the organization. In the indorsement phase of the pre-test, a celebrity endorser (brad Pitt) will be introduced. confirmative background information about the celebrity is then presumption. Twelve questions are then used to test the three independent variables. . Posttest In the third phase of the experiment, negative information about the celebrity endorser is given. culture supplied is related to the three independent variables of the following settings ? ? Attractiveness Images of a stir scandal and a rugged image of the celebrity Multiple Endorsements instruction of celebrity endorsing for multiple brands however, contradicting to the values of the non-profit organization ? Perceive Income Information of celebrity getting paid to endorse for a non-profit organization RBUS2900 Business Research Method Assignment 2 Par t B 11Subsequently, the respondents are to foregather in the twenty-six questions and twelve questions again in order to analyse the effects of the negative information. c. bit The survey will be conducted in an enclosed room and the participants will be seated at individual tables during the conduct of the survey. They will then be randomly selected to be both in the experiment or control group. They will also be informed that their careful consideration into each question would help the researchers esteem celebrity endorsements on non-profit organizations.This is reminded again by the title provided at the grapple page. It will also be emphasised that their participation in volunteer and confidentiality is kept at the strictest levels. This is reminded again as a disclaimer on the last page of the survey. d. Errors Figure 3 Survey Total error diagram The figure shows the various types of errors that might be present in survey. Particularly in our survey, we have identified the following possible errors that we might face and the control measures RBUS2900 Business Research Method Assignment 2 Part B 12Type of Error Random Sampling Error chemical reaction error Interviewer bias Response error effect bias administrative error Interviewer error Control measures Increase the sample size from quite a little of very extreme initial 100 to 200. backgrounds existing in disarrange (Bartlett, Kotrlik, & Higgins, group 2001) Interviewer introduced as As we are asking about Brad Pitt neutral parties helping to attractiveness, the respondent may facilitate the session and has get along differently due to the nothing to do with the research presence of the interviewer group (Herbert F.Weisberg, 2005) Before the start of the questionnaire, address to the As most of the questions provided respondents the importance of are a seven point semantic correct data needed to be differentiated outstrip, respondents collected from them, thus may just choose 1 or 7 for emphasizing our appreciation convinence to them to provide their best effort. (Ian Gregory, 2003) As there are two different sets of Make sure the experiment survey, the interviewer might issue ground is properly organize out the wrong amount of sets, and double checked before the ideally it is suppose to be equal seating of the respondents. umber of sets given out. (Floyd J. Fowler et al. , 1990) Table 1 Survey errors encountered Cause 3. 5 Measurement (Please refer to appendix 2 for survey questions) 3. 5. 1 Perception of organisation (Dependent variable) Perception of organisation is measured with 26 items adapt from Sarstedt and Schloderer (2010) -? = 0. 95. The closer Cronbachs alpha (? ) is to 1. 0, the more bona fide the items. Hence these 26 items are considered reliable. It will be measured on a seven-point Likert scale.Likert scale is a measure of attitudes designed to allow respondents to rate how strongly they agree or disagree with care in full constructed statements , ranging from very positive to very negative attitudes toward some object (Zikmund et al. , 2010). To make the scale more reliable, the scale from one to seven is used, therefore reducing the differences between levels, resulting in a more reliable measurement. In addition, all the indicators were randomized in order to avoid order effects (Sarstedt & Schloderer, 2010) RBUS2900 Business Research Method Assignment 2 Part B 13 . 5. 2 Attractiveness (Independent variable) Attractiveness was measured with a bipolar semantic first derivative scale. This was recyclable as it measured the attitudes of respondents on a scale. According to Zikmund et al. , the scale is found to be useful and versatile in many business applications (2010, p. 320). There were four items that were used to measure attractiveness. This was adapted from a study conducted by DeShirlds, Kara and Kaynak (1995). 3. 5. Over-endorsement of celebrity (Independent variable) Over-endorsement was measured on a seven-poin t Likert scale and consisted of five items adapted from Mowen and Brown (1981) and Tripp, Jensen and Carlson (1994). Both produced a Cronbachs alpha of 0. 88 and 0. 84 respectively. 3. 5. 4 Perception of income from endorsement (Independent variable) Similarly, perception of income was measured on a seven-point Likert scale. This was measured with three items adaped from Cronley et al. (1999). These questions are considered reliable due to the high rating of Cronbachs alpha of 0. 9. RBUS2900 Business Research Method Assignment 2 Part B 14 4. DATA ANALYSIS 4. 1 Procedure It is proposed that four techniques will be used to analyse the data. The software in which these techniques are based on will be SPSS. (Please refer to appendix 1d for detailed elaboration on techniques) 4. 1. 1 Descriptive statistics Descriptive statistics will produce central tendency, distribution and variability of the results from our experiment. (Zikmund et al. , 2010) This information would be necessity as i t forms a bigger picture of the data collected.For instance, by study the means of the results from the survey, especially that in the experimental group, any change in the perception of the respondents will be detected. The standard deviation obtained will demonstrate how accurate the data is by analysing the variation about the mean. Typically, the smaller the standard deviation, the smaller the variation of the results. 4. 1. 2 Factor analysis After obtaining the bigger picture of the data, factor analysis will be used to analyse the reliability of the questions that were asked.This is done by reducing the amount of information in the initial variables and establishing them together into smaller groups called factors. (Gabor, 2010) This will then enable the analysis of the interdependence between the questions, limiting the questions to only those, which provide analysis for the variables. This process of factor analysis is needed as it allows the researcher to limit the number of questions asked as well as to ensure the reliability of the questions in analysing the variables. RBUS2900 Business Research Method Assignment 2 Part B 15 . 1. 3 twosomeed sample T-test Once the reliability of the questions is obtained, the results of the survey are then put through a paired samples t-test. A paired samples t-test will allow detection of change after the respondents are given information about the celebrity endorser. This is detected through the variation in the means before and after the experiment. A further step from just descriptive statistics is that this will test the significance of the data, an essential step to determine the reliability of the analysis.A paired samples t-test will be utilised as the data is collected from one group of participants that are subjected to a before-after treatment. Due to the tradition of a Likert scale, the data is considered to be measured on an interval scale and as such, a paired samples t-test is most suitable for an alysing the variation in the data. 4. 1. 4 Multiple regression analysis Lastly, essentially the crux of the data analysis is the multiple regression analysis that is used to established strength of association between the independent variables and dependent variable.Two values are being calculated to determine the strength of association. Firstly, the value displayed as modify R square will show the percentage of the variation of the dependent variable that is a result of the independent variables in the model. The closer the value of the adjusted R square is to one, the better the model. Secondly, the standardized Beta value will be used to determine the strength of each independent variable and its relationship with the dependent variable. Accordingly, the closer the value is to one, the stronger the bond.The significant independent variables are then ranked based on their standardized Beta. Hence, after processing the data through multiple regression analysis, PeTA will be able to establish which independent variable is seen to have a negative or positive relationship with the dependent variable of perception of organisation. This result though not sufficient to prove causality, when coupled with theory spelt out in the RBUS2900 Business Research Method Assignment 2 Part B 16 hypothesis development section, will provide a good idea of the causes of change in perception of organisation. . 2 Expected results Based on a scaled down version of the experiment that was conducted, these are the following results. 4. 2. 1 Factor analysis Firstly, the factor analysis conducted and questions 6-8, 14, 15 and 18 will be removed from the measurement of perception of organisation. This is due to the fact that the eigenvalues were less than 1. 0. The reinvigorated variable consisting of 20 items had a Cronbachs alpha of 0. 907. Which is still a reliable count. The measurement for over-endorsement will retain its five items and the Cronbachs alpha is calculated to be 0. 642.Lastly, the jump question for perceived income will be removed from the variable and the new variable consisting of the two questions has a Cronbachs alpha value of 0. 903. 4. 2. 2 Paired samples t-test Based on the paired samples t-test conducted for the mock experiment, it can be seen that there was a positive increase of t-value which tells use that the mean of the first group was bigger than the mean of the second group. Hence there was a decreased in mean scores as predicted by our hypothesis. RBUS2900 Business Research Method Assignment 2 Part B 17 Model Summary Model R R Square modify R Square 1 . 06 a Std. Error of the Estimate .367 -. 898 Paired Differences 21. 505 Mean Std. Deviation Std. Error Mean 95% Confidence detachment of the Difference Lower Upper 20. 552 Pair 1 PerceptionORGbef PerceivedORGaft overendorsementBE 11. 071 10. 251 3. 874 1. 591 Pair 2 FoverendorsementAF T PerceivedINCOMEb 1. 286 3. 506 1. 325 -1. 957 4. 528 Pair 3 ef perceptionINCOMEa ft 3. 071 2. 370 .896 .879 5. 264 Pair 4 Pair 6 Pair 7 Attractiveness Attractiveness SexyBEF SexyAFT TemperamentBEF TemperamentAFT -. 286 -. 143 -. 286 .488 . 378 . 488 .184 . 143 . 184 -. 737 -. 492 -. 737 .166 . 207 . 166Figure 4 Sample paired t-test results 4. 3. 3 Multiple regression analysis Lastly, multiple regression analysis was used to establish association amongst the dependent and independent variables. through the analysis, it was found that there was a strong negative association (-0. 898) between the variables. This is a clear indication that the proposed hypotheses are all correct. 4. 3. 4 Discussion of outcomes Finally, it is clear from the mock up that further research would be necessary in order to fully understand the effects of the independent variables on the dependent variable.This is exceptionally necessary for an organisation such as PeTA due to the high number of RBUS2900 Business Research Method Assignment 2 Part B 18 celebrities that endorse the organisation. Mov ing forward, it is necessary for PeTA to fully evaluate the background of the celebrities that endorse the organisation as well as to consider the perception of paying the celebrities for the endorsement. However, further research must be done in order to ascertain this claim. The research team would like to propose that PeTA approve the proposal for research to commence.Subsequently, PeTA would be able to expect a research report as well as an oral presentation of the findings from the research team. RBUS2900 Business Research Method Assignment 2 Part B 19 References Baker, M. & Churchhill, G. A. 1977. The impact of physically attractive models on advertising evaluations. diary of Marketing Research, 14(4) 538555 Bartlett, Kotrlik, & Higgins. 2001. Organizational Research Determining trance Sample Size in Survey Research. Information Technology, Learning, and Performance Journal, 19(1) 48 Caballero, M. J. , & Pride, W. M. 1984.Selected Effects of Salesperson Sex and Attractivenes s in Direct direct Advertisements, Journal of Marketing, 48(1) 94-100 Chaiken, S. , 1986. Physical appearance and social influence. In C. P. Herman, M. P. Zanna and E. T. Higgins, eds. Physical appearance, stigma, and social behavior 143-177, Erlbaum Associates, Hove, UK Cronley, M. L. , Kardes F. R. , Goddard, P. , & Houghton, D. C. 1999. Endorsing Products For The Money The Role of the Correspondence Bias in Celebrity Advertising. Advances in Consumer Research, 26 627-631 Daneshvary R. , Schwer, R. 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Business Research Methods Eighth Ed.South Western Cengage Learning RBUS2900 Business Research Method Assignment 2 Part B 22 APPENDIX Appendix 1 Table 1a Conceptual definitions Definition Corporate image, the consumers impression of the companionship that is producing and selling a given product or brand A person whom the members of an audience would like very much to please, someone whom they like very much Source Goldberg, M. E. & Hartwick Jon. 1990. The Effects of Advertiser Reputation and Extremity of Advertising Claim on Advertising Effectiveness, Journal of Consumer Research, 17(2) 172-179 Mills, J. & Elliot, A. 1965.Opinion change as a function of the communicators attractiveness and desire to influence, Journal of Personality an d Social Psychology, 1(2) 173-177 Page Concept Perception of organisation 173 Attractiveness 173 Over-endorsement If a celebrity endorses several products, the relation between himself and a particular product is not distinctive, leading to an inference that the nature of the particular product was not the reason for endorsement Mowen, J. C. & Brown, S. W. 1981. On Explaining and predicting the effectiveness of celebrity endorses. Advances in Consumer Research, 8(1) 437441 37 Perceived income from endorsement Perception that a celebrity endorser is being highly paid for an advertisement Cronley, M. L. , Kardes, F. R. , Goddard, P. & Houghton, D. C. 1999. Endorsing products for money The role of the correspondence bias in celebrity advertising, Advances in Consumer Research, 26 627 631 628 RBUS2900 Business Research Method Assignment 2 Part B 23 Table 1b Hypotheses guessing Data analysis method used H1 The perceived physical attractiveness of an endorser will result in an increased positive perception of the endorsed organisationH2 In situations whereby celebrities are seen to endorse multiple products that might be contradictory to the nature of the organisation, there will be a decrease in positive perception of the endorsed organisation. Paired sampled t-test to compare mean scores of before and after the experiment to analyse for variation. Multiple regression analysis to investigate the effect of the independent variables (Perceived physical attractiveness, overendorsement of celebrity, perceived income from endorsement) on the dependent variable (perception of the endorsed organisation)H3 The more a celebrity is perceived to be paid for the endorsement, the more negative the perception of the organisation. RBUS2900 Business Research Method Assignment 2 Part B 24 Table 1c List of measures Measure outperform Source Sarstedt, M. & Schloderer, M. P. 2010. Developing a measurement approach for reputation of non-profit organizations. International Journal of Nonprofit Voluntary Sector Marketing, 15 276299 26-item measure of perception of non-profit organisation 7-point Likert scale 4-item measure of attractiveness Bipolar semantic differential scaleDeShields Jr, Oscar W. , Kara, Ali, & Kaynak, Erdener. 1996. Source effects in purchase decisions The impact of physical attractiveness and accent of salesperson, International Journal of Research in Marketing, 13(1) 89-101 Mowen, J. C. & Brown, S. W. 1981. On Explaining and predicting the effectiveness of celebrity endorses. Advances in Consumer Research, 8(1) 437-441 Cronley, M. L. , Kardes, F. R. , Goddard, P. & Houghton, D. C. 1999. Endorsing products for money The role of the correspondence bias in celebrity advertising, Advances in Consumer Research, 26 627631 -item measure of overendorsement 7-point Likert scale 3-item measure of perceived income from endorsement 7-point Likert scale Sorum, K. A. , Grape, K. M. & Silvera, D. 2003. Do dispositional attributions regarding peer endorsers influence product evaluations? , Scandinavian Journal of Psychology, 44 3946 RBUS2900 Business Research Method Assignment 2 Part B 25 Table 1d proficiency Data analysis techniques Definition Assumptions Important terms Mean = natural score divided by n. -Std. deviation= variation of the sample. Min/Max= highest and lowest score in the sample. Skewness= to measure the symmetry of the distribution Kurtosis= how the scores cluster together Eigenvalues (to determine the number of factors) = the amount of variance associated with the factor Cronbachs alpha= to check the reliability of the scale (accepted if Cronbachs alpha0. 7) Normality of distribution Interval data Confidence interval (the range of the data)= For 95% of confidence interval, Sig value should not exceed 0. 05 T value and critical t value Degree of freedom (to determine the critical t value) Sig value (p-value)