1. Given the situations below: Discuss, with reasons, whether they fall into the category of applied or basic research. Scenario 1: Companies are very interested in acquiring other firms, even when the latter operate in totally unrelated realms of business. For example, CocaCola has announced that it wants to buy China Huiyuan Juice Group in an effort to expand its activities in one of the worlds fastest growing beverage markets. Such acquisitions are claimed to work miracles. However, given the volatility of the stock market and the slowing down of business, many companies are not sure whether such acquisitions involve too much risk. At the same time, they also wonder if they are missing out on a great business opportunity if they fail to take such risks. Some research is needed here! Scenario 2 Reasons for absenteeism A university professor wanted to analyze in depth the reasons for absenteeism of employees in organizations. Fortunately, a company within 20 miles of the campus employed her as a consultant to study that very issue. Scenario 3 Effects of service recovery on customer satisfaction A research scientist wants to investigate the question: What is the most effective way for an organization to recover from a service failure? Her objective is to provide guidelines for establishing the proper fit between service failure and service recovery that will generalize across a variety of service industries. 4. What are the steps in hypotheticodeductive research? Explain them, using your own example. 5. Explain the processes of deduction and induction, giving an example of each. 6. Please develop problem statement including research objectives and research questions for the following problems: Problem 1: Frequent and long delays may translate into much frustration among airline passengers, to switching behavior, and to negative wordofmouth communication. These feelings and behaviors eventually have negative effects on the performance and the profitability of the firm. Problem 2: Companies benefit through employee loyalty. Crude downsizing in organizations during the recession crushed the loyalty of millions. The economic benefits of loyalty embrace lower recruitment and training costs, higher productivity of workers, customer satisfaction, and the boost to morale of fresh recruits. In order that these benefits are not lost, some companies, while downsizing, try various gimmicks. Flex leave, for instance, is one. This helps employees receive 20% of their salary, plus employerprovided benefits, while they take a 6 to 12month sabbatical, with a call option on their services. Others try alternatives like more communication, hand holding, and the like.