An exploration of tools of analysis commonly used by private equity in making investment decision

3.3.1. Axiology as research strategy

From Greek «axia», that is value and «logos», that means study of, axiology can thus be defined as that subdivision of philosophy that concerns with the study of values ( http://en.wikipedia.org/wiki/Axiology).

The usefulness of axiology as strategy of research has been highlighted by Saunders, Lewis and Thornhill (2007, p. 110). They argued that the values of the researcher irrigate all his work. For example, they suggested that a selection of a given topic rather than another shows the researcher believes the chosen topic is much more interesting. However, apart from axiology that concerns the values of the researcher and those of the people he interacts with, the researcher needs to be aware of the scope and nature of the knowledge he is in search of. Epistemology meets this want.

3.3.2. Epistemology: a research strategy

The word epistemology derives from the Greek «episteme», signifying knowledge, science, and «logos» meaning study of ( http://en.wikipedia.org/wiki/Epistemology). Epistemology, therefore, is a division of philosophy that deals with the nature and scope of knowledge.

Thanks to epistemology, the researcher could differentiate between belief and opinion. In short, there are a number of epistemological stances that a researcher can adopt. If he or she leans towards the application of natural sciences, he or she will be deemed to adopting positivism as epistemological position. But, since the complexity of the social world of business and management is reluctant to a «series of law-like generalisations» that for example physical sciences allow (Saunders, Lewis and Thornhill, 2007, p. 106), interpretivism would be resorted to instead. What do we think about ontology then?

3.3.3. Ontology: a strategy of research

The concept of ontology comes from Greek «ov, genitive» meaning of that which is, and «logia», that is study, science, or theory, ( http://en.wikipedia.org/wiki/Ontology). Part of metaphysic, ontology is the philosophic activity that concerns with the existence of entities.

Boosted by the significance of the word ontology, it should moreover be noted that as a research strategy, it implies two distinct positions. First, the researcher could adopt an objectivist posture. This ontological stance advocates, «things exist in reality external to people» (Bennison, 2006).

Secondly, the subjectivism, also known as constructionism (Remenyi et al., 1998, p.35), refers to the reverse order of objectivism. To be more specific, a subjectivist researcher claims, «social phenomena are created from the perceptions and consequent actions of social actors» (Saunders, Lewis and Thornhill, 2007, p. 108).

From all what precedes, we could get a clear insight into the concept of research strategy and shall now move on gathering the phrase of research design.

3.4. WHAT ARE RESEARCH DESIGNS?

Alongside the research strategy, research designs appear as a landmark of the research methodology insofar as it is a source of benchmark for data collection. We, thus, should have a look at different research processes before examining the various sorts of research designs as such.