R ESEARCH D ESIGN

The previously discussed two first layers of The Research Onion have outlined the underlying assumptions and approach to conducting the research of this study. In the following section, the design of the research in terms of how this study will go about transforming the research question into a research project will be presented and described. In particular, this section will describe the research purpose and strategy, methodological choice, as well time horizon of this study.

4.3.1 Nature of Research Design

After both the philosophy and approach to one´s research has been described and clarified, the overall purpose of the study is by Saunders et al (2009) regarded as the next step. In this, there are three different types of purposes, namely explanatory, exploratory and descriptive, where the research not necessarily have to be restricted to only one purpose but can have characteristics and aspects from all three simultaneously. Explanatory studies are often associated with quantitative data, where statistical methods are used in order to test correlation between variables through the development of

46 hypothesizes, in order to find causal relationships between variables. Conversely, an exploratory study aims to add to the understanding of an identified problem or phenomenon. By attaining new insights, the research conducted aims to assess a phenomenon where the nature to the problem is uncertain. Thus, the exploratory research purpose can be beneficial in trying to understand a problem and the nature of it, as well as attaining new insights and assess a problem in a new light. This type of research can be: “likened to the activities of the traveller or explorer” (Saunders et al, 2009: 140).

The advantage with the exploratory purpose, is that it is flexible and highly adaptable to change, where changing direction depending on the data and new insights is common. As such, exploratory research is mostly associated with qualitative data, which can allow the researchers´ to remain having a flexible approach towards changing circumstances as new information emerges. The third and final purpose is associated with accurately aiming to describe an event, phenomenon or problem. A descriptive purpose can be the one and only objective with a study, but it is many times used in combination with either explanatory or exploratory research. When used in combination with either explanatory or exploratory, the purpose is many times to supplement the research by painting a picture of a phenomenon or problem identified by the researchers´. As the objective with descriptive research is: “to portray an accurate profile of persons, events or situations” (Saunders et al, 2009: p 140), this study will use some characteristics of this type of purpose.

However, this study will mainly be of an exploratory purpose, but through deploying some characteristics of descriptive research, the purpose will be referred to as descripto-exploratory (Saunders et al, 2009). In order to answer the overarching research question of how Open Banking can facilitate a Small Business Utopia, Main Street Businesses and their attitudes towards using Open Banking services will be explored. Also, with Open Banking being a rather new phenomenon which many have no, or very limited experience with using, the course and direction of this study will likely have to change over time as new insights and data will come to light. The flexibility and adaptability inherent in an exploratory purpose is therefore by the researchers´ regarded as valuable and necessary in order to answer the research question. As such, this study will mainly have an exploratory purpose, but with some descriptive features.

47 4.3.2 Research Strategy

The next layer in The Research Onion, is according to Saunders et al (2009) the research strategy. In this, it is suggested that there are seven different approaches in terms of how to conduct one´s research: experiment, action research, grounded theory, ethnography, archival research, survey and case study. All of the strategies to collect data can be used in combination with different research purposes, since the most important element of the research strategy is that it enables the researcher to fulfil the objective of the study by answering the research question. There is therefore no strategy that is inherently more superior to the other, nor can they be thought as mutually exclusive to one another.

As such, the research strategy pursued will first and foremost be guided by the research question and the final objectives, but also by other aspects such as amount of time and resources, the extent of existing knowledge and the researchers´ and their own philosophical foundations. With this, as well the objective and research question of the study in mind, the researchers´ of this paper will pursue both a case study and survey, which will be further elaborated on and described below (Saunders et al (2009).

This research project will perform a study in the context of Main Street Businesses and Open Banking.

Firstly, this study will use the survey approach in exploring the attitudes of Main Street Businesses towards Open Banking. This strategy is commonly used in order to answer questions with regards to who, what and where questions, and is often used in exploratory studies. As surveys allows the possibility to collect large amounts of data, obtained through the distribution of questionnaires to a sample, the data received can be used in comparing different variables as well as reasons behind the relationships between variables. Thus, the survey approach can be used in order to collect a sizeable amount of data, which can be generalized to the entire population when sampling is used (Saunders et al., 2009).

In addition to using a survey, this research will also deploy a case study when exploring the possible deliverance of Open Banking initiatives, where aspects such as value - creation, delivery, capture, as well as the design of the business model will be explored. Rather than adopting a multiple case study, this research will perform a single case study on the company Tink. Case studies are, by Saunders et al (2009), found to be appropriate and suitable in situations where the research requires deep as well as contextual understanding of a phenomenon. Also, a single case study is by Yin (2003) argued to be an appropriate method when exploring a phenomenon that few others have previously considered

48 exploring, as well as in cases which can be regarded as unique. Additionally, multiple case studies and the rationale for using them, is by Yin (2003), argued to be that of establishing if the findings from different cases differ, in order to compare and generalize the findings from multiple cases. As this study will explore a potential future context, where a current provider of Open Banking services will be used as a case study, where the aim is to provide third-party providers with insights regarding business model design, the researchers deem the single case study strategy to fit with the purpose of this study.

4.3.3 Methodological Choice

After having identified which research strategy to pursue, Saunders et al. (2009) suggest that the next layer in The Research Onion is the choice of data collection method to apply. In this, there are two different types of data, namely quantitative and qualitative. Quantitative data is associated with numerical data, where the data collection uses, or generates data such as statistics or graphs.

Conversely, qualitative data is associated with non-numerical data, that uses or generates data through the deployment of techniques such as an interview, or analysis procedure such as categorization of data.

A study can either use one single data collection technique or combine several procedures in order to answer the research question. As such, either a mono method in which a single data collection method and analysis procedure can be used, or a multiple methods approach in which several techniques and procedures can be used. A mixed method where both quantitative and qualitative data collection methods are applied, can therefore be used in the same study. In fact, a mixed method could according to Blaikie (1991), mitigate some of the strengths and weaknesses of each individual method, and therefore contribute to reducing the amount of errors and increases the study's validity. Also, a mixed method approach is within business management studies commonly used and necessarily applied in order to get a more complete and holistic view in terms of answering the research question (Curran

& Blackburn, 2001). However, when using a mixed method approach to data collection, the different types of approaches can be used and cater to different parts of the study (Tashakkori, Teddlie, &

Teddlie, 2003).

49 With the above in mind, this study was intended to adopt a mixed method approach towards the data collection process. In this, a quantitative method would have been applied when both collecting and analysing the data from the surveys aimed at exploring Main Street Businesses and their attitudes towards Open Banking. In addition, a qualitative approach would have been used primarily in the second part of this study, when exploring how the market potentially can serve the Main Street Business segment in terms of how companies can create, deliver and capture value, as well as the potential design of the business model. This study would therefore have used a mixed methods approach, with both quantitative and qualitative methods being utilized and applied to separate parts of this study. By choosing this approach, the researchers´ aimed to get a better and deeper understanding, catered to the different parts of this study. However, due to the necessary revision in accordance with the data collection later described, the researchers´ have been using qualitative methods to analyse the surveys as well, even though the method could be argued to be call for a more quantitative analysis. The different data collection techniques will be described in more detail further down in section 4.4.

4.3.4 Time Horizon

Prior to reaching the core of the research onion, Saunders et al. (2009) suggest that the time horizon is an important aspect to consider in terms of the research project. In this, there are two different time horizons, namely a longitudinal and cross-sectional study. A longitudinal study is one which is a representation of events over a period of time and has therefore the capacity to showcase development as well as change over a longer period of time. In contrast, a cross-sectional study is one which focuses on studying a phenomenon at a specific point in time, thus providing a snapshot from a particular point in time. Most research projects are, according to Saunders et al. (2009), sectional because of their time constraints. This study will be no different, as it will adopt a cross-sectional time horizon, where the phenomenon will be explored in terms of how the situation is today.

Also, the cross-sectional time horizon is by the researchers´ deemed appropriate because of the limited time frame in which this project is undertaken.

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