CHAPTER-3

RESEARCH METHODOLOGY
The present chapter covers the statement of the problem, objectives of the study, scope of
the study, research design, sample design, data collection, data analytical tools and
techniques, organization and limitation of the study.

3.1 STATEMENT OF THE PROBLEM

The present study is conducted while keeping in mind the statement of the problems as
Saving and Investment Behavior of Salaried Class: A Study.
3.2 OBJECTIVES OF THE STUDY
The objectives of the study are as under:
To analyze the behavioral pattern of salaried person in saving and investment.
To analysis the various determinants of saving and investment.
To know about the sources of various investment available and selected by the
investor.
To know about the preferred sector for investment by the investors.
To know about the level of investment/ saving.
To give suggestions for improvement in saving and investment of salaried person.
3.3 RESEARCH HYPOTHESIS
H01: There is no significant relationship between demographic factors of the salaried
person and their saving and investment behavior.
3.4 SCOPE OF THE STUDY
The present study is restricted to analysis of the various determents of saving and
investment in the area of Sirsa, Hisar and Fahetabad district of Haryana State. The
attempt is made in the study to analyze the saving and investment behavior of salaried

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person.
3.5 RESEARCH DESIGN
The study is descriptive and analytical in nature. The research design is characterized by
flexibility in order to be sensitive to the unexpected and to discover insights not
previously recognized.
3.6 SAMPLING DESIGN
Sample size: - The sample size is set as 150 respondents (50 each from Sirsa,
Fatehabad and Hisar district).
Sample area: - The study is limited to the three district of Haryana state i.e. Sirsa,
Fatehabad and Hisar for research purpose.
Sample unit: - Sample unit is the basic unit containing the elements of the
universe to be sampled. The sampling unit in this study is all age group persons
who are making some investment out of their salary income.
Sampling techniques: - The sampling techniques used are convenience and
simple random sampling technique.
3.7 DATA TYPES AND COLLECTION
Primary as well as secondary is used in the study. Primary data is collected through the
well-structured questioners/ schedule. Five points Linker scale i.e. SA= strongly agree,
A=Agree, I=Indifferent, D=Disagree, SD=strongly disagree is used for the purpose of
data collection from the respondents. Initially twenty five factors were taken for the
purpose of data collection but later after conducting plot survey with the expert; only ten
factors were used for the final survey. The secondary data are collected from various
research articles, journals, books, internet websites etc. While entering data in SPSS 18,
SA (Strongly Agree) has assigned the value 1, A (Agree) has assigned the value of 2, N
(Neutral) has 3, D (Disagree) has 4 and SD (Strongly Disagree) has 5, therefore if the
mean results would show the value equal to 3 that show response of neutrality of the
respondents. If mean goes down to below 3, it would show agree of respondents and if
mean show above it would show disagree of the respondents.

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3.8 DATA ANALYTICAL TOOLS AND TECHNIQUE

For analyzing the collected data, various statistical tools such as standard deviation,
mean, percentage and frequency distribution has been used and to test the hypothesis
ANNOVA test has been applied at 5% level of significance.
3.9 ORGANIZATION OF THE STUDY
The organization of the present study is as under:
Chapter-1 Introduction: This chapter includes overview of saving and investment
behavior of salaried person, element of investment, objective of saving and investment,
attributes of investment and importance of saving and investment various alternatives of
investment in India.
Chapter-2 Review of Literature: This chapter is devoted to the review of the earlier
studies on saving and investment behaviour of salaried person in India.
Chapter-3 Research Methodology: This chapter elaborates the statement of the problem,
need of study, objectives of the study, scope of the study, research design, sample design,
data collection, data analysis tools and techniques used for analysis the data, organization
of the study, and limitations of the study.
Chapter-4 Data Analysis and Interpretation: This chapter covers analysis and
interpretation of data collected from salaried person.
Chapter-5 Findings and Suggestion: This chapter deals with finding, suggestions and
conclusion of the study.
3.10 LIMITATIONS OF THE STUDY
Limitations of the study are as follows:

The preparation and interpretation of data may not be 100% free from errors and may
be effected by the respondents biased mindset to some extent.

Sampling size under the study is small, so the response may not give true reflections
of the mental framework of the population.

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Simple random/ convenience sampling is used, so the data may not be of that quality
level as obtained by complete enumeration survey which is not possible due to
financial and time constraints.

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