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Understanding Qualitative Analysis Definition And Example

Updated: November 22, 2022

Taking the proper amount of time to conduct research is incredibly important for investors and analysts and it goes beyond just what they find on the outside. For example, trying to understand why a company made a certain decision can provide additional insights into why it’s valued the way it is. 

An effective way to do this is through qualitative analysis. So how does it work and are there any different types to be aware of? We put together this guide to answer all your questions. Read on to learn more!

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    KEY TAKEAWAYS

    • Qualitative analysis is a type of research that looks at the underlying reasons why a company behaves in certain ways.
    • This can work through interviews, focus groups, surveys, and other research methods.
    • Qualitative data analysis is an important tool for companies. It provides insight that goes beyond just numbers and statistics.

    What Is Qualitative Analysis?

    Qualitative analysis process is a type of research that serves to analyze the value of a company. In this case, analysts don’t just look at the quantitative data. They also try to understand the underlying reasons and motivations for why a company behaves in certain ways.

    There are many different types of qualitative analysis, but one of the most common is a SWOT analysis. This type of analysis looks at the company’s strengths, weaknesses, opportunities, and threats. In doing so, it can better understand where it stands and what it needs to do to improve.

    Qualitative analysis can be a useful tool for companies, as it provides insight that goes beyond just numbers and statistics. By understanding the motivations behind a company’s actions, analysts can make more informed decisions.

    If you’re interested in learning more about qualitative analysis, keep reading. Here, we discuss the basics of qualitative analysis, including its definition, purpose, and benefits. We also provide an example to illustrate how this type of research can work in practice.

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    Types of Qualitative Analysis

    There are many different types of qualitative analysis, but some of the most common include:

    SWOT Analysis This analysis looks at the company’s strengths, weaknesses, opportunities, and threats. As such, it can better understand where it stands and what it needs to do to improve.

    PESTEL Analysis This type of analysis looks at various factors. These include Political, Economic, Social, Technological, Environmental, and Legal. The goal is to see how they can impact a company.

    5 Forces analysis – This type of analysis looks at the 5 forces that can impact a company: rivalry, buyers, suppliers, new entrants, and substitutes.

    Qualitative analysis can use many types of research. These can include:

    • Online forums
    • Open-ended questions
    • Customer interviews
    • Even bad customer service feedback 

    The goal is to improve, so it’s vital to get as much data as possible in every form of analysis. The depth of analysis dictates the quality of your answers.

    Moreover, you should try different approaches to see what works best. Perhaps a comparison analysis yields the most suitable answers. You might find that a breakdown of content analysis is the best approach. 

    But regardless of what you use, the accuracy of analysis is critical. When seeking an analysis of customer feedback, you want to be precise in your questions. Find out customer pain points, research customer profiles. Also be sure to reach out to all of your customer segments.

    Find out what drives customer satisfaction in your company. This will help you understand customer sentiment. You can make your qualitative research a complex or simple process. 

    What matters is that you get accurate answers.

    If you conduct interview questions, don’t forget to ask a follow-up question in each instance. You’re more likely to get a genuine response as a result. 

    What are the Benefits of Qualitative Research?

    This analytics solution can be incredibly useful for companies. It provides insight that goes beyond just numbers and statistics. By understanding key insights behind a company’s actions, analysts can make more informed decisions about how to proceed.

    Some of the specific benefits of qualitative research include:

    A deeper understanding of the problem – Qualitative research can help analysts to understand the root cause of a problem, rather than just its symptoms.

    Greater insight into customer behavior – Qualitative research can provide valuable insights into why customers behave in certain ways. This information can help improve marketing strategies, product design, and customer experience.

    Improved decision-making – By understanding the reasons behind a company’s actions, analysts can make informed decisions about how to proceed.

    Increased understanding of complex issues – Qualitative research can help to shed light on complex issues. Issues that are difficult to understand using quantitative data alone.

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    Example of Qualitative Analysis

    To illustrate how qualitative analysis can work in practice, let’s consider the following example.

    Imagine that you work for a company that makes electric cars. The company has been struggling to sell its cars, and you need to find out why.

    After conducting some research, you discover that many potential customers have concerns about the range of the cars. They’re afraid that they won’t be able to go very far without having to recharge, which could take a long time.

    This information is valuable, as it helps to identify a problem that the company wasn’t previously aware of. Now the company can make changes to its product (for example, increasing the range of the car) in order to better meet the needs of its customers.

    How Do You Analyze Quantitative Data?

    Qualitative data analysis looks at the underlying reasons and motivations for why a company behaves in certain ways. This can work through interviews, focus groups, surveys, and other research methods.

    Once you collect data, it needs to be analyzed in order to extract useful insights. This can be a complex process, as it often involves sorting through large amounts of data to find patterns and trends.

    Qualitative data analysis is an important tool for companies. It provides insight that goes beyond just numbers and statistics. Knowing the motivations behind a company’s actions, analysts can make more informed decisions about how to proceed.

    Summary

    Qualitative data analysis is a process of extracting useful insights from data. This can be done through interviews, focus groups, surveys, and other research methods. This analysis is an important tool for companies, as it provides insight that goes beyond just numbers and statistics. It can help improve marketing strategies, product design, and customer experience.

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    FAQs About Qualitative Analysis

    Why qualitative analysis is important?

    Qualitative analysis provides insight that goes beyond just numbers and statistics.

    What is the principle of qualitative analysis?

    It is to understand the underlying reasons and motivations for why a company behaves in certain ways.

    How is qualitative analysis used in everyday life?

    You can use qualitative analysis in everyday life. You can improve marketing strategies, product design, and the overall customer experience.

    How do you write a quantitative analysis?

    You should include an introduction, research methods, results, and discussion sections.

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