Summary of Chapter 4

What is a theory? 

1. Theories are examples of natural or social behavior, event, or phenomenon
2. A scientific theory is a system of constructs and propositions that collectively present a logical, systematic, and coherent explanation of a phenomenon of interest within some assumption and boundary conditions. 
3.  Theories should explain why things happen. 
   1. Explanations could be idiographic or nomothetic 
      1. Idiographic explanations
         1. Detailed, accurate, and valid but may not apply to other similar situations
      2. Nomothetic explanations 
         1. Seeks to explain a class of situations or events rather than a specific situation. 
4. A theory is NOT…
   1. data, facts, typologies, taxonomies, empirical findings, a collection of facts or constructs
5. Benefits 
   1. Provide underlying logic of the occurrence of the natural or social phenomenon by explaining what are key drivers and key outcomes of the target phenomenon
   2. Aid in sense-making by further combining findings within a theoretical framework and reconcile contradictory findings 
   3. Provide guidance for future research 
   4. Contribute to cumulative knowledge building by bridging the gaps between other theories 
   5. Causes existing theories to be reevaluated 
6. Limitations 
   1. May not always provide adequate explanations 
   2. Based on a limited set of constructs and relationships 
   3. Designed to be simple explanations when reality may be more complex 
   4. Impose blinders or limits researchers “range of vision – miss out on important concepts that aren’t defined in the theory                                                                                                                                                                                                                                                     

What are the building blocks of a theory?

1. David Whetten –  four building blocks 
   1. Constructs – “What”
      1. Explain the phenomenon of interest 
      2. Must be clear and unambiguous definition to specify exactly how the construct will be measured 
      3. Variables – measurable representations of abstract constructs

1. Propositions – “How”
   1. Stated in the declarative form and indicate a cause and effect relationship
   2. Can only be tested by examining the corresponding relationships between measurable variables.
   3. Hypothesis–  empirical formulations of propositions stated  as relationships between variables 
2. Logic- “Why”
   1. Provides a basis for justification of the proposition
   2. Connects the construct and provides meaning and relevance to the relationships between these constructs
3. Boundary/conditions/assumptions – “Who, When, Where” 
   1. If a theory is to be tested and used, its assumptions that form boundaries must be properly understood

How to evaluate theories?

1. What makes a good theory?
   1. Logical consistency – if the building blocks are inconsistent with each other then the theory is poor
   2. Explanatory power -explains the target phenomenon better than rival theories 
   3. Falsifiability- theories cannot be theories unless they are testable, therefore falsifiability requires rival explanations to ensure constructs are adequately measurable 
   4. Parsimony- how much of a phenomenon is explained with how few variables.

How can we apply theories in research?

1. Steinfeld and Fulk
   1. Build theories inductively based on observed patterns of events and behaviors 
   2. Identify different sets of predictors relevant to the phenomenon of interest using a predefined framework
   3. Theorizing is extended or modifies existing theories to explain the new context. This is an efficient way of building new theories off of pre-existing ones.
   4. Apply existing theories in entirely new contexts by drawing upon the structural similarities between the two contexts.

Illustrative examples of five theories frequently used?

1. Agency theory 
   1. To explain two-party relationships whose goals are not congruent with each other.
2. Theory of planned behavior 
   1. Individual behavior represents conscious reasoned choice and is shaped by cognitive thinking and social pressures 
   2. TPB is an extension of the theory called the theory of reasoned actions 
3. Innovation Diffusion Theory (IDT)
   1. Explains  how innovation are adopted within a population of potential adopters
      1. Gabriel Tarde 
         1. 4 element in theory 
            1. Innovation 
            2. Communication channels 
            3. Time 
            4. Social systems 
      2. Rogers 
         1. Innovation adaptation is 5 stages 
            1. Knowledge 
            2. Persuasion 
            3. Decision 
            4. Implementation 
            5. Confirmation 
         2. 5 innovation characteristics 
            1. Relative advantage 
            2. Compatibility 
            3. Complexity 
            4. Trialability 
            5. Observability 
   1. Has been criticized for “pre-innovation bias” – assuming all innovations are beneficial and will eventually diffuse across an entire population.
4. General deterrence theory
   1. An explanation for crime and method of reducing it 
   2. Why do certain individuals engage in deviant antisocial or criminal behaviors 
5. Elaboration likelihood theory 
   1. Dual-process of attitude formation and change in the psychology literature (Petty and Cacioppo)
   2. Explains how individuals can be influenced to change their attitudes toward a certain object, event, or behavior 
      1. Central route – requires a person to think about issue related arguments, before forming an informed judgment 
      2. Peripheral route – external cues rather than on the quality of arguments