Applied Research
Applied research is a type of research that focuses on solving specific real-world problems faced by organisations, industries, governments, or society. Rather than developing theory for its own sake, applied research seeks to generate practical solutions, recommendations, and improvements that can be implemented in practice.
On this page:
- Applied Research Explained Simply
- What is Applied Research?
- Applied Research vs Fundamental Research
- Key Characteristics of Applied Research
- Types of Applied Research
- Examples of Applied Research in Business Studies
- Applied Research in Business Research
- Common Mistakes
- Advantages and Disadvantages of Applied Research
- Applied Research in the Age of AI and Digital Business
- When to Use Applied Research
- Exam Tip
| Feature | Applied Research | Fundamental Research |
|---|---|---|
| Main objective | Solve specific real-world problems | Develop theories and expand knowledge |
| Focus | Practical application | Theoretical understanding |
| Context | Often conducted within organisations | Usually conducted within academic settings |
| Outcomes | Actionable recommendations | Conceptual and theoretical contributions |
| Time horizon | Short- to medium-term solutions | Long-term knowledge development |
| Key question | How can this problem be solved? | Why does this phenomenon occur? |
Applied vs fundamental research (comparison table)
Applied Research Explained Simply
Imagine that a company is experiencing high employee turnover.
Management wants to understand why employees are leaving and what can be done to improve retention. A researcher investigates the issue, collects data from employees, analyses the findings, and develops recommendations that managers can implement.
This is applied research.
For example, Starbucks may investigate how to improve employee engagement, while Amazon may study ways to reduce warehouse inefficiencies. The purpose is not simply to increase knowledge, but to solve a specific problem.
In simple terms, applied research uses research methods to find practical solutions to real-world challenges.
Unsure whether your dissertation should be classified as applied research or fundamental research?
The Dudovskiy AI Research Assistant can evaluate your research objectives and generate a fully justified methodology aligned with your study.
What is Applied Research?
Applied research aims to address immediate practical problems by applying existing theories, concepts, and research methods. Unlike fundamental research, which seeks to expand knowledge and develop theories, applied research focuses on generating outcomes that can be used directly by organisations or decision-makers.
Applied research plays a particularly important role in business studies because organisations constantly face challenges relating to strategy, leadership, marketing, operations, innovation, customer behaviour, and human resource management.
Researchers conducting applied studies seek not only to understand a phenomenon but also to recommend actions that improve organisational performance. As a result, applied research helps bridge the gap between academic theory and business practice.
Many business dissertations are classified as applied research because they examine real organisational issues and produce practical recommendations.
Key Characteristics of Applied Research
Applied research has the following key characteristics:
- Focus on a specific problem or issue. This type of research typically focuses on a specific problem or issue faced by businesses. This could be anything from improving marketing strategies to increasing employee satisfaction.
- Practical relevance. The research findings must be relevant and applicable to the real world. They should provide actionable insights that businesses can use to improve their operations.
- Empirical evidence. Applied research relies on empirical evidence collected through various research methods, such as surveys, interviews, case studies, and experiments.
- Collaboration with practitioners. Often, such a research involves collaboration with practitioners from organizations, industry experts, or consultants. This helps ensure the research is grounded in practical experience and addresses the needs of businesses.
- Contribution to existing knowledge. While addressing a specific problem, applied research should also contribute to the existing body of knowledge in the field of business studies. This can be achieved by providing new insights, testing existing theories, or developing new frameworks.
Types of Applied Research
Applied research can be divided into the following three types:
1. Evaluation research. This type of research focuses on analysing existing information about the phenomenon in order to generate objective research outcomes. A study into the ways of reducing supply-chain costs can be mentioned as an example for an evaluation research.
2. Research and Development. It is a type of applied research that focuses on the development of new products and services to satisfy needs and wants of target customer segment. This type of applied research is the least relevant to a business dissertation.
3. Action research. This type of study aims to tackle specific business problems. For example, a research into the ways of restoring Starbucks brand image in UK after the tax scandal can be classified as an action research.
Differences between Applied Research and Fundamental (Basic) Research
The difference between applied and fundamental or basic research is straightforward – findings of applied research can be applied to resolve problems, whereas fundamental studies are used simply to explore certain issues and elements. Applied research can be a follow-up to the findings of a fundamental research.
Moreover, differences between applied and basic research can be summarized into three points:
1. Differences in purpose. Purpose of applied studies is closely associated with the solution of specific problems, while the purpose of fundamental studies relate to creation of new knowledge or expansion of the current knowledge without any concerns to applicability.
2. Differences in context. In applied studies, research objectives are set by clients or sponsors as a solution to specific problems they are facing. Fundamental studies, on the other hand, are usually self-initiated in order to expand the levels of knowledge in certain areas.
3. Differences in methods. Research validity is an important point to be addressed in all types of studies. Nevertheless, applied studies are usually more concerned with external validity, whereas internal validity can be specified as the main point of concern for fundamental researchers.
Applied research solves problems, whereas fundamental research builds knowledge.
Examples of Applied Research in Business Studies
Applied research is extremely common in business and management disciplines.
Examples include:
- investigating strategies to improve employee retention at Deloitte
- analysing methods for increasing customer loyalty at Starbucks
- examining how Tesco can reduce supply chain costs
- evaluating ways of improving remote team collaboration at Microsoft
- studying how Nike can strengthen customer engagement through digital marketing
- assessing the effectiveness of sustainability initiatives at Unilever
Each of these studies seeks to solve a practical business problem rather than simply develop theory.
Applied Research in Business Research
Applied research forms the foundation of much business research because organisations require evidence-based solutions to operational and strategic challenges. For example, Netflix may investigate how recommendation algorithms influence customer retention. Airbnb may examine methods for improving host satisfaction. Coca-Cola may analyse how marketing campaigns affect consumer purchasing decisions.
Business researchers frequently use applied research to address issues relating to:
- employee performance
- leadership effectiveness
- customer satisfaction
- marketing strategy
- digital transformation
- innovation management
- organisational culture
- sustainability
The practical orientation of applied research makes it particularly valuable for organisations seeking measurable improvements and informed decision-making.
Common Mistakes
A widespread misunderstanding is that applied research is somehow less academic than fundamental research. In reality, both types of research require rigorous methodology and systematic investigation. Some students incorrectly assume that providing recommendations automatically makes a study applied research. The classification depends on the overall purpose of the research rather than the presence of recommendations alone.
Another issue frequently encountered in dissertations is the failure to connect findings to practical implications. Applied research should demonstrate how results can be used to address the problem being investigated. Researchers also occasionally focus so heavily on solving immediate organisational problems that they neglect the theoretical foundations that support their analysis.
Finally, some studies claim to be applied research while investigating broad conceptual questions that are more consistent with fundamental research objectives.
Advantages and Disadvantages of Applied Research
One major advantage of applied research is its direct practical value. Findings can often be implemented immediately to improve organisational performance, decision-making, or operational efficiency. Another important benefit is relevance. Applied research addresses real problems faced by organisations and therefore often attracts strong interest from practitioners and decision-makers.
Applied studies can also strengthen connections between academic knowledge and professional practice by demonstrating how theories operate in real-world settings.
However, applied research also has limitations. Findings are often highly context-specific and may not be easily generalised to different organisations, industries, or environments. Another challenge relates to time pressures. Organisations frequently require solutions within relatively short timeframes, which can restrict the scope of the research.
Applied studies may also be influenced by organisational priorities, stakeholder expectations, or practical constraints that limit methodological flexibility. Consequently, researchers must balance academic rigour with practical relevance throughout the research process.
Applied Research in the Age of AI and Digital Business
Artificial intelligence, automation, and digital transformation are significantly expanding opportunities for applied research. Organisations increasingly use applied research to address practical questions relating to AI adoption, digital customer experiences, cybersecurity, remote working, data analytics, algorithmic decision-making, and digital innovation.
For example, companies such as Microsoft, Google, and IBM continuously conduct applied research to improve AI systems, enhance productivity tools, and develop new digital services. Similarly, retailers use applied research to optimise customer experiences through predictive analytics and personalised marketing. AI technologies also enable researchers to analyse larger datasets, identify patterns more efficiently, and generate evidence-based recommendations more rapidly than traditional methods allowed.
At the same time, researchers must address emerging challenges relating to data privacy, ethical AI use, algorithmic bias, transparency, and digital governance. As technology continues to evolve, applied research will play an increasingly important role in helping organisations adapt to changing business environments.
Working on a dissertation that aims to solve a specific organisational or business problem?
The Dudovskiy AI Research Assistant can help identify the most appropriate methodology, develop research objectives, and generate practical recommendations aligned with your study.
When to Use Applied Research
Applied research is most appropriate when:
- the objective is to solve a specific business problem
- practical recommendations are required
- the study focuses on a particular organisation or industry
- existing theories are being applied to real-world situations
- decision-makers require evidence-based guidance
- organisational improvement is a key objective
Applied research is particularly common in business dissertations because many students investigate challenges faced by specific organisations, industries, or markets.
Use applied research when your goal is to generate actionable solutions rather than primarily expand theoretical knowledge.
Exam Tip
Many business dissertations are applied research studies, but students often fail to justify this classification clearly. Rather than simply stating that your research is applied, explain which practical problem is being addressed, why the problem matters to the organisation, and how the findings will contribute to solving it. Examiners are usually interested in seeing a clear connection between the research objectives and the practical value of the study.
Still not sure if applied research is the right choice for your dissertation?
Get a clear, justified methodology for your research topic in minutes
My e-book, How to Write a Dissertation: A Step-by-Step System to Plan, Write and Defend Your Dissertation in the age of AI contains discussions of theory and application of research philosophy. The e-book also explains all stages of the research process starting from the selection of the research area to writing personal reflection. Important elements of dissertations such as research philosophy, research approach, research design, methods of data collection and data analysis are explained in this e-book in simple words.
Download the e-book and start making progress today
Preparing to Defend Your Methodology?
Understanding research design is one thing. Defending it under examination is another.
If you would like structured guidance on how to justify your methodological choices, respond to challenging viva questions, address limitations confidently, and navigate academic integrity in the AI era, you may find the following resource helpful:
The manual provides a structured system for aligning your research design, strengthening your justifications, and preparing for defense scenarios with clarity and confidence.
Download the manual and prepare to defend your methodology with confidence
John Dudovskiy
[1] Kothari, C.R. (2008) “Research Methodology: Methods and Techniques” New Age International
[2] Bajpai, N. (2011) “Business Research Methods” Pearson Education India