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How to acquire aircraft? A grounded theory approach to case study research

Author

Listed:
  • Dorothea Bowyer
  • Glenda Davis

Abstract

Purpose - The aim of this paper is to demonstrate how a grounded theory method applied to a case study within a particular industrial context can be used to derive a substantive model of the practice of capital budgeting and contribute to an understanding of contextual elements that affect investment decisions. This study aims to examine how the investment decision to acquire aircraft, strategic core assets, is made by small players within an industry that is small by world standards, Australian regional aviation. Design/methodology/approach - This research adopts a grounded theory approach to the case study. Primary data were collected using questionnaires, semi‐structured and open‐ended interviews. Secondary data comprised pro‐forma aircraft lease contracts and information from a law firm. Consistent with grounded theory, qualitative research mining software (Leximancer) was used to facilitate initial analyses of data and understanding of decision factors and their relationships. The model was derived, refined and confirmed using data from follow‐up unstructured interviews. Findings - This research within a specific industrial context finds that a substantive model derived through a grounded theory approach provides an understanding of the richness of the investment scenario and the decision factors considered in the capital budgeting decision. Reflection on such narrow industrial findings in terms of existing theories provides insight into the reasons for the gap between practice and theory. Originality/value - This research is original in that it employs a grounded theory approach, which has received little attention within prior literature, to derive a substantive model based on industrial practice of managers who are instrumental in and responsible for a capital budgeting decision. Such an alternative approach to modelling is of value in bridging the gap between practice and theory. Substantive models produced for different industries or contexts can be compared and similarities refined into a theory that is grounded in practice. Dissimilarities may provide valuable insights into variables and processes that are unique to particular contexts.

Suggested Citation

  • Dorothea Bowyer & Glenda Davis, 2012. "How to acquire aircraft? A grounded theory approach to case study research," Qualitative Research in Accounting & Management, Emerald Group Publishing Limited, vol. 9(4), pages 363-397, November.
  • Handle: RePEc:eme:qrampp:v:9:y:2012:i:4:p:363-397
    DOI: 10.1108/11766091211282670
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    Citations

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    Cited by:

    1. Ismail bin Yusof & Abd Rahman Abdul Rahim, 2017. "Aircraft Acquisition Conceptual Framework," Asian Social Science, Canadian Center of Science and Education, vol. 13(4), pages 1-37, April.
    2. Gunjan Sharma & Kushagra Kulshreshtha & Naval Bajpai, 2022. "Getting over the issue of theoretical stagnation: an exploration and metamorphosis of grounded theory approach," Quality & Quantity: International Journal of Methodology, Springer, vol. 56(2), pages 857-884, April.
    3. Chathumi Kavirathna & Tomoya Kawasaki & Shinya Hanaoka & Takuma Matsuda, 2018. "Transshipment hub port selection criteria by shipping lines: the case of hub ports around the bay of Bengal," Journal of Shipping and Trade, Springer, vol. 3(1), pages 1-25, December.

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