A note on substantive theory vs formal theory: for Research Methods study (info from perplexity)

A note on substantive theory vs formal theory: for Research Methods study (info from perplexity)

My question 1: "What are the underlying ideas on the concepts of (1) substantive theory and (2) formal theory? How are these two terms different from each other?"

The reply: "Understanding Substantive Theory and Formal Theory

The concepts of substantive theory and formal theory are essential in the field of sociology and other social sciences, particularly in the context of grounded theory. These theories serve different purposes and are distinguished by their scope and application.

Substantive Theory

Substantive theory is defined as a theory developed for a specific, empirical area of inquiry. According to Glaser and Strauss, it pertains to particular subjects that are contextually grounded in time and space. For instance, a substantive theory might explore "living with or caring for patients with myocardial infarction," focusing on the nuances of that specific experience

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Key characteristics of substantive theory include:

• Specificity: It addresses particular phenomena within defined contexts.
• Empirical Basis: Theories are grounded in observed data from specific cases.
• Limited Scope: The generalizability is confined to the particular area of study, making it less abstract than formal theories.

Formal Theory

In contrast, formal theory is developed for broader, more conceptual areas of inquiry. It seeks to establish general principles that can apply across various contexts. For example, a formal theory might investigate "deviant behavior" as a concept applicable across different social settings

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Key characteristics of formal theory include:

• Generalizability: It aims to provide insights that extend beyond specific instances to broader categories.
• Conceptual Framework: Theories are often more abstract, focusing on relationships and mechanisms rather than direct empirical observations.
• Comparative Analysis: Formal theories are often derived through comparative studies across different substantive cases, enhancing their scope and applicability
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Differences Between Substantive and Formal Theory

The primary differences between substantive and formal theories can be summarized as follows:

Feature	Substantive Theory	Formal Theory
Scope	Specific to a particular area or context	Broad and generalizable across contexts
Basis	Grounded in empirical data	Based on conceptual frameworks
Application	Focused on particular phenomena	Aims to explain general processes or behaviors
Development Method	Developed from specific case studies	Developed through comparative analysis

Both types of theories exist on a continuum of generality, where substantive theories can evolve into formal theories as their scope is broadened through comparative analysis across different cases

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. This progression highlights the interconnectedness of these theoretical approaches in advancing sociological understanding.

In summary, while substantive theory focuses on specific empirical inquiries, formal theory aims for broader conceptualizations applicable across various contexts. Understanding these distinctions is crucial for researchers as they navigate theoretical frameworks in their studies."

My question 2: "Can you provide examples of these two terms in the subject of Human Resource Management?"

The reply: "In the context of Human Resource Management (HRM), substantive theory and formal theory can be illustrated through specific examples that highlight their distinct characteristics and applications.

Substantive Theory in HRM

An example of substantive theory in HRM is the AMO Theory (Ability, Motivation, Opportunity). This theory focuses on how specific HR practices can enhance employee performance by addressing these three components:

• Ability: Ensuring employees have the necessary skills and knowledge through targeted recruitment, training, and development programs.
• Motivation: Implementing reward systems and feedback mechanisms that encourage employees to perform at their best.
• Opportunity: Creating an environment that allows employees to utilize their skills effectively, such as providing career advancement opportunities.

For instance, a company like Amazon applies the AMO theory by offering extensive training programs (ability), performance-based bonuses (motivation), and ample career growth opportunities (opportunity) to foster employee engagement and productivity

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Formal Theory in HRM

In contrast, a formal theory example in HRM is the Resource-Based View (RBV). This theory posits that an organization’s competitive advantage is derived from its unique internal resources, including human capital. It emphasizes that effective management of these resources can lead to superior organizational performance.

For example, Unilever tailors its HR practices according to the RBV by focusing on developing its employees' skills and competencies to maintain a competitive edge in the market. This approach highlights the importance of strategic HRM practices that align with broader organizational goals, rather than just addressing specific employee needs

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Summary of Differences

• Substantive Theory (AMO Theory): Focuses on specific HR practices aimed at enhancing employee performance within a defined context.
• Formal Theory (Resource-Based View): Offers a broader conceptual framework that explains how unique organizational resources contribute to competitive advantage across various contexts.

These examples illustrate how substantive theories provide detailed insights into specific HR practices, while formal theories offer overarching principles applicable across different organizational settings."

My question 3: "Can you provide examples of these two terms in the subject of Housing Studies?"

The reply: "In the field of Housing Studies, substantive theory and formal theory can be exemplified through specific frameworks and concepts that address various aspects of housing.

Substantive Theory in Housing Studies

An example of substantive theory in Housing Studies is the Kemeny Thesis, which posits that the structure of a country's housing system (specifically, the balance between home ownership and rental housing) significantly influences its welfare state. Kemeny argues that countries with high levels of home ownership tend to have less developed welfare systems, while those with a strong rental sector often have more robust welfare provisions. This theory provides insights into specific housing systems and their implications for social policy, making it a substantive theory as it focuses on particular empirical observations within the context of housing and welfare relationships

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Formal Theory in Housing Studies

A prominent example of formal theory in Housing Studies is the Resource-Based View (RBV) applied to housing policy. This theoretical framework suggests that housing resources (such as affordable housing stock, land availability, and community services) are crucial for understanding broader economic and social outcomes. The RBV emphasizes how these resources can be strategically managed to enhance community well-being and economic stability. By focusing on the general principles governing resource management in housing, this theory provides a conceptual lens applicable across various contexts, thus serving as a formal theory

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Summary of Differences

• Substantive Theory (Kemeny Thesis): Focuses on specific empirical relationships between housing systems and welfare state development, offering insights relevant to particular contexts.
• Formal Theory (Resource-Based View): Provides a broader conceptual framework for understanding the strategic management of housing resources across different settings.

These examples illustrate how substantive theories delve into specific phenomena within housing studies, while formal theories offer overarching principles applicable across various contexts in the field."

Reference: a collection of blog notes on using chatgpt for research purpose.