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April 13, 2013Information Systems Research982 citations

Research Commentary—Too Big to Fail: Large Samples and the p-Value Problem

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MLMingfeng LinHLHenry C. LucasGSGalit Shmueli

Key Points

  • To examine the risks of relying solely on statistical significance (p-values) in large-sample datasets and propose methodological solutions to assess practical significance.
  • Surveyed published Information Systems research utilizing large sample sizes (N > 10,000).
  • Demonstrated mitigation strategies for the p-value problem using an empirical dataset of over 300,000 eBay camera transactions.
  • A substantial proportion of published large-sample studies rely solely on low p-values and regression coefficient signs to support hypotheses.
  • Extremely large sample sizes drive p-values toward zero regardless of effect magnitude, increasing the likelihood of validating practically trivial associations.

Abstract

The Internet has provided IS researchers with the opportunity to conduct studies with extremely large samples, frequently well over 10,000 observations. There are many advantages to large samples, but researchers using statistical inference must be aware of the p-value problem associated with them. In very large samples, p-values go quickly to zero, and solely relying on p-values can lead the researcher to claim support for results of no practical significance. In a survey of large sample IS research, we found that a significant number of papers rely on a low p-value and the sign of a regression coefficient alone to support their hypotheses. This research commentary recommends a series of actions the researcher can take to mitigate the p-value problem in large samples and illustrates them with an example of over 300,000 camera sales on eBay. We believe that addressing the p-value problem will increase the credibility of large sample IS research as well as provide more insights for readers.

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Cite This Study

Lin et al. (2013) studied this question.

synapsesocial.com/papers/69dc6bf098c6111533e52fe9https://doi.org/10.1287/isre.2013.0480
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