What approach emphasizes developing a theory based on data collected from participants?

The approach that emphasizes developing a theory based on data collected from participants is grounded theory. This methodology is particularly focused on generating theory that emerges from the data itself rather than testing a pre-existing theory or hypothesis. Researchers using grounded theory engage with the data through a systematic process of coding and categorizing, allowing them to discover patterns and relationships within the data. This iterative process enables the theory to evolve as more data is collected and analyzed, providing a rich, grounded understanding of the phenomenon being studied.

In contrast, other methodologies like hypothesis-driven research start with an existing theory or hypothesis that guides the data collection and analysis, rather than allowing the theory to emerge organically from the study participants' responses. Quantitative reasoning typically relies on numerical data and statistical analysis to test predetermined hypotheses instead of generating theory from qualitative insights. Applied research is primarily focused on practical applications and solutions to specific problems, rather than on developing theoretical frameworks from raw data.