The Basics
What Is Action Research?
Action research is a disciplined process of inquiry conducted by and for those taking the action. The primary reason for engaging in action research is to assist the “actor” in improving and/or refining his or her actions.
The Action Research Process
Educational action research can be engaged in by a single teacher, by a group of colleagues who share an interest in a common problem, or by engaged students. Whatever the scenario, action research always involves the same seven-step process. These seven steps, which become an endless cycle for the inquiring teacher, are the following:
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Selecting a focus
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Clarifying theories
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Identifying research questions
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Collecting data
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Analyzing data
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Reporting results
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Taking informed action​
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Source: ASCD http://www.ascd.org/publications/books/100047/chapters/What-Is-Action-Research%C2%A2.aspx

Action
Action research in comparison with other types of research is conducted by people who want to do something to improve their own situation. The point of action research is action.
No One Way
There is no one methodology to action research and that makes it liberating. When students attempt action research the experience should empower them to make a different in their communities.