Abstract: Hypothesis testing is probably one of the fundamental concepts in academic research especially where one wishes to proof a theory, logic or principle. Business and social research embeds several theories and established principles whose application in practice requires testing, and hypothesis testing comes in handy. Whereas the importance of hypothesis testing cannot be overemphasized, the procedure for hypothesis testing including setting up hypotheses by social scientists is not very clear. What is more, the conventional understanding of hypotheses testing may often lead to misleading interpretation. This purpose of this paper is to simplify the concepts is hypothesis testing. We use analysis of theoretical literature and simple illustrations to demonstrate use of hypothesis testing in business and social sciences studies.