Grounded theory is a qualitative methodology designed to generate or capture an explanation (theory) of a process, action, or interaction. The method was created in the 1960s by sociologists Glaser and Strauss. Because of its systematic approach to data collection, analysis, and verification, grounded theory came to be viewed as a legitimate form of qualitative research in the heavily positivist era of mid‐century social science. Constructivist grounded theory and situational analysis are two contemporary approaches that have grown out of these original 1960s roots. These newer forms reflect more postmodernist sensibilities. This entry describes the history of grounded theory as well as summarizes the newer approaches. Also reviewed are common characteristics associated with all grounded theory analyses, such as theoretical sampling and theoretical saturation, theoretical sensitivity, treatment of the literature, memos and diagrams, concepts/codes and categories/themes, constant comparative method coding process, open coding, axial coding, selective coding processes, and in vivo codes. The entry ends with a description of the procedures involved with conducting a traditional grounded theory from start to end.