This paper suggests the grounded theory as a methodology that can contribute effectively and efficiently to confronting the crisis of theory and its relationship with empirical reality, which is one of the most significant obstacles to the production of social science in the Arab context. The paper presents this approach, its procedures and its inductive method, which is conducive to the construction of a theory based on empirical data and not on preconceived assumptions. It discusses the theoretical and practical benefits of its adoption in field research on Arab societies and the challenges which those who employ it may face, both in general and in the Arab world in particular, offering some ideas on how to deal with these issues. Finally, it concludes with several suggestions for enhancing its practice in Arab universities and research centers.