Use common statistical tests to draw conclusions from data (2 pages)

 

Based upon the input from Units 1 and 2, you have just received your next assignment that will contribute to your next decision. For the outdoor sporting goods client, based upon your prior decision on whether or not to expand to the next market or retain your current position, justify your decision further utilizing the chi-square distribution tool. One key criterion point: You do not have adequate data to formulate a full chi-square for the outdoor sporting goods client. However, you have sufficient data to initiate this process. You are charged to demonstrate the initial steps of a nonparametric test that are qualitative. Utilizing the null and alternative hypotheses, further present your justifications for your selection and what it means beyond the mere formulas. What is this going to tell the Board of Directors and contribute to the decision-making process?

The following information may be helpful in understanding chi-square and hypothesis testing:

Please review this helpful video. The presenter uses flipping a coin and rolling a die. These are examples and analogies used in the CTU resources.

The following are assumptions that might make the assignment more helpful and make the responses more uniform:

  • Continue to utilize the Big D scenario. Work under the assumption that the sample is based upon 2 different proposed product lines.
  • Additionally, work under the assumption that the same demographics are utilized for each product.
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