confidence intervals and hypothesis testing 4

You are a consultant who works for the Diligent Consulting Group. In this Case, you are engaged on a consulting basis by Loving Organic Foods. In order to get a better idea of what might have motivated customers’ buying habits you are asked to analyze a customer database. You realize the database is still incomplete, so you recontact these customers and collect additional information. The database now includes “Annual Amount Spent on Organic Food,” “Age,” “Annual Income,” “Number of People in the Household,” and “Gender.”

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Case Assignment

Using Excel, generate descriptive statistics for these new variables: “Annual Income,” “Number of People in the Household,” and “Gender.”

You have much more information about the customers than you did in the Module 1 Case. After you have reviewed the results generated above, write a report to your boss that briefly describes the results that you obtained. Please include the following in your report:

  1. The descriptive statistics you generated.
  2. Your interpretation of the descriptive statistics and any visual displays or other tools you used to analyze the data.
  3. Your recommendation on how this new data might be used for marketing purposes.
  4. Comment on whether this new recommendation is different than the one you provided in the Module 1 case. If so, explain why it is different.
  5. Compare your statistical results from the new variables with those of the industry.
  6. Lastly, your client argues that the amount of money spent on organic food is the same for females and males. You decide to test this at the α = 0.10 level, using a two-sample hypothesis test. You don’t know the population standard deviation, but you assume they are the same. Run this test in Excel and interpret the results. Can you support your client’s claim?

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