Reference no: EM132860564

Instruction

Scenario Background:

A marketing company based out of New York City is doing well and is looking to expand internationally. The CEO and VP of Operations decide to enlist the help of a consulting firm that you work for, to help collect data and analyze market trends.

You work for Mercer Human Resources. The Mercer Human Resource Consulting website lists prices of certain items in selected cities around the world. They also report an overall cost-of-living index for each city compared to the costs of hundreds of items in New York City (NYC). For example, London at 86.75 is 13.25% less expensive than NYC.

If you choose to explore the website further, you will find a lot of fun and interesting data. You can explore the website more on your own after the course concludes.

Assignment Guidance:
In the attached Excel document, you will find the 2021 data for 18 cities. Included are the 2021 cost of living index, cost of a 3-bedroom apartment in the city (per month), the price for a liter of Gas, the price of monthly transportation pass, the price for internet, the price for a liter of milk, and the average monthly income after tax. All prices are in U.S. dollars.

I have used this data to run a Multiple Linear Regression to predict Cost of living, along with calculating various descriptive statistics. This analysis is provided in the Excel output (YOU DO NOT NEED TO DO ANY CALCUALTIONS FOR THIS PROJECT - Your task is to interpret the data).

Based on this data which city should you open a second office in? You must justify your answer (see attachment with details regarding justification and grading). You must recommend 2 different cities and rank them based on the data and your findings.

Deliverable Requirements:
This should be ¾ to 1 page, no more than 1 single-spaced page in length, using 12-point Times New Roman font. You do not need to do any calculations, but you do need to pick two cities to open a second location at and justify your answer based upon the provided results of the Multiple Linear Regression.

The format of this assignment will be an Executive Summary. Think of this assignment as the first page of a much longer report, known as an Executive Summary, that essentially summarizes your findings briefly and at a high level. This needs to be written up neatly and professionally. This would be something you would present at a board meeting in a corporate environment. If you are unsure of an Executive Summary, this resource can help with an overview. What is an Executive Summary?

Things to Consider:
To help you make this decision here are some things to consider:
• Based on the MLR output, what variable(s) is/are significant?
• From the significant predictors, review the mean, median, min, max, Q1 and Q3 values?
o It might be a good idea to compare these values to what the New York value is for that variable. Remember New York is the baseline as that is where headquarters are located.
• Based on the descriptive statistics, for the significant predictors, what city has the best potential?
o What city or cities fall below the 1st quartile?
o What city or cities are in the upper 3rd quartil

MEET REQUIREMENTS FOR ASSIGNMENT
1) Executive Summary
a. Please review what an Executive Summary looks like: What is an Executive Summary?
b. Must have cover page.

2) a. Spell and grammar check your work.
b. Make sure you have correct punctuation and complete sentences.

3) State significant predictors
a. Look at the Multiple Linear Regression output in Excel and state which predictors are significant at predicting Cost of Living, and provide their p-values. Use alpha = 0.05.
b. Comment on the significant predictors. What does it mean for them to be significant?
Do the significant predictors make sense when considering relocation options?

4) Discuss descriptive statistics for the significant predictors
a. Examine the mean, median, min, max, Q1 and Q3 values for the significant predictors.
b. State which cities fall below the lower 1st quartile for each significant predictor.
c. State which cities are in the upper 3rd quartile for each significant predictor.
d. How does NYC's values of the significant predictors compare to other cities? (Recall, the business is headquartered in NYC)

5) Recommend at least 2 cities to open a second location in
a. You must justify your answer for full credit, and tell us which city is your first choice and which city is your second choice.
b. You must use the Significant Predictors AND Descriptive Statistics in your justification.
i. Justification without the use of Significant Predictors WILL NOT get full credit.
ii. Justification without the use of Descriptive Statistics WILL NOT get full credit.

You need to use both.

c. For example, let's look back at London. London at 86.75, is 13.25% less expensive than NYC. But that doesn't necessarily imply that London is a good place to open a second location once you discuss the significant predictors and how they relate back to each city. Look at NYC and see if you can find a city that is similar. Or, you may look at NYC and look for a city that is much less expensive. Either way, justify your answer by looking at the descriptive statistics for the significant predictors.
d. Use what you have learned in the course and analyze all the data not just what you see on the surface.
e. You must use the numbers and the output to justify your answers. Do not use any outside resources to justify your answer. Only use Significant Predictors AND Descriptive Statistics.

Attachment:- Assignment Instructions.rar