Reference no: EM132222627

Business Statistics Assignment -

Learning Outcomes -

a. Understand fundamentals of statistics and its application in business.

b. Assess when and how to use statistical analysis.

c. Solve statistical problems using analytical methods.

d. Generate a range of output from statistical analysis software and interpret the results.

e. Apply knowledge of related statistical analytical techniques as related to business problems.

Assignment Description - This group assignment draws upon the individual assignment and extends the analysis. Students are required to produce the group assignment using data provided, which was initially used for the individual assignment. You need to use Business Statistics tools, techniques and terminology that you have learnt from weeks 6-10 to analyse the data and to write up the assignment.

Data set [ABZ-Customer &Sales data] is from a global corporation which include two sheets and the data is inclusive of a 400 days of trading.

1. The first datasheet labelled [customer attributes] lists the results of an online survey given to customers.

a. The variables include:

i. Customer ID

ii. "Gender" - male or female

iii. Marital status (Married, single)

iv. Age

v. Type of customer (regular, promotional)

vi. Region that they come from (east, west, south, north)

vii. Payment which defined customers' payment methods (Paypal, credit)

viii. Source (web, email)

ix. Amount of customer's pay

x. Product that they have purchased (Best select, CD, Classical, DVD, Novel, Politics).

2. The second datasheet labelled [Sales] lists some financial data.

a. The variables include:

i. Days of transaction

ii. Opening Gross Sales

iii. Total Gross sales for the days.

iv. Price over earning ratio

v. Gross profit margin (%)

vi. Revenue ($000)

Assignment instructions: The business sells categories of products including DVD, CD, and books which include Classical, Novel, Politics, and bestsellers. The main challenges in the business are profit, and decreasing sales. As business struggles to survive in the market, you have been hired as an analyst to help the manager to find out the reasons behind the sales decline and profit loss.

Using analytics and application (LAB practices) address the following questions/sections (as guide only). You can come up with any rational question to answer, as long as you can provide your reasoning and assumptions behind that.

As guide - answer these main research questions within the following sections:

1. Variance/Standard deviation: Compare variance and standard deviation between 'total gross sales' and 'opening gross sales'. Is there a meaningful difference between them? How far below or above the average each of them are?

2. Covariance: Find out covariance between 'price/earning ratio' and 'gross profit margin'. Do they change in the same direction?

3. Independent sample T-test: Is there statistically significant difference in 'Amount' paid between two groups of male and female customers?

4. Z-score: How many standard deviation above or under average 'Amount' and 'Age' are? Are there any outliers? (choose any numerical variable)

5. Chi-square test: Is there any relationship between 'type of customer' and 'product' purchased?

6. Correlation analysis: Is there statistically significant relationship between 'Opening gross sale' and 'revenue'?

7. Regression analysis: Does 'total gross sale' determine 'gross profit margin'?

Assignment structure:

Introduction:  Introduce the business and its problems. Describe the company, what does it do

Problem definition and business intelligence required: Defining problem of the business and what they are trying to achieve by the analysis. This includes your possible assumptions and the logic behind them

Variance/ Standard deviation: Is there a meaningful difference between two variables?

Covariance: How two variables vary? In the same direction or otherwise?

Independent sample T-test: statistically significant difference between two groups.

Z-score: Where are the variables in terms of their standard location?

Chi-square test: Any relationship between two categorical variables?

Correlation analysis: Significant relationship between two numerical variables?

Regression analysis: Does a variable influence other variable?

Results and Recommendations: Based on the analyses what conclusions/suggestions you can have for decision makers?

Attachment:- Assignment Files.rar