Reference no: EM131550819

*Use JMP Software*

Case Study

Please read the case study "1.1: Running Case with Real Data Dell Direct" on pages 806-811 in the textbook. You are a Market Research Manager working for Burke, an independent marketing research company that has been commissioned by DELL Computers to seek opinions of recent purchasers of DELL personal computer systems. Burke has picked you to be the lead consultant to analyse the data and present your findings to the CEO and management team of DELL.

Question 1 : Customers would have spent some time with their DELL computer system by the time this survey reached out to them. The management would like to find out, what are the factors that could result in customers considering DELL again if they could make their purchase decision all over again.

(a) Prepare and recode, as a new column, how likely will the customers purchase DELL computer system again (Q6) by recoding the "Definitely would" and "Probably would" as "1" and labelled as "Yes". Recode the next category (i.e. "Might or might not have purchased") as "2" and labelled as "Maybe". Lastly, recode the last two categories (i.e. "Probably would not" & "Definitely would not") as "3" and labelled as "No". The new column containing the recoded variable, is to be renamed as "DELL_AGAIN".
Present the recoded column summary in your report.

(b) Prepare a relevant analysis to explain if DELL_AGAIN differ in terms of the performance ratings of Q8 when these variables are considered simultaneously. Discuss the results for DELL's management.

Question 2 : The survey has provided some insights into the attributes of early adoptor as indicated in Q10. However, there are too many attributes listed and the management has requested to reduce the attributes into key areas which can capture the essential of the early adoptor profile. Prepare factor analysis using principal components extraction with varimax rotation on all various performance ratings in Q10 to determine any underlying factors inherent in the data.

(a) Evaluate the appropriateness of using factor analysis by Bartlett's Test of Sphericity, (also known as ChiSquare Test), with relevant JMP output.

(b) Compare the number of factors to be extracted based on Eigenvalues, Cumulative Percentage and Scree Plot. Hence determine the most appropriate number. List the dominant variables in each factor and the variance each factor accounts for.

(c) Interpret the factors and recommend to DELL appropriate managerial actions.

Question 3 : It is a known fact that product pricing is a key consideration to consumer. However, DELL's management also believe that non-pricing factors could be equally influential too. The survey has collected several importance/performance ratings as listed in Q8. The Marketing Director for DELL has requested if they could have some sensing on the profile of their clients based on those attributes.

Execute non-hierarchical clustering to cluster the respondents, based on the importance/performance ratings in Q8.

(a) Decide an appropriate number of clusters by explaining with relevant JMP output.

(b) Based on the Final Cluster Centres table, prepare a profile for each of the clusters and interpret each cluster.

Question 4  : Explain your findings by providing an executive summary to management in about 300 words.