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It is obvious that big companies like Amazon and Google have advantages over smaller companies in terms of access to large data. These companies continue to benefit from the sheer volume of data they generate. As mentioned in Forbes by Peter Pham (2015) (Links to an external site.), "Amazon currently has approximately 270 million active users in 185 countries and 16 million listing units. Google has approximately 12 trillion monthly searches, which dominates the internet search engine market to the tune of approximately a 90 percent market share, including over one billion YouTube users and 500 million Google Plus users."
Large data sets (big data) can do much more than personalize customers' shopping experiences and optimize the search engine algorithm. It can help business make faster and better business decisions through the use of hypothesis testing.
List and explain four ways in which hypothesis testing using big data can improve competitive advantage and decision making for businesses.
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1. On PHET Interactive Simulations website from the University of Colorado Boulder.
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