Market share for rudybird

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Reference no: EM13894630

Researchers at Miami University in Oxford, Ohio, investigated the use of p charts Ohio to monitor the market share of a product and to document the effectiveness of marketing share of a product and to document the effectiveness of marketing promotions. Marketing share is defined as the company's proportion of the total number of products sold in a category. If a p chart based on a company's market share indicates an incontrol process, then the company's share in the market-place is deemed to be stable and consistent over time. In the example givenin the article, the RudyBird Disk Company collected daily sales data from a nationwide retail audit service. The first 30 days of data in the accompanying table below indicate te total number of cases of computer disks sold and the number of RudyBird disks sold. The final 7 days of data were taken after RudyBird launched a major in-store promotion. A control chart was used to see if the in-store promotion would result in special cause variation in the marketplace.

a. Construct a p chart using data from the first 30 days (prior to the promotion) to monitor the market share for RudyBird Disks.

b. Is the market share for RudyBird in control before the start of the in-store promotion?

c. On your control chart, extend the control limits generated in (b) and plot the proportions for days 31 through 37. What effect, if an, did the in-store promotion have on RudyBird's market share?

Cases Sold Before the Promotion

Day

Total Cases

RudyBird

1

154

35

2

153

43

3

200

44

4

197

56

5

194

54

6

172

38

7

190

43

8

209

62

9

173

53

10

171

39

11

173

44

12

168

37

13

184

45

14

211

58

15

179

35

16

177

56

17

143

43

18

200

69

19

134

38

20

192

47

21

155

45

22

135

36

23

189

55

24

184

44

25

170

47

26

178

48

27

167

42

28

204

71

29

183

64

30

169

43


Cases Sold After the Promotion

Day

Total

RudyBird

31

201

92

32

177

76

33

205

85

34

199

90

35

187

77

36

168

79

37

198

97


Reference no: EM13894630

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