### MIS171 - Business Analytics - Write a letter to the

**Background**

This is an individual assignment which requires you analyse a dataset, interpret the results and then report your findings to a person with little or no knowledge of statistical data analysis. The assignment uses the file "Ass2.xlsx" which is the same data set used for assignment one, and can be downloaded from the MIS171/MISP171 section in Moodle (in the Deakin College Portal).

This assignment requires you perform inferential techniques (based on Lectures and Tutorials in Weeks 8 and 9) on the Blitz dataset and then report on your findings.

There are two (2) parts to this assignment:

**Part 1: **Data Analysis (calculations to be performed by hand/typed up with formula and all workings to be shown. Answers should be checked using Excel)

**Part 2:** A reply to Jacinta Jones in the form of a memorandum addressing her questions and demonstrating how you have reached your conclusions.

**Scenario**

As for Assignment 1, you are playing the role of Alex Cassidy, Senior Analyst for Blitz department stores. Jacinta, the General Manager at Blitz has written to you again regarding the Blitz customer dataset. Her memorandum is reproduced on the next page.

For Attention: Alex Cassidy, Senior Analyst

From: Jacinta Jones, General Manager

Regarding: Analysis of the Blitz Store Data

Dear Alex,

Thank you for your earlier responses.

For me to finalise a report on Blitz customers required by senior management, I need the following information.

1. An estimate of:

a. the mean average amount spent per visit of ALL of our customers.

b. the true proportion of ALL shoppers who are using the internet to shop online at our Blitz stores.

2. The mean amount spent per shop at any shop (according to national data) is $100. We were wondering if there is evidence to indicate Blitz shoppers are spending less than this on average? Can you please check the validity of this claim?

3. Senior management also believes that the internet site is not performing as well as it should, and perhaps they need to invest more money on promoting it? If we can show that at least 25% of our shoppers are using the site, they would be content to leave it as is. Can you please check to see if there is sufficient evidence to indicate that the proportion of all shoppers using the site to shop is at least 25%?

4. Is there any evidence to indicate that there is a significant difference in the average amount spent by ALL male and ALL female customers?

5. I am concerned that a sample of 300 customers may not provide us with very accurate estimates. For future surveys, what sample size would be needed to be able to estimate:

a. the mean spends for ALL BLITZ customers to within $5, with 95% confidence?

b. the proportion of ALL BLITZ customers using the online website to shop within 3%, with 95% confidence?

**ACTIVITIES**

**Part 1: ANALYSIS**

You will need to apply techniques you have learned/will learn during lectures and tutorials in Weeks 8 and 9. You will also need to use the results of your assignment 1 analysis as the basis for your answers to assignment 2.

NOTE: For all confidence intervals and related calculations you can assume that a 95% confidence level is appropriate. For hypothesis tests a 5% level of significance (α = 0.05) is appropriate.

**Part 2: RESPONSE TO JACINTA**

This should be in the form of a report (as for Assignment 1).

GUIDELINES

The General Manager has asked for a number of tasks to be done. The following guidelines for each question should be followed:

1. ( a) A n es tim ate of the mean amount spent per shop for ALL Blitz customers.

You will need to calculate an estimate of the mean spend for ALL Blitz customers and be able to interpret your result as demonstrated in the relevant lecture and tutorial.

HINT: The Week 8 lecture and tutorial may be helpful.

1. ( b) The proportion of ALL Blitz customers who are using the online store to shop.

You will need to first determine the relevant sample proportion from your data then calculate the estimate of the proportion ALL Blitz customers who are using the online store to shop.

HINT: The Week 8 lecture and tutorial may be helpful.

2. The mean amount spent per shop at any shop (according to national data) is $100. We were wondering if there is evidence to indicate Blitz shoppers on average are spending less than this?

You will need to test to see if Blitz customers are the same as the national trend by using an appropriate technique and be able to interpret your result as demonstrated in the lecture and tutorial.

HINT: The Week 9 lecture and tutorial may be helpful.

3. Can you please check if there is evidence that the proportion of all Blitz shoppers using the site to shop is at least 25%?

Again, use an appropriate technique to test this claim and be able to interpret your result as demonstrated in the lecture and tutorial.4. Is there a significant difference in the average amount spent of ALL male and ALL female customers at Blitz department stores?

You will need to find out if there is a significant difference in the mean spend at the Blitz stores between ALL male and ALL female customers and be able to interpret your result as demonstrated in the relevant lecture and tutorial.

HINT: The Week 8 lecture and tutorial may be helpful.

5. Jacinta is concerned that a sample of 300 customers may not provide very accurate estimates. What sample size is required to ensure:

a. the mean spend for ALL BLITZ customers is true to within $5, with 95% confidence?

b. the proportion of ALL BLITZ customers using the online website to shop is accurate to within 3%, with 95% confidence?

**Part 2: Report **(that is, your reply to the Manager's letter)

Write a letter to the manager, explaining essential information and conclusions from your data analysis. You are allowed no more than two pages to convey your written findings.

- Keep the English simple and the explanations brief.

- Avoid the use of technical statistical terminology. Your reader will not necessarily understand even simple statistical terms, thus your task is to explain your analysis using plain, understandable language.

References APA

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