Case1. A travel magazine reported on quality of in flight services based on the results of interviewing 20 passengers from each of the airlines. |In flight service parameters | MEAN |df |F |p | | |Air India |Jet |Kingfisher | | |royalsok |25.00 |0.00 |0.5 |0.84 | |beerok |3.00 |0.02 |0.23 |-0.34 | | | | | |-3.63 |
Table 2. Wilks' Lambda
|Test of Function(s) |Wilks' Lambda |Chi-square |df |p | |1 |0.24 |54.266 |8 |0.00 |
Table 3: Classification Results(a)
| | |country |Predicted Group Membership |Total | | | | |Danish |British | | | |% |Danish |5 |o |100.0 | | | |British |0 |5 |100.0 |
a - 100% of original grouped cases correctly classified.
Solution: The regression analysis output shows in its p value that the classification of groups has been correctly done which is 100% that easily comes much more than the 60% thumb rule defined.
It is better to take Unstandardized coefficients for forming the Discriminative Equation.
British/Danish = 0.84(Royalsok) – 0.34(Beerok) – 3.63 (constant)
✓ Taking modulus of standardized coefficients suggests that the higher value (0.5) of royalsok is indicating or helping in determining whether the respondent is Britisher or Danish.
✓ It is not possible to determine the origin of the respondent (whether a Britisher or Danish) since the functions at Group Centroids values are not given.
Case 3. A consumer survey was conducted by Ariel before launching its new variant. One of the objectives of the study was to understand purchase intention of consumers in different income categories. Conclude as to the results of the study.
Table: Comparitive buying intentions of different income groups
|χ2=.551, df=2, sig=.759, | |Income groups |Total | | | |0- 5000 |5001-10000 |more than 10000 | | |Intention to buy |Yes |Count |72 |107 |146 | | |% |100.0% |100.0% |100.0% |100.0% |
Normal curve (determining the confidence level)
On the basis of the customer survey we can summarize buying behavior of the customers as follows.
Determining the significance between the people who intend to buy Ariel with respect to the different income categories in which they fall.
Ho : There is no significant difference between the people who intend to buy Ariel with respect to the different income categories in which they fall.