Question

Assume that you have been asked to design an experiment for the marketing department of a major automotive company. They would like to know what color(s) are most appealing to 18-24 year olds who purchase new trucks.

Design an appropriate experiment, and then submit a short (< 3 pages) Technical Memo presenting your proposal.

At a minimum, your memo should include:

• A clear objective statement for your experiment

• Procedure for collecting data

• Methodology for analyzing the data

• Proposed method for presenting the data and drawing conclusions

• Estimated cost of the experiment, including equipment and labor

Answer 1

a)to find out the three most prefferd colors by18-24 year olds who purchase new truck.

b) company has to find out drivers who are already driving trucks in that area(between age 18-24) which will serve as a sample for experiment. To make them ready for the experiment trucks some perks can be given. at least 40 individual should be chosed so that they can represent a normal distribution.

c) an experimental sheet is made with pictures of 6 trucks of different colours lets say red, blue, green, while, yellow,black. the individuals selected for the experiment are asked to choose three from them and than rank those pictures in the order 1,2, 3..... 1 being most preferred. data is collected from all individuals and recorded.

d) as the responses recorded are categorical in nature and also in order of preference their frequencies occuring throughout the sample are written in a tabular form. these frequencies are then analysed by chi-square process to achieve the result.

e) total cost of the experiment will include the cost of perks given to 40 customers + cost of sheets containing the pictures + cost of designer + printer cost +stationary + analyst's compensation