Question

A firm’s corporate strategy is driven largely by its top management team. One method of gauging the influence of marketing on corporate strategy is to measure the proportion of firms with a chief marketing officer on their top management team. Over the 5-year period from 2000 to 2004, 42% of firms had a chief marketing officer on their top management team. [Source: Pravin Nath and Vijay Mahajan, “Chief Marketing Officers: A Study of Their Presence in Firms’ Top Management Teams,” Journal of Marketing, 70 (2007).] To test the hypothesis that the influence of marketing on corporate strategy today is different from its influence in the 2000–2004 period, a random sample of 91 U.S. firms is selected. Of these, 26 firms have a chief marketing officer on their top management team. The test is conducted at a significance level of α = 0.01. Let p be the true proportion of firms with a chief marketing officer currently on their top management team.

To conduct the hypothesis test, the null and alternative hypotheses are formulated as: A. H₀: p ≥ 0.42; Ha: p < 0.42 B. H₀: p̄ = 0.42'; Ha: p̄ ≠ 0.42 C. H₀: p = 0.42; Ha: p ≠ 0.42 D. H₀: p ≤ 0.42; Ha: p > 0.42 If the null hypothesis is true, the sampling distribution of the sample proportion p̄ can be approximated by ____ with a mean of ____ and a standard deviation of ___ . The test statistic is ____. Use the Distributions tool to develop the rejection region. According to the critical value approach (with α = 0.01), when do you reject the null hypothesis? Reject H₀ if t ≤ –2.632 or if t ≥ 2.632 Reject H₀ if z ≤ –2.576 Reject H₀ if z ≤ –2.576 or if z ≥ 2.576 Reject H₀ if z ≤ –2.326 or if z ≥ 2.326 Use the provided Distributions tool to determine the p-value. The p-value is ____. Using the critical value approach, the null hypothesis is (not rejected/rejected), because ___. Using the p value approach, the null hypothesis is (not rejected/rejected), because ____. Therefor you (can/cannot) conclude that the influence of marketing on corporate strategy today is different from its influence in the 2000–2004 period.

Answer 1

null and alternative hypotheses are : C. H₀: p = 0.42; Ha: p ≠ 0.42

sampling distribution of the sample proportion p̄ can be approximated by normal distribution with a mean of 0.42 and  standard deviation of 0.0517

The test statistic is -2.596

Reject H₀ if z ≤ –2.576 or if z ≥ 2.576

The p-value is 0.0094

Using the critical value approach, the null hypothesis is rejected because test statistic falls in rejection region

Using the p value approach, the null hypothesis is  rejected because p value is less than 0..01

Therefor you can conclude that the influence of marketing on corporate strategy today is different from its influence in the 2000–2004 period.