Question

In: Statistics and Probability

Globo opened its first store in 1992 and it is Canada's largest family shoe store with...

Globo opened its first store in 1992 and it is Canada's largest family shoe store with the widest selection of fashion-right footwear. The company has recently launched an online store. Sales via the internet have been sluggish compared to their brick and mortar stores, and management suspects that its regular customers have concerns regarding the security of online transactions. To determine if this is the case, they plan to survey a random sample of their regular customers. Under consideration are several plans for selecting the sample. Name the sampling strategy for each of the following.

a.Regular customers belong to a rewards program and have a customer rewards ID number. Randomly select 100 numbers.

b. Globo has stores in five different cities in Ontario, Canada. Randomly select one of the stores and survey all regular customers that belong to its rewards program.

c. Globo has an alphabetized list of regular customers who belong to their rewards program. After randomly selecting a customer on the list, every 25th customer from that point on is chosen to be in the sample.

d. Customers are grounded into four age categories ( under 21, 21 to 35, 36 to 50, and older than 50). Randomly select 10 regular customers in each age category.

Solutions

Expert Solution

Solution:

a.Regular customers belong to a rewards program and have a customer rewards ID number. Randomly select 100 numbers.

Answer: Simple random sampling

b. Globo has stores in five different cities in Ontario, Canada. Randomly select one of the stores and survey all regular customers that belong to its rewards program.

Answer: Stratified sampling-Here the population is divided into group based on cities. Then within each group sample is selected.

c. Globo has an alphabetized list of regular customers who belong to their rewards program. After randomly selecting a customer on the list, every 25th customer from that point on is chosen to be in the sample.

Answer: Systematic random sampling-Here a list is created and every 25th customer is selected from the population.

d. Customers are grounded into four age categories ( under 21, 21 to 35, 36 to 50, and older than 50). Randomly select 10 regular customers in each age category.

Answer: Cluster sampling- Here the population is divided into groups based on the age and then a random sampling is done.


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