Question

How can a business manager use regression to work backwards to evaluate the change in business on productivity of a business?

Answer 1

Regression analysis is using data. It helps businesses to make better decisions.

It includes predicting sales, inventory levels, supply and demand.

Companies use regression to analyse various factors (e.g.. sales drop last month)

to predict about the future (e.g.. sales for six months)

it helps to decide about the things

New insights help in understanding what can make a difference in your business.

In Business it helps to predict successes (eg how to boost sales)

it can also help businesses understand their failures.

Regression analysis can enhance businesses plot data points like sales numbers against new business like new things (website, sales , supply etc)

Regression analysis can help a business see over both the short and long term

Using more data and understanding it, can help to maximize the business.

For Eg: In a company the data shows that productivity increased in Winter than in Summer

So the Production manager can analyse why the production is increased only in winter

So he can Optimize the Temperature and can bring more productivity

In this case let us say cool temperature is the main reason so they can fit a temperature Optimizer and bring production.