Question

]: A marketing research analyst is interested in determining if consumer preferences between brand 1 and brand 2 are different. The research analyst successfully recruits 9 consumers to participate in a focus group to determine preferences. After a conducting series of questionnaires and discussions, the analyst determines that 7 of the consumers prefer brand 1, and the remaining consumers prefer brand 2. The analyst records preferences as +1 for consumers who preferred brand 1, and -1 for people who preferred brand 2. The analyst would like to determine if this result provides evidence that there is a difference in brand preference in the population.

1) State the null and alternative hypotheses [1 mark]:

________________________________________________________________________________________

________________________________________________________________________________________

2) Calculate the test statistic. [1 mark]

__________________________________________________

3) Calculate the p-value. [5 marks]

4) Based on this p-value, do you reject the null hypothesis (Yes or No)? [1 mark]

_________________

5) In one sentence, conclude in the context of the original question [1 mark]

6) Suppose you are the marketing strategist for the company that produces brand 2. You obtain the results of the above marketing research study. You would like your brand (brand 2) to be preferred over brand 1. Does this result indicate that you should consider changing your marketing strategy (Yes or no)? [1 mark]

_________________

Answer 1