Question

Scenario Script Caption: Mieke has been working to tackle a difficult problem and she needs your help. She wants to know the most effective location for displaying Princess’ new granola bar in retail grocery stores. Mieke: Where we put our products in our grocery stores has a pretty significant impact on sales. Does the granola bar sells better in the aisles, or in promotional displays at the end of shelves or is most popular when it’s stocked in the checkout lanes as an impulse item? Caption: The marketing department conducted an experiment where they placed the granola bars at one of three locations in five stores for each treatment in similar stores. The data have been collected and now requires analysis. With the information below, complete the following:

1. Conduct an ANOVA test at a significance of 5%.

2. Interpret the results and explain which location you would recommend and why.

Store	Aisle	End-Cap	Check-out
1	738	712	833
2	726	685	795
3	722	725	782
4	715	699	754
5	767	632	772

Answer 1

In order to solve this question I used Excel.

Step.1 Enter data in excel sheet.

Step.2 Go to 'Data' menu ---> 'Data Analysis' ---> Select 'ANOVA : Single Factor'.

Step.3 New window pop-up on screen. Refer following screen shot and enter information accordingly.

Excel output:

Anova: Single Factor
SUMMARY
Groups	Count	Sum	Average	Variance
Aisle	5	3668	733.6	418.3
End-Cap	5	3453	690.6	1294.3
Check-out	5	3936	787.2	879.7
ANOVA
Source of Variation	SS	df	MS	F	P-value	F crit
Between Groups	23422.53	2	11711.27	13.55314	0.000835	3.885294
Within Groups	10369.2	12	864.1
Total	33791.73	14

Hypothesis:

H_a : At least one is significantly different than others.

Test statistic, F = 13.5531

P-value = 3.8853

Since p-value is less than 0.05, we reject null hypothesis and conclude that At least one is significantly different than others.

Here we see that mean granola bar sell is maximum at check -out location. Hence we would recommend to put granola bar at check-out location.