Correlation:

The Pearson correlation coefficient, r, can take a range of values from +1 to -1.
A value of 0 indicates that there is no association between the two variables.
A value greater than 0 indicates a positive association; that is, as the value of one variable
increases, so does the value of the other variable.
A value less than 0 indicates a negative association; that is, as the value of one variable
increases, the value of the other variable decreases.

Coefficient, r
Strength of Association Positive Negative

Small .1 to .3 -0.1 to -0.3

Medium .3 to .5 -0.3 to -0.5
Large .5 to 1.0 -0.5 to -1.0
 1) Willing to buy at higher price V/S Would you prefer Godrej Lab

Correlations

Willing to buy if price rises Would you prefer using Godrej Lab furniture?

Willing to buy if price rises Pearson Correlation 1 0.728

Sig. (2-tailed) .000

N 95 95
Would you prefer using Pearson Correlation .728** 1
Godrej Lab furniture? Sig. (2-tailed) .000

N 95 95

The value of r=0.728

There is high level of Positive correlation between willingness to buy at higher

price and preference for Godrej labs.

Willing to buy if price rises * Would you prefer using Godrej Lab furniture?

Would you prefer using Godrej Lab

furniture?

YES NO Total

Willing to buy if price rises YES 41 7 48

NO 8 39 47
Total 49 46 95
 2) Amount Invested V/s Willing to pay higher price

Correlations

Amt Invested (Lakhs) Willing to buy if price rises

Amt Invested (Lakhs) Pearson Correlation 1 -0.553

Sig. (2-tailed) .000

N 95 95
Willing to buy if price rises Pearson Correlation -.553** 1

Sig. (2-tailed) .000

N 95 95

**. Correlation is significant at the 0.01 level (2-tailed).

The value of r= -0.553

There is high level of negative correlation between willingness to buy at higher

price and Amount invested in labs

Willing to buy if price rises * Amt Invested (Lakhs)

Amt Invested (Lakhs) Total

Less than or 5 Lakh to 10 10 Lakhs to 15 15 Lakhs and

equal to 5 Lakhs Lakhs Lakhs above

Willing to buy if price rises YES 3 8 24 7 42

NO 27 14 11 1 53
Total 30 22 35 8 95
 3) Amount Invested and Problems faced

Correlations

Amt Invested (Lakhs) Problems Faced

Amt Invested (Lakhs) Pearson Correlation 1 0.783**

Sig. (2-tailed) .000

N 95 95
Problems Faced Pearson Correlation .783** 1

Sig. (2-tailed) .000

N 95 95

**. Correlation is significant at the 0.01 level (2-tailed).

The value of r=0.728

There is high positive correlation between Amount invested and Problems faced.

Problems Faced * Amt Invested (Lakhs)

Count

Amt Invested (Lakhs)

Less than or 5 Lakh to 10 10 Lakhs to 15 15 Lakhs and

equal to 5 Lakhs Lakhs Lakhs above

Problems Faced Higher Costs of Maintenance 29 10 3 1

Lesser Flexibility 0 11 2 0

Poor Quality 0 0 1 0

Higher Costs & Lesser

1 1 1 1
Flexibility

No Problems 0 0 28 6
Total 30 22 35 8