MARKETING RESEARCH & SPSS (14th May, 2011): 1. Data Entry 2.

Central Tendency (Mean, Median & Mode) 3. Graphical Presentation (Histogram with Normal Curve) 4. Hypothesis Testing a. T- Tests (One Sample, Independent sample, Paired Sample T-tests) b. Chi-Square Test 5. Correlation 6. Regression 7. Factor Analysis 8. ANOVA

STEPS & METHODS

Central Tendency (Mean, Median & Mode) & Graphical Presentation (Histogram with Normal Curve)
STEPS: Analyze Descriptive Statistics Frequencies Select the required Variable(s) Select Statistics (choose whichever statistic is required to be applied Mean, Median, Mode and/or Standard Deviation) Select Charts (for Histogram with Normal Curve) Continue OK ANALYSIS OF OUTPUT: Draw Statistics Table Analyze the values of Mean, Median, Mode and/or Standard Deviation Analyze the Graph Write Conclusions & Interpretations drawn from the data

Hypothesis Testing (T-Tests)

1. One Sample T-Test Hypothesis is: H0: = x H1: x Here, is the mean of the population And, x is the mean of the sample Confidence Level = 95% (by default, unless specified) STEPS: Analyze Compare Means One Sample T-test Select the variable to be tested in Test Variable(s) Select the variable that would Group the variables in Grouping Variable

 Define Groups {Use specified values Define Groups using the values as entered during Data Entry (e.g.: 1 for Male & 2 for Female)} Continue to change Confidence Level select Options & enter required Confidence Level (default = 95%) Continue OK ANALYSIS OF OUTPUT: Write the hypothesis along with the Confidence Level & Significance Level () Draw the One-Sample Test Table From the table, check the value of Sig. (2-tailed) [= p] o If, p > ; Then, we accept the null hypothesis o If, p < ; Then, we reject the null hypothesis Write the conclusion of the hypothesis result If the hypothesis has been accepted, calculate the range by adding & subtracting the values in the Upper Limit & Lower Limit (respectively) to the value of x, and write mean of the sample = x, while the mean of the population would lie in the range {(x LL) & (x + UL)} 2. Independent Sample T-Test: Questions where one variable is divided into two groups & is compared, e.g.: mean age of Male & Female population) Hypothesis is: H0: 1 = 2 H1: 1 2 Here, 1 is the mean of the population1 And, 2 is the mean of the population2 Confidence Level = 95% (by default, unless specified) STEPS: Analyze Compare Means Independent Sample T-test Select the variable to be tested in Test Variable(s) Select the variable on the basis of which grouping of Test Variable(s) would be done in Grouping Variable Select Define Groups (Select Use specified values and define the Groups as per the data input in the Values. E.g.: 1 for Male & 2 for Female) Continue to change Confidence Level select Options & enter required Confidence Level (default = 95%) Continue OK ANALYSIS OF OUTPUT: Write the hypothesis along with the Confidence Level & Significance Level ()

In the Independent Sample Test Table, check the column Levenes Test for Equality of Variances o If, Sig. > ; Then, we see the first row in that table (Equal Variances are assumed) o If, Sig. < ; Then, we see the second row in the table (Equal Variances not assumed) o We have to mention the same in the solution; e.g.: if Sig. = 0.514 & = 0.5, then Sig, > thus, according to Levenes Test for Equality of Variances, we assume Equal Variances Draw the Independent Sample Test Table but only the t-Test for Equality of Means section From the table, check the value of Sig. (2-tailed) [= p] o If, p > ; Then, we accept the null hypothesis o If, p < ; Then, we reject the null hypothesis Write the conclusion of the hypothesis result

3. Paired Sample T-Test: Questions where you compare the Before & After effects of something, like an Advertising Campaign), i.e., comparison of a pair of variables Hypothesis is: H0: 1 = 2 H1: 1 2 Here, 1 is the mean of the Before-scenario And, 2 is the mean of the After-scenario Confidence Level = 95% (by default, unless specified) STEPS: Analyze Compare Means Paired Sample T-test Select both the variables that have to be tested, together, in Paired Variables to change Confidence Level select Options & enter required Confidence Level (default = 95%) Continue OK ANALYSIS OF OUTPUT: Write the hypothesis along with the Confidence Level & Significance Level () Draw the Paired Samples Test Table From the table, check the value of Sig. (2-tailed) [= p] o If, p > ; Then, we accept the null hypothesis o If, p < ; Then, we reject the null hypothesis Write the conclusion of the hypothesis result

Hypothesis Testing (Chi-Square Test)

Questions where the hypothesis regarding the dependency of two variables is to be tested Hypothesis is: H0: a & b are independent of one another H1: a & b are dependent on one another Here, a & b could be variables like Gender & Brand Preference, etc. STEPS: Analyze Descriptive Statistics Crosstabs Select the variables to be tested in Row(s) & Column(s) Select Statistics & check the Chi-Square box Continue Select Cells & check the Expected box (Observed box is checked by default & keep it selected) Continue OK ANALYSIS OF OUTPUT: Write the hypothesis along with the given Confidence Level & Significance Level () Draw the Cross-tabulation Table & Chi-Square Tests (but only the row with Pearson Chi-Square) From the table, check the value of Asymp. Sig. (2-sided) [= p] o If, p > ; Then, we accept the null hypothesis o If, p < ; Then, we reject the null hypothesis Write the conclusion of the hypothesis result

Correlation
Questions where either it is specified to correlate the variables, or even in regression questions as a part of it STEPS: Analyze Correlate Bi-variate Select all the variables whose correlation is to be measured in Variables OK ANALYSIS OF OUTPUT: Check the Correlations Table and the Pearson Correlation rows for the relevant variables (relation between the dependent & each independent variable) o Write the values as r = and then explain these values in terms of positive/negative correlation & the strength of the relationship

Regression
Questions where you have to forecast the values for a dependent variable STEPS: Analyze Regression Linear Select the dependent variable the value of which has to be forecasted in Dependent Select the independent variables in Independent(s) OK ANALYSIS OF OUTPUT: From the Model Summary table write the R value & R Square value o R is the coefficient of correlation & is the absolute value of the relationship between the dependent variable & the independent variable(s) o After writing the R value, you can also write the correlation values as calculated before (under Correlation) o R Square value (to be written in %) represents the percentage of the dependent variable affected by the given independent variable(s) Write the Regression Equation: y = a + b1x1 + b2x2 + . . . . + bnxn Check the Coefficients Table & write the values of a, b1, b2, etc. as given in column B o Value of a is the value in the row (Constant) o Values of b1, b2, etc. are in the respective rows of the dependent variables Now enter these values in the Regression Equation to calculate the Forecasted value of the dependent variable (values of independent variables would be given already)

Factor Analysis
Questions where various factors that affect a decision are given STEPS: Analyze Data Reduction or Dimension Reduction Factor (select all the factors) Select Rotation & check on Varimax Continue OK ANALYSIS OF OUTPUT: See the Total Variance Explained Table & look at the last column Cumulative % o Last value in the Cumulative % column shows how many factors affect the maximum (given) % of the decision

o The number of factors that explain the cumulative % would be the column # against which the % is written Check the Rotated Component Matrix o Make a table with columns numbered Factor 1, Factor 2, Factor 3, etc. o Write the name of the elements with the maximum factor loading in each of these columns o Ignore elements with factor loading < 0.5 & write a note about the same o Name each of the Factors (in the columns) subjectively

ANOVA: ANALYSIS OF VARIANCE

Questions where one variable is divided into more than two groups & is compared, e.g.: mean sales in retail store in Delhi, Mumbai, Bangalore & Hyderabad) Hypothesis is: H0: 1 = 2 = 3 H1: 1 2 3 Here, 1 is the mean of Population1 2 is the mean of Population2 And, 3 is the mean of Population3 STEPS: Analyze Compare Means One-way ANOVA Select the variable whose means have to be compared in Dependent List Select the grouping variable in Factor OK ANALYSIS OF OUTPUT: Draw the ANOVA table Write the hypothesis along with given Confidence Level & Significance Level Compare Sig. value [= p] with the given Significance Level o If, p > ; Then, we accept the null hypothesis o If, p < ; Then, we reject the null hypothesis