Marketing Research: Online Research Applications (4th Edition) by Al Burns & Ron Bush Chapter 15 Statistics Basic Data

Analysis: Descriptive

LEARNING OBJECTIVES
To learn about the concept of data reduction and the four functions it provides To appreciate the five basic types of statistical analysis used in marketing research To use measures of central tendency and dispersion customarily used in describing data To learn how to obtain descriptive statistics with SPSS

CONTENTS
Coding Data and the Data Code Book 431 Types of Statistical Analyses Used in Marketing Research 432 Descriptive Analysis 433 Inferential Analysis 433 Differences Analysis 434 Associative Analysis 435

Chapter 15 - Burns & Bush Marketing Research 4th Edition

Predictive Analysis 435 Understanding Data via Descriptive Analysis 436 Measures of Central Tendency: Summarizing the Typical Respondent 437 Measures of Variability: Visualizing the Diversity of Respondents 439 When to Use a Particular Descriptive Measure 445 Summary 451 Key Terms 451 Review Questions/Applications 451 Interactive Learning 452 Case 15.1 Tinseltown Theaters Improvement Survey 452 Case 15.2 Auto Online Web site Usage Survey (Part I) 453 Case 15.3 Your Integrated Case: The Hobbits Choice Restaurant Survey Descriptive Analysis 455

Chapter 15 - Burns & Bush Marketing Research 4th Edition

CHAPTER SUMMARY
This chapter introduced you to the descriptive statistics researchers use to inspect basic patterns in data sets. These measures help researchers summarize, conceptualize, and generalize their findings. We also previewed the five types of statistical analysis: descriptive, inferential, differences, associative, and predictive. Descriptive analysis is performed with measures of central tendency such as the mean, mode, or median, each of which portrays the typical respondent or the typical answer to the question being analyzed. The chapter contained formulas and examples of how to determine these central tendency measures. Measures of variability, including the frequency distribution, range, and standard deviation, provide bases for envisioning the degree of similarity of all respondents to the typical respondent. The chapter also contained instructions and formulas of key variability measures. Basically, descriptive analysis yields a profile of how respondents in the sample answered the various questions in the survey. The chapter also provides information on how to instruct SPSS to compute descriptive analyses with SPSS using The Hobbits Choice Restaurant survey data set. Both clickstream sequences for setting up the analyses and the resulting output are shown.

KEY TERMS
Data entry - Data entry refers to the creation of a computer file that holds the raw data taken from all of the questionnaires deemed suitable for analysis. Data coding - Data entry requires an operation called data coding, defined as the identification of codes that pertain to the possible responses for each question on the questionnaire. Data code book - In large-scale projects, and especially in cases in which the data entry is performed by a subcontractor, researchers utilize a data code book, which identifies all of the variable names and code numbers associated with each possible response to each question that makes up the data set. Data matrix - A data matrix is the coded raw data from a survey arranges in rows (respondents) and columns (variables). Data reduction - The problem confronting the marketing researcher

Chapter 15 - Burns & Bush Marketing Research 4th Edition

when faced with a data matrix is data reduction, which is defined as the process of describing a data matrix by computing a small number of measures that characterize the data set. Descriptive analysis - Certain measures such as the mean, mode, standard deviation, and range are forms of descriptive analysis used by marketing researchers to describe the sample data matrix in such a way as to portray the typical respondent and to reveal the general pattern of responses. Inferential analysis - When statistical procedures are used by marketing researchers to generalize the results of the sample to the target population that it represents, the process is referred to as inferential analysis. Differences analysis - The researcher uses differences analysis to determine the degree to which real and generalizable differences exist in the population in order to help the manager make an enlightened decision on which advertising theme to use. Associative analysis - Associative analysis investigates if and how two variables are related. Predictive analysis - Statistical procedures and models are available to the marketing researcher to help him or her make forecasts about future events, and these fall under the category of predictive analysis. Measures of central tendency - The basic data reduction goal involved in all measures of central tendency is to report a single piece of information that describes the most typical response to a question. Mode - The mode is a descriptive analysis measure defined as that value in a string of numbers that occurs most often. Median - An alternative measure of central tendency is the median, which expresses that value whose occurrence lies in the middle of an ordered set of values. Mean - The mean is the average value characterizing a set of numbers. Measures of variability - All measures of variability are concerned

Chapter 15 - Burns & Bush Marketing Research 4th Edition

with depicting the typical difference between the values in a set of values. Frequency distribution - A frequency distribution is a tabulation of the number of times that each different value appears in a particular set of values. Percentage distribution - The conversion is arrived at very simply through a quick division of the frequency for each value by the total number of observations for all of the values, resulting in a percent, called a percentage distribution. Range - The range identifies the distance between lowest value (minimum) and the highest value (maximum) in an ordered set of values. Standard deviation - The standard deviation indicates the degree of variation or diversity in the values in such a way as to be translatable into a normal or bell-shaped curve distribution. Variance The variance is the standard deviation squared.

KNOWLEDGE NUGGETS
Researchers utilize data coding when preparing and working with a computer data file. Descriptive analysis is used to describe the variables (question responses) in a data matrix (all respondents answers). Inferential analysis is used to generate conclusions about the populations characteristics based on the sample data. Difference analysis is used to compare the mean of the responses of one group to that of another group, such as satisfaction ratings for heavy users versus light users of a product or service. Associative analysis determines the strength and direction of relationships between two or more variables (questions in the survey). Predictive analysis allows one to make forecasts of future events. Commonly used descriptive analysis measures reveal central Chapter 15 - Burns & Bush Marketing Research 4th Edition

tendency (typical response) and variability (similarity of responses). Three measures of central tendency are mode, median, and mean. With a string of numbers, the mode is that number appearing most often. The median expresses the value whose occurrence lies in the middle of a set of ordered values. The mean is the arithmetic average of a set of numbers. Measures of variability reveal the typical difference between the values in a set of values. Measures of variability include frequency distribution, range, and standard deviation. A frequency (percentage) distribution reveals the number (percent) of occurrences of each number in a set of numbers. The range identifies the maximum and minimum values in a set of numbers. A standard deviation indicates the degree of variation in a way that can be translated into a bell shaped curve distribution. The standard deviation embodies the properties of a bell-shaped distribution of values. The squaring operation in the standard deviation formula is used to avoid the cancellation effect. With a bell-shaped distribution, 95 percent of the values lie within 1.96 times the standard deviation away from the mean. The level of measurement underlying a question determine which statistic is appropriate. Descriptive statistics are needed to see The Hobbits Choice surveys basic findings. A frequency distribution and mode are appropriate for nominal scales. Chapter 15 - Burns & Bush Marketing Research 4th Edition

Use the ANALYZE-DESCRIPTIVE STATISTICS-FREQUENCIES procedure to produce descriptive statistics for variables with nominal or ordinal scaling. When using SPSS DESCRIPTIVES, always bear in mind the variables being analyzed should be interval or ratio scaled.

Chapter 15 - Burns & Bush Marketing Research 4th Edition