Credits: 3
Course Description
The course will discuss from both conceptual and application perspective, basic statistical
methods widely used in business applications. The course gives an introduction to statistical
methods needed in data analysis work related to applications in Economics, Finance, Marketing,
Operations and Human Resources. Further, it enables to conceptualize business problems in
statistical terms and enhances understanding and application of fact and evidence based decision
making process.
Learning Outcomes
At the end of the course, the student should be able to:
Knowledge
1. Know practical application of selected statistical tools
2. Prepare data for statistical analysis leading to business decisions
Skills
1. Work efficiently with statistical functions in MS Excel
2. Statistically analyse basic economic indicators
Attitude
1. Appreciate the use of statistical thinking in taking effective business decisions.
Contents
Unit I: Probability & Random Variables
(5 Hours)
(4 Hours)
Sampling Need benefits and limitations Probability sampling methods Non probability
sampling Estimation Point and Interval estimators of mean and proportion Confidence
intervals for mean and proportion Determining sample size using confidence interval approach
Unit III: Testing of Statistical Hypothesis
(7 Hours)
Testing of Hypothesis types of errors null and alternate hypothesis level of significance.
Testing of means and proportions for small and large samples testing of difference between
means and proportions for small and large samples Chi-Square test of goodness of fit & test of
independence ANOVA One way and two way classifications
Unit IV: Correlation and Simple Linear Regression
(5 Hours)
(4 Hours)
Decision making under uncertainty and risk EMV and EOL approach Perfect information and EVPI
Decision tree analysis one stage and two stage decision making using Bayes theorem
Unit VI: Business Forecasting
(5 Hours)
Forecasting performance
Essential Reading
1. Anderson, D. R., Sweeny, D. J., & Williams, T. A. (2012). Statistics for Business and
Economics (11 ed.). New Delhi: Cengage India.
Recommended Reading
1. Levin, I. R., Rastogi, S., Siddiqui, M. S., & Rubin, D. S. (2012). Stastics for
Management (7 ed.). New Delhi: Pearosn Education.