A high-end market research firm has contacted your boss and is trying to sell some business to your organization. Upper management does not want to appear incompetent, so they have asked you to research and explain three major ways multivariate statistics are used in a business.
Research and provide at least 1 example of how a real company has used each of the following multivariate techniques: factor analysis, multi-dimensional scaling, and cluster analysis. Companies that provide statistics software websites and market research firm websites usually include case studies and customer testimonials.
Write an e-mail explaining to upper management the chosen multivariate technique, how it is different than the other 2 techniques, how at least one other real-life company has used this technique to address a business problem and how that technique might be used at your own organization.
The response addresses the queries posted in 637 words with references.
//Here in this paper, we will discuss the ways multivariate statistics are used in a business. We will discuss the examples, namely the factor analysis, cluster analysis and multidimensional scaling, the differences and application of these techniques in solving a business problem in an organization, we have chosen Toyota here.//
We need to see the utility of multivariate statistics, a form of statistics, where observation and analysis of more than one statistical variable is done, in our organization. Factor analysis is a technique that allows users to develop a relationship between interdependent variable through which, the large number of data is summarized in a small number of variables. In context to marketing research, factor analysis is mainly used in lifestyles and psychographic characteristics of customers from which, important variables are drawn and used during the research like customer's preferences and attitudes towards the particular brand (Neelankavil, 2007). Multidimensional scaling (MDS) is a statistical technique for obtaining the preferences of the customers and representing ...
The response addresses the queries posted in 637 words with references. It investigates the use of multivariate statistics in business using examples of factor analysis, cluster analysis and multidimensional scaling. Toyota is chosen as the business problem to work with.