Purchase Solution

Importance of statistical theory in business decision making

Not what you're looking for?

Ask Custom Question

The theory underlying inferential statistics and other theoretical aspects are subjects we do not often consciously think about in our daily activities. Why is it so important we understand the theory even in the practical world of business decision making?

Purchase this Solution
Solution Summary

This solution explains the theory of inferential statistics and the application in business decision making.

Solution Preview

In general, I would say that theory is important because it helps you quantify your beliefs and make your analysis with respect to decision making rigorous. Thus, the theory of inferential statistics is essential in the face of uncertainty in business and is used in many disciplines such as financial ...

Purchase this Solution
Free BrainMass Quizzes
Measures of Central Tendency

This quiz evaluates the students understanding of the measures of central tendency seen in statistics. This quiz is specifically designed to incorporate the measures of central tendency as they relate to psychological research.

Measures of Central Tendency

Tests knowledge of the three main measures of central tendency, including some simple calculation questions.

Know Your Statistical Concepts

Each question is a choice-summary multiple choice question that presents you with a statistical concept and then 4 numbered statements. You must decide which (if any) of the numbered statements is/are true as they relate to the statistical concept.

Terms and Definitions for Statistics

This quiz covers basic terms and definitions of statistics.

View More Free Quizzes
Related BrainMass Solutions

  • Quantitative and qualitative analysis:

    His four books are Introduction to Statistical Decision Theory, Negotiation Analysis: The Science and Art of Collaborative Decision Making, Introduction to Statistical Decision Theory, and Smart Choices: A Practical Guide to Making Better Decisions.

  • Management Statistical Decision: Elements of a decision

    397655 Management Statistical Decision 1. What are the elements of a decision? How does statistical decision theory differ in conditions of certainty and uncertainty? When making a decision, can doing nothing be a valid alternative? Why? 2.

  • How the following statistical devices can be used in business today?

    44163 How different statistical devices can be used in business? How the following statistical devices can be used in business today? Describe their usefulness and how businessman can be benefit, or how to help them in making sound decisions.

  • Analyzing a poor decision

    Identify three decision theories, from our learning in Unit 2, that illustrate your decision making process. Be sure to explain HOW & WHY each theory was presenting your decision making process.

  • Decision Making

    In most cases managers are plagued with making a decision that will greatly affect employees and overall business processes in which case managers must remain firm on their final decision regardless of public opinion.

  • Decision-Making with Poor Results

    It would analyze understanding of judgment and decision making using the three theories identified in part 2. // According to the third theory I.e.

  • Susan Webber asserts that management fixated on business metrics

    Enterprise Risk Management: Theory and Practice. Journal of Applied Corporate Finance, 18(4), pp. 8-20. Smith, E. & Shefy, E., (2004).The intuitive executive:Understanding and applying 'gut feel' in decision-making.

  • leadership and business world

    627309 leadership and business world - Define what leadership is and it's importance in the business world nowadays - Use leadership theories with academic references (Traits, Skills, Contingency, Situational) to give example in business world - 500

  • Quantitative Analysis or Management Science?

    Thus it is based on scientific principals which helps in making business decisions under uncertainties based on some numerical and measurable scales. Decision making processes is based on data, neither on personal opinion nor on belief.

View More Related Solutions