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Ch 20 Cross Tabulation

Ch 20 Cross Tabulation

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Published by mzqace
cross tabulation
cross tabulation

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Categories:Types, Research
Published by: mzqace on Jul 23, 2012
Copyright:Attribution Non-commercial


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After studying this chapter, you should be able to
1. Know what descriptive statistics are and why they areused2. Create and interpret simple tabulation tables3. Understand how cross-tabulations can reveal relationships4. Perform basic data transformations5. List different computer software products designed fordescriptive statistical analysis6. Understand a researcher’s role in interpreting the data
Chapter Vignette: Choose Your “Poison”
Most Americans enjoy an adult beverage occasionally. But not all Americans like the samedrink. Many decision makers are interested in what Americans like to drink. Retailers needto have the correct product mix for their particular customers if profits are to be increasedand customers made more satisfied. Restaurants need to know what their customers like tohave with the types of food they serve. Policy makers need to know what types of restrictionsshould be placed on what types of products to prevent underage drinking and alcohol abuse.Researchers could apply sophisticated statistics to address questions related to Americans’drinking preferences, but a lot can be learned from just countingwhat people are buying.A grocery store built in 1975 in Chicago allocates 15 per-cent of their floor space to adult beverage products. Out of this 15 percent, 60 percent is allocated to beer, 25 percentto spirits, and 15 percent to wine. Since the products arenot merchandised the same way (different types of shelving,aisles, and racking are needed), adjusting the floor space tochange these percentages is not an easy task. Over the three-decade history of the store, the customer base has changed.Originally, stay-at-home moms buying groceries for the fam-ily best characterized the customer base. During the 1990s,empty-nesters, including retirees with high disposable incomes,characterized the customer base. More recently, youngersingles just starting careers have moved into the nearby neigh-borhoods. Should the store reconsider its adult beverage mer-chandising?In 1992, American consumers showed a heavy prefer-ence toward beer. Among American adults who drank adultbeverages,
47 percent drank beer21 percent drank spirits27 percent drank wineBy 2005, Americans had changed their drinking preferences. Now,36 percent drink beer21 percent drink spirits39 percent drink wine
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486 Part 6: Data Analysis and Presentation
A couple of other facts have become clear. A count of the preferred beverages among American adultconsumers 29 and younger shows the following preferences in 2005:48 percent drink beer32 percent drink liquor17 percent drink winePerhaps due to the emergence of this younger group, a 2008 study shows beer has regained the posi-tion as America’s favorite adult beverage:
42 percent drink beer23 percent drink spirits31 percent drink wineAcross America, grocers account for 35 percent of all beer sales, but convenience stores, whereyounger consumers tend to shop, account for 45 percent.
If the grocery store is converting more to aconvenience store, maybe a continued emphasis on beer is wise. However, wine consumers are more
from several perspectives. Wine now ranks among the top 10 food categories in America,based on grocery store dollar sales volume. Forty-five percent of all wine is sold in grocery stores.What we find is that the consumer who buys wine is also more likely to buy products like prime orchoice beef and imported cheeses, instead of lower quality and lower priced meat and cheese prod-ucts. As a result, the average $13.44 spent on wine in a grocery store (as opposed to $11.94 on beer) isonly part of the story in explaining why wine customers may be
What should the grocer emphasize in marketing adult beverages? Perhaps the research based oncounting can address this decision.
Perhaps the most basic statistical analysis is descriptive analysis. Descriptive statistics can sum-marize responses from large numbers of respondents in a few simple statistics. When a sample isobtained, the sample descriptive statistics are used to make inferences about characteristics of theentire population of interest. This chapter introduces basic descriptive statistics, which are simplebut powerful. This chapter also provides the foundation for Chapter 21, which will extend basicstatistics into the area of univariate statistical analysis.
The Nature of Descriptive Analysis
Descriptive analysis
is the elementary transformation of data in a way that describes the basiccharacteristics such as central tendency, distribution, and variability. For example, consider thebusiness researcher who takes responses from 1,000 American consumers and tabulates their favor-ite soft drink brand and the price they expect to pay for a six-pack of that product. The mean,median, and mode for favorite soft drink and the average price across all 1,000 consumers wouldbe descriptive statistics that describe central tendency in three different ways. Means, medians,modes, variance, range, and standard deviation typify widely applied descriptive statistics.Chapter 13 indicated that the level of scale measurement helps the researcher choose the mostappropriate form of statistical analysis. Exhibit 20.1 shows how the level of scale measurementinfluences the choice of descriptive statistics. Remember that all statistics appropriate for lower-order scales (nominal and ordinal) are suitable for higher-order scales (interval and ratio), but thereverse is not true.Consider the following data. Sample consumers were asked where they most often purchasedbeer. The result is a nominal variable which can be described with a frequency distribution (seethe bar chart in Exhibit 20.1). Ten percent indicated they most often purchased beer in a drugstore, 45 percent indicated a convenience store, 35 percent indicated a grocery store, and 7 percentindicated a specialty store. Three percent listed some “other” outlet (not shown in the bar chart).
descriptive analysis
 The elementary transformation of raw data in a way that describesthe basic characteristics such ascentral tendency, distribution,and variability.
One item in the questionnaireasks respondents to report thecareer they view as most attrac-tive. A simple way to get anunderstanding of this population’scareer aspiration is to simply count thenumber who rank each profession as their preferredcareer. Try to draw some conclusions about which jobis most attractive: (1) Calculate the number of respon-dents who rank each profession as the most attractive(assign it a 1). Report this tabulation. (2) Do you think female and male respondents respond similarly to thisitem? Try to create the appropriate cross-tabulationtable to show which jobs are preferred by men andwomen respectively.
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S U R V E YT H I S !
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Measurement Level Statistic Example
Beer Sales05101520253035404550
        P      e      r      c      e      n       t
Drug StoreConvenience StoreGrocery StoreSpecialty
Purchase Location25.0020.0015.0010.005.000.00 Price76543210
        F      r      e      q      u      e      n      c      y
Mean = 11.6667Std. Dev. = 4.54888N = 27
Frequency TableProportion(Precentages) ModeMeansStandardDeviationsNominalOrdinalIntervalRatio
Levels of ScaleMeasurement andSuggested DescriptiveStatistics
The mode is convenience store since more respondents chose this than any other category. Asimilar distribution may have been obtained if the chart plotted the number of respondents rankingeach store as their favorite type of place to purchase beer.The bottom part of Exhibit 20.1 displays example descriptive statistics for interval and ratiovariables. In this case, the chart displays results of a question asking respondents how much theytypically spend on a bottle of wine purchased in a store. The mean and standard deviation aredisplayed beside the chart as 11.7 and 4.5, respectively. Additionally, a frequency distribution isshown with a histogram. A
is a graphical way of showing a frequency distribution inwhich the height of a bar corresponds to the frequency of a category. Histograms are useful for any
A graphical way of showing afrequency distribution in whichthe height of a bar correspondsto the observed frequency of thecategory.

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