Teatime Biscuit Company was growing at an annual rate of 20 %.

However, for the last three years

the growth has been only to the tune of 5 to 6 %. This has been a concern for Mr. Raj, the Senior
Vice President Marketing, who in a discussion with the management proposed to identify the factors
which influence the preference of biscuits in India. A sample of 40 individuals was chosen randomly
from Ambala after identifying the pertinent factors. The data was collected on variables like
preservation quality, taste, nutrition value and preference on a 7-point scale with the higher number
indicating a more positive rating.

i. Form an equation depicting dependency of Preference of biscuits on Nutrition Value, Taste

and Preservation.

ii. As a marketing manager of the biscuit company, on what attributes will you concentrate
more so as to improve the marketability of the brand and why?

Preference = 0.733 + Nutrition Value*0.295 + Preservation Quality*0.548

H0 : β = 0

H1: β ≠ 0