HBAT management is interested in more accurately predicting the satisfaction level of its customers. If successful, it would provide a better foundation for their marketing efforts. In addition to finding a way to accurately predict satisfaction, the researchers also were interested in identifying the factors that lead to increased satisfaction for use in differentiated marketing campaigns.
Research question:
Which of the variables relating to perceptions HBAT performance (x6 – x18, i.e., 13 variables) are most influential in predicting customer satisfaction (x19)?
Please conduct stepwise multiple regression analysis. Please answer the following questions.
- How much is the sample size? Is there a reason to worry? Please write three to four lines.
- Conduct outliers analysis using BoxPlots and Mahalanobis Distance. Are there any outliers? How would you deal with those outliers and why? Please write three to four lines. Please DO NOT delete any observations from the dataset. Use all 100 observations for analysis.
- Explore data using Histograms and scatter plot matrices. Include histograms, scatter plot matrix, and KS Tests in your report. Can you assume linearity and normality? Please write three to four lines.
- Conduct multiple regression using the Stepwise method. Evaluate the residual plot. Can you assume normality and homoscedasticity? Include the residuals plot in your report. Please write three to four lines.
- Evaluate VIF statistics. Is multicollinearity a problem? Include the table for VIF values in your report. Please write three to four lines.
- Does the model significantly predict customer satisfaction? Explain. Include ANOVA table in your report. Please write three to four lines.
- What percentage of variance in customer satisfaction is explained by the model? Include r-square statistic in your report. Please write three to four lines.
- Which variables significantly predict customer satisfaction? Which variable is the best predictor of the customer satisfaction? Please explain each unit change in x-variables causes how much change in y-variable. Please include coefficients table in the report. Please write about half a page.
- Do you observe any coefficients that do not make sense? Why that could be happening (Hint: E-Commerce coefficient is negative)? Explain in three to four lines.
- Analyze the stepwise increase in adjusted R-square for every step. Does the E-commerce (x7) and Product Line (x11) make sense? (HINT: Remote these two variables and re-run the regression using the ENTRY method with the remaining three variables. Explain the process in six to seven lines).
- Write the regression equation. Include it in your report.
- Interpret the results of multiple regression analysis and write managerial implications. Interpret both bita and std. bita coeffecients. Please write about half a page.
