Multiple_Regression_p

Multiple_Regression_p - Regression Analysis Objectives: To...

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Regression Analysis Objectives: To study the theory behind regression analysis and its application in marketing research.

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Content The Regression Model SPSS Regression Residual Analysis Piecewise Regression
The Regression Model The primary purpose of regression is to establish a functional relationship between the dependent variable and the set of independent variables. The name regression emerges from F. Galton's (1885) study of inheritance. He found that tall fathers had tall sons, but not as tall on the average as the father, and vice versa. These tendencies for the next generations to move towards the averages of their parents Galton called regression.

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The Regression Model Linear Model: i i i i i X b b Y X Y 1 0 1 0 ˆ : Model Fitted : Model Linear + = + + = ε β
Multiple Regression The general form of the multiple regression model is as follows: which is estimated by the following equation: = a + b 1 X 1 + b 2 X 2 + b 3 X 3 + . . . + b k X k As before, the coefficient a represents the intercept, but the b 's are now the partial regression coefficients. Y = β 0 + β 1 X 1 + β 2 X 2 + β 3 X 3 +. . . + β k X k +e Y

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Assumptions The error term is normally distributed. For each fixed value of X , the distribution of Y is normal. The means of all these normal distributions of Y , given X , lie on a straight line with slope b . The mean of the error term is 0.
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This note was uploaded on 01/15/2010 for the course MKT mkt3010C taught by Professor Alan during the Fall '08 term at CUHK.

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Multiple_Regression_p - Regression Analysis Objectives: To...

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