zikmund_babin_11e_TB_ch21

# Ans dimensions ref interdependence techniques nat

• 12
• 100% (4) 4 out of 4 people found this document helpful

This preview shows pages 11–12. Sign up to view the full content.

ANS: dimensions REF: Interdependence Techniques NAT: BUSPROG: Analytic 15. Multivariate statistics that make no distinction between independent and dependent variables and seek to identify the underlying structure of a set of data are known as ____________________ techniques. ANS: interdependence REF: Interdependence Techniques NAT: BUSPROG: Analytic ESSAY 1. Discuss the purpose of interdependence techniques. List the statistical techniques that can be used for this method. ANS: Interdependence techniques seek to identify the underlying structure of a set of data. That structure could come in the form of identifying dimension or in identifying groups based on similarity. The most common interdependence methods are factor analysis and cluster analysis. REF: Interdependence Techniques NAT: BUSPROG: Analytic | BUSPROG: Communication 2. Describe factor analysis. ANS: Factor analysis is a prototypical multivariate, interdependence technique. Factor analysis is a technique capable of statistically identifying a reduced number of factors from a larger number of measured variables. The factors themselves are not measured, but instead, they are identified by forming a variate using the measured variables. REF: Performing Factor Analysis NAT: BUSPROG: Analytic | BUSPROG: Communication 3. Explain how cluster analysis can identify market segments. ANS:

This preview has intentionally blurred sections. Sign up to view the full version.

Cluster analysis is a multivariate approach for identifying objects or individuals that are similar to one another in some respect. It classifies individuals or objects into a small number of mutually exclusive and exhaustive groups. Objects or individuals are assigned to groups so that there is great similarity within groups and much less similarity between groups. The cluster should have high internal (within- cluster) homogeneity and external (between-cluster) heterogeneity. Cluster analysis facilitates market segmentation by identifying subjects or individuals who have similar needs, lifestyles, or responses to marketing mixes. REF: Cluster Analysis as a Big Data Tool NAT: BUSPROG: Analytic | BUSPROG: Communication 4. Discuss the three purposes for factor analysis and the corresponding analytical approach for each. ANS: 1. Data reduction. Here, the researcher seeks parsimony. Thus, the major objective is to reduce the number of pieces of information needed to interpret the data. Rather than analyzing fifty variables, we will find it simpler to analyze five factors. Furthermore, a data reduction approach helps identify
This is the end of the preview. Sign up to access the rest of the document.

{[ snackBarMessage ]}

### What students are saying

• As a current student on this bumpy collegiate pathway, I stumbled upon Course Hero, where I can find study resources for nearly all my courses, get online help from tutors 24/7, and even share my old projects, papers, and lecture notes with other students.

Kiran Temple University Fox School of Business ‘17, Course Hero Intern

• I cannot even describe how much Course Hero helped me this summer. It’s truly become something I can always rely on and help me. In the end, I was not only able to survive summer classes, but I was able to thrive thanks to Course Hero.

Dana University of Pennsylvania ‘17, Course Hero Intern

• The ability to access any university’s resources through Course Hero proved invaluable in my case. I was behind on Tulane coursework and actually used UCLA’s materials to help me move forward and get everything together on time.

Jill Tulane University ‘16, Course Hero Intern