TABLE 9-8 One of the Biggest Issues Facing E-Retailers Is the Ability

question 47

Short Answer

TABLE 9-8
One of the biggest issues facing e-retailers is the ability to turn browsers into buyers. This is measured by the conversion rate, the percentage of browsers who buy something in their visit to a site. The conversion rate for a company's website was 10.1%. The website at the company was redesigned in an attempt to increase its conversion rates. A samples of 200 browsers at the redesigned site was selected. Suppose that 24 browsers made a purchase. The company officials would like to know if there is evidence of an increase in conversion rate at the 5% level of significance.
-Referring to Table 9-8, what critical value should the company officials use to determine the rejection region?

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Definitions:

Potential Investors

Individuals or entities potentially interested in contributing capital to a business venture in exchange for prospective financial returns.

Early Adopters

Individuals or organizations that start using a new technology or product shortly after it is launched, before the majority of people do.

Bowling Pin Strategy

A business approach where success with one target market or product leads to subsequent success with additional markets or products, akin to knocking down a series of pins.

Beachhead Strategy

A strategy in which a company focuses efforts and resources on capturing and dominating a small market segment before expanding to larger markets.