The Owner of a Small Clothing Store Is Concerned That

question 21

Essay

The owner of a small clothing store is concerned that only 28% of people who enter her store actually buy something. A marketing salesman suggests that she invest in a new line of celebrity mannequins (think Seth Rogan modeling the latest jeans…). He loans her several different "people" to scatter around the store for a two-week trial period. The owner carefully counts how many shoppers enter the store and how many buy something so that at the end of the trial she can decide if she'll purchase the mannequins. She'll buy the mannequins if there is evidence that the percentage of people that buy something increases.
-In this context describe a Type II error and the impact such an error would have on the store.

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Definitions:

Humanistic

Refers to a psychological approach that emphasizes the study of the whole person and the uniqueness of each individual's experience.

Irrational

Acting or thinking in a way that does not follow logical reasoning or is devoid of reason.

Life Experiences

Events and occurrences in an individual's life that contribute to their personal development and perception of the world.

Support Group

A group of individuals who come together to provide mutual support, usually around a common challenge or condition.