SCENARIO 17-3 The Tree Diagram Below Shows the Results of the Classification

question 62

Short Answer

SCENARIO 17-3
The tree diagram below shows the results of the classification tree model that has been constructed to predict the probability of a cable company's customers who will switch ("Yes" or "No")into its bundled program offering based on the price ($30,$40,$50,$60)and whether the customer spends more than 5 hours a day watching TV ("Yes" or "No")using the data set of 100 customers collected from a survey.

-Referring to Scenario 17-3,what percentage of the variation in whether a customer will switch into its bundled program offering can be explained by the price and whether the customer spends more than 5 hours a day watching TV?

---

Definitions:

Customer Satisfaction

Refers to the degree to which a company's products or services meet or exceed customer expectations.

Rework Costs

Costs incurred to correct defective product or service before it is delivered to the customer.

Shopfloor Personnel Qualification

The level of training and skills that employees working directly in production or the manufacturing area possess.

Non-financial Measures

Performance indicators that are not monetary in nature, such as customer satisfaction, employee turnover, or quality of service.