SCENARIO 4-12 A Consulting Firm That Surveyed Consumers' Holiday Shopping Behavior Found

question 162

Short Answer

SCENARIO 4-12
A consulting firm that surveyed consumers' holiday shopping behavior found that the percentage of
consumers from the U.S., Canada, and China who said that they planned to spend more on holiday
shopping were 40%, 34% and 73%, respectively. The survey also found that the percentage of
consumers from the U.S., Canada, and China who said that they were willing to share personal
information with retailers in order to receive personalized offers from retailers were 55%, 46% and
72%, respectively. Assume that there are equal portions of consumers being surveyed from each of
the three countries, the survey results are good representations of the three populations of consumers,
and whether a consumer plans to spend more on holiday shopping is statistically independent of
whether he/she is willing to share personal information with retailers in order to receive personalized
offers from retailers.
-Referring to Scenario 4-12, if you randomly select a consumer from China, what is the
probability that the consumer does not plan to spend more on holiday shopping and is not willing
to share personal information with retailers in order to receive personalized offers from retailers?

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Definitions:

Independent SRSs

Independent Simple Random Samples; a sampling technique where each subset of the population has an equal probability of being chosen, and the selections are made independently of each other.

Normally Distributed

Describing a data set where the observations are symmetrically distributed around the mean, forming a bell-shaped curve.

SSE

SSE, or Sum of Squares Error, is a measure used in statistics to describe the amount of variation or deviation of sample values from the fitted values in a model.

F Statistic

The F statistic is used in statistical testing to compare the variances among group means to decide if they significantly differ from each other.