The Board of Directors for Procter and Gamble Is Concerned

question 21

Essay

The board of directors for Procter and Gamble is concerned that only 19.5% of the people who use toothpaste buy Crest
toothpaste. A marketing director suggests that the company invest in a new marketing campaign which will include
advertisements and new labeling for the toothpaste. The research department conducts product trials in test markets for one
month to determine if the market share increases with new labels.
-Based on the data they collected during the trial the research department found that a 98%
confidence interval for the proportion of all consumers who might buy Crest toothpaste
was (16%, 28%). What conclusion should the company reach about the new marketing
campaign? Explain.

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