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BA4205- BUSINESS
RESEARCH METHODS
UNIT-IV
UNIT-IV
DATA PREPARATION AND ANALYSIS
SYLLABUS
Data Preparation – Editing – Coding –Data entry – Validity of data – Qualitative
Vs Quantitative data analyses – Bivariate and Multivariate statistical techniques
– Factor analysis – Discriminant analysis – Cluster analysis – Multiple
regression and Correlation – Multidimensional scaling – Conjoint Analysis -
Application of statistical software for data analysis.
The data after collection has to be
Processed
Prepared and
Analyzed
• The collected data must undergo some processing before analysis.
 Checking the questionnaire and schedules
 Minimizing the errors
THE DATA PREPARATION PROCESS
DATA EDITING
DATA TABULATION
DATA CLASSIFICATION
DATA CODING
EXPLORATORY DATA ANALYSIS
• The Processing of data involves activities such as
Editing
Coding and
 Tabulation of collected data
Editing
• Editing means inspecting, correcting and modifying the collected
data.
DATA CODING
The process of identifying and denoting a numeral to the
responses given by the respondent is called Coding.
SAMPLE CODE BOOK EXTRACT
Questio
n No.
Variable Name Coding Instruction
Symbol used for
variable name
1. Age
Less than 20 yrs = 1,
21 to 26 years = 2,
27 to 35 years = 3,
36 to 45 years = 4,
More than 45 years = 5
X1
2. Gender
Male = 1
Female = 2
X2
3. Marital status
Single = 1
Married = 2
Divorced/widow = 3
X3
4. Family size
One to two = 1,
Three to five = 2,
Six & more = 3
X4
DATA CODING
Sample record: Excel sheet for two-wheeler owners
Age
X1 Gender
X2
Marital status
X3
Family size
X4
1 1 1 3
2 2 2 1
4 1 1 2
4 2 2 2
5 2 3 1
4 2 2 3
2 1 1 3
1 2 3 2
Tabulation
• Tabulation is the summarization of results in the form of statistical
tables.
• The tabulation may be done entirely by manual methods or electronic
methods.
EXPLORATORY DATA ANALYSIS
Sample characteristics: age group of the sample
Age groups Frequency Percent
20-25 27 27.0
26-30 37 37.0
31-35 9 9.0
36-40 22 22.0
41-45 3 3.0
46 & above 2 2.0
Total 100 100.0
EXPLORATORY DATA ANALYSIS
PIE CHARTS
46 & Above
41-45
36-40
31-35
26-30
20-25
Age Group
EXPLORATORY DATA ANALYSIS
BAR CHARTS
46 & Above
41-45
36-40
31-35
26-30
20-25
Age Group
40
30
20
10
0
Frequency
Age Group
EXPLORATORY DATA ANALYSIS
HISTOGRAMS
40.00
35.00
30.00
25.00
20.00
15.00
10.00
purchase in gms
6
4
2
0
Frequency
Mean =18.3553
Std. Dev. =6.55777
N =15
Histogram
STATISTICAL SOFTWARE
PACKAGES
• MS EXCEL
• MINITAB
• System for Statistical Analysis(SAS)
• Statistical Software for Social Sciences(SPSS)
TOOLS OF DATA
ANALYSIS -UNIVARIATE
AND BIVARIATE
ANALYSIS OF DATA
MEANING OF UNIVARIATE, BIVARIATE &
MULTIVARIATE ANALYSIS OF DATA
• Univariate Analysis – One variable is analyzed at a
time.
• Bivariate Analysis – Two variables are analyzed
together and examined for any possible association
between them.
• Multivariate Analysis – to analyze more than two
variables at a time.
BIVARIATE STATISTICAL
TECHNIQUES
1. Correlation
• study of the linear relationship between two variables.
• Correlation analysis is the statistical tool used to describe the
degree to which one variable is linearly related to another.
METHODS OF STUDYING
LINEAR CORRELATION
• 1. Scatter diagram – special type of dot chart
2. Karl Pearson’s coefficient of correlation: It is
denoted by the symbol ‘r’
∑xy
r =
∑x2 ∑y2
3. Spearman’s Rank Correlation
6∑ D2
r = 1-
n(n2-1)
DESCRIPTIVE ANALYSIS OF BIVARIATE
DATA
Refining an initial relationship:
The data reported below represents the relationship between consumption of
ice cream and income level.
The above table indicates that 55 per cent of high income respondents
fall into high consumption category as compared to 30 per cent of low
income respondents.
REGRESSION
• Regression is the determination of a statistical relationship
between two or more variables.
• One variable (defined as independent) is the cause of the
behaviour of the another one (defined as dependent variable)
• Impact of age, gender (the predictor variables (independent)) on
height (the dependent variable)
• The basic relationship between X and Y is
Y = a + bX
• It means that each unit change in X produces a change of b in Y.
MULTIPLE REGRESSION
• When there are two or more than two independent variables,
the analysis concerning relationship is known as multiple
regression
• Multiple regression equation assumes the form
Y = a + b1X1 + b2X2
where X1 and X2 are two independent variables and Y being
the dependent variable
TWO-WAY ANOVA
• The ANOVA (Analysis of Variance) technique is important in the context
of all those situations where we want to compare more than two
populations
• For example:
• Various types of drugs manufactured for curing a specific
disease may be studied and judged to be significant or not
through the application of ANOVA technique.
• The basic principle of ANOVA is to test whether the differences
occur due to ‘random effects’ or due to ‘specific factor’.
MULTIVARIATE
ANALYSIS
VARIABLES IN MULTIVARIATE ANALYSIS
Explanatory and criterion variable:
• If X may be considered to be the cause of Y, then X is described as
explanatory variable (also termed as causal or independent
variable) and Y is described as criterion variable (also termed as
resultant or dependent variable).
FACTOR ANALYSIS
INTRODUCTION TO FACTOR ANALYSIS
• Factor analysis is a multivariate statistical technique in
which there is no distinction between dependent and
independent variables.
• The purpose of Factor analysis is data reduction and
summarization.
• It is a very useful method to reduce a large number of
variables resulting in data complexity to a few
manageable factors.
• For instance, we might have data, say, about an
individual’s income, education, occupation and
dwelling area and want to infer from these some factor
(such as social class) which summarises the
commonality of all the said four variables.
DISCRIMINANT
ANALYSIS
• Discriminant analysis enables the researchers to
classify persons or objects into two or more categories.
• For ex: consumers may be classified as heavy and light
users.
• A company discriminate the agents as high
performance agents and low performance agents
based on annual turnover of agents
• High performance and low performance – dependent
variable
• Annual turnover – independent variable
CLUSTER ANALYSIS
• The search of relatively homogeneous groups of
objects is called cluster analysis.
• In marketing cluster analysis is used to identify
persons with similar buying habits.
• It makes no difference between dependent and
independent variables.
• For ex: cluster analysis is illustrated by an example of
A to Z employees and their salary per month in a
company.
• A two dimensional perceptual map has been drawn on
the basis of data relating to (i) monthly expenditure of
the employees and (ii) monthly income of the
employees.
I
• Monthly II
Expenditure
III
Monthly salary in Rs.
A,C,K,M
,O,P,Q
,X,Y,Z
D,G,H,I,L
,N,J,R,S,
T,U
B, W, E,
F, V
MULTIDIMENSIONAL
SCALING (MDS)
MULTIDIMENSIONAL SCALING (MDS)
BASIC TENETS
• MDS is only one of the techniques that can be used for perceptual
mapping.
• The inputs obtained could be for objects, individuals, brands,
corporations or countries.
• The grouped objects are usually evaluated and compared
with each other so that they can coexist on a spatial map.
UNIT IV.pptx

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UNIT IV.pptx

  • 2. UNIT-IV DATA PREPARATION AND ANALYSIS SYLLABUS Data Preparation – Editing – Coding –Data entry – Validity of data – Qualitative Vs Quantitative data analyses – Bivariate and Multivariate statistical techniques – Factor analysis – Discriminant analysis – Cluster analysis – Multiple regression and Correlation – Multidimensional scaling – Conjoint Analysis - Application of statistical software for data analysis.
  • 3. The data after collection has to be Processed Prepared and Analyzed
  • 4. • The collected data must undergo some processing before analysis.  Checking the questionnaire and schedules  Minimizing the errors
  • 5. THE DATA PREPARATION PROCESS DATA EDITING DATA TABULATION DATA CLASSIFICATION DATA CODING EXPLORATORY DATA ANALYSIS
  • 6. • The Processing of data involves activities such as Editing Coding and  Tabulation of collected data Editing • Editing means inspecting, correcting and modifying the collected data.
  • 7. DATA CODING The process of identifying and denoting a numeral to the responses given by the respondent is called Coding.
  • 8. SAMPLE CODE BOOK EXTRACT Questio n No. Variable Name Coding Instruction Symbol used for variable name 1. Age Less than 20 yrs = 1, 21 to 26 years = 2, 27 to 35 years = 3, 36 to 45 years = 4, More than 45 years = 5 X1 2. Gender Male = 1 Female = 2 X2 3. Marital status Single = 1 Married = 2 Divorced/widow = 3 X3 4. Family size One to two = 1, Three to five = 2, Six & more = 3 X4
  • 9. DATA CODING Sample record: Excel sheet for two-wheeler owners Age X1 Gender X2 Marital status X3 Family size X4 1 1 1 3 2 2 2 1 4 1 1 2 4 2 2 2 5 2 3 1 4 2 2 3 2 1 1 3 1 2 3 2
  • 10. Tabulation • Tabulation is the summarization of results in the form of statistical tables. • The tabulation may be done entirely by manual methods or electronic methods.
  • 11. EXPLORATORY DATA ANALYSIS Sample characteristics: age group of the sample Age groups Frequency Percent 20-25 27 27.0 26-30 37 37.0 31-35 9 9.0 36-40 22 22.0 41-45 3 3.0 46 & above 2 2.0 Total 100 100.0
  • 12. EXPLORATORY DATA ANALYSIS PIE CHARTS 46 & Above 41-45 36-40 31-35 26-30 20-25 Age Group
  • 13. EXPLORATORY DATA ANALYSIS BAR CHARTS 46 & Above 41-45 36-40 31-35 26-30 20-25 Age Group 40 30 20 10 0 Frequency Age Group
  • 14. EXPLORATORY DATA ANALYSIS HISTOGRAMS 40.00 35.00 30.00 25.00 20.00 15.00 10.00 purchase in gms 6 4 2 0 Frequency Mean =18.3553 Std. Dev. =6.55777 N =15 Histogram
  • 15. STATISTICAL SOFTWARE PACKAGES • MS EXCEL • MINITAB • System for Statistical Analysis(SAS) • Statistical Software for Social Sciences(SPSS)
  • 16. TOOLS OF DATA ANALYSIS -UNIVARIATE AND BIVARIATE ANALYSIS OF DATA
  • 17. MEANING OF UNIVARIATE, BIVARIATE & MULTIVARIATE ANALYSIS OF DATA • Univariate Analysis – One variable is analyzed at a time. • Bivariate Analysis – Two variables are analyzed together and examined for any possible association between them. • Multivariate Analysis – to analyze more than two variables at a time.
  • 19. 1. Correlation • study of the linear relationship between two variables. • Correlation analysis is the statistical tool used to describe the degree to which one variable is linearly related to another.
  • 20. METHODS OF STUDYING LINEAR CORRELATION • 1. Scatter diagram – special type of dot chart
  • 21. 2. Karl Pearson’s coefficient of correlation: It is denoted by the symbol ‘r’ ∑xy r = ∑x2 ∑y2
  • 22. 3. Spearman’s Rank Correlation 6∑ D2 r = 1- n(n2-1)
  • 23. DESCRIPTIVE ANALYSIS OF BIVARIATE DATA Refining an initial relationship: The data reported below represents the relationship between consumption of ice cream and income level. The above table indicates that 55 per cent of high income respondents fall into high consumption category as compared to 30 per cent of low income respondents.
  • 24. REGRESSION • Regression is the determination of a statistical relationship between two or more variables. • One variable (defined as independent) is the cause of the behaviour of the another one (defined as dependent variable) • Impact of age, gender (the predictor variables (independent)) on height (the dependent variable)
  • 25. • The basic relationship between X and Y is Y = a + bX • It means that each unit change in X produces a change of b in Y.
  • 26. MULTIPLE REGRESSION • When there are two or more than two independent variables, the analysis concerning relationship is known as multiple regression • Multiple regression equation assumes the form Y = a + b1X1 + b2X2 where X1 and X2 are two independent variables and Y being the dependent variable
  • 27. TWO-WAY ANOVA • The ANOVA (Analysis of Variance) technique is important in the context of all those situations where we want to compare more than two populations
  • 28. • For example: • Various types of drugs manufactured for curing a specific disease may be studied and judged to be significant or not through the application of ANOVA technique. • The basic principle of ANOVA is to test whether the differences occur due to ‘random effects’ or due to ‘specific factor’.
  • 30. VARIABLES IN MULTIVARIATE ANALYSIS Explanatory and criterion variable: • If X may be considered to be the cause of Y, then X is described as explanatory variable (also termed as causal or independent variable) and Y is described as criterion variable (also termed as resultant or dependent variable).
  • 32. INTRODUCTION TO FACTOR ANALYSIS • Factor analysis is a multivariate statistical technique in which there is no distinction between dependent and independent variables. • The purpose of Factor analysis is data reduction and summarization. • It is a very useful method to reduce a large number of variables resulting in data complexity to a few manageable factors.
  • 33. • For instance, we might have data, say, about an individual’s income, education, occupation and dwelling area and want to infer from these some factor (such as social class) which summarises the commonality of all the said four variables.
  • 35. • Discriminant analysis enables the researchers to classify persons or objects into two or more categories. • For ex: consumers may be classified as heavy and light users.
  • 36. • A company discriminate the agents as high performance agents and low performance agents based on annual turnover of agents • High performance and low performance – dependent variable • Annual turnover – independent variable
  • 38. • The search of relatively homogeneous groups of objects is called cluster analysis. • In marketing cluster analysis is used to identify persons with similar buying habits. • It makes no difference between dependent and independent variables.
  • 39. • For ex: cluster analysis is illustrated by an example of A to Z employees and their salary per month in a company. • A two dimensional perceptual map has been drawn on the basis of data relating to (i) monthly expenditure of the employees and (ii) monthly income of the employees.
  • 40. I • Monthly II Expenditure III Monthly salary in Rs. A,C,K,M ,O,P,Q ,X,Y,Z D,G,H,I,L ,N,J,R,S, T,U B, W, E, F, V
  • 42. MULTIDIMENSIONAL SCALING (MDS) BASIC TENETS • MDS is only one of the techniques that can be used for perceptual mapping. • The inputs obtained could be for objects, individuals, brands, corporations or countries. • The grouped objects are usually evaluated and compared with each other so that they can coexist on a spatial map.