Week 1a Maker Of Energy Drinks Is Considering Abandoning Can

Week 1a Maker Of Energy Drinks Is Considering Abandoning Can Container

A maker of energy drinks is considering abandoning can containers and going exclusively to bottles because the sales manager believes customers prefer drinking from bottles. However, the vice president in charge of marketing is not convinced the sales manager is correct. Investigate this issue using statistical analysis. 1. Explain which data collection method you would use and what procedures you would follow to apply this method to this situation. 2. Propose which level of data measurement applies to the data collected. Justify your answer. 3. Determine whether the data is qualitative or quantitative.

Paper For Above instruction

In order to assess whether customers prefer bottled energy drinks over canned ones, it is essential to utilize an appropriate data collection method that accurately captures customer preferences and behaviors. The most suitable approach is to conduct a structured survey employing a stratified random sampling technique. This method ensures that various customer segments—such as age groups, geographic locations, and purchase frequencies—are adequately represented, providing a comprehensive overview of preferences across different demographics.

The data collection process would begin by defining the population of interest—namely, the company's current customers and potential customers. A sampling frame must be constructed, typically through customer databases, loyalty programs, or sales records. The population is then divided into strata based on relevant demographic or behavioral attributes to ensure diversity and representativeness. Within each stratum, respondents are selected randomly to avoid bias and improve the generalizability of the results.

The survey instrument should include questions about consumers' preferred packaging format for energy drinks—whether they prefer cans or bottles—and explore underlying reasons such as convenience, taste, or perceived health benefits. Additionally, questions about frequency of purchase and reasons for brand loyalty could provide supplementary insights. To collect data, the company could distribute questionnaires online, via email, or in physical locations such as retail stores.

Prior to deployment, the survey should be tested for reliability and clarity. After collecting responses, the data must be carefully coded and entered into statistical software for analysis. Statistical tests such as Chi-square tests for independence or preference analysis can then be conducted to determine whether a statistically significant majority prefers bottles over cans. The findings will provide evidence-based guidance for decision-making regarding packaging options.

In summary, the stratified random survey ensures representative, unbiased data collection. This method facilitates valid comparisons between packaging preferences, supporting the company's strategic move to potentially shift exclusively to bottles if customer preferences strongly favor them.

Regarding the measurement level of the collected data, the primary variable of interest—customer preference—is categorical. It involves selecting options such as "can" or "bottle," which classify respondents into distinct groups without inherent numerical order. Therefore, the data is nominal level measurement, justified because the categories are merely labels without quantitative significance.

This preference data is qualitative since it categorizes customer responses into groups rather than measuring a numerical quantity. Understanding whether the data is qualitative or quantitative is crucial for selecting appropriate statistical analyses: qualitative data like preference categories typically require chi-square tests or proportions comparison, whereas quantitative data such as purchase amounts involve numerical measures suitable for t-tests or regression analyses.

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