Business Statistics The Present Project

Question: Describe about the Business Statistics for The Present Project. Answer: Introduction The present project is the analysis of the data we collected. The data was collected from four locations Inner city, Outskirts of city, Suburbs and remote regions. The data regarding the oil prices were collected from equal number of locations. The brands of oils were Shell and Caltex. Data was collected from 224 stations, equally divided amongst the two stations. The response variable of the study is the price of the unipacket petrol. The independent variables are the station from which the petrol is being purchased and the location of the petrol station. Research Question The research question for the project is: Does location of the station affect the price of petrol? Research Hypothesis To answer the above research question three hypothesis were developed. The hypothesis for the tests Hypothesis 1 Null Hypothesis: The station brand has no effect on the price of petrol Alternate hypothesis: The station brand has an effect on the price of petrol. Hypothesis 2 Null Hypothesis: The Location of the station has no effect on the price of petrol Alternate Hypothesis: The Location of the station has an effect on the price of petrol Hypothesis 3 Null Hypothesis: There is no effect of the station brand and the location of the petrol station on the price of petrol Alternate Hypothesis: The station brand and the location of the petrol station is linked by the price of petrol. Data Analysis To answer the above question we used the two factorial ANOVA. Between-Subjects Factors Value Label N Brands 1 S 112 2 NS 112 Locations 1 Inner City 56 2 Outskirts of City 56 3 Suburbs 56 4 Remote Region 56 Table 1: Frequency of Station brand and Location of the petrol station (source created by author) Descriptive Statistics Dependent Variable: UN Brands Locations Mean Std. Deviation N S Inner City 114.9393 7.74570 28 Outskirts of City 107.9000 .00000 28 Suburbs 114.7714 2.87632 28 Remote Region 116.7000 6.65488 28 Total 113.5777 6.22869 112 NS Inner City 108.3393 2.08581 28 Outskirts of City 121.1857 5.79180 28 Suburbs 115.7214 2.99448 28 Remote Region 115.6750 5.97406 28 Total 115.2304 6.41218 112 Total Inner City 111.6393 6.53271 56 Outskirts of City 114.5429 7.83565 56 Suburbs 115.2464 2.94840 56 Remote Region 116.1875 6.28719 56 Total 114.4040 6.36105 224 Table 2: Descriptive statistics of the price of petrol based on the Station brand and Location of the station (source created by author) Tests of Between-Subjects Effects Dependent Variable: UN Source Type III Sum of Squares df Mean Square F Sig. Partial Eta Squared Corrected Model 3755.322a 7 536.475 21.997 .000 .416 Intercept 2931774.564 1 2931774.564 120211.155 .000 .998 Brands 152.955 1 152.955 6.272 .013 .028 Locations 646.995 3 215.665 8.843 .000 .109 Brands * Locations 2955.371 3 985.124 40.393 .000 .359 Error 5267.925 216 24.389 Total 2940797.810 224 Corrected Total 9023.246 223 a. R Squared = .416 (Adjusted R Squared = .397) Table 3: Between subject effects of the price of petrol based on the Station brand and Location of the station (source created by author) From table 3 we find that there are statistically significant interaction between the station brand of petrol and the location of the petrol station, F(3,216)= 40.393, p = 0.000. We also find that there are statistically significant differences between the station brand and the price of petrol F(1,216)=6.272, p = 0.013. In addition, we also find that there are statistically significant differences between the location of the petrol station and the price of the petrol F(3,216) = 8.843, p = 0.000. Figure 1: The price of petrol based on station brand and location of the station (source created by author) From figure 1 and table 2 we find that the price of station brand S petrol is the lowest at the outskirts of the city, and the highest at the remote region. The price of station brand NS is the highest at the outskirts of the city and the lowest at the inner city location. Conclusion From the above analysis we find that the price of unipacket petrol varies with the location and the brand of petrol station.