A Hotel is interested to model Hoteling Demand of customer and collected the dat

Question

A Hotel is interested to model Hoteling Demand of customer and collected the data from 250 customers visited during last 2 months. A regression model is applied and following output is generated. Model the estimated regression equation the customer hoteling demand Test a hypothesis to determine whether pricing significantly decrease the hotel demand of the customer? Given the constructed model, determine whether the model will be considered a fitter one? How would you intercept the estimated coefficient and briefly explain how much variation are explained by the independent variables?

Explanation / Answer

1)

From output you get regression equation is

customer demand=42.74126 -8.01399*pricing+0.8576*Reputation

2)

here p value of pricing 0.00449 < 0.05 so we reject Ho at 5 % l.o.s

pricing is significantly decrease.

3)

Here R square is 0.6564

so model is good fit

4)

R square =0.6564 mean 65.64% variation are explain by the independent variable.

Related Questions

Navigate

• Browse (All)
• Browse A
• Subjects

---

---

Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.