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A marketer of grocery products is test marketing a new product in a random sampl

ID: 3434579 • Letter: A

Question

A marketer of grocery products is test marketing a new product in a random sample of 12 supermarkets. Included in this market test is a test of three alternative packages, identical in graphical design but differing in the predominant color. The three colors are red, orange, and purple. Of the total of 12 stores chosen for the sales test, four are randomly chosen to carry the red package, four the orange package, and four the purple package. An audit of first-week unit sales of the product is presented in the Table below. We assume that there is no significant difference between the three types of packages.

Red

Package

Orange

Package

Green

Package

a. By using the hypothesis testing procedure, determine if there is no difference in sales engendered by the package color.

b. By using at least two post-hoc test identify which package color is better for selling the product.

Red

Package

Orange

Package

Green

Package

6 18 7 14 11 11 19 20 18 17 23 10

Explanation / Answer

H0= There is no difference in the sales engendered by the package color

H1= There is difference in the sales engendered by the package color.

ans(a) we reject the null hypothesis that there is no diiference in the sales engendered by the package color and accept the alternative hypothesis.

ans(b) green package color is better for selling the product

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