A marketing manager wants to predict customers with risk of churning (switching their service contracts to another
Question:
A marketing manager wants to predict customers with risk of churning (switching their service contracts to another company) based on the number of calls the customer makes to the company call center and the number of visits the customer makes to the local service center. Data from a random sample of 30 customers are organized and stored in Churn .
a. Using all the data as the training sample, develop a classification tree model to predict the probability of churning, based on the number of calls the customer makes to the company call center and the number of visits the customer makes to the local service center.
b. What conclusions can you reach about the probability of churning?
Step by Step Answer:
a JMP output b The r 2 for the classification tree model is 0434 The first split is for the 8 custom...View the full answer
Basic Business Statistics
ISBN: 9780321870025
13th Edition
Authors: Mark L. Berenson, David M. Levine, Kathryn A. Szabat
Students also viewed these Statistics questions
-
A marketing manager wants to predict customers with the risk of churning (switching their service contracts to another company) based on the number of calls the customer makes to the company call...
-
An apple juice manufacturer has developed a new producta liquid concentrate that produces 1 liter of apple juice when mixed with water. The product has several attractive features. First, it is more...
-
For the bookstore of Exercise 1, the manager wants to predict Sales from Number of Sales People Working. a) Find the slope estimate, b1. b) What does it mean, in this context? c) Find the intercept,...
-
Light Sweet Petroleum, Inc., is trying to evaluate a generation project with the following cash flows: Year Cash Flow 0 %u2013$ 39,200,000 1 63,200,000 2 %u2013 12,200,000 a-1 What is the NPV for the...
-
Simon Sharpe executed and delivered to Ben Bates a negotiable promissory note payable to the order of Ben Bates for $500. Bates indorsed the note, Pay to Carl Cady upon his satisfactorily repairing...
-
1. When a companys succession plan names an interim CEO, it buys time to decide on a permanent replacement. What are some of the risks a company might face during this process? 2. When an...
-
Why Are the Three-Needs, Equity, Expectancy, and GoalSetting Theories Useful? (pp. 7483)
-
All Steel Pipe and Tube is a closely held corporation engaged in the business of selling steel pipes and tubes. Leo and Scott Callier are its two equal shareholders. Scott, Leos uncle, is one of the...
-
Please solve the return on investment and breakeven analysis portion
-
This table summarizes retail sales of breakfast bars for 2004. The data record sales from most retail outlets, except for Wal-Mart, which keeps this sort of information confidential. Total sales in...
-
A hotel has designed a new system for room service delivery of breakfast that allows the customer to select a specific delivery time. The file Satisfaction contains the difference between the actual...
-
An automotive insurance company wants to predict which filed stolen vehicle claims are fraudulent, based on the number of claims submitted per year by the policy holder and whether the policy is a...
-
Bank borrowing has long been the manner by which corporations and governments borrowed funds for short periods. What then, is the advantage over bank borrowing for each of the following? a....
-
How do you assess the managerial challenge posing the decision of having an organization-wide uniform package of compensation and benefits in the present context of organizations having diversity of...
-
what you have to do is make order decisions based on the sales, stock, and delivery cycle of each item. You are making decisions of marking orders from suppliers, and they will deliver the item next...
-
How do advanced relaxation techniques, such as progressive muscle relaxation or guided imagery, contribute to a comprehensive stress management plan ?
-
What role do intermediaries play in intermediation in the market? Do middlemen exist in the online market? How? Talk about the following ideas with examples from real life: (1) the issues with direct...
-
Identify and conduct a 5S project that you could do at home, school, or your place of employment. For each of the 5 steps, define what you would do to address the situation. Describe the outcome. .
-
Figure G-55 is a tectonic map of a region that contains three major shear zones that were active at different times. For each shear zone a stereogram is provided that indicates the foliation and...
-
The outer loop controls the number of students. Note that the inner loop of this program is always executed exactly three times, once for each day of the long weekend. Modify the code so that the...
-
Is there a difference in the satisfaction rating of traditional cellphone providers who bill for service at the end of a month often under a contract and prepaid cellphone service providers who bill...
-
The lengths of life (in hours) of a sample of 40 6-watt light emitting diode (LED) light bulbs produced by Manufacturer A and a sample of 40 6-watt LED light bulbs produced by Manufacturer B are...
-
The annual NFL Super Bowl is the most widely watched sporting event in the United States each year. In recent years, there has been a great deal of interest in the ads that appear during the game....
-
1. (A nice inharitage) Suppose $1 were invested in 1776 at 3.3% interest compounded yearly a) Approximatelly how much would that investment be worth today: $1,000, $10,000, $100,000, or $1,000,000?...
-
Why Should not the government subsidize home buyers who make less than $120K per year. please explain this statement
-
Entries for equity investments: 20%50% ownership On January 6, 20Y8, Bulldog Co. purchased 25% of the outstanding common stock of $159,000. Gator Co. paid total dividends of $20,700 to all...
Study smarter with the SolutionInn App