Sales by region. A sales manager for a major pharmaceutical company analyzes last year’s sales data for her 96 sales representatives, grouping them by region (1 East Coast U.S.; 2 Mid West U.S.; 3 West U.S.; 4 South U.S.; 5 Canada; 6 Rest of World). She plots Sales (in $1000)

against Region (1–6) and sees a strong negative correlation.

Write a few sentences interpreting this model and describing what she can conclude from this analysis.

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Total Sales 2008 ($1000) 1000 800 600 400 400 200 1 2 3 4 5 Region She fits a regression to the data and finds: Sales 1002.5 102.7 Region. - The R is 70.5%. 6