Question
A study aims to empirically measure the distinctive characteristics of customers who did and did not order food through Online Food Delivery services (OFDs) during
A study aims to empirically measure the distinctive characteristics of customers who did and did not order food through Online Food Delivery services (OFDs) during the COVID-19 outbreak in India. Data are collected from 462 OFDs customers. In the study, whether or not the respondents ordered food through online food delivery services (OFDs) during the COVID-19 outbreak was taken as the dependent variable (0- do not order; 1-ordered); Age of the respondents, frequency of purchase of OFDs before the nationwide lockdown, respondents' perceived threat about COVID-19 through OFDs, perceived benefits of OFDs and respondents' level of product involvement about OFDs were taken to be the predictor variables [1]. Some of the results of logistic regression are given below:
Predictor | Coefficient Estimate | Standard Error | Wald Test Statistic | p-value |
Age | 0.016 | 0.018 | 0.353 | |
Purchase Frequency | 0.447 | 0.048 | 87.639 | 0.000 |
Perceived Threat | -0.031 | 0.005 | 32.952 | 0.000 |
Perceived Benefit | 0.275 | 0.138 | 3.974 | |
Product Involvement | 0.297 | 0.147 | 4.064 | 0.044 |
Answer the following questions according to the study:
- Give one main reason why we cannot use multiple linear regression in this case. (5 points)
- Write down the logistic regression equation assuming that the intercept is zero. (5 points)
- Find the Wald test statistic for "Age" coefficient. Show your work to get a full mark. (5 points)
- Find the p-value for "Perceived Benefit" coefficient. Is the estimate statistically significant when =5%? Show your work to get a full mark. (Do not use any software or p-value calculators) (5 points)
- Find the Estimated odds ratio for "Purchase Frequency" and interpret withing the context. Show your work to get a full mark. (10 points)
- Find the 95% Confidence interval for the odds ratio for "Purchase Frequency". Interpret within the context. Show your work to get a full mark. (10 points)
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