An analyst is interested to understand the factors impacting the sales from the export of manufacturing organizations in geography. Based on his research he got indications that sales from exports may be positively impacted by % international ownership in the company and % foreign purchases. He collected data for 100 manufacturing organizations as given in the excel file. Answer the following questions based on the above and the given data. You are free to use any software to answer this question. Take only important part of the outputs in answer sheet to justify your description. No need to copy the input data or complete statistical output in answer sheet. Take your judgment call how detailed you like to explain in above questions based on the marks.

1. Can sales from exports be predicted using the % international ownership, and % foreign purchase? The researcher also believes that the size of the organization in terms of employee strength may have variations in sales from exports, and therefore would like to control for it? Show your detailed work in your answer sheet and discuss the results from statistical point of view. (10)
2. The analyst would like to develop a confidence interval of 96% for a difference in population means of ‘sales from exports’ of organizations with low versus high % foreign purchase. The organizations with % foreign purchase ‘low. Conduct the analysis, and describe in your answer sheet. (assuming equal variance of the two populations). (10)
3. The analyst would like to conduct a two independent populations T test for zero difference in population means (assuming equal variance of the two populations) between low versus high % foreign purchase organizations. The organizations with % foreign purchase ‘(10)
4. Explain your understanding of the relationship among the correlation between “% foreign purchase, sales from exports”, “beta coefficient of % foreign purchase from part (a)”, and “statistical result in part (b, and c)”. (10)

Compare and contrast if the findings in part a) are consistent for small versus large-size organizations at alpha 5% and at alpha 1%. Assume the organization with employee strength ‘

 

A Org Num_ID 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 B Org ID F001 F002 F003 F004 F005 F006 F007 F008 F009 F010 F011 F012 F013 F014 F015 F016 F017 F018 F019 F020 F021 F022 F023 F024 F025 F026 F027 F028 F029 F030 F031 F032 F033 F034 F035 F036 F037 F038 F039 F040 F041 F042 F043 No. of Employees 1% International Ownership - Year 2019 80 20 34 45 79 10 57 57 55 50 500 161 60 50 181 55 173 111 50 112 211 135 812 109 65 25 750 400 209 27 73 65 21 100 34 310 1200 25 195 36 118 30 33 33 214 180 D 150 144 103 281 125 191 20 10 0 0 45 20 0 0 0 0 U 73 0 30 0 30 80 92 0 98 0 50 6 5 34 50 43 0 28 0 60 60 80 10 22 E % Foreign Purchase Year 2019 90 10 35 28 89 30 34 0 30 65 40 0 41 30 10 10 30 70 20 80 23 0 70 30 0 30 21 45 60 80 91 30 30 44 30 20 0 11 70 14 30 50 1 F Sales (Million USD) - Year 2018 80 5 40 40 100 0 10 0 60 75 20 30 10 50 5 30 30 15 10 90 0 30 20 5 20 20 25 0 6 10 5 10 40 10 40 10 30 20 70 15 15 2 10 G Sales from Exports (Million USD) - Year 2019 96 6 44.4 46 117 0 12 0 69 87 23.6 33 11.3 56 5.6 35.7 35.4 17.85 11 35 99 0 33.3 22.2 5.9 23.4 22.6 29.75 0 6.6 12 5.85 11.3 44.8 11.2 44.8 11.2 35.1 22.4 78.4 16.8 17.55 2.28 11.9 H