As asales manager, you willuse statistical methods to support actionable business decisionsfor Pastas R Us, Inc., a fast-casual restaurant chain specializing in noodle-based dishes, soups, and salads. In simpler terms, you are reviewing available information to determine if what your company is doing works. In this assessment, you usepredictive and qualitative analysisskills to make a report for the executive team from available Pastas R Us, Inc. data about the effectiveness of the current expansion criteria, loyalty card program, and marketing position.

Scenario

Since its inception, the Pastas R Us business development team has favored opening new restaurants in areas that satisfy the following demographic conditions within a 3-mile radius:

• Median age is between 25-45 years old.
• The household median income is above the national average.
• At least 15% of the adult population is college-educated.

Last year, the marketing department rolled out a loyalty card strategy to increase sales. Under this program, customers present their loyalty cards when paying for their orders and receive some free food after making 10 purchases.

The company has collected data from its 74 restaurants to track important variables such as average sales per customer, year-on-year sales growth, sales per sq. ft., loyalty card usage as a percentage of sales, and others. A key metric of financial performance in the restaurant industry is annual sales per sq. ft. For example, if a 1,200 sq. ft. restaurant recorded $2 million in sales last year, then it sold $1,667 per sq. ft.

Preparation

Analyze thePastas R Us chartsfile for your report, including the scatter plots and regression equations for the following pairs of variables:

• "Sales/Sq.Ft. ($)" versus "Bach. Degrees (%)"
• "Median Income ($)" versus "Sales/Sq.Ft. ($)"
• "Median Age (Years)" versus "Sales/Sq.Ft. ($)"
• "Loyalty Card (%)" versus "Sales Growth (%)"

Assessment Deliverable