In addition to traditional marketing strategies, marketing through social media has become increasingly important. This is particularly
Question:
In addition to traditional marketing strategies, marketing through social media has become increasingly important. This is particularly true for relatively small companies that do not have large marketing budgets. One study of Austrian food and beverage companies compared the use of audio/video sharing through social media by large and small companies. Companies were classified as small or large based on whether their annual sales were greater than or less than 135 million euros. The table below (also included in the Excel sheet) shows the frequency of companies that use audio/video sharing on social media.
Company size | Frequency of companies that use audio/video sharing on social media | Sample size |
Small company | 150 | 178 |
Large company | 27 | 52 |
A researcher would like the determine if the proportion of companies who use audio/video sharing on social media is higher for small companies than large companies using =0.001. The following hypotheses will be H:0p small - p large = 0, H:A p small- p large > 0 Use excel to:-
1. Calculate the test statistic. Answer to three decimal places as needed
2. What critical value would be used for the hypothesis test in the previous question? Answer to three decimal places as needed.