Val is now interested in trying to identify how much customers would be willing to pay for the scarves. She divides potential customers into three separate groups (100 in each group) and shows each group the exact same scarf. Group 1 is asked how likely they would be to purchase the scarf if it cost 100Aed, Group 2 if it cost 200Aed and Group 3 if it cost 300Aed (1= Extremely Unlikely to 7=Extremely Likely)

The results of the ANOVA analysis can be seen below.

Test of Homogeneity of Variances

ANOVA Intent to Purchase Sum of Squares df Mean Square F Sig. Between Groups 46.381 2 23.190 15.543 002 Within Groups 26.857 18 1.492 Total 73.238 20 + Post Hoc Tests Mean Difference (1) Cost (J) Cost (1-J ) Std. Error Sig. 100 200 0.3000 54291 365 300 2.9500 54291 003 200 100 0.3000 54291 365 300 2.6500 54291 006 300 100 -2.9500 54291 003 200 -2.6500 54291 006 Subset for alpha = 0.05 Cost N 2 100aed 100 5.60 200aed 100 5.30 300aed 100 2.65