According to Topaz Enterprises, a Portland, Oregonbased airfare accounting firm, more than 80% of all tickets purchased

Question:

According to Topaz Enterprises, a Portland, Oregonbased airfare accounting firm, "more than 80% of all tickets purchased for domestic flights are discounted"

(Travel Weekly, May 15, 1995). The results of the accounting firm's survey of domestic airline tickets are summarized in the table.

......................................................................................

Domestic Airline Ticket Type Proportion Full coach Discounted coach Negotiated coach First class Business class Business class negotiated -

Advance purchase Capacity controlled discount Nonrefundable Total 1 .000

a. Give your opinion on whether the data described in the table are from a population or a sample. Explain your reasoning.

b. Display the data with a bar graph. Arrange the bars in order of height to form a Pareto diagram. Interpret the resulting graph.

c. Do the data support the conclusion reached by Topaz Enterprises regarding the percentage of tickets purchased that are discounted?

[Note: Advance purchase and negotiated tickets are considered discounted.]

"Reader-response cards" are used by marketers to advcrt~se their product and obtain sales leads. These cards are placed in magazines and trade publications.

Readers detach and mail in the cards to indicate their interest in the product, expecting literature or a phone call In return. How effective are these cards (called

"blngo cards" in the industry) as a marketing tool?

Performark, a Minneapolis business that helps companies close on sales leads, attempted to answer th~s question by rcsponding to 17,000 card-advertisements placed by industrial marketers in a wide variety of trade Advertiser's Response Time Percentage Never responded 21 13-59 days 33 60-120 days 34 More than 120 days 12 Total 100 publications over a 6-year period. Performark kept track of how long it took for each advertiser to respond.
A summary of the response times, reported in Inc. magazine (July 1995), is given in the table on p. 33.

a. Describe the variable measured by Performark.

b. Inc. displayed the results in the form of a pie chart.
Reconstruct the pie chart from the information given in the table.

c. How many of the 17,000 advertisers never responded to the sales lead?

d. Advertisers typically spend at least a million dollars on a reader-response card marketing campaign.
Many industrial marketers feel these "bingo cards"
are not worth their expense. Does the information in the pie chart, part

b, support this contention? Explain why or why not. If not, what information can be gleaned from the pie chart to help potential "bingo card" campaigns?

Step by Step Answer:

Related Book For  book-img-for-question

Statistics For Business And Economics

ISBN: 9780130272935

8th Edition

Authors: James T. McClave, Terry Sincich, P. George Benson

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