Individual Assignment Week 1
Write a 300-word summary that addresses the following criteria:
• Define statistics.
• Identify different types and levels of statistics.
• Describe the role of statistics in business decision making.
• Provide at least three examples or Business related problem situations in which statistics was used or could be used.
No matter where you go statistics are everywhere; in the paper, on the internet in the form of polls, and on television. We use them at work, in our personal lives, and in school. Statistics is a collection of data that is then organized in a particular way and presented using graphs and charts. The data then can be used for interpretation purposes such as making decisions in the work place. There are two different types of statistics, descriptive statistics and inferential statistics. Descriptive statistics is using data and presenting it in an informative way. Inferential statistics are used to make a good guess based on a sample rather than an entire population. The levels of statistics are broken down into the following categories: nominal level (data is classified), ordinal level (data is ranked), interval level (differences between values) and ratio level (ratio between values).
In my work place, data is used on a daily basis to make decisions as to what products we are going to put out for our customers and when. We also use data to target our customers. This type of data shows us which marketing tools are proven to be the most successful when promoting new products to new customers.
One way to use statistics in business related problem situations is to find patterns in the data. For example, I can collect data about sales (daily, weekly, or monthly) to determine the busy or slow seasons in my business. Another way I can use statistics is to see how many of my customers actually have membership cards with us in comparison to last year or last quarter. Knowing these statistics helps me make...