5.2 5th phase

In the fifth phase of the business strategy formulation, 

 

Decide to focus on elements of the organization’s advertising efficiency. Specifically, 

 

Determine an ideal location (or locations) for the billboards your organization uses for advertising. 

 

Decide to create a measure (regression analysis) of the relationship between revenue and billboard location. 

 

You changed the location of the billboard every day for 28 days and collected the data below:

Date Daily\ Revenue (in thousands) \ Distance the Billboard is from your Store (in miles) (X)

1-May / 123 / 60

2-May \ 145 \ 38

3-May \ 131 \43

4-May \ 168 \ 30

5-May \ 152 \ 32

6-May \178 \ 24

7-May \ 184 \ 15

8-May \ 137 \ 34

9-May \ 204 \ 3

10-May \ 179 \ 25

11-May \ 163 \ 28

12-May \ 195 \ 14

13-May \ 163 \ 26

14-May \ 208 \ 7

15-May \ 183 \ 18

16-May \ 217 \ 4

17-May \ 104 \ 87

18-May \ 119 \ 72

19-May \ 176 \ 22

20-May \ 118 \ 75

21-May \ 129 \ 54

22-May \ 193 \ 12

23-May \ 185 \ 17

24-May \ 102 \ 82

25-May \ 173 \ 21

26-May \ 189 \ 18

27-May \ 206 \ 5

28-May \ 183 \ 16

 

1. Create a scatter plot using this data in Microsoft Excel. Include the correlation and regression line. 

2. Do your findings indicate a positive or a negative correlation? Why? 

3. What is the correlation coefficient? 

 

In your own words, describe what it is and what it means or how it applies here. 

This assignment should be at least 500 words in length and submitted as a Microsoft Word document.