In the Journal of Marketing Research (November 1996), Gupta studied the extent t

Question

In the Journal of Marketing Research (November 1996), Gupta studied the extent to which the purchase behavior of scanner panels is representative of overall brand preferences. A scanner panel is a sample of households whose purchase data are recorded when a magnetic identification card is presented at a store checkout. The table below gives peanut butter purchase data collected by the A. C. Nielson Company using a panel of 2,500 households in Sioux Falls, South Dakota. The data were collected over 102 weeks. The table also gives the market shares obtained by recording all peanut butter purchases at the same stores during the same period.

(a) Show that it is appropriate to carry out a chi-square test.

Each expected value is               

(b) Test to determine whether the purchase behavior of the panel of 2,500 households is consistent with the purchase behavior of the population of all peanut butter purchasers. Assume here that purchase decisions by panel members are reasonably independent, and set = .05. (Round your answers 2to 2 decimal places and 2.05 to 3 decimal places.)

(Click to select)Do not rejectReject H0. Conclude purchase behavior is (Click to select)consistentnot consistent.
ev: 11_18_2012

Brand Size Number of Purchases by Household Panel Market
Shares Jif 18 oz. 3,170 19.89% Jif 28 1,866 8.21 Jif 40 757 4.72 Peter Pan 10 4,033 18.54 Skippy 18 6,289 26.00 Skippy 28 1,674 12.53 Skippy 40 1,470 10.11 Total 19,259

Explanation / Answer

a) Each expected value >= 0

b) Chisquare value = 100.01   from the given table
Chisquare at 0.05 = 46.095

c) Reject H0: Conclude purchase behaviou is not consistent

Since Chisquare value > Chisquare at 0.05

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