Basic Business Statistics, Student Value Edition
Basic Business Statistics, Student Value Edition
14th Edition
ISBN: 9780134685113
Author: Mark L. Berenson, David M. Levine, David F. Stephan, Kathryn Szabat
Publisher: PEARSON
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Chapter 11, Problem 10PS

A manufacturer of pens has hired an advertising agency to develop an advertising campaign for the upcoming holiday season. To prepare for this project, the research director decides to initiate a study of the effect of advertising on product perception. An experiment is designed to compare five different advertisements. Advertisement A greatly undersells the pen’s characteristics B slightly undersells the pen’s characteristics. Advertisement C oversells the pen’s characteristics. Advertisement D greatly oversells the pen’s characteristics. Advertisement E attempts to correctly state the pen’s characteristics). A sample of 30 adults respondents, taken from a larger focus group, is randomly assigned to the five advertisements (so that there are 6 respondents to each advertisement). After reading the advertisement and developing a sense of “product expectation,� all respondents unknowingly receive the same pen to evaluate. The respondents are permitted to test the pen and plausibility of the advertising copy. The respondents are then asked to rate the pen from 1 to 17 (lowest to highest) on the product characteristic scales of appearance, durability, and writing advertising copy. The responders are than asked to rate the pen from 16.7 (lowest to highest) on the product characteristic scales of appearance, durability, and writing performance. The combined score of three ratings (appearance, durability and writing performance) for the 30 respondents, stored in Pen, are as follows:

Chapter 11, Problem 10PS, A manufacturer of pens has hired an advertising agency to develop an advertising campaign for the

a. At the 0.05 level of significance, Is there evidence of a difference in the mean rating of the pens following exposure to five advertisements?

b. If appropriate, determines which advertisements differ ratings.

c. At the 0.05 level of significance, Is there evidence of a difference in the variation in rating among the five advertisements?

d. Which advertisement $ should you avoid? Explain.

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Basic Business Statistics, Student Value Edition

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