Question

Cory Rogers of CMG Research called a meeting with Nick Thomas, and Celeste Brown, CMG analyst, attended it. After meeting for about 20 minutes, Celeste understood that the Auto Concepts principals were encouraged by the fi ndings of the survey, which indicate that there is substan- tial demand for the various types of futuristic high-mileage automobiles under consideration. Depending on develop- ment costs, prices, and other fi nancial considerations, it seems that any one model or any combination of the new automobile models could be a viable option. The next step in their planning is to identify the target market for each automobile model type under consideration. This step is crucial to market strategy because the more precise the tar- get market defi nition is, the more specifi c and pinpointed the marketing strategy can be. For a fi rst cut at the market segment descriptions, the survey included the following commonly used demographic factors: • Hometown size category • Gender • Marital status • Age category • Education category • Income category Your task is to apply appropriate diff erences analysis using the survey’s desirability measures in your Auto Con- cepts SPSS dataset to determine the target market descrip- tions for each of the fi ve possible automobile models. 1. “Super Cycle,” One-Seat All Electric, mpg-e rating 125; estimated MSRP (manufacturer’s suggested retail price) $30,000; range 200 miles. 2. “Runabout Sport,” Two-Seat All Electric, mpg-e 99; estimated MSRP $35,000; range 150 miles. 3. “Runabout Hatchback,” Two-Seat Gasoline Hybrid, mpg-e 50; runs on battery for 50 miles and then switches to gas engine; estimated MSRP $35,000; range 250 miles. 4. “Economy Hybrid,” Four-Seat Diesel Hybrid, mpg-e 75; runs on battery for 75 miles and then switches to effi cient diesel engine; estimated MSRP $38,000; range 300 miles. 5. “Economy Gasoline,” Five-Seat Economy Gasoline, mpg 36; runs on gasoline with computer control for maximum effi ciency; estimated MSRP $37,000; range 350 miles.

Answer 1

Analysis of data with ANOVA test: The analysis and interpretation of the data will be made in the following manner: One way Sum of squares df Mean square F Sig. 7 124 203 0.00 Between groups 452 393 0.5 0.077 Within groups 158 Total 610 400

Post hoc test: Subset for alpha 0.05 Zip Code Number 1 2 (10,11, & 12) 42 1.15 21 1.20 (6,7 8, & 9) 200 2.83 (3,4 &5) 122 4.13 Sig 0.870 1.000 1.000 he paem ria io oes ar ng ign levels are greater. This shows that the pattern of ANNOVA test is consistent with the speculation