Marketing Strategy

Spring 2018 MAR 4804/P80 (I-75)

Financial/Analytical Question #2: Note that there are conceptual issues in each of the 4 Financial Assignments. You should specifically identify any assumptions that you make and justify the decision(s) made.

FAQ#2: PATE MEMORIAL HEALTH CLINIC

The data cross-tabulated below have been obtained from a “representative” sample of employees in the 5 block radius of the Clinic. (see Exhibit 3 of the case)

Have regular physician?

Would use/try CLINIC if necessary?

Yes No Total

Yes 58 198 256

No 130 14 144

Total 188 212 400

1. Which variable is the causal factor (C)? Which variable is the effect (E)?

Explain your reasoning! (4)

2. Briefly explore the meaning of the data above – there is no need to employ a formal (chi-square) statistical analysis. What are the implications for target marketing? (4)

The data above is again presented below:

Sex

Would use/try CLINIC if necessary?

M F Total

Yes 88 168 256

No 72 72 144

Total 160 240 400

3. Again, which variable is the causal factor (C)? Which variable is the effect (E)?

Explain your reasoning! (4)

4. Briefly explore the meaning of the data above – there is no need to employ a formal (chi-square) statistical analysis. What are the implications for target marketing? (4)

5. Which independent variable (causal factor) is the stronger predictor of potential clinic patronage? Briefly explain. (2)

6. Suggest how interaction effects might enhance your knowledge of Clinic patronage. (Hint: review the “Causation” file) (2)

Note: points are in parentheses.

The submission (FAQ #2) is due 2/14 (Tuesday) at 9:00PM. (Use Messages function on BB). You are to submit on either an individual basis or in collaboration with one other student. You may not collaborate with a specific student more than once. Do not discuss the assignment with any other students. If you use a reference you should cite the source.

Either type answers in MSWord or scan to a pdf file. Do not use JPEG! Make sure that your name is on the FILE itself. (1 point deduction if omitted)

Note: 0.5 points may be deducted for each hour, or part thereof, that a submission is late, with a maximum of 5 points per 24 hours. This is based on 20 points per question!