Factor Analysis Introduction Basic Concept of Factor Analysis Factor analysis is a statistical approach to reduce a large set of variables that are mostly correlated to each other to a small set of variables or factors. It is also used to explain the variables in the common underlying factors. (Hair et al‚ 1998) Malhotra‚ 2006 mentioned that factor analysis is also an interdependence technique that both dependent and independent variables are examined without making distinction between them
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correlated. To choose which variable should be kept‚ two regressions must be run‚ one without each variable. When evaluating these regressions‚ the variable that leads to the higher R Square value needs to
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Residual Analysis The concepts behind residual analysis for a multiple linear regression model are similar to those for a simple linear regression model. However‚ they are much more important for the multiple linear regression models because of the lack of good graphical representations of the data set and the fitted model. In simple linear regression a plot of the response variable against the input variable showing the data points and the fitted regression line provides a good graphical summary
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Explain how the law of diminishing returns and returns to scale affect a firm’s cost of production (20 Marks) The law of diminishing returns exist when increasing quantities of a variable input are combined with a fixed input‚ which eventually leads to the marginal product and the average product of that variable input will decline. Diminishing returns can affect a firms cost of production negatively in the short run. An example of this is that a business had 2 factors of production; Capital‚ which
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To appear in: Moutinho and Hutcheson: Dictionary of Quantitative Methods in Management. Sage Publications Principal Components Analysis Introduction Principal Components Analysis (PCA) attempts to analyse the structure in a data set in order to define uncorrelated components that capture the variation in the data. The identification of components is often desirable as it is usually easier to consider a relatively small number of unrelated components which have been derived from the data than
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Internship Report On “Investment Analysis of BCBL” Guide Teacher MR. M. Muzahidul Islam Professor Department of Banking University of Dhaka Department of Banking University of Dhaka Prepared By: Yunus Sheikh ID: 012 BBA 14th Batch Department of Banking University of Dhaka March 25‚ 2012 Guide Teacher: MR. M. Muzahidul Islam Professor Department of Banking University of Dhaka Letter of Transmittal March 25‚ 2012 MR. M. Muzahidul Islam Professor
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quantitative techniques in the decision making process have proven to assist users in improving the process by quickly delivering tools and other useful information used by organizations and have resulted in more economical decisions. “Quantitative analysis has been in existence since the beginning of recorded history‚ but it was Frederick W. Taylor who in the 1900’s pioneered the principles of the scientific approach to management”. (Render‚ Stair & Hanna‚ 2009) The use and success of quantitative
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firm may have is to engage itself in economies of scales. Economies of scale may be described as the increase in efficiency of production as the number of goods being produced increases. Typically‚ a firm that achieves economies of scale lowers the average cost per unit through increased production since fixed costs are shared over an increased number of goods. Economies of scale can be classified as internal and external. Internal economies of scale relates to the cost saving advantages within a firm
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Introduction This document presents the regression analysis of customer survey data of Hatco‚ a large industrial supplier. The data has been collected for 100 customers of Hatco on 14 parameters. The 14 variables are as follows: * Perceptions of Hatco: This data was collected on a graphic measurement rating scale consisting of a 10cm line ranging from poor to excellent. Indicator | Variable | Description | X1 | Delivery speed | amount of time it takes to deliver the product once an order
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Methods of analysis for the consumer behavior Qualitative studies: Behavior can also be measured through qualitative tools and techniques such as focus group‚ depth interview (individual) and psychological tests. That helps to identify consumer opinions‚ beliefs and feelings by getting them involved in open discussions. Focus group= in focus group interview‚ there is a group of consumers between 6 and 12 persons called together and a moderator who control this interview. The discussion
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