Answer to Question #308144 in Management for Alphamimi

Question

What level of α would you choose for the following types of market research studies? Give reasons for your answers.

1. An initial study on preferences for mobile phone colors.

2. The production quality of Rolex watches.

3. A repeat study on differences in preference for either Coca-Cola or Pepsi.

Write hypotheses, including the null hypothesis and alternative hypothesis for each of the market research studies.

Answer 1

1] 1% because it is easy to get the preference of mobile phone colors.

2] 10% because production quality of Rolex watches can vary.

3] 10% because the preferences can be determined through sales.