Statistics for Business

Data & Statistics

M J Xavier
 Professional Experience

Industry 7 years
- Market Research Executive
- Sr. Manager (Management Services)

Academic 13 Years
Administration 12 years
- Dean
- Director
- Principal
- Vice Chancellor
 Journal Articles – 33 Nos.

Conference Papers – 16 Nos.

Web Publications – 4
Publications
Articles in Business Periodicals – 53

Video Lessons – 5

Books Published - 3
Books Published
 Business Analytics

Marketing Research
Areas of
Interest
Strategic Marketing

CRM
About the Course
ITEM Percent of Final Grade
Home work and Assignments 20
(Groups)
Midterm Examinations (2 Nos.) 30
Final Examination 30
Quizzes 20
Total 100
Groups - F 19028 Hardhika Mahavir F 19027 Hanseka Lourdu E.
Section A F 19052 Ponnekanti Harish F 19011 Ankita P. Asher

Group 1

Group 7
F 19006 Alka Nibedita F 19034 Jeyrashi Johana
F 19065 Vaibhavee Katial F 19032 Jeffy Joyce A.
F 19068 Vinil Jose F 19026 Elma Evangeline Sagayanathan
F 19018 Arunima Singh F 19038 Kevin Christopher W.

F 19016 Aritra Bose F 19048 Nilina Davis

F 19046 Nikhil Babychan F 19067 Vijayaraje Ramkar

Group 2

Group 8
F 19049 Niranjan M.J. F 19036 Joel Nathan M.
F 19004 Akansha F 19007 Allwin Benitto J.
F 19041 Mathew Thejo Philip F 19051 Nobin Thomas
F 19045 Nekkanti Bhavana F 19030 Harshita B.

F 19037 Jose Thomas F 19009 Anand Inigo P.

F 19023 Deepak Srinivas R. F 19047 Nikita Mary Joseph
Group 3

Group 9
F 19040 Makka Santhosh Vamsi Pavan F 19005 Akram Sheriff M.
F 19043 Mrudhula Martin F 19055 Prateek Sharma
F 19053 Prabhu R. F 19033 Jency Flawrence A.
F 19013 Annie Faustina John M.
Groups -
F 19014 Anson Joel Raj A. F 19001 Abhishek Raj A.
Section A F 19010 Aneesha Anna Reny F 19059 Rini Alphonsia S.

Group 10
Group 4
F 19002 Adithya Rajaraman F 19029 Harikishore R.
F 19063 Suju Ann George F 19021 Christa J.
F 19064 Upasana Kar F 19020 Boney Varghese
F 19062 Shania Simon

F 19008 Anand Chunkapura F 19054 Prateek Kumar

F 19031 Jebin Siby F 19061 Sakthi Tijori M.

Group 11
Group 5
F 19003 Agnetta Mischelle Amalraj F 19056 Preeti Toshniwal
F 19042 Michael Thomas John F 19015 Antony Steve Pereira S.
F 19050 Nithin Kumar A. F 19039 Lincy Florence B.
F 19024 Divya Swarupini S.

F 19057 Priyanshi Ray Barman F 19035 Joe Mystica A.

F 19017 Arpita Gupta F 19058 Rebekah Eunice Ruby S.

Group 12
Group 6

F 19012 Ann Mary Hermine F 19066 Vandana Mary Thomas

F 19044 Murugaiyan V.S. F 19060 Sagar Choudhary
F 19025 Elavelil Noble Ajay F 19019 Ashik Joseph
F 19022 Daniel Mathew K.
 Groups - Section B
F 19137 Veena Venkataraman F 19117 Percy Jasmine R.
F 19113 Nikhil Nixon F 19105 Maria J. Kadavan

Group 1

Group 7
F 19112 Neelanshu Bhushan F 19072 Ananthu Anilkumar
F 19088 Dulam Sangeetha F 19101 Ken George Oommen
F 19089 Evin Tojan F 19093 Jeshurun Vineeth Roshan S.
F 19109 Muvva Sree Lekha F 19100 Kannampuzha Elizabeth James

F 19134 Sushmica R. F 19090 Isaac Raja Sekar M.

F 19094 Jhankar Mishra F 19121 Rea Mariah Kurian
Group 2

Group 8
F 19085 Debashmita Das F 19075 Arijit Banerjee
F 19124 Rishabh Sharma F 19127 Shivankar Varma
F 19070 Aluri Aditya F 19092 Jerline Preetha G.
F 19086 Dony Vasanth E. F 19120 Rahul Rao K.

F 19082 Bonita Joanna Nanda F 19083 Bricy Demel B.

F 19095 Joe Sanya Lopez D. F 19099 Juvala Dharshini J.
Group 3

Group 9
F 19131 Soneri Shravan Mehrawat F 19106 Maria Priscilla A.
F 19102 Kevin Jose F 19119 Priyal S. Shah
F 19133 Surya Praba B. F 19078 Bella Benny Pozhaliparambil
F 19110 Naveen Thomas F 19076 Asheem Kumar Palo
 Groups - Section B
F 19130 Siva Shanmugam M. F 19098 Joshua Roy J Dhass
F 19122 Reola Elizabeth Barnes F 19074 Ankita Priya

Group 10
Group 4
F 19069 Akila Giris Kezia F 19118 Pradep N.
F 19084 Christus Colman V.P. F 19104 Lakshmi Dileep
F 19103 Koyal Mithra S. F 19081 Bhavesh U.
F 19132 Srikumar R. F 19091 Jeneve Vinolia P.

F 19097 Joseph Peter F 19126 Shivam Sanwaria

F 19125 Ruban Singh R. F 19087 Drisya Mary Sunil

Group 11
Group 5

F 19128 Shreya Pandey F 19108 Michael Prasan G.

F 19077 Ashwinram R. F 19116 Paul Chungath
F 19111 Naveena Pal P. F 19115 Nivetha F.
F 19079 Beniesuja J.

F 19073 Angeline Divya G. F 19114 Nithin J. Akkara

F 19096 Jonah Pritish I. F 19071 Ambika Sarawgi

Group 12
Group 6

F 19136 Udaya Priya B. F 19135 Syama K.

F 19107 Mark Antony J. F 19080 Benjamin Jeffree A.
F 19129 Shreyas Wazalwar F 19123 Richi Mathew
 • Indian coins are mainly
produced in 4 cities
• 1. Delhi
• 2. Mumbai
• 3. Hyderabad
• 4. Kolkata

• Coins produced in:

• 1. Delhi – have a dot
• 2. Mumbai – have a
diamond
• 3. Hyderabad – have a
Coins Exercise star
• 4. Kolkata – Nothing
beneath the year
 The term statistics can refer to
numerical facts such as averages,
medians, percentages, and maximums
that help us understand a variety of
business and economic situations.
What is
Statistics?
Statistics can also refer to the art and
science of collecting, analyzing,
presenting, and interpreting data.

12
 • Cricket scores
• Stock market prices
Name some • Movie box-office sales
• Popularity rating of PM/CM
data that we • Weather data

get to see • Economic data (GDP, Per capita income,

inflation…)

often • Population data

• Student’s marks
 Kings measured land and crop yields to collect taxes

Physical sciences grew in 17th century onwards and

started measuring various physical phenomenon

Historic By 19th century Agricultural sciences developed and

new statistical methods got developed.
development Then psychology, sociology and all others got in to
of data statistics.

Business too joined the band wagon

Now data scientists are in great demand

 Student Grades

Total
ID Exam1 Exam2 Homework Final Project Points Grade
101 89 94 88 87 95 899 A
102 78 84 90 89 94 866 B
103 71 80 75 79 95 780 C
104 95 98 97 96 93 962 A
105 79 88 85 88 96 861 B
A student whose data do not appear on the spreadsheet scored 88 on Exam1, 85 on Exam2, 77 for Homework, 90 on
the Final, and 80 on the Project. Find Total Points for this student and give the grade earned.
 • Cases are the objects described by a set of data.
Cases may be customers, companies, subjects in a
study, or other objects.
Cases Labels • A label is a special variable used in some data
sets to distinguish the different cases.
and Variables • A variable is a characteristic of a case.
• Different cases can have different values for the
variables.
iTunes Playlist

Four songs listed are cases

Name, Time are variables
Hip Hop, Pop, Alternative, Dance are labels for Genre
3.29, 4.04 .. are values
 Nominal

Ordinal

Scales of measurement
Scales of include

Measurement The scale determines

Interval

the amount of
information contained
in the data.
Ratio
The scale indicates the
data summarization and
statistical analyses that
are most appropriate.
 Data can be further classified as
being categorical or quantitative.

Categorical
The statistical analysis that is
and appropriate depends on whether
the data for the variable are
Quantitative categorical or quantitative.
Data
In general, there are more
alternatives for statistical analysis
when the data are quantitative.

19
 A categorical variable places a case into
one of several groups or categories.
Categorical
and A quantitative variable takes numerical
values for which arithmetic operations
Quantitative such as adding and averaging make sense.
Variables The distribution of a variable tells us what
values it takes and how often it takes
these values.
Scales of Measurement

Data

Categorical Quantitative

Non-
Numeric Numeric
numeric

Nominal Ordinal Nominal Ordinal Interval Ratio

21
 Company Percent
Garmin 47
Market
Share Data TomTom 19
for GPS
Brands Magellan 17
Mio 7
Other 10
Bar Graph for the GPS Market Share Data
Pie Chart for the GPS Market Share Data
 Road accidents on Different Days of the Week

What is your inference?

Pareto Chart for Automobile Accidents
 IQ Scores of Fifth-Grade Students - Histogram
Range Frequency
<=85 2
>=85 to <95 3
>=95 to <105 10
>=105 to <115 16
>=115 to <125 13
>=125 to <135 9
>=135 to <145 5
>=145 1
Histogram for Customer Service Center Call
Lengths
Example: Hudson Auto Repair

The manager of Hudson Auto would like to gain a better understanding of the
cost of parts used in the engine tune-ups performed in the shop. She examines
50 customer invoices for tune-ups. The costs of parts, rounded to the nearest
dollar, are listed on the next slide.

29
Stem-and-Leaf Display
• Example: Hudson Auto Repair
Sample of Parts Cost ($) for 50 Tune-ups
91 78 93 57 75 52 99 80 97 62
71 69 72 89 66 75 79 75 72 76
104 74 62 68 97 105 77 65 80 109
85 97 88 68 83 68 71 69 67 74
62 82 98 101 79 105 79 69 62 73

30
Stem-and-Leaf Display
• Example: Hudson Auto Repair

5 2 7
6 2 2 2 2 5 6 7 8 8 8 9 9 9
7 1 1 2 2 3 4 4 5 5 5 6 7 8 9 9 9
8 0 0 2 3 5 8 9
9 1 3 7 7 7 8 9
10 1 4 5 5 9

Stems Leaves

31
 In any graph of data,
look for the overall
pattern and for striking
deviations from that
pattern.

Examining a
Distribution
An important kind of
You can describe the
deviation is an outlier,
overall pattern of a
an individual value that
histogram by its shape,
falls outside the overall
center, and spread.
pattern.
 • A distribution is symmetric if the right and
left sides of the histogram are
approximately mirror images of each other.
• A distribution is skewed to the right if the
right side of the histogram (containing the
Symmetric and half of the observations with larger values)
extends much farther out than the left side.
Skewed • It is skewed to the left if the left side of the
Distributions histogram extends much farther out than
the right side.
• We also use the term “skewed toward
large values” for distributions that are
skewed to the right.
 Cross-sectional data are
collected at the same or
approximately the same
point in time.
Cross-
Sectional Data
Example: Data detailing the
number of building permits
issued in November 2013 in
each of the counties of Ohio.
34
India Sensex Stock Market Index – Time Plot

When observations on a variable are taken over time, make a time plot that graphs
time horizontally and the values of the variable vertically. A time plot can reveal
interesting patterns in a set of data.
What did we learn?
• A data set contains information on a number of cases. Cases may be
people, animals, or things. For each case, the data give values for one or
more variables. A variable describes some characteristic of an individual,
such as a person’s height, gender, or salary. Variables can have different
values for different cases.
• Data can be classified in to nominal, ordinal, interval and ratio type
• Some variables are categorical and others are quantitative. A categorical
variable places each case into a category, such as male or female. A
quantitative variable has numerical values that measure some
characteristic of each case, such as height in centimeters or salary in dollars
per year.
• Exploratory data analysis uses graphs and numerical summaries to
describe the variables in a data set and the relations among them.
Summary of lessons
• The distribution of a variable describes what values the variable takes
and how often it takes these values.
• To describe a distribution, begin with a graph. Bar graphs and pie
charts describe the distribution of a categorical variable, and Pareto
charts identify the most important categories for a categorical
variable. Histograms graphs the distributions of quantitative
variables.
• When examining any graph, look for an overall pattern and for
notable deviations from the pattern.
Summary - 3
• Shape, center, and spread describe the overall pattern of a
distribution. Some distributions have simple shapes, such as
symmetric and skewed. Not all distributions have a simple overall
shape, especially when there are few observations.
• Outliers are observations that lie outside the overall pattern of a
distribution. Always look for outliers and try to explain them.
• When observations on a variable are taken over time, make a time
plot that graphs time horizontally and the values of the variable
vertically. A time plot can reveal interesting patterns in a set of data.