All Over Shampoo is launching a new anti-dandruff, 2-in-1 conditioning product in a simulated testmarket within the United States. The company expects to achieve strong distribution with an ACV%of 89%. Market research shows that the marketing mix will result in an awareness rate of 40%, a trialrate of 26%, and a repeat purchase rate of 37%. The population for the test market is estimated at1,360,000 households.All-Over Shampoo executives are also considering partially funding the advertising increase by notpaying the high slotting fees associated with getting their new 2-in-1 product into all major groceryretailers, likely reducing their distribution to 72%. What would be the value for trials as apercentage of population under this scenario if they also implemented the advertising planresulting in awareness of 46%?

According to question, we need to calculate the proportion of test participants

market within the United States. The company expects to achieve strong distribution with an ACV% of 89%. Market research shows that the marketing mix will result in an awareness rate of 40%, a tria rate of 26%, and a repeat purchase rate of 37%. The population for the test market is estimated at 1,360,000 households.

market within the United States. The company expects to achieve strong distribution with an ACV% of 89%. Market research shows that the marketing mix will result in an awareness rate of 40%, a tria rate of 26%, and a repeat purchase rate of 37%. The population for the test market is estimated at 1,360,000 households.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

Analysis showed that the mean arrival rate for vehicles at a certain Shell station on Friday afternoon last year was 4.5 vehicles per minute. How large a sample would be needed to estimate this year's mean arrival rate with 98 percent confidence and an error of ± 0.5?
A manufacturer of cell phone batteries wants to estimate the useful life of it'sthe battery (in thousand of hours.) The estimate is the be within 0.10 (100) hours.Assume a 95 percent level of confidence and that the standard deviation of theuseful life of the battery is 0.90 (900 hours). Determine the required sample size.
If the level of confidence is lowered from 95% to 90 % , but the allowable error and the standard deviation remain the same, what happens to the required sample size?
The operations manager at a compact fluorescent light bulb (CFL) factory needs to estimate the mean life of a large shipment of CFLs. The manufacturer’s specifications are that the standard deviation is 1,000 hours. A random sample of 64 CFLs indicated at sample mean life of 7,500 hours. Construct a 95% confidence interval estimate for the population mean life of compact fluorescent light bulbs in this shipment. Based on your confidence interval, make inference about the population parameter. Do you think that the manufacturer has a right to state that the compact fluorescent light bulbs have a mean life of 8,000 hours? Please explain. To answer these questions, is it compulsory to assume that the population compact fluorescent light bulb life is normally distributed? Why, why not. Suppose that the standard deviation changes to 800 hours. What are the answers for the first and second question?
According to the Annual survey of drugs expenditure in country X, the annual expenditure for prescription drugs is $838 per person in the Northeast region of the country. A sample of 60 individuals in the Midwest shows a per person expenditure for prescription drugs of $745. Further, it is given that the population standard deviation of $300. Formulate hypotheses for a test to determine whether the sample data support the conclusion that the population annual expenditure for prescription drugs per person is lower in the Midwest than in the Northeast and Identify whether it is a two-tail test or a one tail test (Left or right tail).
According to R.L. Polk & Co., Americans held onto their new vehicles for an average of 71.4 months. A random sample of 60 adults who recently sold their new vehicle was selected. Assuming the standard deviation for this population is 15.8 months, the standard error for this sample is
The elasticity of demand for gasoline has been estimated to be -2.0, and the standard error is 0.25. What is the t-statistic for the estimated elasticity of demand for gasoline and is it statistically significant at the 95 percent confidence level?
By how much the consumer sentiment Index has to change before you can consider the change statistically significant at the 95% confidence level? What would be the reduction in sampling error if you increase the sample size from 500 to 1000?
A chemist measures the haptoglobin concentrations (in grams per liter) in the blood of eight healthy adults. The mean and standard deviation of the haptoglobin concentrations (in grams per liter) are 1.615 and 1.387 respectively. Obtain a 90% confidence interval for the mean haptoglobin concentration in adults.
In a sample of 30 people, the average cost of a latte is $3.55. The standard deviation for the sample is $1.46. What is the margin of error for a 99% confidence interval? Group of answer choices $0.73 $0.69 $0.27 $0.66 thanks
A major newspaper (that rhymes with Small Street Journal) reported an average household income for its subscribers is $119,155. Assume this estimate of the mean household income is based on a sample of 80 subscribers, and, based on past studies, the population standard deviation is known to be sigma=$30,000. Construct a 95% confidence interval for the population mean. Group of answer choices $60,356 - $177,954 $118,420 - $119,890 $112,447 - $125,863 $112,581 - $125,729
q25- A too wide confidence interval means that Select one: a. estimation is done with high precision b. confidence interval is informative c. estimation is done with a high degree of sampling variability d. the sample size is large Clear my choice