OM basketball team had set same prices for its 41 game schedule regardless of the opponent of the game. Person AP, who is the director of business strategy, developed a database for ticket sales. He founded that the firm could improve their revenue if they had charged prices based on their fans preferences. Person AP found a seat could have seven different price variations. The day of the week (x 1 ) A rating of how popular the opponent was (x 2 ). The times of the year (x 3 ) are major statistical factors, which determine the demand for a game. He found the days, which favored games, and based on the analysis, rating were provided. Ratings on a scale of 0 to 8 were given based on the popularity of the opponents. Finally, Person AP classified that games occurred in four seasons. They were Score 0 for early games. Score 3 for games during Christmas season. Score 2 for games until the All-Star break. Score 3 for games leading to play-offs. To determine: To build regression model with day of the week as only independent variable.

Question

Want to see the full answer?

Answer 1

Question

Chapter 4, Problem 1.1VC

Summary Introduction

Introduction:

OM basketball team had set same prices for its 41 game schedule regardless of the opponent of the game. Person AP, who is the director of business strategy, developed a database for ticket sales. He founded that the firm could improve their revenue if they had charged prices based on their fans preferences.

Person AP found a seat could have seven different price variations.

The day of the week (x₁)

A rating of how popular the opponent was (x₂).

The times of the year (x₃) are major statistical factors, which determine the demand for a game.

He found the days, which favored games, and based on the analysis, rating were provided. Ratings on a scale of 0 to 8 were given based on the popularity of the opponents. Finally, Person AP classified that games occurred in four seasons. They were

Score 0 for early games.

Score 3 for games during Christmas season.

Score 2 for games until the All-Star break.

Score 3 for games leading to play-offs.

To determine: To build regression model with day of the week as only independent variable.

Expert Solution & Answer

Want to see the full answer?

Check out a sample textbook solution

See solution

Students have asked these similar questions

a) Using the trend-projection (regression) method, develop a forecastfor the sales of Volkswagen Beetles in Nevada through year 6.b) What is the MAD?~c) What is the MSE?

Regression analysis. The owner of a small hardware store has noted a sales pattern for window locks that seems to parallel the number of break-ins reported each week in the newspaper. The data are: Sales: 46 18 20 22 27 34 14 37 30Break-ins: 9 3 3 5 4 7 2 6 4a. Plot the data to determine which type of equation, linear or nonlinear, is appropriate.b. Obtain a regression equation for the data.c. Estimate average sales when the number of break-ins is five.

What are the similarities and differences between ridge regression and forecasting?