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UNIT-III

Scales of Measurement-
Measurement:

The assignment of numbers or other symbols to characteristics of objects


according to certain prespecified rules.

Scaling:
The generation of a continuum upon which measured objects are located.

Scale characteristics and level of measurement-

Description: The unique level of descriptors that are used to


designate each value of scale.

Example: 1-Male. 2- Female

Order
The relative sizes of positions of the descriptors. Order is denoted by descriptors
such as greater than, less than, and equal to.

Example:
NIKE REEBOK ADIDAS

Distance:
The characteristics of distance mean that absolute differences between the scale
descriptors are known and may be expressed in units.

Example:
A 4-person household has one person more than a 3-person household and so on..

Origin:

The origin characteristic means that the scale has a unique or fixed beginning or
true zero point.

Example:
Income, Age, Weight etc.
Primary Scales of Measurement

1: Nominal Scale (categorical variable scale):

A scale whose numbers serve only as labels or tags for identifying and classifying
objects. When used for identification, there is a strict one-to-one correspondence
between the numbers and the objects.

Examples: Jersey number of the players.

Other examples :

Where do you live?


a) Urban area
b) Town
c) Village
Which smartphone do you prefer to buy?
1- Apple, 2-Samsung, 3 One Plus
What is your gender?
Male-1, Female-2

2: Ordinal Scale:
A ranking scale in which numbers are assigned to objects to indicate the relative
extent to which some characteristics is possessed. Thus it is possible to determine
whether an object has more or less of a characteristic than some other object.
Ordinal Scale maintains description qualities along with an intrinsic order but is
void of an origin of scale and thus, the distance between variables can’t be
calculated. Descriptional qualities indicate tagging properties similar to the
nominal scale, in addition to which, the ordinal scale also has a relative position
of variables. Origin of this scale is absent due to which there is no fixed start or
“true zero”
• How satisfied are you with our services?
• Very Unsatisfied – 1
• Unsatisfied – 2
• Neutral – 3
• Satisfied – 4
• Very Satisfied – 5

3: Interval Scale:
A scale in which the numbers are used to rate objects such that numerically equal
distances on the scale represent equal distances in the characteristic being
measured.
Interval scale contains all the properties of the ordinal scale, in addition to which,
it offers a calculation of the difference between variables. The main characteristic
of this scale is the equidistant difference between objects.
The only drawback of this scale is that there no pre-decided starting point or a
true zero value.
Example: For instance, consider a Celsius/Fahrenheit temperature scale –
80 degrees is always higher than 50 degrees and the difference between these two
temperatures is the same as the difference between 70 degrees and 40 degrees.
Also, the value of 0 is arbitrary because negative values of temperature do exist
– which makes the Celsius/Fahrenheit temperature scale a classic example of an
interval scale.
Example:
• There are situations where attitude scales are considered to be interval
scales.
• Apart from the temperature scale, time is also a very common example of
an interval scale as the values are already established, constant, and
measurable.
• Calendar years and time also fall under this category of measurement
scales.
• Income
• Likert scale, Net Promoter Score, Semantic Differential Scale, Bipolar
Matrix Table, etc. are the most-used interval scale examples.
4: Ratio Scale:
The highest scale. It allows the researcher to identify or classify objects, rank
order the object and compare intervals or differences. It is also meaningful to
compute ratios of scale values.
It is defined as a variable measurement scale that not only produces the order of
variables but also makes the difference between variables known along with
information on the value of true zero. It is calculated by assuming that the
variables have an option for zero, the difference between the two variables is the
same and there is a specific order between the options. Example: Height, weight,
age, money etc.

• Ratio Scale Examples


• The following questions fall under the Ratio Scale category:
• What is your daughter’s current height?
• Less than 5 feet.
• 5 feet 1 inch – 5 feet 5 inches
• 5 feet 6 inches- 6 feet
• More than 6 feet
• What is your weight in kilograms?
• Less than 50 kilograms
• 51- 70 kilograms
• 71- 90 kilograms
• 91-110 kilograms
• More than 110 kilograms
Comparative Scales:
One of two types of scaling techniques in which there is direct comparison of
stimulus objects with one another.
It involve the direct comparison of stimulus objects. For example, respondents
might be asked whether they prefer Coke or Pepsi. Comparative scale data must
be interpreted in relative terms and have only ordinal or rank order properties.
For this reason, comparative scaling is also referred to as nonmetric scaling.

1. Paired Comparison Scaling: A comparative scaling technique in which a


respondent is presented with two objects at a time and asked to select one object
in the pair according to some criterion. The data obtained are ordinal in nature.

Example of Paired Comparison Scale:

2. Ranked Order Scaling:


A comparative scaling technique in which respondents are presented with several
objects simultaneously and asked to order or rank them according to some
criterion.
Examples of Rank order Scaling:

3 Constant Sum Scaling


A comparative scaling technique in which respondents are required to allocate a
constant sum of units such as points, dollars, chits, stickers, or chips among a set
of stimulus objects with respect to some criterion.

Example of Constant Sum Scaling:


4. Q Sort Scaling
A comparative scaling technique that uses a rank order procedure to sort objects
based on similarity with respect to some criterion.
For example, respondents are given 100 attitude statements on individual cards
and asked to place them into 11 piles, ranging from “most highly agreed with”
to “least highly agreed with.” The number of objects to be sorted should not be
less than 60 nor more than 140; 60 to 90 objects is a reasonable range. The
number of objects to be placed in each pile is prespecified, often to result in a
roughly normal distribution of objects over the whole set.

The "Q" in the Q-Sort scale stands for "quantitative." The Q-Sort technique is a
method of ranking items or statements in order of preference or relevance. It
involves sorting a set of statements or items into piles based on how closely they
align with a particular concept or attribute. The Q-Sort scale was developed by
psychologist William Stephenson in the 1930s as a way to measure subjective
opinions and attitudes. The method involves ranking a set of items on a
predetermined scale, with a limited number of items placed at either end of the
scale to represent extreme positions. Example:
Non-comparative Scales:
One of two types of scaling techniques is in which each stimulus object is scaled
independently of the other objects in the stimulus set.
It is also referred to as monadic or metric scales, each object is scaled
independently of the others in the stimulus set. The resulting data are generally
assumed to be interval or ratio scaled.8 For example, respondents may be asked
to evaluate Coke on a 1-to-6 preference scale (1 not at all preferred, 6 for greatly
preferred).

1 Continuous Rating Scale


Also referred to as a graphic rating scale, this measurement scale has the
respondents rate the objects by placing a mark at the appropriate position on a
line that runs from one extreme of the criterion variable to the other. Example:

1 Itemized Rating Scale


A measurement scale having numbers and/or brief descriptions associated with
each category. The categories are ordered in terms of scale position.
(a) Likert Scale
A measurement scale with five response categories ranging from “strongly
disagree” to “strongly agree,” requires the respondents to indicate a degree of
agreement or disagreement with each of a series of statements related to the
stimulus objects.
(b) Semantic Differential Scale
A 7-point rating scale with endpoints associated with bipolar labels that have
semantic meaning.
Example: A. retail outlet can be measured by Semantic Differential Scale

(c) Stapel Scale


A scale for measuring attitudes that consists of a single adjective in the middle of
an even-numbered range of values, from -5 to +5, without a neutral point (zero).
Example of an Airline service customer satisfaction with Stapel Scale:

Sampling

Population:
The aggregate of all the elements, sharing some common set of characteristics,
comprises the universe for the purpose of the business research problem.
Census:
The complete enumeration of the elements of a population or study subjects.
Sampling Frame:
An element, or a unit containing the element, that is available for selection at
some stage of the sampling process.
Examples of a sampling frame include the telephone book, an association
directory listing the firms in an industry, a customer database, a mailing list on
a database purchased from a commercial organisation, a city directory, a map
etc.
Sample:
A subgroup of the elements of the population selected for participation inthe
study
Sampling Unit:
An element, or a unit containing the element, that is availablefor selection at
some stage of the sampling process.
Sampling Process

Execute the sampling process


Execution of the sampling process requires a detailed
specification of how the sampling design decisions with respect to the population,
sampling unit, sampling frame, sampling technique and samplesize are to
be implemented. While individual researchers may know how they are
going to execute their sampling process, once more than one individual is
involved a specification for execution is needed to ensure that the process is
conducted in a consistent manner.
A classification of SamplingTechniques

Non-Probability Sampling:
Sampling techniques do not use chance selection procedures but rather rely on
the personal judgment of the researcher.

Probability Sampling:
A sampling procedure in which each element of the population has a fixed
probabilistic chance of being selected for the sample.

1. Convenience sampling
A non-probability sampling technique that attempts to obtain a sample of
convenient elements. The selection of sampling units is left primarily to the
interviewer.

Examples of convenience sampling include (1) the use of


students, religious groups, and members of social organizations; (2) street
interviews without qualifying the participants; (3) some forms of online and email
surveys; (4) tear-out questionnaires included in a newspaper or magazine;
and (5) journalists inter- viewing ‘people on the street’, or on
radio or TV shows.
Convenience sampling is the least expensive and least time-consuming of all
sampling techniques. The sampling units are accessible, easy to measure, and
cooperative.

2. Judgemental sampling
A form of convenience sampling in which the population elements are purposely
selected based on the judgment of the researcher.

Common examples of judgemental sampling include:


(1) test markets selected to determine the potential of a new product; (2)
purchasing professionals selected in business-to-business marketing research
because they are considered to be representative of particular companies; (3)
product testing with individuals who may be particularly fussy or who hold
extremely high expectations;
(4) expert witnesses used in court; and (5) boutiques or fashion flagship stores
selected to test a new merchandising display system.

3. Quota sampling
A non-probability sampling technique is a two-stage restricted judgemental
sampling. The first stage consists of developing control categories or quotas of
population elements. In the second stage, sample elements are selected based on
convenience or judgment.

3. Snowball sampling
A non-probability sampling technique in which an initial group of participants is
selected randomly. Subsequent participants are selected based on the referrals or
information provided by the initial participants. By obtaining referrals from
referrals, this process may be carried out in waves.
Probability Sampling:

1. Simple Random sampling


A probability sampling technique in which each element has aknown and equal
probability of selection. Every element is selected independently of every other
element, and the sample is drawn by a random procedure from a sampling frame.

2. Systematic sampling
A probability sampling technique in which the sample is chosen by selecting a
random starting point and then picking every ith element in succession from the
sampling frame.
Systematic Sampling Formula for interval (i) = N/n
i= N/n (N= Population size, n= sample size)
Example: 5000/500 = 10
Choose a random number (r) between 1-10 for example 5, (5+10=15),
(15+10=25), 35, 45, 55…….

Here are the steps to form a systematic sample:


Step one: Develop a defined structural audience to start working on the sampling
aspect.
Step two: As a researcher, figure out the ideal size of the sample, i.e., how many
people from the entire population to choose to be a part of the sample.
Step three: Once you decide the sample size, assign a number to every member
of the sample.
Step four: Define the interval of this sample. This will be the standard distance
between the elements.
For example, the sample interval should be 10, which is the result of the division
of 5000 (N= size of the population) and 500 (n=size of the sample).

Systematic Sampling Types


Here are the types of systematic sampling:
1. Systematic random sampling
2. Linear systematic sampling
3. Circular systematic sampling
Note: You should not use systematic sampling if your population is ordered
cyclically or periodically, as your resulting sample cannot be guaranteed to be
representative.

3. Stratified sampling

A Probability sampling techniques that uses a two-step process to partition the


population into subsequent subpopulations, or strata. Elements are selected from
each stratum by a random procedure.
4. Cluster sampling
A two-step probability sampling technique where the target population is first
divided into mutually exclusive and collectively exhaustive subpopulations called
clusters, and then a random sample of clusters is selected based on a probability
sampling technique such as SRS. For each selected cluster, either all the elements
are included in the sample, or a sample of elements is drawn probabilistically.
Stratified and cluster sampling may look similar, but bear in mind that groups
created in cluster sampling are heterogeneous, so the individual characteristics
in the cluster vary. In contrast, groups created in stratified sampling
are homogeneous, as units share characteristics.
Sample Size Determination
The size of the sample is very important for getting accurate, statistically
significant results and running your study successfully.
If your sample is too small, you may include a disproportionate number of
individuals which are outliers and anomalies. These skew the results and you
don’t get a fair picture of the whole population.
If the sample is too big, the whole study becomes complex, expensive and time-
consuming to run, and although the results are more accurate, the benefits don’t
outweigh the costs.

Important qualitative factors to be considered in determining


the sample size include:
(1) the importance of the decision
(2) the nature of the research;
(3) the number of variables;
(4) the nature of the analysis;
(5) sample sizes used in similar studies;
(6) incidence rates;
(7) completion rates; and
(8) resource constraints.

Other Methods of Sample Size Determination:

1. Sample-to-item ratio
Generally recommended for exploratory factor analysis, the sample-to-item ratio
is used to decide sample size based on the number of items in a study. The ratio
should not be less than 5-to-1.
For example, a study with 30 items (questions) would require 150 respondents.
A 20-to-1 ratio has also been suggested. In this case, the same 30-item study
would need 600 respondents.
Although a higher ratio is better, researchers who have difficulties meeting the
above criterion due to a small sample size can refer to Barrett and Kline (1981),
who argued that the sample-to-item ratio has little to do with factor stability.

2 Sample-to-variable ratio
The sample-to-variable ratio suggests a minimum observation-to-variable ratio of
5:1, but ratios of 15:1 or 20:1 are preferred (Hair et al., 2018). This means that
though a minimum of five respondents must be considered for each independent
variable in the model, 15 to 20 observations per independent variable are strongly
recommended.
This is in line with Tabachnick and Fidell (1989), who proposed five subjects for
each independent variable as a “bare minimum requirement” for hierarchical or
multiple regression analysis. Although the 5:1 ratio appears easy to follow,
researchers should consider higher ratios (e.g. 15:1, 20:1) when determining
sample size for their research works.
One of the reasons we do not recommend following the 5:1 ratio is that it leads
to underpowered studies. For example, a model with five independent variables
would require only 25 respondents if one uses the 5:1 ratio.

3. Krejcie and Morgan’s table


The Krejcie and Morgan table (KMT, Krejcie & Morgan, 1970) is well known
for sample size determination among behavioral and social science researchers.
No calculations are required to use this table, which is also applicable to any
defined population. The KMT suggests that a sample of 384 is sufficient for a
population of 1,000,000 or more. For this reason, 384 has been regarded as the
‘magic’ number in research. Should be used for probability sampling.
The table value of Chi Square depends on a degree of freedom at a given
confidence level.
Here: e= Margin of error
P= Population Proportion
N= Population Size

References
Krejcie, R.V., & Morgan, D.W., (1970). Determining Sample Size for Research
Activities. Educational and Psychological Measurement. Small-Sample
Techniques (1960). The NEA Research Bulletin, Vol. 38.

Cochran’s Sample Size Formula

The Cochran formula allows you to calculate an ideal sample size given a
desired level of precision, desired confidence level, and the estimated proportion
of the attribute present in the population.
Cochran’s formula is considered especially appropriate in situations with large
populations. A sample of any given size provides more information about a
smaller population than a larger one, so there’s a ‘correction’ through which the
number given by Cochran’s formula can be reduced if the whole population is
relatively small.

The Cochran formula is for a large Population or an infinite population:


Where:
• e is the desired level of precision (i.e. the margin of error),
• p is the (estimated) proportion of the population which has the attribute in
question,
• q is 1 – p.

Cochran’s Formula Example


Suppose we are doing a study on the inhabitants of a large town, and want to find
out how many households serve breakfast in the mornings. We don’t have much
information on the subject to begin with, so we’re going to assume that half of
the families serve breakfast: this gives us maximum variability. So p = 0.5. Now
let’s say we want 95% confidence, and at least 5 percent—plus or minus—
precision. A 95 % confidence level gives us Z values of 1.96, per the normal
tables, so we get
((1.96)2 (0.5) (0.5)) / (0.05)2 = 385.
So a random sample of 385 households in our target population should be enough
to give us the confidence levels we need.
Modification for the Cochran Formula for Sample Size Calculation In Smaller
Populations

If the population we’re studying is small, we can modify the sample size we
calculated in the above formula by using this equation:

Here n0 is Cochran’s sample size recommendation, N is the population size, and


n is the new, adjusted sample size. In our earlier example, if there were just 1000
households in the target population, we would calculate
385 / (1 + ( 384 / 1000 )) = 278
So for this smaller population, all we need are 278 households in our sample; a
substantially smaller sample size.

Reference
Cochran, W.G. (1977) Sampling Techniques. 3rd Edition, John Wiley & Sons,
New York.

Troubleshooting your sample size results


If the sample size is too big to manage, you can adjust the results by either
• decreasing your confidence level
• increasing your margin of error
This will increase the chance for error in your sampling, but it can greatly
decrease the number of responses you need.

Yamane’s Formula

Where:
• e = precision level
• N = population size.
Sampling Error

A sampling error is a statistical error that occurs when an analyst does not select
a sample that represents the entire population of data.
As a result, the results found in the sample do not represent the results that would
be obtained from the entire population.
Sampling is an analysis performed by selecting a number of observations from a
larger population. The method of selection can produce both sampling errors and
non-sampling errors.
Types of Sampling Errors

Population-Specific Error
A population-specific error occurs when a researcher doesn't understand who to
survey.
Selection Error
Selection error occurs when the survey is self-selected, or when only those
participants who are interested in the survey respond to the questions.
Researchers can attempt to overcome selection error by finding ways to
encourage participation.
Sample Frame Error
A sample frame error occurs when a sample is selected from the
wrong population data.
Non-response-Error
A non-response error occurs when a useful response is not obtained from the
surveys because researchers were unable to contact potential respondents (or
potential respondents refused to respond).
UNIT-IV
One-tailed Test:
A one-tailed test results from an alternative hypothesis that specifies a direction.
i.e. when the alternative hypothesis states that the parameter is in fact either
bigger or smaller than the value specified in the null hypothesis.
A two-tailed test results from an alternative hypothesis that does not specify a
direction. i.e. when the alternative hypothesis states that the null hypothesis is
wrong.
Two-tailed test:
If you are using a significance level of 0.05, a two-tailed test allots half of your
alpha to testing the statistical significance in one direction and half of your alpha
to testing statistical significance in the other direction. This means that .025 is in
each tail of the distribution of your test statistic. When using a two-tailed test,
regardless of the direction of the relationship you hypothesize, you are testing for
the possibility of the relationship in both directions. For example, we may wish
to compare the mean of a sample to a given value x using a t-test. Our null
hypothesis is that the mean is equal to x. A two-tailed test will test both if the
mean is significantly greater than x and if the mean significantly less than x. The
mean is considered significantly different from x if the test statistic is in the top
2.5% or bottom 2.5% of its probability distribution, resulting in a p-value less
than 0.05.

Parametric and Non-parametric test:


The key difference between parametric and nonparametric test is that the
parametric test relies on statistical distributions in data whereas nonparametric do
not depend on any distribution. Non-parametric does not make any assumptions
and measures the central tendency with the median value. Some examples of non-
parametric tests include Mann-Whitney, Kruskal-Wallis, etc.

Parametric is a statistical test which assumes parameters and the distributions


about the population are known. It uses a mean value to measure the central
tendency. These tests are common, and therefore the process of performing
research is simple.

Definition of Parametric and Nonparametric Test


Parametric Test Definition
In Statistics, a parametric test is a kind of hypothesis test which gives
generalizations for generating records regarding the mean of the primary/original
population. The t-test is carried out based on the students’ t-statistic, which is
often used in that value.

The t-statistic test holds on the underlying hypothesis, which includes the normal
distribution of a variable. In this case, the mean is known, or it is considered to
be known. For finding the sample from the population, population variance is
identified. It is hypothesized that the variables of concern in the population are
estimated on an interval scale.
Non-Parametric Test Definition
The non-parametric test does not require any population distribution, which is
meant by distinct parameters. It is also a kind of hypothesis test, which is not
based on the underlying hypothesis. In the case of the non-parametric test, the test
is based on the differences in the median. So this kind of test is also called a
distribution-free test. The test variables are determined on the nominal or ordinal
level. If the independent variables are non-metric, the non-parametric test is
usually performed.

What Is the Difference between Parametric and Non-parametric?


The key differences between nonparametric and parametric tests are listed below
based on certain parameters or properties.
Z-test and t-test

What is the Z-Test Statistic?

z tests are a statistical way of testing a Null Hypothesis when either:

• We know the population variance, or


• We do not know the population variance, but our sample size is large n
≥ 30

If we have a sample size of less than 30 and do not know the population
variance, we must use a t-test. This is how we judge when to use the z-test
vs the t-test. Further, it is assumed that the z-statistic follows a standard
normal distribution. In contrast, the t-statistics follows the t-distribution with
a degree of freedom equal to n-1, where n is the sample size.

It must be noted that the samples used for z-test or t-test must be
independent sample, and also must have a distribution identical to the
population distribution. This makes sure that the sample is not “biased”
to/against the Null Hypothesis which we want to validate/invalidate.

Examples of Z Test

One-Sample Z-Test
We perform the One-Sample z-Test when we want to compare a sample
mean with the population mean.
Here’s an Example to Understand a One Sample z-Test

Let’s say we need to determine if girls on average score higher than 600 in
the exam. We have the information that the standard deviation for girls’
scores is 100. So, we collect the data of 20 girls by using random samples and
record their marks. Finally, we also set our ⍺ value (significance level) to be
0.05.

In this example:

• Mean Score for Girls is 641


• The number of data points in the sample is 20
• The population mean is 600
• Standard Deviation for Population is 100

Since the P-value is less than 0.05, we can reject the null hypothesis and
conclude based on our result that Girls on average scored higher than 600.

Two-Sample Z-Test
We perform a Two Sample z-test when we want to compare the mean of two
samples.
Here’s an Example to Understand a Two Sample Z-Test

Here, let’s say we want to know if Girls on an average score 10 marks more
than the boys. We have the information that the standard deviation for girls’
Score is 100 and for boys’ score is 90. Then we collect the data of 20 girls
and 20 boys by using random samples and record their marks. Finally, we also
set our ⍺ value (significance level) to be 0.05.
In this example:

• Mean Score for Girls (Sample Mean) is 641


• Mean Score for Boys (Sample Mean) is 613.3
• Standard Deviation for the Population of Girls’ is 100
• Standard deviation for the Population of Boys’ is 90
• Sample Size is 20 for both Girls and Boys
• Difference between Mean of Population is 10
Thus, we can conclude based on the p-value that we fail to reject the Null
Hypothesis. We don’t have enough evidence to conclude that girls on
average score of 10 marks more than the boys.

What is the T-Test?

T-tests are a statistical way of testing a hypothesis when:

• We do not know the population variance


• Our sample size is small, n < 30

Examples of t- Test

One-Sample T-Test
We perform a One-Sample t-test when we want to compare a sample mean
with the population mean. The difference from the z-Test is that we do not
have information on Population Variance here. We use the sample standard
deviation instead of population standard deviation in this case.

Here’s an Example to Understand a One Sample T-Test

Let’s say we want to determine if on average girls score more than 600 in the
exam. We do not have the information related to variance (or standard
deviation) for girls’ scores. To a perform t-test, we randomly collect the data
of 10 girls with their marks and choose our ⍺ value (significance level) to be
0.05 for Hypothesis Testing.
In this example:

• Mean Score for Girls is 606.8


• The size of the sample is 10
• The population mean is 600
• Standard Deviation for the sample is 13.14
Our p-value is greater than 0.05 thus we fail to reject the null hypothesis and
don’t have enough evidence to support the hypothesis that on average, girls
score more than 600 in the exam.

Two-Sample T-Test
We perform a Two-Sample t-test when we want to compare the mean of two
samples.
Here’s an Example to Understand a Two-Sample T-Test

Here, let’s say we want to determine if on average, boys score 15 marks more
than girls in the exam. We do not have the information related to variance (or
standard deviation) for girls’ scores or boys’ scores. To perform a t-test. we
randomly collect the data of 10 girls and boys with their marks. We choose
our ⍺ value (significance level) to be 0.05 as the criteria for Hypothesis
Testing.
In this example:

• Mean Score for Boys is 630.1


• Mean Score for Girls is 606.8
• Difference between Population Mean 15
• Standard Deviation for Boys’ score is 13.42
• Standard Deviation for Girls’ score is 13.14

Thus, p-value is less than 0.05 so we can reject the null hypothesis and
conclude that on average boys score 15 marks more than girls in the exam.
If the sample size is large enough, then the z-Test and t-Test will conclude
with the same results. For a large sample size, Sample Variance will be a
better estimate of Population variance, so even if population variance is
unknown we can use the z-test using sample variance.

Similarly, for a Large Sample, we have a high degree of freedom. And since t-
distribution approaches the normal distribution, the difference between the
z score and t score is negligible.
Chi Square Test

A chi-squared test (symbolically represented as χ2) is basically a data analysis on the basis of
observations of a random set of variables. Usually, it is a comparison of two statistical data sets.
This test was introduced by Karl Pearson in 1900 for categorical data analysis and distribution.
So it was mentioned as Pearson’s chi-squared test.

The chi-square test is used to estimate how likely the observations that are made would be, by
considering the assumption of the null hypothesis as true.

A hypothesis is a consideration that a given condition or statement might be true, which we


can test afterwards. Chi-squared tests are usually created from a sum of squared falsities or
errors over the sample variance
What Is a Chi-Square Test?

The Chi-Square test is a statistical procedure for determining the difference between observed
and expected data. This test can also be used to determine whether it correlates to the
categorical variables in our data. It helps to find out whether a difference between two
categorical variables is due to chance or a relationship between them.

A chi-square test is a statistical test that is used to compare observed and expected results.
The goal of this test is to identify whether a disparity between actual and predicted data is due
to chance or to a link between the variables under consideration. As a result, the chi-square
test is an ideal choice for aiding in our understanding and interpretation of the connection
between our two categorical variables.

A chi-square test or comparable nonparametric test is required to test a hypothesis regarding


the distribution of a categorical variable. Categorical variables, which indicate categories
such as animals or countries, can be nominal or ordinal. They cannot have a normal
distribution since they can only have a few particular values.

For example, a meal delivery firm in India wants to investigate the link between gender,
geography, and people's food preferences.

It is used to calculate the difference between two categorical variables, which are:

As a result of chance or

Because of the relationship

Formula For Chi-Square Test


The degrees of freedom in a statistical calculation represent the number of variables
that can vary in a calculation. The degrees of freedom can be calculated to ensure
that chi-square tests are statistically valid. These tests are frequently used to
compare observed data with data that would be expected to be obtained if a
particular hypothesis were true.

The Observed values are those you gather yourselves.

The expected values are the frequencies expected, based on the null hypothesis.

Why Do You Use the Chi-Square Test?

Chi-square is a statistical test that examines the differences between categorical


variables from a random sample in order to determine whether the expected and
observed results are well-fitting.

Here are some of the uses of the Chi-Squared test:

• The Chi-squared test can be used to see if your data follows a well-known
theoretical probability distribution like the Normal or Poisson distribution.

• The Chi-squared test allows you to assess your trained regression model's
goodness of fit on the training, validation, and test data sets.

What Does A Chi-Square Statistic Test Tell You?

A Chi-Square test ( symbolically represented as 2 ) is fundamentally a data analysis


based on the observations of a random set of variables. It computes how a model
equates to actual observed data. A Chi-Square statistic test is calculated based on
the data, which must be raw, random, drawn from independent variables, drawn from
a wide-ranging sample and mutually exclusive. In simple terms, two sets of
statistical data are compared -for instance, the results of tossing a fair coin. Karl
Pearson introduced this test in 1900 for categorical data analysis and distribution.
This test is also known as ‘Pearson’s Chi-Squared Test’.

Chi-Squared Tests are most commonly used in hypothesis testing. A hypothesis is


an assumption that any given condition might be true, which can be tested
afterwards. The Chi-Square test estimates the size of inconsistency between the
expected results and the actual results when the size of the sample and the number
of variables in the relationship is mentioned.

These tests use degrees of freedom to determine if a particular null hypothesis can
be rejected based on the total number of observations made in the experiments.
Larger the sample size, more reliable is the result.

There are two main types of Chi-Square tests namely -

1. Independence

2. Goodness-of-Fit

3. Independence

The Chi-Square Test of Independence is a derivable ( also known as inferential )


statistical test which examines whether the two sets of variables are likely to be
related with each other or not. This test is used when we have counts of values
for two nominal or categorical variables and is considered as non-parametric
test. A relatively large sample size and independence of obseravations are the
required criteria for conducting this test.

For Example-

In a movie theatre, suppose we made a list of movie genres. Let us consider this as
the first variable. The second variable is whether or not the people who came to
watch those genres of movies have bought snacks at the theatre. Here the null
hypothesis is that the genre of the film and whether people bought snacks or not are
unrelatable. If this is true, the movie genres don’t impact snack sales.

Goodness-Of-Fit

In statistical hypothesis testing, the Chi-Square Goodness-of-Fit test determines


whether a variable is likely to come from a given distribution or not. We must have a
set of data values and the idea of the distribution of this data. We can use this test
when we have value counts for categorical variables. This test demonstrates a way
of deciding if the data values have a “ good enough” fit for our idea or if it is a
representative sample data of the entire population.

For Example-

Suppose we have bags of balls with five different colours in each bag. The given
condition is that the bag should contain an equal number of balls of each colour. The
idea we would like to test here is that the proportions of the five colours of balls in
each bag must be exact.

Conducting Chi-Square Test:


Calculate (O-E)2 / E for Each Cell in the Table

Now you will calculate the (O - E)2 / E for each cell in the table.

O = Observed Values

E= Expected values

We need: O-E in one row, (O - E)2 next row and next (O-E)2/E.

Finally we can calculate : Calculated Chi-square with :  (O-E)2/E

Degree of Freedom: (to check tabulated value): (Column – 1) x (Row - 1)

How to perform a chi-square test

The exact procedure for performing a Pearson’s chi-square test depends on which
test you’re using, but it generally follows these steps:

1. Create a table of the observed and expected frequencies. This can


sometimes be the most difficult step because you will need to carefully
consider which expected values are most appropriate for your null hypothesis.

2. Calculate the chi-square value from your observed and expected frequencies
using the chi-square formula.

3. Find the critical chi-square value in a chi-square critical value table or using
statistical software.

4. Compare the chi-square value to the critical value to determine which is


larger.

5. Decide whether to reject the null hypothesis. You should reject the null
hypothesis if the chi-square value is greater than the critical value. If you reject
the null hypothesis, you can conclude that your data are significantly different
from what you expected.
Whenever: Calculated Chi-square value is greater than the tabular value or Critical
value: Reject the Null-Hypothesis and Accept the Alternate Hypothesis.

Who Uses Chi-Square Analysis?

Chi-square is most commonly used by researchers who are studying survey


response data because it applies to categorical variables. Demography, consumer
and marketing research, political science, and economics are all examples of this
type of research.

ANOVA

Analysis of Variance

Analysis of variance (ANOVA) is an analysis tool used in statistics that splits an observed

aggregate variability found inside a data set into two parts: systematic factors and random

factors. The systematic factors have a statistical influence on the given data set, while the

random factors do not. The method is based upon an unusual result that the equality of

several population means can be tested by comparing the sample variances using F

distribution. In t statistic we test whether two population means are equal. The analysis of

variance is an extension of the t test for the case of more than two means.

One-Way ANOVA Versus Two-Way ANOVA

There are two types of ANOVA: one-way (or unidirectional) and two-way. One-way or two-

way refers to the number of independent variables in the analysis of variance test. A one-way
ANOVA evaluates the impact of a sole factor on a sole response variable. It determines

whether all the samples are the same. The one-way ANOVA is used to determine whether

there are any statistically significant differences between the means of three or more

independent (unrelated) groups.

A two-way ANOVA is an extension of the one-way ANOVA. With a one-way, you have one

independent variable affecting a dependent variable. With a two-way ANOVA, there are two

independents. For example, a two-way ANOVA allows a company to compare worker

productivity based on two independent variables, such as salary and skill set. It is utilized to

observe the interaction between the two factors and tests the effect of two factors at the same

time.

Example of One Way ANOVA

Example 1: The following table shows the retail prices (Rs. per kg.) of a commodity in some
shops selected at random in four cities:

A B C D
34 29 27 34
37 33 29 36
32 30 31 38
33 34 28 35

Carry out the analysis of variance to test the significance of the differences between prices of
the commodity in the four cities. [Given, F0.05 = 3.49 for (3, 12) degrees of freedom]
Solution
Each observation is reduced by 39, and shown below

Calculation for Analysis of Variance

A B C D
-5 -10 -12 -5
-2 -6 -10 -3
-7 -9 -8 -1
-6 -5 -11 -4
Total T1= -20 T2= -30 T3= -41 T4= -13 T=-104

Total of 114 242 429 51 xij2= 836


Squares

Sample Size n1= 4 n2= 4 n3= 4 n4= 4 N= 16

Correction Factor (C.F.)= T /N = (-104) /16 = 10816/16 = 676

Total Sum of Squares (SS) = xij2 - C.F. = 836- 676 = 160 Sum of Squares Between Groups
2
(SSB) = (T /n ) - C.F.

= 787.50- 676

= 111.50
Sum of Squares due to Errors (SSE) = Total SS –SSB = 160-111.50 = 48.50
RESEARCH REPORT

What is Report?

In every research, after collecting and analysing the data, the researcher has to accomplish the
task of drawing inferences followed by report writing. A report is a clearly structured document
in which the writer identifies and examines issues, events, or findings of an investigation.
Information obtained from research or from undertaking a project is delivered in a precise,
concise writing style organised under a set of headings and sub-headings, which enable the
reader to find data quickly. Graphs and tables can also be used to present data in the body of
the report. Rather than commenting upon, comparing or evaluating ideas, as an essay does, a
report frequently offers recommendations for action based on the information it has presented.
In other words, A report is a written presentation of factual information based on an
investigation or research. Reports form the basis for solving problems or making decisions,
often in the subjects of business and the sciences. In simple terms, a report is an interpretation
of findings through which the factors that seem to explain what has been observed by researcher
in the course of the study can be better understood and it also provides a theoretical conception
which can serve as a guide for further researches.

Characteristics of an Ideal Report


An ideal report must have following characteristics-
•An ideal report should be Clear, concise, accurate and well organised with clear section
headings.
•Easy for the audience to understand.
•Presentation is a key element in successful report writing. Formatting, revising and proof
reading are important process for good report writing.
•All reports should have an executive summary that presents the essential elements of the report
from the introduction through to the recommendations and outcomes.
•Reports should be visually appealing and easy to read. Diagrams, figures, charts, tables and
graphs can all add interest to a report.

Purpose of Report Writing


Research report is an indispensable task of every research work in which findings of a research
make known to others. Needs or purposes of research report can be outlined as follow:
•To provide the information regarding the findings of research work i.e. methods, data analysis,
conclusion and so on in the systematic, scientific and accepted way.
•To elicit crucial facts for solution derived and decision making.
•To prove the worth and legitimacy of assigned research job.
•To provide the judgement tools for the judgement of quality and talent of researcher within
and outside the academia.
• To communicate the research findings professionally.
• To pertain the credibility of the research.
• To develop appreciation of standards, consolidate arguments and identify the
knowledge gaps.
Significance of Report Writing
Major significance of report writing are as follows-
• Research task remains incomplete till the report has been presented and/or written.
• It is a communication of research result.
• It provides a framework for the work that can be conducted in the same or related areas.
• It provides the necessary guidance for taking appropriate actions
• Authenticates the quality of the work carried out.
• Establishes the strength of the findings obtained.

Procedure of Research Report Writing


Researchers can prepare report at their ease as there are no such set rules or procedure of writing
reports. However, following general guidelines can help for writing research reports:
1. Revising expectation: Before starting report writing, researcher should revisit the
purpose of research and expectation from the researcher. If the researcher is intended to submit
academic reports, minimum steps and format are well designed. Hence, researcher should
identify the answer of some questions as what is the objective of research? Is there any format
of reports? Is there word limit? Who will read the report? What is the process of report
evaluation? etc. Answers of such questions help to make a good report.

2. Preparing outline: On the basis of nature of data, objective of research, and


requirement of the evaluating agency, researcher need to prepare outline i.e. roadmap to the
research report. This helps to decide in how many chapters, in how many topics, whether
descriptive or analytical report is required to prepare. In simple words, outline helps to arrange
the idea before starting write up. It is the planning phase for the content of report for making it
more effective. During this phase, researcher should also plan the time frame within which a
report is to be completed and submitted.
3. Arranging data: On the basis of objectives, population and sample for the research,
researcher collects the data from different sources. Different types of data are collected for the
purpose. Such different data from different sources need to be processed and tabulated. Only
relevant data are sequentially arranged so that right information will be obtained at the right
time for the right purpose. For this different tables of data need to be prepared and named
properly.
4. Start writing: Now, researcher should start writing the report. Report should start with
introduction and proceed with the content and topic arranged on the outline. Each topic or
section consists of specific feature and way of writing. Thus, instead writing haphazardly,
researcher should follow the sections.
5. Preparing the first draft: The report completed with a single effort may not be
excellent. Thus, researcher should update and upgrade the report with series of revisions. For
this purpose, the first draft is to be prepared and revisit the whole draft carefully. Add or remove
the necessary descriptions, interpretations, and analysis as and when required.
6. Review and rewrite: Every report consists of scope of some improvement. It is true
that in each reading, you can find something to rewrite or rearrange. This makes the report
more interesting and excellent. Thus, researcher must read and reread the draft again and again.
During this course of action, you need to compare the report with format (if any specific format
is required), methodological conformation, values and data revisit as there may be some
misprints, if possible, language expert need to be consulted. After rewriting the drafts, the final
draft will be prepared which can be submitted to the concern authority.
Report Writing Structure
Reports follow a standardised format. This allows the reader to find the information easily and
focus on specific areas. Report can be divided into three major parts-

1. Preliminary Parts: In its preliminary portion the report should carry a title and date,
followed by acknowledgements in the form of ‘Preface’ or ‘Foreword’. Then there should be
a table of contents followed by list of tables and illustrations so that the decision-maker or
anybody interested in reading the report can easily locate the location of required
information.
2. Main text: The main text provides the complete outline of the research report along
with all details. Title of the research study is repeated at the top of the first page of the main
text and then follows the other details on pages numbered consecutively, beginning with the
second page. Each main section of the report should begin on a new page. The main text of
the report should have the following sections:
a. Introduction: The purpose of introduction is to introduce the research project to the
readers. It should contain a clear statement of the objectives of research i.e., enough
background should be given to make clear to the reader why the problem was considered
worth investigating. A brief summary of other relevant research may also be stated so that the
present study can be seen in that context. The hypotheses of study, if any, and the definitions
of the major concepts employed in the study should be explicitly stated in the introduction of
the report. The methodology adopted in conducting the study must be fully explained. The
statistical analysis adopted must also be clearly stated. In addition to all this, the scope of the
study should be stated and the boundary lines be demarcated. The various limitations, under
which the research project was completed, must also be narrated.
b. Statement of findings and recommendations: After introduction, the research report
must contain a statement of findings and recommendations in non-technical

language so that it can be easily understood by all concerned. If the findings happen to be
extensive, at this point they should be put in the summarised form.
c. Results: A detailed presentation of the findings of the study, with supporting data in
the form of tables and charts together with a validation of results, is the next step in writing
the main text of the report. The result section of the report should contain statistical
summaries and reductions of the data rather than the raw data. All the results should be
presented in logical sequence and splitted into readily identifiable sections.
d. Implications of the results: Toward the end of the main text, the researcher should
again put down the results of his research clearly and precisely. He/she should, state the
implications that flow from the results of the study, for the general reader is interested in the
implications for understanding the human behaviour.
e. Summary: It has become customary to conclude the research report with a very brief
summary, resting in brief the research problem, the methodology, the major findings and the
major conclusions drawn from the research results.
3. End Matter: At the end of the report, appendices should be enlisted in respect of all
technical data such as questionnaires, sample information, mathematical derivations and the
like ones. Bibliography of sources consulted should also be given.

Bibliography and References:

In academic writing, the terms "bibliography" and "references" are used to organize and
provide information about the sources used in a research paper or project. While they serve
similar purposes, there is a subtle difference between the two:

References: In the context of academic writing, references are a list of specific sources that
have been directly cited or referred to within the body of the text. These sources are typically
cited within the text using in-text citations (such as author-date or numerical citations) and then
listed in a separate "References" section at the end of the document. The references section
includes detailed information about each cited source, such as the author(s), title, publication
date, and other relevant publication details. The purpose of the references section is to allow
readers to locate and verify the specific sources that were cited in the paper.

Bibliography: A bibliography, on the other hand, is a more comprehensive list of sources that
were consulted or considered during the research process, even if they were not directly cited
in the text. A bibliography includes all the relevant sources that were used to gather information
and background knowledge on the topic, regardless of whether they were explicitly referenced
in the paper. It provides a broader view of the research process and allows readers to explore
additional sources related to the topic. Like the references section, a bibliography also includes
detailed information about each source, but it may contain a wider range of sources, such as
books, articles, websites, interviews, and more.

To summarize, references are the sources that are specifically cited or referred to within the
text, while a bibliography includes a more comprehensive list of sources consulted during the
research process, whether or not they were directly cited. The choice between using a
references section or a bibliography depends on the specific guidelines or requirements of the
academic institution or the preferred citation style (e.g., APA, MLA, Chicago, etc.) being used.

The following table is the summary of the contents of the reports:

S.N. Section Purpose


1. Title Page (Not part of the word count) Gives the title of the report, the
researcher’s name/number, the
name of the person the report
is being submitted to, and the
completion date.

2. Table of Contents (Not part of the word count) Shows the sections of the
report. Gives the headings,
subheadings and page
numbers.

3. Abstract or Executive Summary Gives a summary of the whole


report. Outlines the report’s
purpose, methodology,
findings, main conclusions
and recommendations. Mainly
written in past tense, and
prepared last.

4. Terms of Reference Briefly states the purpose and


scope of the report. This
includes who requested the
report, the main issues or
problems to be identified, the
reason for undertaking the
report and the due date of the
report.
5. Procedure Outlines the methods used to
collect information e.g.
interviews, questionnaires,
observations and/or research.
6. Introduction (May be used instead of the Terms Outlines the context,
of Reference and Procedure) background and purpose of the
report. Defines terms and sets
limits of the investigation. The
reader/audience can easily
identify what the report is
about, how information was
gathered, and why the report is
needed. Mainly uses past tense
and can be written last – but is
presented first.
7. Findings and/or Discussion For this section, Findings: What was found
avoid using the headings “Findings” or during the research or
“Discussion”. Instead, create headings and sub- investigation. Gives the facts
headings that identify the main issues or only – no interpretation by the
problems. writer of the report. Tables,
graphs or diagrams can be
used. Must be relevant to the
issues and problems identified
in the Terms of Reference.
Arranged in a logical order
with headings and sub-
headings. Discussion: You
may also be required to
analyse, interpret and evaluate
the findings. The discussion
draws together different parts
of the findings and may refer
to findings of other studies
and/or theories.
8. Conclusions Brief statements of the key
findings of the report (full
explanation is given in the
Findings and/or Discussion).
Arranged so the major
conclusions come first. Should
relate directly to the objectives
set out in the Terms of
Reference or Introduction.
Follow logically from the facts
in the Findings and/or
Discussion. Must be complete
enough for recommendations
to be made from them.
9. Recommendations (note: not all reports give The opinions of the writer of
recommendations) the report about possible
changes, or solutions to the
problems, including who
should take action, what
should be done, when and how
it should be done.
10. References (Not part of the word count A list of the sources that are
used in and referred to in the
report. Use APA referencing
style.
11. Bibliography (Not always required) Lists any sources that were
read for the research but were
not cited in the report.
(Bibliography is not included
in the word count).
12. Appendices (Not always required) Additional relevant
information. May include
interview questions, surveys,
glossary etc. (Appendices are
not included in the word
count).

Executive Summary: An executive summary in a business research report is a concise and


condensed overview of the entire report. It is typically positioned at the beginning of the
report, serving as a brief snapshot that provides key information and highlights the main
findings, conclusions, and recommendations of the research. The purpose of an executive
summary is to provide busy executives, decision-makers, or stakeholders with a quick
understanding of the report's content without requiring them to read the entire document.

Here are some key characteristics and components of an executive summary in a business
research report:

Length and Conciseness: An executive summary is typically kept short, usually ranging
from one to a few pages in length. It should be written in a clear and concise manner, using
brief paragraphs and bullet points to present the main ideas.

Overview of Research Objectives: The executive summary briefly outlines the purpose
and objectives of the research, providing context for the findings and recommendations that
follow.

Summary of Methodology: It provides a concise description of the research methods and


approaches used to gather and analyze the data. This gives readers an understanding of the
research process and the credibility of the findings.

Main Findings: The executive summary highlights the most important findings or insights
that have emerged from the research. This may include key statistics, trends, patterns, or
significant discoveries.

It presents the main conclusions drawn from the research findings. This section should
summarize the main points and insights that the report has generated.

Recommendations: The executive summary may include high-level recommendations


based on the research findings. These recommendations should be actionable and directly
address the research objectives or problem statement.

Implications and Potential Impact: It may briefly discuss the implications of the research
findings and highlight their potential impact on the business or industry. This helps decision-
makers understand the significance of the research and its potential implications for future
actions or strategies.
The executive summary acts as a "teaser" for the rest of the report, providing enough
information to pique the reader's interest and motivate them to read further if they require
more details. It should be written in a way that is easily understood by both technical and
non-technical readers, presenting the main points clearly and persuasively.

Types of Research Report:


"Research report can vary differently in its length, type and purpose. Kerlinger (2004) states
that the results of a research investigation can be presented in number of ways via a technical
report, a popular report, a monograph or at times even in the form of oral presentation." Some
typology of research reports is more popular for business purposes can be as:
1. Formal and Informal report
2. Written and Oral report
3. Internal and external report
4. long and short report
5. Descriptive and Analytical report
6. Technical and popular report
But, for the academic report like Thesis, GRP or Project reports, only either descriptive or
analytical report is prepared. A short description of each type of description and analytical
report is given below:
1. Descriptive Report
In descriptive report, researcher describes the facts, trends or opinions experienced or
gathered during the research work. In such reports, data presentation and analysis are
more importantly presented. Such reports are more suitable in case of describing
current situations, etc. It is more popular method of report writing.
2. Analytical report
As name given analytical, such reports are prepared with analysing and interpretation
of the facts or trends or situations. This means analytical report is one step ahead
than descriptive reports. Such reports follow the scientific investigation and
reporting. Analytical reports also recommend some measures to improve the
situation with stating different problems on the situation. Policy research and
managerial research which are normally funded by any agencies seeking solution of
prevailing problems demand analytical report.

Points to be taken into consideration while writing a Research Report


Research report is a channel of communicating the research findings to the readers of
the report. A good research report is one which does this task efficiently and
effectively. As such it must be prepared keeping the following precautions in view:

1. While determining the length of the report, one should keep in view the fact that it
should be long enough to cover the subject but short enough to maintain interest.
2. A research report should not be dull; it should be such as to sustain reader’s
interest.
3. Abstract terminology and technical jargon should be avoided in a research report.

4. The objective of the study, the nature of the problem, the methods employed and
the analysis techniques adopted must all be clearly stated in the beginning of the
report in the form of an introduction.
5. Readers are often interested in acquiring a quick knowledge of the main findings
and as such the report must provide a ready availability of the findings. For this
purpose, charts, graphs and the statistical tables may be used for the various
results in the main report in addition to the summary of important findings.
6. The layout of the report should be well thought out and must be appropriate and in
accordance with the objective of the research problem.
7. The reports should be free from grammatical mistakes and must be prepared
strictly in accordance with the techniques of composition of report-writing such as
the use of quotations, footnotes, documentation, proper punctuation and use of
abbreviations in footnotes and the like.
8. A research report should show originality and should necessarily be an attempt to
solve some intellectual problem. It must contribute to the solution of a problem
and must add to the store of knowledge.
9. Appendices should be enlisted in respect of all the technical data in the report.

10. Bibliography of sources consulted is a must for a good report and must necessarily
be given.

Report Checklist
The main thoughts of research report writing are discussed in detail above while
the following points as “Report Checklist” are important to recall the techniques
of report writing which are as under-

✓ Have you determined what type of report to write?


✓ Have you determined the structure/ headings of your report?
✓ Have you collected the materials/ information you need to write the
report?
✓ Have you drafted a timeline to complete the report on time?
✓ Have you written a draft and edited it carefully?
✓ Are all parts of the report, including appendices, completed?
✓ Have you submitted it on time and in the correct format?
✓ Have you kept a copy of your submitted report?

Conclusion
Research report is the final stage of every research in which research procedure,
analysis, findings and so forth aspects of research endeavours are presented in
organized and systematic way. It is the process of scientific and professional
communication regarding research findings. The general purpose of research
report is to convey the sufficient details of research works. It not only convinces
the readers but let them known about the findings of already carried out research
or project work or the purpose of the work have been done. Writing a report is both
an art as well as science so that it pertains certain skills, rules and format suited for
proper delivery in orderly and scientific manner.

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