Indian Institute of Foreign Trade- Delhi

Programme: MBA(IB) 2017-19

Course Name: Business Statistics

Course Co-ordinator: Dr. Nitin Sachdeva/ S.V.Ramanan

Term: I Credits: 4

Course Introduction

Business managers in the present century have access to large amounts of information. A
major issue is how to use the available information to make better decisions. It is from this
perspective of informed decision making that this course is designed. The course is intended
as a sound introduction to the field of business statistics, covering foundation of statistical
reasoning and statistical applications in business. The students will acquire understanding
of both descriptive and inferential statistics. The course mainly deals with the use of
statistical concepts in the resolution of managerial decision problems, offers hands-on
experience in practical problem solving and decision support using statistical techniques.

Course Objectives:

At the successful completion of the course, the students should be able to:

Use statistical techniques in International business decision making.

Develop skills in structuring and analyzing business problems statistically.
Formulate answers to common business decision problems through statistical
analysis.
Utilize computer-based statistical software to perform mathematical calculations
and thereby minimize time requirements.

Programme Learning Goals covered through this Course

LG 3: Managing complex, uncertain business situations

Be able to analyse uncertain business situations using information provided

and making informed assumptions.
 Pedagogy

The pedagogy will be a hybrid of lectures, cases, problem solving exercises, tutorials
and presentations.

Linkages with Other Courses

This is a basic course which lays emphasis on developing analytical skills

Evaluation Components

Quizzes 20%
Case presentation 10%
Project 30%
End Term Examination 40%
(Measurement of LG-3)

Text Book / Reference Text

Text Book: Statistics for Management, 8th ed. By Levin, Rubin, Siddiqui & Rastogi; Pearson
Education

Reference Books:

Business Statistics in Practice Fifth edition by Bowerman, OConnell and

Murphree, Mc Graw Hill.
Complete Business Statistics Amir D Aczel & Jayavel Sounderpandyan
Business Statistics: A First Course by David M. Levine, Timothy C. Krehbiel
and Mark L. Berenson; 3rd edition 2004; Pearson Education
Statistics for Management and Economics by Keller. Seventh edition, Thomson
Learning
Introductory Statistics by Weiss. Seventh edition, Pearson education.
Practical Business Statistics, Sixth edition by Andrew F. Siegel, Academic
Press.
Data analysis & Decision Making by Albright, Winston, Zappe. Second edition,
Thomson Learning
Statistics for Management and Economics by Anderson. ninth edition,
Thomson Learning
Business Statistics , Making Better Business Decisions, 7th ed., by Ken Black, John
Wiley & Sons (Asia) Pt. Ltd..
Session Plan:

Session Topic and Sub topics Reading

Reference/Cases

1-2 Introduction to Statistics and Presenting Data in Read Chapter 1-2

Tables and Charts

Need of Statistics in Management

Need of Data in decision making

Types of data- nominal, ordinal, interval, ratio

Introduction to Statistical Software Packages: Excel,

SPSS

Grouped and Ungrouped data

Explain frequency distribution, histogram, frequency

polygon, Ogive, pie chart, stem and leaf plot, and
scatter plot

Using Microsoft Excel / SPSS for charts and graphs

3-4 Descriptive Statistics Read Chapter 3

Distinguish between measures of central tendency,

measures of dispersion, and measures of shape.

Understand application of mean, median, mode,

quartile, percentile, and range. Variance, standard
deviation, and mean absolute deviation on ungrouped
& grouped data.

Differentiate between sample and population variance

and standard deviation.

Coefficient of Variation

Understand the meaning of standard deviation as it is

applied using the empirical rule and Chebyshevs
theorem.
 Understand box and whisker plots, skewness, and
kurtosis.

5-6 Introduction to Probability Read Chapter 4

Basic Definitions
Types of Probability
Rules / Conditions of Probability
Conditions under Statistical Independence and
Dependence

Bayes Theorem

6 Random Variable Read Chapter 5

Random Variable: Discrete and Continuous

Expectation of Discrete and Continuous Variables

Variance of Discrete and Continuous Variables

Quiz based on sessions 1-6

7-8 Discrete Probability Distributions Read Chapter 5

Binomial Distribution

Poisson Distribution

9 Continuous Probability Distributions Read Chapter 5

Normal distribution

10 Sampling and Sampling Distributions Read Chapter 6

Probabilistic & Non Prob. Sampling

Central limit Theorem

11 Estimation Read Chapter 7

Introduction to Point and Interval Estimates of Mean

and Proportion
 Determining the Sample Size in Estimation

12 Hypothesis Testing Read Chapter 8

Concepts Basic to the HT Procedure

Type I and Type II Errors

Power of the Test

Level of Significance

Testing for Mean

Quiz based on sessions 7-12

13 Hypothesis Testing for Single Population Read Chapter 8

Testing for Mean (Large Samples)

Testing for Mean (Small Samples)
14 Hypothesis Testing for Two or more Populations Read Chapter 9 &11

Testing for Difference between Means (Large

Samples)
Testing for Difference between Means (Small
Samples)

F- test for equality of variances

15 Read Chapter 9 &

11
Testing for Difference between Means with
Dependent Samples
One Way ANOVA

16-18 Simple Correlation and Regression Read Chapter 12

Pearsons Coefficient of Correlation

Method of Least Squares
Estimation using the Regression Line, assumptions and
residual analysis
Multiple linear Regression
To test the significance of correlation coefficients and
regression coefficients.
To test the significance of the regression model.

19 Read Chapter 14

Introduction to Non Parametric Tests

20
Class Presentations & Discussions

Quiz based on sessions 13-19