ITM- SPSS

National Institute Of Fashion Technology

Presented By:
Pallavi M. Gunje. (13)
OUTLINE

Introduction
Questions
Descriptive analysis
Regression analysis
Correlation analysis
INTRODUCTION
SPSS is a Windows based program that can be used to perform
data entry and analysis and to create tables and graphs.
SPSS is capable of handling large amounts of data and can
perform all of the analyses covered in the text and much more.
SPSS is commonly used in the Social Sciences and in the
business world.
LAYOUT OF SPSS
Data View is where you
see the data you are
using.
Variable View is where
you can specify the
format of your data
when you are creating a
file.
Q.1:
Enter the data in SPSS data sheet
DATA VIEW
VARIABLE VIEW
Data review
Q.2:
Compare the mean, median and mode of sales turnover,
advertising expenditure and retail space?

DESCRIPTIVE ANALYSIS
The frequencies command can be used to determine quartiles,
percentiles, measures of central tendency (mean, median, and
mode), measures of dispersion (range, standard deviation,
variance, minimum and maximum), measures of kurtosis and
skewness, and create histograms.
The command is found at Analyze | Descriptive Statistics |
Frequencies

PROCEDURE
OUTPUT ANALYSIS
Descriptive analysis
Q.3
Do a regression analysis to find out relation between sales
turnover, advertising expenditure and retail space. Predict the sales
turnover for the advertising expenditure of Rs. 21 lakh and retail
space of 55 lakh sq. ft.?

REGRESSION ANALYSIS
Variables:
variable 1: Dependent variable: metric scale
variable 2: Independent variables: metric or nominal scale
Purpose:
Understanding / explanation & Prediction
Estimate coefficient(s)
Show whether the coefficients that we estimated are significant
Know how useful is the regression function ? [goodness of fit]
Find what variable is relatively more important
PROCEDURE
OUTPUT ANALYSIS
Regression output
a) H01: There is no significance difference between the sales
turnover and advertising expenditure.
Ha1: There is a significance difference between the sales turnover
and advertising expenditure

b) H02: There is no significance difference between the sales
turnover and retail space.
Ha2: There is a significance difference between the sales turnover
and retail space.



From the last table, estimated regression coefficients are:
b0 (Constant) = 65.45, b1 (coefficient for X1) = -1.674 and b2
(coefficient for X2) = 3.994.
The p-value for testing Ho1 is 0.057. We accept the null
hypothesis and we conclude that sales(Y) is affected by
advertising expenditure (X1), since p-value = 0.057> 0.05.




The p-value for testing Ho2 is 0.000, which is less than 0.05.
Therefore we fail to accept the null hypothesis (H0: b2=0) and
conclude that sales(Y) is significantly affected by retail place
(X2).

0.05
0
-0.05
The regression equation between sales turnover with advertising
expenditure( in lakh) and retail space( lakh sq. ft)
Y=B0+B1X1+B2X2
Y (SALES TURNOVER)= 65.451-1.674(ADVERTISING
EXPENDITURE) + 3.994( RETAIL SPACE)
Now, Given value of advertising expenditure is 21 lakh and retail
space used is 55 lakh sq. ft
Y=65.451-1.674(21) +3.994(55)
Y=65.451-35.154+219.67
Y= 249.967 Lakh
Q.4:
Find out correlation between sales and advertisement expenditure.
Interpret the findings?

CORRELATION ANALYSIS
Variables
variable 1 : metric scale
variable 2 : metric scale

Correlation measures :
whether two variables are linearly related to each other,
how strongly they are related, and
whether their relationship is negative or positive.


Correlation coefficient properties:

-1 Corr(X,Y) 1
Corr(X,Y) < 0; X and Y are negatively correlated
Corr(X,Y) = 0; X and Y are Uncorrelated
Corr(X,Y) > 0; X and Y are positively correlated
Corr(X,X) or Corr(Y,Y) = 1
PROCEDURE
OUTPUT ANALYSIS
Sales turnover in lakhs and their advertising expenditure are positively
correlated (0.761). Therefore, we conclude that increased sales turnover
increases advertising expenditure
Correlation output
Q.5
Check whether there is any difference between the mean
advertising expenditure of Delhi and Mumbai with 95%
significance level?

T-TEST ANALYSIS
The independent t-test compares the means between two
unrelated groups on the same continuous, dependent variable.
The SPSS t-test procedure allows the testing of equality of
variances (Levene's test) and the t-value for both equal- and
unequal-variance.
It also provides the relevant descriptive statistics.
PROCEDURE
OUTPUT ANALYSIS
Group Statistics

location of the store N Mean Std. Deviation Std. Error Mean
advertising expenditure in
lakhs
Mumbai 15 10.2033 2.77260 .71588
Delhi 15 16.5467 2.01028 .51905

Independent Samples Test

Levene's Test for
Equality of
Variances t-test for Equality of Means
F Sig. t df
Sig. (2-
tailed)
Mean
Differenc
e
Std.
Error
Differenc
e
95% Confidence
Interval of the
Difference
Lower Upper
advertising
expenditure in
lakhs
Equal variances
assumed
.468 .500 -7.174 28 .000 -6.34333 .88425 -8.15464 -4.53202
Equal variances
not assumed

-7.174 25.533 .000 -6.34333 .88425 -8.16256 -4.52410

T-test output
H0: There is no significance difference between the means of
advertising expenditure of Delhi and Mumbai.
Ha: There is a significance difference between the means of
advertising expenditure of Delhi and Mumbai .

Analysis:



The test statistic, t, for this observed difference is -7.17(t= -7.17).
The p-value for this t-statistic is 0.000 (Sig.(2-tailed)=0.000). Since
p-value (0.000) is less than 0.05, we fail to accept the null
hypothesis and conclude that theres significance difference
between the average advertising expenditure of Delhi and Mumbai.

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