qam group iv
DESCRIPTION
TRANSCRIPT
DELL DIRECT
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Presented by Group – 4WMP6021:- Himanshu YadavWMP6024:- Kunal JainWMP6025:- Kunal MalhotraWMP6026:- Mahendra Pratap SinghWMP6027:- Manish Bansal
Situation:Dell has thrived in the environment of downward-spiralling
prices and commodization. Since 2008, Dell Inc. is pushing into consumer products market. Dell intends to expand the Partner Direct program globally. Dell’s strategy was then hinged on meeting customers’ need and demands by offering their products in retail stores. Now, Dell is pushing into consumer products business.
Complications: Intense competition is rampant and customer patronage is
critical for Dell
Questions:A survey was conducted amongst recent purchasers of Dell
PCs and notebooks to help Dell serve its customers and expand its business
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Question:
Dell wants to estimate: Customers probability to make a repeat purchase of Dell
products, andCustomers willingness to recommend Dell products to their
friends and family
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Question 6: If you could make your computer purchase decision again, how likely would you be to choose Dell?
Data is for those people who have answered "Definitely would” or “Probably would” in question 6 of survey.
Influence of Question 10_9:What number from 1 to 7 best indicates how
much you agree or disagree that this statement describes you; I often try new brands before my friends and neighbors do.
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If you could make your computer purchase decision again, how likely would you be to choose Dell?"Definitely would" in Q 6 survey:
10_9 score 3: 3510_9 score 2: 2110_9 score 1: 09
---------------------------Total: 65
"Probably would" in Q 6 survey:10_9 score 3: 1310_9 score 2: 0910_9 score 1: 02--------------------------- Total: 24
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If you could make your computer purchase decision again, how likely would you be to choose Dell?Therefore, 65+24=89 out of 372 are those people who
are definitely or probably would like to repurchase the product.
Sample size: 372
Sample favorable probability of recommendation: 89/372= 0.2393
Sample std dev for 372 people in Q6 response: 0.5807
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If you could make your computer purchase decision again, how likely would you be to choose Dell?Now we can estimate the proportion for
population with 95% confidence
Population parameter will be: 0.2393 + - 1.96 * 0.5807/sqrt (372) =0.1803 to 0.2983
This is the probability of a customer to
repurchase the Dell product.
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Customers willingness to recommend Dell products to their friends and family –
Data from survey used for analysis How likely would you be to recommend Dell to a friend or relative? –
q5 How much you agree or disagree the statement “I like introducing
new brands and products to my friends” – q10_1 How much you agree or disagree the statement “I like helping
people by providing them with information about many kinds of products ” – q10_2
How much you agree or disagree the statement “People ask me for information about products, places to shop, or sales” – q10_3
How much you agree or disagree the statement “My friends think of me as a good source of information when it comes to new products or sales” – q10_4
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Customers willingness to recommend Dell products to their friends and family –
Data is for those people who have answered "Definitely would recommend / Probably would recommend " or have a score of (1 or 2) in question 5 of survey.
“Definitely would recommend” in q5 with score of 4 and above in q10_1, q10_2, q10_3, q10_4,
Number of respondents – 90
“Probably would recommend” in q5 with score of 5 and above in q10_1, q10_2, q10_3, q10_4,
Number of respondents – 29
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Customers willingness to recommend Dell products to their friends and family –
“Might not recommend” in q5 but have score of 6 and above in q10_1, q10_2, q10_3, q10_4,
Number of respondents – 9
*Other 2 response of “Definitely would not recommend” and “Probably would recommend” for q5 are ignored
Therefore, 90+29+9=128 out of 372 are those people who are definitely or probably likely to recommend the product.
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Customers willingness to recommend Dell products to their friends and family –
Sample size: 372 Sample Favorable probability of recommendation: 128/372=
0.3441 Sample std dev for 372 people in Q5 response: 0.827725
Now we can estimate the proportion for population with 95% confidence:
Population parameter will be: = 0.3441 + - 1.96 * 0.827725/sqrt (372)= 0.3441 + - 1.96 * 0.827725/19.280.3441 + - 0.0841 = *0.2600 to 0.4282 * This is the probability of a customer to recommend the product. Therefore, 26% to 42.82% customers recommend the Dell
product to their family & friends. 11