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Statistical analysis of the data is to be carried out using technique sof analyzing categorical data. In this process a contingency table analysis is employed in order to examine the nature of relationship existing between two categorical variables (financial stability and customer spending).In this process, the McNemer's test will be used in analyzing if the pair is dichotomous (Elliot & Woodword,2007,p.113).This test is done on the categorical variables in order to detect any change or disagreements between them. The Mantel-Haenszel test is also employed in order to determine the nature of relationship between the dichotomous variables while controlling for or within the specific levels of the third variable (declining economy).Also to be carried out is the interatter reliability test so as to determine if the two raters provide consistent ratings. A goodness-of-fit test is also used in measuring whether an given observed group of counts matches a given theoretical pattern.
A chi-squared test for the nominal (categorical data)
The ?2 test is employed in determining whether there is a relationship between two categorical variables in a given sample. Should we decide to rely on two variables; the ?2 test can be used in comparing them and testing if there is a difference between the two variables too.
The level of measurement
A large number of the data that was collected in the survey (using questionnaires) were mainly nominal or categorical. This is without the need of assigning any numerical values. Numbers could however be assigned to the various categorical values should it be deemed desirable (as long as it makes sense and should the numerical identifiers have no level of significance beyond their purpose of identification)(Rubin,2009).
The most crucial tool in this process is the questionnaires which were developed to specifically capture information on specific items like the perceived quality of product s that are on sale in Kmart with nominal and ordinal measurement levels.
References
Elliot, AC and Woodward, WA (2007).Statistical Analysis-Quick Reference Guide with SPSS examples. Sage Publications, Inc.
Rubin, A. (2009). Statistics for Evidence-Based Practice. Belmont, CA: Cengage.
Sears Holdings. (2012). Retrieved from http://www.searsholdings.com/about/kmart/history.htm
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