C723
C723
C723
Quantitative
Quantitative
Quantitative
Analysis
Analysis
Analysis
for for
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
for
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
C723 Quantitative Analysis for Business
Decision models
are used to identify a business problem and develop alternative solutions.
Payoff tables
will quantify the costs and benefits of each solution alternative.
Decision trees
will be used to identify the alternatives and probabilities of occurrence.
Network analysis
refers to the network of activities required to complete a business project.
Quantitative analysis
provides methods to analyze large or small amounts of data to look for
patterns, trends, and relationships.
Mathematical analysis
can help managers make strategic decisions and find statistically supported
solutions to business questions. These are functional areas over a period
of time.
Data may be categorized as either
subjective or objective.
pg. 1
C723
C723
C723
Quantitative
Quantitative
Quantitative
Analysis
Analysis
Analysis
for for
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
for
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
,C723
C723
C723
Quantitative
Quantitative
Quantitative
Analysis
Analysis
Analysis
for for
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
for
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
Subjective data
obtained through surveys and interviews, are considered non-measurable,
data typically include personal perceptions, such as likes, dislikes,
attitudes, and opinions.
Objective data are
measurable and typically arise from observation or testing in business
areas like sales, operations, manufacturing, and logistics.
Data must be valid: that is, the data must accurately represent the true
business relationship at hand. Further, the data must be reliable: if we
sought to characterize a particular business relationship by gathering data
several different times (different samples), the data would reflect the
relationship the same way with every sample.
Examples of quantitative analysis
cost-benefit analysis, inventory analysis, logistical analysis, and forecasting
revenue.
quantitative analysis approach
defines a problem and then develops a mathematical model to represent
the particular business situation. The model allows managers to make
inferences regarding the data.
Total Revenue
pg. 2
C723
C723
C723
Quantitative
Quantitative
Quantitative
Analysis
Analysis
Analysis
for for
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
for
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
,C723
C723
C723
Quantitative
Quantitative
Quantitative
Analysis
Analysis
Analysis
for for
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
for
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
p=$xq $X is the revenue earned per item sold, Q is the quantity of items
sold.
Company XYZ can use this equation to forecast its revenue if X remains
constant
Steps in Quantitative Analysis
1. Define problem.
2. Develop mathematical model.
3. Prepare and input data.
4. Find best solution.
5. Test solution.
6. Analyze results.
7. Implement solution.
Cause and effect use
independent and dependent variables. A dependent variable is the variable
that is being measured, or affected. The independent variable is free to
change in a given model.
The dependent variable is affected by the changes in the causing
independent variable. Although only one dependent variable is considered,
many independent variables can have an effect.
fishbone diagram is sometimes
pg. 3
C723
C723
C723
Quantitative
Quantitative
Quantitative
Analysis
Analysis
Analysis
for for
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
for
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
, C723
C723
C723
Quantitative
Quantitative
Quantitative
Analysis
Analysis
Analysis
for for
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
for
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
used to determine the cause of a problem.
moderating relationship
the relationship between the dependent and independent variables
depends on the level of the moderating variable.
mediating variable
explains the relationship between the dependent and independent
variables.
Scatter diagrams
are used to graph pairs of numbers to determine the relationship.
trend line
The line that shows the general direction of the relationship of points over
time
If the trend line moves downward as we progress from left to right
there is a negative correlation between the two variables.
what does it mean if one variable increases as the other variable also
increases?
That there is a positive correlation between the variables
Forecasting
helps businesses make adjustments to the current business environment to
encourage better business outcomes in the future.
pg. 4
C723
C723
C723
Quantitative
Quantitative
Quantitative
Analysis
Analysis
Analysis
for for
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
for
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
C723
C723
Quantitative
Quantitative
Quantitative
Analysis
Analysis
Analysis
for for
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
for
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
C723 Quantitative Analysis for Business
Decision models
are used to identify a business problem and develop alternative solutions.
Payoff tables
will quantify the costs and benefits of each solution alternative.
Decision trees
will be used to identify the alternatives and probabilities of occurrence.
Network analysis
refers to the network of activities required to complete a business project.
Quantitative analysis
provides methods to analyze large or small amounts of data to look for
patterns, trends, and relationships.
Mathematical analysis
can help managers make strategic decisions and find statistically supported
solutions to business questions. These are functional areas over a period
of time.
Data may be categorized as either
subjective or objective.
pg. 1
C723
C723
C723
Quantitative
Quantitative
Quantitative
Analysis
Analysis
Analysis
for for
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
for
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
,C723
C723
C723
Quantitative
Quantitative
Quantitative
Analysis
Analysis
Analysis
for for
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
for
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
Subjective data
obtained through surveys and interviews, are considered non-measurable,
data typically include personal perceptions, such as likes, dislikes,
attitudes, and opinions.
Objective data are
measurable and typically arise from observation or testing in business
areas like sales, operations, manufacturing, and logistics.
Data must be valid: that is, the data must accurately represent the true
business relationship at hand. Further, the data must be reliable: if we
sought to characterize a particular business relationship by gathering data
several different times (different samples), the data would reflect the
relationship the same way with every sample.
Examples of quantitative analysis
cost-benefit analysis, inventory analysis, logistical analysis, and forecasting
revenue.
quantitative analysis approach
defines a problem and then develops a mathematical model to represent
the particular business situation. The model allows managers to make
inferences regarding the data.
Total Revenue
pg. 2
C723
C723
C723
Quantitative
Quantitative
Quantitative
Analysis
Analysis
Analysis
for for
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
for
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
,C723
C723
C723
Quantitative
Quantitative
Quantitative
Analysis
Analysis
Analysis
for for
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
for
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
p=$xq $X is the revenue earned per item sold, Q is the quantity of items
sold.
Company XYZ can use this equation to forecast its revenue if X remains
constant
Steps in Quantitative Analysis
1. Define problem.
2. Develop mathematical model.
3. Prepare and input data.
4. Find best solution.
5. Test solution.
6. Analyze results.
7. Implement solution.
Cause and effect use
independent and dependent variables. A dependent variable is the variable
that is being measured, or affected. The independent variable is free to
change in a given model.
The dependent variable is affected by the changes in the causing
independent variable. Although only one dependent variable is considered,
many independent variables can have an effect.
fishbone diagram is sometimes
pg. 3
C723
C723
C723
Quantitative
Quantitative
Quantitative
Analysis
Analysis
Analysis
for for
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
for
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
, C723
C723
C723
Quantitative
Quantitative
Quantitative
Analysis
Analysis
Analysis
for for
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
for
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
used to determine the cause of a problem.
moderating relationship
the relationship between the dependent and independent variables
depends on the level of the moderating variable.
mediating variable
explains the relationship between the dependent and independent
variables.
Scatter diagrams
are used to graph pairs of numbers to determine the relationship.
trend line
The line that shows the general direction of the relationship of points over
time
If the trend line moves downward as we progress from left to right
there is a negative correlation between the two variables.
what does it mean if one variable increases as the other variable also
increases?
That there is a positive correlation between the variables
Forecasting
helps businesses make adjustments to the current business environment to
encourage better business outcomes in the future.
pg. 4
C723
C723
C723
Quantitative
Quantitative
Quantitative
Analysis
Analysis
Analysis
for for
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
for
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
Business.pdf!!!!!!!!!!!!!!!!!!!~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~@@@@@@@@@@@@@@@@@@@@@@@@
