What is the entropy or pseudo R2?
> A player has three possible venues to choose from: going to a football game, going to a boxing match, or going for a hike. The payoff from each of these alternatives will depend on the weather. The following table gives the agentâ
> Political Campaigning: Two candidates are competing in a political race. Each candidate i can spend si ≥ 0 on adds that reach out to voters, which in turn increases the probability that candidate i wins the race. Given a pair of spending choices (s1, s2)
> Hotelling’s Price Competition: Imagine a continuum of potential buyers, located on the line segment [0, 1], with uniform distribution. (Hence, the “mass” or quantity of buyers in the interval [, b] is equal to b − .) Imagine two firms, players 1 and 2
> Negative Ad Campaigns: Each one of two political parties can choose to buy time on commercial radio shows to broadcast negative ad campaigns against their rival. These choices are made simultaneously. Due to government regulation it is forbidden to buy m
> A strategy sW ∈ S is a weakly dominant strategy equilibrium if sW ∈ Si is a weakly dominant strategy for all i ∈ N. That is if vi (sW, s−i) ≥ vi (s’i, s−i) for all s’i ∈ Si and for all s−i ∈ S−i. Provide an example of a game for which there is a weakl
> More Oil: Chevron, the No. 2 US oil company, is facing a tough decision. The new oil project dubbed “Tahiti” is scheduled to produce its first commercial oil in mid-2008, yet it is still unclear how productive it will be. “Tahiti is one of Chevron’s five
> Asymmetric Bertrand: Consider the Bertrand game with c1(q1) = q1 and c2(q2) = 2q2, demand equal to p = 100 − q, and where firms must choose prices in increments of one cent. We have seen in section? that one possible Nash equilibrium is (p1*, p2*) = (1.9
> Surgery: A patient is very sick, and will die in 6 months if he goes untreated. The only available treatment is risky surgery. The patient is expected to live for 12 months if the surgery is successful, but the probability that the surgery fails and the
> Synergies: Two division managers can invest time and effort in creating a better working relationship. Each invests ei ≥ 0, and if both invest more than both are better off, but it is costly for each manager to invest. In particular, the payoff function for
> Popsicle stands: There are five lifeguard towers lined along a beach, where the left-most tower is number 1 and the right most tower is number 5. Two vendors, players 1 and 2, each have a popsicle stand that can be located next to one of five towers. The
> Bozoni is a renowned Swiss maker of fruit and vegetable juice, whose products are sold at specialty stores around Western Europe. Bozoni is considering whether to add cherimoya juice to its line of products. “It would be one of our more
> The n firm Cournot Model: Suppose there are n firms in the Cournot oligopoly model. Let qi denote the quantity produced by firm i, and let Q = qi+•••+qn denote the aggregate production. Let P (Q) denote the market clearing price (when demand equals Q) an
> Fruit Trees: You have room for up to two fruit bearing trees in your garden. The fruit trees that can grow in your garden are either apple, orange or pear. The cost of maintenance is $100 for an apple tree, $70 for an orange tree and $120 for a pear tree
> Hawk-Dove: The following game has been widely used in evolutionary biology to understand how “fighting” and “display” strategies by animals could coexist in a population. For a typical Hawk-Dove game there are resources to be gained (i.e. food, mates, te
> Roommates: Two roommates need to each choose to clean their apartment, and each can choose an amount of time ti ≥ 0 to clean. If their choices are t and tj, then player i’s payoff is given by (10 − tj) ti – ti2 . (This payoff function implies that the more
> Penalty Kicks: Imagine a kicker and a goalie who confront each other in a penalty kick that will determine the outcome of the game. The kicker can kick the ball left or right, while the goalie can choose to jump left or right. Because of the speed of the
> In a study involving responses of 175 young adult consumers’ social networking habits, the marketing researcher proposes that two constructs, credibility of social network posts, and centrality of social networks, are represented by a total of ten measur
> What is the difference between partial and full mediation?
> What is the additional layer of testing involved in MANOVA compared to ANOVA?
> Technology is making our behavior more and more difficult to keep secret. Mobile phones, RFID tags and GPS (Global Positioning Satellite) devices are ways that your location and movements might be tracked. While legitimate uses of this type of technology
> Sandy is a new marketing researcher at one of the top accounting firms in her town. A drug store client has hired the firm to help deal with its competitive situation. One of the partners comes in and tells Sandy that project calls for developing a quest
> What is an indirect effect? How is it computed?
> Sixty-six willing Australian drinkers helped a Federal Court judge decide that Tooheys did not engage in misleading or deceptive advertising for its 2.2 beer, which contains 2.2 percent alcohol, compared to 6 percent for other beers leading to a claim th
> Pedestrian field workers covered each block in the CBD area to obtain a physical inventory of the existing commercial base. Information, such as the company name, address, primary business activity, estimated frontage space, and other relevant informatio
> Congress passed a law setting up a National Do Not Call Registry. By law, salespeople cannot call numbers listed on this registry, but charities and researchers can still call these numbers. However, a recent Internet survey showed that less than 25 perc
> From his office window, Harvard Cooperative Society CEO, Jerry Murphy, can see customers shopping. They make their way through the narrow aisles of the crowded department store, picking up a sweatshirt here, trying on a baseball cap there, and checking o
> Vidal Sassoon, Inc. took legal action against Bristol-Myers over a series of TV commercials and print ads for a shampoo that had been named Body on Tap because of its beer content. The commercial featured a well-known high fashion model saying “In shampo
> Although interest groups express concerns about the impact of saltwater fishers on the fish population, no one really knows how many people fish for recreation or how many fish they catch. How could a marketer get an accurate sample? Some suggestions inc
> Frontier Golf Simulators is a new business that simulates the golf experience. Indoor golf simulators offer a chance to play some golf even in an urban setting. Simulators have the distinct advantage of being able to accurately show the player’s ball fli
> A retail consultant studies local Walmart stores to try to assess customer satisfaction with the shopping experience. She begins by examining the ACSI scores for retailers. In the late 2000s, Walmart corporate instituted a policy of increasing the width
> No-Charge Electronics owner Buzz Auphf wants to know how much product failure affects customer loyalty, so he hires a market researcher to conduct research to examine the question of “how do current customers react to different levels of product failure?
> Mazda Motor Europe wanted details about how consumers were using its website and whether finding information was easy. A research firm, Syzygy, used an eye-tracking device that uses infrared light rays to record what areas of a computer screen a user is
> What are the steps in interpreting multivariate dependent analysis techniques?
> The SAT and ACT college entrance exams once were completely multiple-choice, but both tests recently began including an essay portion (which is optional for the ACT). One survey suggests that some admission officers harbor doubts about the essay tests.
> After the September 11, 2001 terrorist attack, consumers showed a desire to tone down their consumer activities. At some point after a disaster, it is time to get back to business. Suppose you are approached by the owners of several delicatessens and ful
> Barton Boomer is a director of marketing research for a large research firm, and he has been asked to conduct research for a local restaurant chain, Eats-R-Wee. Mr. Big, VP-Operations for Eats-R-Wee, tells Barton that they are set to move across the bord
> Joe Brown, a 30-year veteran market researcher, is ready to enter the coffee shop business. He has some key research questions: • What markets in the United States hold the most promise for a new coffee shop? • What type of location is best for a coffee
> Describe the relationship between S and Σ with respect to SEM fit.
> Where do the DF originate for a SEM model?
> What do LISREL and SEM stand for? How does these terms relate to SEM in general?
> What is a moment in SEM terminology?
> What role does the matrix of standardized residuals produced by SEM play in assessing fit and drawing conclusions?
> What are composite factor scores?
> What does it mean for a variable to mediate the relationship between two other variables?
> What role does “distance” play in cluster analysis?
> How does one use a factor loading matrix (factor structure pattern) in interpreting factor analysis output?
> What is simple structure?
> Define K-means.
> If someone conducted one-way ANOVAs predicting the clustering variables using the cluster membership variable that was obtained from a cluster analysis procedure, what should the expectation of the results of those ANOVAs be?
> Explain what the likelihood value is used for in interpreting logistic regression results.
> How is cluster analysis different from factor analysis?
> What is a slopes test?
> What is a confusion matrix?
> Define dependence techniques and give examples of multivariate dependence techniques.
> What is a factor loading?
> What is MANOVA? What distinguishes MANCOVA from MANOVA?
> Explain the role of Wilks Lambda in MANOVA and MANCOVA.
> Explain the concept of a variate in multivariate data analysis.
> Think about variables that cause one student to perform better in a business class than another student. Propose a hypothesis that captures that relationship. Now, think of a third variable that might mediate that relationship. Propose a hypothesis for t
> What is the key characteristic identifying multivariate data analysis?
> What evidence would a researcher use to prove a negative relationship existed between X and Y?
> A researcher proposes the following hypothesis: Brand image is positively related to willingness to pay. After running a regression analysis with data on these variables, how would one know if the researcher’s hypothesis is supported?
> What does it mean for a hypotheses to be tautological?
> Major hurricanes in the Gulf of Mexico in 2005 damaged oil rigs and refineries, contributing to a spike in oil prices. Some felt those events were the long-expected trigger that would kill off demand for SUVs and other gas-guzzling vehicles, but they wer
> Describe the distinction between dependence and interdependence multivariate techniques. Provide examples of each.
> What are the characteristics of good (well-stated) hypotheses?
> Describe how CFA results helps provide evidence of construct validity.
> What is the difference between a fixed and free parameter?
> Why does the fact that SEM is a covariance technique reinforce its role as an explanatory tool?
> What is PLS and what are its key strengths and weaknesses?
> Define the terms exogenous construct and endogenous construct. How does one turn an exogenous construct into an endogenous construct in AMOS?
> Explain why SEM, originally conceptualized in the 1920s, took so long to catch on as a widely applied multivariate data analysis tool.
> What is PCA?
> Explain the concept of communality in factor analysis. How is it related to the concept of factor loadings?
> Define the term latent construct. How does factor analysis play a role in understanding latent constructs?
> What is the difference between a dimension and a segment? Describe examples of each.
> How does factor analysis help marketing research obtain greater parsimony?
> Why has cluster analysis become a more prominent tool in the big data era?
> What role does rotation play in factor analysis? What does it mean for a rotation to maintain a 90-degree angle?
> How does an analyst interpret the statistical significance and meaning of individual independent variables used in logistic regression?
> How is a cutting score used to determine group membership in discriminant analysis?
> How are MANOVA and discriminant analysis related?
> What types of research questions can be addressed by logistic regression?
> What is the primary difference in applications between discriminant analysis and logistic regression analysis?
> What is hierarchical regression analysis? How does it differ in approach from standard multiple regression?
> Define a moderation effect. Give a typical example. How do they account for context?
> Why is multivariate data analysis particularly useful in big data analysis?
> LMN Corporation, a real estate company, is planning to pay a dividend of $0.50 per share. Most of the investors in LMN are other corporations that pay 40% of their ordinary income and 28% of their capital gains as taxes. However, they are allowed to exem
> Southern Rail has just declared a dividend of $1. The average investor in Southern Rail faces an ordinary tax rate of 50%. Although the capital gains rate is also 50%, it is believed that the investor gets the advantage of deferring this tax until future
> Lube Oil, a chain of automobile service stations, reports net income of $100 million after depreciation of $50 million. The firm has capital expenditures of $80 mil- lion, and the noncash working capital increased from $25 to $40 million. Estimate the fi
> Assume in the previous question with Vernon Enterprises that the firm will earn a return on capital of 15% in perpetuity. a. Assume that the firm is in stable growth, growing 5% a year forever; estimate the firm’s reinvestment rate. b. Given th
> If Consolidated Power is priced at $50.00 with dividend, and its price falls to $46.50 when a dividend of $5.00 is paid, what is the implied marginal rate of personal taxes for its stockholders? Assume that the tax on capital gains is 40% of the person
> Assume you have all your wealth (a million dollars) invested in the Vanguard 500 index fund, and that you expect to earn an annual return of 12%, with a standard deviation in returns of 25%. Since you have become more risk averse, you decide to shift $
> Cello is a manufacturer of pianos. It earned an after-tax return on capital of 10% last year and expects to maintain this return next year. If the current year’s after-tax operating income is $100 million and the firm reinvests 50% of this income
> In the illustration in Problem 25, what would the tax rate on equity income need to be for debt to not have an effect on value?
> The following regression was run using all NYSE firms in 1995 YIELD = 0.0478 − 0.0157 BETA + 0.0000008 MKTCAP + 0.006797 DBTRATIO + 0.0002 ROE − 0.09 NCEX∕TA R 2 = 12.88% Where BETA = beta of the stock, MKTCAP = market value of equity
> You are the owner of a small hardware store, and you are considering opening a gardening store in a vacant area in the back of your present store. You estimate that it will cost you $50,000 to set up the new store and that you will generate $10,000 in
> You are stockholder in a SmallTech, a company that is planning to raise new equity. The stock is trading at $15 per share, and there are 1 million shares outstanding. The firm issues 500,000 rights to buy additional shares at $10 per share to its exist
> You are using the multifactor model to estimate the expected return on Emerson Electric and have derived the following estimates for the factor betas and risk premia: With a riskless rate of 6%, estimate the expected return on Emerson Electric. &
> National City, a bank holding company, reported earnings per share of $2.40 and paid dividends per share of $1.06. The earnings had grown 7.5% a year over the prior five years, and were expected to grow 6% a year in the long run. The stock had a beta o
