B. Introductory Business Statistics and Statistical Modeling

Learning outcomes:

  • Businesses are increasingly becoming complex due to changing dynamics. Knowledge and understanding of statistical methods and tools prove useful for analyzing business problems and result in effective management decision leading to business success.
  • Based on a data-analytic approach, the course aims at cultivating in students logical reasoning and critical thinking necessary for interpreting statistical data for proper decision making. The focus of the Course is application of statistical methods and tools to problem solving rather than on developing statistical methods.

Course Objectives:

  • To develop statistical thinking in students.
  • To provide exposure of statistical ideas and methods to students.
  • To equip the students with tools and techniques for real life applications
  • To acquaint the students with skills in structuring and analyzing business problems statistically.

Brief Course Contents

Slicing and Dicing Marketing data with Pivot tables; Discovering relationships among marketing variables; Generating marketing scenarios of competing/substitute products; Predicting future demand for a product under uncertain conditions; Developing Marketing and Sales models through simulating external environment; Modeling Customer Loyalty; Estimating value of a free maintenance agreement; Price Bundling and optimizing; RFM Analysis and Optimizing Direct Mail Campaigns; Catalog marketing: Making sure that expenses are paying off in sales; Developing a consumption estimate model for a consumable product; Factors related to sales of a product, developing their interrelationship and predicting sales; Interpreting pricing structures; Forecasting periodic product sales and demand over time; Bank Direct Marketing: Which customers to target for a marketing campaign; MANOVA;

Projects: Students will have to complete one of the following two projects

  • You are provided with historical sales data for 45 Walmart stores located in different regions. Each store contains a number of departments, and you are tasked with predicting the department-wide sales for each store.
  • Bike sharing systems are new generation of traditional bike rentals where whole process from membership, rental and return back has become automatic. Through these systems, user is able to easily rent a bike from a particular position and return back at another position. Today, there exists great interest in these systems due to their important role in traffic, environmental and health issues. Problem is to forecast use of city bike sharing system.