Statistics in Business
Trudy A. Linden-Craft
QNT 351
January 14, 2013
Don Lifke
Statistics in Business
Statistics is defined as the science that involves the application of quantitative principles needed to collect, describe, interpret, and present mathematical data, in addition to the collection of business data used for marketing practices. Businesses commonly use statistics on daily operational tasks and are incorporated in its planning processes from data that has been collected via developmental surveys and questionnaires.
Statistics Types and Levels
Within business, statistics is a general term used to describe collected data; however, two types of statistics, descriptive and inferential, also exist. McClave, Benson, and Sincich (2011) explain that “descriptive statistics utilizes numerical and graphical methods to look for patterns in a data set, to summarize the information revealed in a data set, and to present the information in a convenient form and inferential statistics utilizes sample data to make estimates, decisions, predictions, or other generalizations about a larger set of data.” In addition to the fore-mentioned statistic types, different levels of measurement in statistics also exist contributing to data results. Statistic levels of measurement consist of nominal data, ordinal data, interval data, and ratio data. Because each levels of measurement reach different results, they serve a different function in the research and analysis process; therefore, all researchers do not deemed it necessary to use of each measurement to achieve the a specific result.
Role of Statistics
In business, the decision-making process is very important linking the use of statistics top priority for many companies. Using statistics allows management to find assurance when tackling uncertainties regardless of the plethora of accessible data, enable the ability to make effective decisions, and provide leadership stability that staff relies on....