Introduction to Statistics BUS172 Introduction to Statistics

What is Statistics? Definition: Statistics is the study of how to collect, organize, analyze, and interpret numerical information from data. Two types of Statistics: 1) Descriptive Statistics: collection, organization, presentation of data 2) Inferential Statistics: performing hypothesis testing, using probabilities, determining relationships between variables, making predictions.

There are FIVE major reasons to study statistics! Why Study Statistics? “Why do I need to learn statistics?” “What future benefit can I get from a statistics class?” There are FIVE major reasons to study statistics!

EFFECTIVELY CONDUCT RESEARCH Reason # 1 EFFECTIVELY CONDUCT RESEARCH Without statistics, it would be very difficult to make decisions based on the data collected. For example, let’s say you want to find out whether it would be more profitable to invest in Stock A or Stock B. Without statistics, there is no way of making an EDUCATED decisions with two possibilities Statistics gives us the knowledge of PROBABILITY and INFERENTIAL STATISTICS

“But I NEVER plan to be involved in any research!!!” You may never plan to be involved in research, but it may find its way into your life! Several undergraduate level classes require you to conduct research (for e.g., finance/investment projects or market research) Masters or doctoral (PhD) degree Jobs in Finance/Marketing/Stock Markets/Insurance may require you to conduct research and deal with numerical values For example, you want to find out the birth/death rates, employment, earning, accident rates – these are all statistical issues! MARKET RESEARCH PRODUCT PLANNING FORECASTING ANNUAL REPORTS

DEVELOP CRITICAL AND ANALYTIC THINKING SKILLS Reason # 2 DEVELOP CRITICAL AND ANALYTIC THINKING SKILLS Statistics will help you to develop and use logical thinking abilities and numerical reasoning

TO BE AN INFORMED CONSUMER Reason # 3 TO BE AN INFORMED CONSUMER Like any other tool, statistics can be used or misused (misleading numbers, for example) If you know some basic statistical concepts, you will be in a better position to evaluate the information you have been given

TO MAKE INFORMED DECISIONS IN BUSINESS AND PUBLIC POLICY Reason # 4 TO MAKE INFORMED DECISIONS IN BUSINESS AND PUBLIC POLICY Quantitative reasoning is necessary for making important decisions in business and public policy From medical studies to research experiments, from government agencies to private firms, data are being collected everywhere and all the time. Knowledge in statistics provides you with the necessary tools to extract information from the wide set of data. Businesses can perform forecasting and predictions to help with decision making

Reason # 5 Career Prospects People with expertise in statistics are in demand in all sectors of society, ranging from government, to business and industry, to universities and research labs. You can be involved with the shaping of public policy in government, the planning of market strategy in business, or the management of investment portfolios in finance. Careers in statistics generally can be quite lucrative.

Useful YouTube links VGBusiness: Amazing Statistics Kzenias: https://www.youtube.com/watch?v=oZbH-JxZ3Y8 C1: WHAT IS STATISTICS? https://www.youtube.com/user/SEEK0HELP0HERE/videos A Day Without Statistics: https://www.youtube.com/watch?v=17SybcrJMXQ Khanacademy: https://www.youtube.com/watch?v=uhxtUt_-GyM&list=PL1328115D3D8A2566 Qualitygurus: https://www.youtube.com/watch?v=k5Ussy1j0I4&spfreload=5 Business statistics- chapter 1- jim vernon StatisticsLessons: https://www.youtube.com/watch?v=XV2Ar4gl9Kc Perdisco.tv: https://www.youtube.com/watch?v=YHXadaW_lso