1. ©The McGraw-Hill Companies, Inc., 2001Irwin/McGraw-Hill Donald Cooper Pamela Schindler Chapter 19 Business Research Methods

2. ©The McGraw-Hill Companies, Inc., 2001Irwin/McGraw-Hill Chapter 19 Multivariate Analysis: An Overview

3.  The McGraw-Hill Companies, Inc., 2001 Irwin/McGraw-Hill Click to edit Master title style Slide 19 - 1 Selecting a Multivariate Technique Dependency ädependent (criterion) variables and independent (predictor) variables are present Interdependency ävariables are interrelated without designating some dependent and others independent

4.  The McGraw-Hill Companies, Inc., 2001 Irwin/McGraw-Hill Click to edit Master title style Dependency Techniques Multiple regression Discriminant analysis Multivariate analysis of variance (MANOVA) Linear structural relationships (LISREL) Conjoint analysis Slide 19 - 2

5.  The McGraw-Hill Companies, Inc., 2001 Irwin/McGraw-Hill Click to edit Master title style Uses for Multiple Regression äPredict values for a criterion variable by developing a self-weighting estimating equation äControl for confounding variables to better evaluate the contribution of other variables äTest and explain causal theories äPath analysis Slide 19- 3

6.  The McGraw-Hill Companies, Inc., 2001 Irwin/McGraw-Hill Click to edit Master title style Uses for Discriminant Analysis äClassify persons or objects into various groups äAnalyze known groups to determine the relative influence of specific factors Slide 19 - 4

7.  The McGraw-Hill Companies, Inc., 2001 Irwin/McGraw-Hill Click to edit Master title style Use for MANOVA äAssess relationship between two or more dependent variables and classificatory variables or factors samples äExamples... measure differences between äemployees äcustomers ämanufactured items äproduction parts Slide 19 -5

8.  The McGraw-Hill Companies, Inc., 2001 Irwin/McGraw-Hill Click to edit Master title style Uses of LISREL äExplains causality among constructs not directly measured äTwo parts äMeasurement model äStructural Equation model Slide 19 - 6

9.  The McGraw-Hill Companies, Inc., 2001 Irwin/McGraw-Hill Click to edit Master title style Two Models of LISREL äMeasurement äused to relate the observed, recorded, or measured variables to the latent variables (constructs) äStructural equation äshows the causal relationships among the latent variables Slide 19 - 7

10.  The McGraw-Hill Companies, Inc., 2001 Irwin/McGraw-Hill Click to edit Master title style Use for Conjoint Analysis äMarket research äProduct development Slide 19 - 8

11.  The McGraw-Hill Companies, Inc., 2001 Irwin/McGraw-Hill Click to edit Master title style Interdependency Techniques Factor analysis Cluster analysis Multidimensional Scaling (MDS) Slide 19 - 9

12.  The McGraw-Hill Companies, Inc., 2001 Irwin/McGraw-Hill Click to edit Master title style Interdependency Techniques Factor Analysis äComputational techniques that reduce variables to a manageable number äconstruction of new set of variables based on relationships in the correlation matrix Principal components analysis Communalities Rotation äMeasurement statistics Slide 19 - 10

13.  The McGraw-Hill Companies, Inc., 2001 Irwin/McGraw-Hill Click to edit Master title style Interdependency Techniques Factor analysis Cluster analysis Slide 19 - 11

14.  The McGraw-Hill Companies, Inc., 2001 Irwin/McGraw-Hill Click to edit Master title style Steps in Cluster Analysis äSelect sample to be clustered äDefine measurement variables äCompute similarities among the entities through correlation, Euclidean distances, and other techniques äSelect mutually exclusive clusters äCompare and validate the clusters Slide 19 - 12

15.  The McGraw-Hill Companies, Inc., 2001 Irwin/McGraw-Hill Click to edit Master title style Interdependency Techniques Factor analysis Cluster analysis Multidimensional Scaling (MDS) Slide 19 - 13

16.  The McGraw-Hill Companies, Inc., 2001 Irwin/McGraw-Hill Click to edit Master title style Multidimensional Scaling äCreates a special description of a respondent’s perception about a product, service, or other object of interest Slide 19 - 14