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Multivariate Data Analysis Chapter 1 - Introduction.

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Presentation on theme: "Multivariate Data Analysis Chapter 1 - Introduction."— Presentation transcript:

1 Multivariate Data Analysis Chapter 1 - Introduction

2 Chapter 1 What is Multivariate Analysis? Impact of the Computer Revolution Multivariate Analysis Defined

3 Some Basic Concepts of Multivariate Analysis The Variate (a linear combination of variables with weights) Measurement Scale  Nonmetric Measurement Scales Nominal and ordinal scales  Metric Measurement Scales Interval and ration scales Measurement Error and Multivariate Measurement  Validity and reliability Statistical Significance Versus Statistical Power  Type I error (alpha)  Type II error (beta)  Power: Effect size, Alpha, Sample size

4 Chapter 1 Types of Multivariate Techniques Principal Components and Common Factor Analysis Multiple Regression Multiple Discriminant Analysis Multivariate Analysis of Variance Conjoint Analysis Canonical Correlation

5 Chapter 1 Types of Multivariate Techniques Cluster Analysis Multidimensional Scaling Correspondence Analysis Linear Probability Models Structural Equation Modeling Other Emerging Multivariate Techniques

6 Guidelines for Multivariate Analysis and Interpretation Establish Practical Significance as well as Statistical Significance Sample Size Affects All Results Know Your Data  Influences of outliners  Missing values  Violations of assumptions

7 Guidelines for Multivariate Analysis and Interpretation (Cont.) Strive for Model Parsimony  Multicollinearity Look at Your Errors Validate Your Results  Splitting the sample  Employing a bootstraping technique  Gathering a separate sample

8 A structured Approach to Multivariate Model Building Stage 1: Define the Research Problem, Objectives, and Multivariate Techniques to Be Used Stage 2: Develop the Analysis Plan Stage 3: Evaluate the Assumptions Underlying the Multivariate Technique Stage 4: Estimate the Multivariate Model and Assess Overall Model Fit Stage 5: Interpret the Variate(s) Stage 6: Validate the Multivariate Model

9 Databases Primary Database Perceptions of HATCO Purchase Outcomes Purchaser Characteristics Other Databases


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