Question

A marketing research consultant hired by Coca-Cola is interested in determining if the proportion of customers who prefer Coke to other brands is over 50%. A random sample of 200 consumers was selected from the market under investigation, 55% favored Coca-Cola over other brands. Additional information is presented below. Sample proportion 0.55 Test Value 0.03518 Z test statistic 1.4213 p-value 0.07761 The market consultant has decided on One-tailed test in order to find whether the proportion is actually greater than 50%. Using a 5% significance level, can the marketing consultant conclude that the proportion of customers who prefer Coca-Cola exceeds 50%?

Answer 1

No. The marketing consultant can not conclude the result that the proportion of customer who prefer Coca-Cola exceeds 50%.

Step-by-step explanation:

The null hypothesis cannot be rejected at the 5% significant level or when the p-value is greater than 0.05. As, in the given scenario the computed p-value = 0.07761 > 0.05 which accept our null hypothesis and indicated that the proportion of customer who prefer Coca-Cola did not exceeds 50%.