Test of significance—

As I took a sample of 200 people,in a sample of 125 people from a Charbagh of

Lucknow city 80 people said advertisement strategies of Reliance have impact on its
market share and in other sample of 75 people from a alambag area of lucknow city ,65
people said yes advertisement strategies of hul have impact on Increase market share
now I want to analyse ,Do the data indicate the two area of same city are significant
different with respect to impact of advertisement strategy on market share. .

Hypothesis-
n1=125, p1=80/125= 0.64

n2=75, p2=65/75 = 0.86

1—Null Hypothesis—There is no significance difference

H0: p1=p2

Alternative Hypothesis:

H1: p1≠ p2→A two tailed test

Computation of test static →

Sample mean proportion of the two sample proportion=

P =n1*p1 +n2 *p2/n1+n2

P = 125 * 0.64 + 75 * 0.86/135 +75

P= 80 +75 /200

P = 155 /200 = 0.75

3—Standard error of difference-----

S.E : (P1 – p2) = √ P (1-P) +P(1-P)Type equation here.
 =√ (.75 * 0.25/125) + (0.75 * 0.25/75)

= 0.063

Test static:
Z= P1-P2/S.E (p1 – P2)

= 0.64 – 0.86/0.063

= -3.49

4- Leval of significance : 0.05

5- value of Z = 1.96
Decision value Z = -3.49 = 3.49 > 1.96
That is the null hypothesis Ho is rejected →
Advertising strategy have impact on increase
market share.

Test of significance-----

@---A ITC company was distributed the vivel brand soap through aLarge number of
retail shop.Before the heavy marketing compaign the Mean sales per shop was 140
dozens.But after heavy marketing compaign a sample of 26 shop is taken and the mean
sales is 147 dozen with standard deviation 16.Is it have impact of marketing on sales of
ITC soap.
Solution---

N =26 → it is a case of small sample

Also Xˉ = 147, S = 16

Varience (v)=degree ofv freedom=26-1=25

1-null hypothesis –There is no significance difference between the sample mean and
population mean. →the marketing is not effective

Ie :μ = 140

Alternative hypothesis: H1 : μ>140→Single tailed test →marketing is effective and it has

impact on product sales.

2-computation of test static----:

Standard error of mean:= s/√n-1=16/√(26-1) = 3.2

Test static :t=Xˉ -μ /S.E (xˉ) =147-140 /3.2 = 2.19

3 –Level of significance .Let us take σ = 0.05

4 =Critical value .t0.05,25 =1.708 for single tailed

5 = Decision . The calculated value of t (=2.19)>t0.05,25(=1.708)→

The null hypothesis is rejected →the marketing is effective.