PUNE INSTITUTE OF BUSINESS MANAGEMENT
MARKETING RESEARCH
DR. Prantosh Banerjee
GROUP NO: 09
2023-2208-0001-0004 Rajshekhar Singh
2023-0809-0001-0010 Rishiraj Swami
2023-0909-0001-0001 Laveena Rupani
2023-1208-0001-0008 Phijam Bebeto Singh
2023-1208-0001-0010 Yumkhaibam Swami Singh
2023-2208-0001-0011 Sneha Mohis
CHAPTER : 16
VARIANCE AND COVARIANCE ANALYSIS.
Analysis of variance (ANOVA): examining the differences between
means for two or more populations.
Factors: categorical independent variables. The independent variables
must all be categorical (non-metric) to use ANOVA.
Treatment: in ANOVA, a particular combination of factor levels or
categories.
One-way analysis of variance: ANOVA technique with only one factor.
N-way analysis of variance: ANOVA model with two or more factors
involved.
Analysis of covariance (ANCOVA): advanced analysis of variance
procedure where the effects of one or more metric-scaled extraneous
variables are removed from the dependent variable before using the
ANOVA.
Covariate: metric independent variable used in ANCOVA.
Statistics in One-Way Analysis of Variance:
Eta² (ŋ²): the strength of the effect of X (independent) on Y (dependent).
The value varies between 0 and 1.
F statistic: the null hypothesis that the category means are equal in the
population is tested by an F statistic based on the ratio of mean square
related to X and mean square related to error.
Mean square: sum of squares divided by the appropriate degrees of
freedom.
SS between/SS x: variation in Y related to the variation in the means of
the categories of X. It represents variation between the categories of X or
the portion of the sum of squares in Y related to X.
SS within/SS error: variation in Y due to the variation within each of the
categories of X. This variation is not accounted for by X.
SSy: total variation in Y.
Conducting One-Way ANOVA:
Identify the dependent and independent variables.
Decompose the total variation.
Decomposition of the total variation: in one-way ANOVA, separation
of the variation observed in the dependent variable into the variation due
to the independent variables + the variation due to error.
3.Measure the effects.
ŋ² = SSx/Ssy (SSy – SSerror)/Ssy
Test the significance:
Formule 8 (zie bijlage)
0UJInterpret the results.
The salient assumptions in ANOVA can be summarized in:
Ordinarily, the categories of the independent variables are assumed to be
fixed. Inferences are made only to the specific categories considered. This
is fixed effects model.
In the random-effects model the categories or treatments are considered to
be random samples from a universe of treatments.
Mixed-effects model results if some treatments are considered fixed and
others random.
The error term is normally distributed, with a mean of zero and a constant
variable. The error is not related to any of the categories of X. The data
can be transformed to satisfy the assumption of normality or equal
variances.
The error terms are uncorrelated.
N-Way Analysis of Variance.
Interaction: the relationship between two variables, an interaction occurs
if the effect of X1 depends on the level of X2, and vice versa.
Multiple ŋ²: strength of the joint effect of two (or more) factors, or the
overall effect.
Significance of the overall effect: test that some differences exist
between some of the treatment groups.
Formule 9 (zie bijlage)
Significance of the interaction effect: test of the significance of the
interaction between two or more independent variables.
Significance of the main effect: test of the significance of the main
effect for each individual factor.
Analysis of Covariance (ANCOVA).
When examining the differences in the mean values of the dependent
variable related to the effect of the controlled independent variable, it is
often necessary to take into account the influence of uncontrolled
independent variables. So then ANCOVA used.
Interactions.
Ordinal interactions: interaction where the rank order of the effects
attributable to one factor does not change across the levels of the second
factor.
Disordinal interactions: the change in the rank order of the effects of
one factor across the levels of another.
The most commonly used measure in ANCOVA is:
Omega squared (ω²): measure indicating the proportion of the variation
in the dependent variable explained by a particular independent variable
or factor.
Multiple comparisons.
Contrasts: in ANOVA a method to examine differences between two or
more means of the treatment groups.
A priori contrasts: contrasts that are determined before using the
analysis, based on the researcher’s theoretical framework.
A posteriori contrasts: contrasts made after the analysis. These are
commonly multiple comparison tests.
Multiple comparison test: enable the researcher to construct generalized
confidence intervals that can be used to make pairwise comparisons of all
treatment means.
Repeated measures analysis of variance: ANCOVA technique used
when respondents are exposed to more than one treatment condition and
repeated measurements are obtained.
Non-metric Analysis of Variance.
Non-metric analysis of variance: ANOVA technique to examine the
difference in the central tendencies of more than two groups when the
dependent variable is measured on an ordinal scale.
K-sample median test: non-parametric test used to examine differences
between groups when the dependent variable is measured on an ordinal
scale.
Kruskal-Wallis one-way analysis of variance: non-metric ANCOVA
test used to rank value of each case, not only its location relative to the
median.
Multivariate Analysis of Variance.
Multivariate analysis of variance (MANOVA): ANOVA technique
using two or more metric dependent variables.
