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Part I)

Study the RestaurantGrades case and then answer the following question (1-3):

1. One of the key questions in the RG case is whether the New Ad is better than the Current Ad

in term of various performance metrics. Do the following t-Tests. Copy and paste the Excel

output and then interpret the result¹.

1-1) t-Test of pageviews between Current Ad and New Ad. Is New Ad statistically

significantly better than Current Ad in generating pageviews?

2) t-Test of calls between Current Ad and New Ad. Is New Ad statistically significantly

better than Current Ad in generating calls?

3) t-Test of reservations between Current Ad and New Ad. Is New Ad statistically

significantly better than Current Ad in generating reservations?

2. Would the effects of two ad designs vary across restaurant types? In other words, would one

ad design (say Current Ad) be better to generate pageviews for chain restaurants, while the

other ad design (say New Ad) be better to generate pageviews for independent restaurants? A

more detailed t-Tests can answer this question. Do the following t-Tests. Copy and paste the

Excel output and then interpret the result.

2-1) t-Test of pageviews between Current Ad and New Ad for chain stores. Is New Ad

statistically significantly better than Current Ad in in generating pageviews for chain stores?/n2-2) t-Test of pageviews between Current Ad and New Ad for independent stores. Is New Ad

statistically significantly better than Current Ad in in generating pageviews?

¹ You can use any available statistical software for these t-tests.

1

2-3) t-Test of reservations between Current Ad and New Ad for chain stores. Is New Ad

statistically significantly better than Current Ad in in generating reservation for chain stores?

2-4) t-Test of reservations between Current Ad and New Ad for independent stores. Is New

Ad statistically significantly better than Current Ad in in generating reservations?

3. (From Results to Decisions) Based on the experiment and test results, which ad design (No

Ad, Current Ad, New Ad) would you recommend to Restaruant Grades? Would you

recommend different ad designs for different types of restaurants? Why or why not?

Fig: 1

Fig: 2