Statistics is the study of the collection, analysis, interpretation, presentation, and organization of data. Why then do we use statistics in business? Well, it can help us in the understanding of trends in specific markets that we are exploring and to help us to extrapolate trends into the future so that we can do prediction. The usually topics in business statistics are
- Standard deviation
- Z Statistics
- T Statistics
- Hypothesis Testing
- One tailed Test
- Two tailed tests
- Paired Tests
- Confidence Intervals
- Chi Square
- Liner Regression and Correlation
Our statistics tuition will be structured so that you not only know how to calculate but to understand what the different test is all about and the reason you are doing these tests. In statistics, it is important for you to understand as different tests are using for situations.
It is usually asked among working adults how statistics can be used in the real working situation. Let’s give a simple scenario. Suppose you are working for a tourism company and would like to know the average spending power of a country, let’s name it country A. You will do up a survey to gather all data of the income of the citizen sampled. Take not that I am not talking about all of the citizens but only a small sample. (You don’t have the time to do a census!) You then calculate the average income from that sample. This average is a very simple statistics which you just obtained.
Then, you can do other tests to the data you obtained and find out how true is this average. This is what the rest of the topics of hypothesis testing is all about. In a nutshell, it strengthens your understanding and set your reliability on the set of data which you obtain, which then you can rely on it and make a good business decision upon it. This, my folks, is statistics.