Company’s performance
Company’s performance
A leading research firm interviewed with Starbuck Café top management to inquire about the restaurant’s success. The performance of Starbuck Café was based on the management commitment, effective training of their crews and stakeholder pressure. The research firm has collected data from 300 Starbuck Café employees in Al Ain, Abu Dhabi and Dubai.
- a) The table below summarizes the results of one of the bivariate techniques used in this study:
| Table 3: Correlation Analysis | ||||
| Starbuck Performance | Management Commitment | Effective Training | Stakeholder Pressure | |
| Starbuck Performance | 1.00 | |||
| Management Commitment | 0.64 | 1.00 | ||
| Effective Training | -0.82 | 0.03 | 1.00 | |
| Stakeholder Pressure | 0.78 | 0.01 | 0.40 | 1.00 |
Comment on the significant correlation and which variable appear to be related to each other?
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- b) ANOVA was used to assess whether any differences in the three branches of Starbuck Café:
| Table 4: ANOVA: Single Factor (Alpha 0.05) | ||||||
| Groups | Count | Sum | Average | Variance | ||
| Al Ain | 100 | 175.9 | 3.51 | 0.23 | ||
| Abu Dhabi | 100 | 179.6 | 3.59 | 0.15 | ||
| Dubai | 100 | 174.9 | 3.49 | 0.20 | ||
| ANOVA | ||||||
| Source of Variation | SS | df | MS | F | P-value | F crit |
| Between Groups | 0.25 | 2 | 0.125 | 7.449 | 0.009 | 3.05 |
| Within Groups | 40.97 | 147 | 0.278 | |||
| Total | 41.22 | 149 | ||||
State the hypothesis, and interpret the results of the test?
1) Null Hypothesis
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3) Result
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- c) Why have the researchers not used t-test for the test above?
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To test the influence of the three independent variables, multiple linear regression was conducted:
| Table 5: Multiple Linear Regression (Alpha = 0.05) | |||||
| Regression Statistics | |||||
| Multiple R | 0.77 | ||||
| R Square | 0.55 | ||||
| Adjusted R Square | 0.73 | ||||
| Observations | 150.00 | ||||
| ANOVA | |||||
| df | SS | MS | F | Significance F | |
| Regression | 2 | 1.87 | 0.92 | 4.23 | 0.004 |
| Residual | 147 | 39.3 | 0.26 | ||
| Total | 149 | 41.2 | |||
| Coefficients | Standard Error | t Stat | P-value | ||
| Intercept | 4.75 | 9.19 | 8.58 | 0.0002 | |
| Management Commitment | 3.28 | 2.77 | 1.16 | 0.0210 | |
| Effective Training | 2.45 | 3.50 | 0.17 | 0.0010 | |
| Stakeholder Pressure | -1.47 | 4.54 | -0.36 | 0.1303 | |
- d) Use Table 3 to develop and interpret the regression equation
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- e) Comment on the quality of the model
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