In which of the following situations could a research analyst use discriminant analysis?
A) A real estate development company wants to estimate the probable sales of construction services on the basis of marriage rates, population movement in the region, and interest rates on construction loans
B) A psychologist wants to understand the underlying personality factors associated with materialism in consumers
C) An airline wants to classify its customers into groups based on their relative profitability
D) The brand manager for Tide laundry detergent wants to understand how consumers perceive Tide relative to other laundry detergents
E) A retail store wants to determine if there are differences in shopping frequency associated with gender

Question

Quizplus · Accepted Answer

Discriminant analysis can be used to classify objects into groups based on a set of predictors. In this case, the airline wants to classify customers into groups based on their profitability, which is a classification problem that can be addressed using discriminant analysis. The other scenarios described could be addressed using different statistical techniques.

In Which of the Following Situations Could a Research Analyst