**Phase Three: James, Amanda, and Katie**

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Introduction:

On the first phase of this project, the social media habits of a sample of 150 Flagler College students from fall semester 2016 was explored. In the first phase, descriptive statistics was used to answer summary questions, such as “Do you think shopping online is easier and less time consuming than shopping at a store?” and “Do you think shopping online is bad for local business?” In the second phase, the data was analyzed to answer three questions regarding the association between three different pairs of data in the sample.

The three questions were:

1. Are you male or female?

2. In the future do you think will be obsolete, and people will do all their shopping online?

3. How many times a year do you go shopping in stores for pleasure?

On this phase of the report, inferential statistics will be used to answer two questions regarding the population of Flagler College students based on the sample of 150 Flagler College students. To answer each question, a hypothesis test will be run. Then a corresponding confidence interval will be created to answer a related question.

The question is “Approximately how many times per month do you order something online that must be shipped to your house?”

QUESTION: Approximately how many times per month do you order something online that must be shipped to your house?

One Sample T Hypothesis Test

According to fool.com, 50% of all Amazon Prime members order something once a week. So they on average order 4 things per month. In the sample of 150 Flagler College students, the reported mean online orders per month was 4.08 orders per month. The sample size, mean and standard deviation for the number of orders online per month for the sample surveyed are given below.

Result 1: Result 4: Online orders per month Summary Stats [Info]

The sample results will be used to test the claim that the population of Flagler College students order more than 4 things online per month, at a level of significance of 0.05

Step 1: Hypothesize (in words and symbols)

Null: The population mean of how many times a month that something was ordered online that had to be sent to a house.

Alternate: The population mean of times for how many times something was ordered online and shipped to a house for all Flagler College students is more than 4 hours.

H0: µ = 4

HA: µ > 4

Based on the alternate hypothesis, this is a one-sided test.

Step 2: Prepare

1. Random Sampleand Independence – Again, probably not (but we hope it is representative). However, to proceed, we will assume it is. Yes, the student responses were taken in such a way that their responses were independent of each other.

2. Large Sample – There are 150 students in the sample. So, n = 150 which is greater than 25. Hence, the sample is large.

Step 3: Compute

Result 2: Result 5: One sample T summary hypothesis test [Info]

Step 4: Interpret

Since the p-value (.432) is greater than the level of significance of 0.05, the null hypothesis can not be rejected. Therefore, there is not sufficient evidence to support the claim that the population mean online orders per month for all Flagler College students is more than 4 orders.

One Sample T Confidence Interval

The hypothesis test does not give us sufficient evidence that the sample mean for online orders per month for Flagler College students is greater than the mean online orders per month for other U. S. citizens. Therefore, a confidence interval will be created to answer a related question:

What is the mean time spent on social media for the population of all Flagler College students?

Since a one-sided test with a level of significance of 0.05 was run, a 90% confidence interval will be created.

Step 1: Prepare

1. Random Sampleand Independence – Again, probably not (but we hope it is representative). However, to proceed, we will assume it is. Yes, the student responses were taken in such a way that their responses were independent of each other.

2. Large Sample – There are 150 students in the sample. So, n = 150 which is greater than 25. Hence, the sample is large.

3. Big Population – Since 10n = (10)(150) = 1500 < 2500, the population is big. Recall, Flagler College has a population of appropriately 2500 students.

Step 2: Compute

Result 3: Result 6: One sample T summary confidence interval [Info]

Step 3: Interpret

We are 90% confident that the mean online order per month for all Flagler College students is between 3.3 orders and 4.9 orders. This mean is about the same as the mean for all U. S. citizens.

Conclusion:

Society has embraced online shopping and the consequences that it has had on our local economy is an important topic that is truly not completely understood. In this report, the sample provided evidence that there is statistical evidence that the mean number of online orders per month for all Flagler College students is between 3.3 and 4.9 order which is about the same as the mean orders for all U. S. citizens.

These results regarding the amount of online orders per month do not surprise me. Since this data is self-reported, it is important to understand the bias that may exist in the numerical variable time as students simply reported an estimate to the number of online orders they make per month.

The underlying purpose of online shopping is to help with convenience and availability in the shopping world. Hence, it is interesting that the majority of students feel it is bad for local business. Maybe making it easier to shop local would encourage people to not shop online. If they made a delivery service for people who are unable to leave and shop would encourage them to use that instead of amazon.

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