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Note: this analysis was performed using the open source software R and Rstudio.

Objective

The objective of this tutorial is to explain how bivariate analysis works.This analysis can be used by marketers to make decisions about their pricing strategies, advertising strategies, and promotion stratgies among others.

Bivariate analysis is one of the simplest forms of statistical analysis. It is generally used to find out if there is a relationship between two sets of values (or two variables). That said, it usually involves the variables X and Y (statisticshowto.com).

Dataset - We will be using two online datasets available in R for this tutorial

plot(y3 ~ x2, data = anscombe, pch = 16)
abline(lm(y3 ~ x3, anscombe), col = "grey20")

Question 1:is there a relationship between x and y? If so, what does the relationship look like?

Yes, there is a positive relationship.

library(readr)
library(readr)
ad_sales <- read_csv('https://raw.githubusercontent.com/utjimmyx/regression/master/advertising.csv')
## New names:
## Rows: 200 Columns: 6
## ── Column specification
## ──────────────────────────────────────────────────────── Delimiter: "," dbl
## (6): ...1, X1, TV, radio, newspaper, sales
## ℹ Use `spec()` to retrieve the full column specification for this data. ℹ
## Specify the column types or set `show_col_types = FALSE` to quiet this message.
## • `` -> `...1`
plot(sales ~ TV, data = ad_sales)

Question 2:Is there a relationship between TV advertising and Sales? If so, what does the relationship look like?

Yes, it is a positive relationship between TV advertising and Sales.

Question 3:Can you plot the relationship between radio advertising and Sales? If so, what does the relationship look like?

plot(sales ~ radio, data = ad_sales, 
     pch = 16, col = "darkgreen",
     main = "Relationship between Radio Advertising and Sales",
     xlab = "Radio Advertising Spend", 
     ylab = "Sales")
abline(lm(sales ~ radio, data = ad_sales), col = "red", lwd = 2)

The relationship looks positive between Radio Advertising and Sales.

###Question 4: Are there any other kinds of exploratory analysis you can perform using R? If so, please include your analysis and results in your final report.

library(ggplot2)
ggplot(data = ad_sales, aes(x=TV)) +
  geom_histogram(binwidth=10, fill="gray")

##Question 5: Visit the avocado dataset available in week 2, raise one question you could possibly answer with the data, and explain how a stakeholder could benefit from your proposed analysis

##What additional data would improve this analysis? would help a stakeholder from the proposed analysis because they have to consider the future.

References

Bivariate Analysis Definition & Example https://www.statisticshowto.com/bivariate-analysis/#:~:text=Bivariate%20analysis%20means%20the%20analysis,the%20variables%20X%20and%20Y.

https://www.sciencedirect.com/topics/mathematics/bivariate-data