setwd("C:/Users/Dell/Downloads/Sameer Mathur")
Store24.df<-read.csv("Store24.csv")
attach(Store24.df)
View(Store24.df)

Use R to measure the mean and standard deviation of Profit.

mean(Profit)
## [1] 276313.6
sd(Profit)
## [1] 89404.08

Use R to measure the mean and standard deviation of MTenure.

mean(MTenure)
## [1] 45.29644
sd(MTenure)
## [1] 57.67155

Use R to measure the mean and standard deviation of CTenure.

mean(CTenure)
## [1] 13.9315
sd(CTenure)
## [1] 17.69752

Use R to print the {StoreID, Sales, Profit, MTenure, CTenure} of the top 10 most profitable stores.

attach(Store24.df)
## The following objects are masked from Store24.df (pos = 3):
## 
##     Comp, CrewSkill, CTenure, Hours24, MgrSkill, MTenure,
##     PedCount, Pop, Profit, Res, Sales, ServQual, store, Visibility
newdata<-Store24.df[order(-Store24.df$Profit),]
newdata[1:10,1:5]
##    store   Sales Profit   MTenure    CTenure
## 74    74 1782957 518998 171.09720  29.519510
## 7      7 1809256 476355  62.53080   7.326488
## 9      9 2113089 474725 108.99350   6.061602
## 6      6 1703140 469050 149.93590  11.351130
## 44    44 1807740 439781 182.23640 114.151900
## 2      2 1619874 424007  86.22219   6.636550
## 45    45 1602362 410149  47.64565   9.166325
## 18    18 1704826 394039 239.96980  33.774130
## 11    11 1583446 389886  44.81977   2.036961
## 47    47 1665657 387853  12.84790   6.636550

Use R to print the {StoreID, Sales, Profit, MTenure, CTenure} of the bottom 10 least profitable stores.

attach(Store24.df)
## The following objects are masked from Store24.df (pos = 3):
## 
##     Comp, CrewSkill, CTenure, Hours24, MgrSkill, MTenure,
##     PedCount, Pop, Profit, Res, Sales, ServQual, store, Visibility
## The following objects are masked from Store24.df (pos = 4):
## 
##     Comp, CrewSkill, CTenure, Hours24, MgrSkill, MTenure,
##     PedCount, Pop, Profit, Res, Sales, ServQual, store, Visibility
newdata<-Store24.df[order(Store24.df$Profit),]
newdata[1:10,1:5]
##    store   Sales Profit     MTenure   CTenure
## 57    57  699306 122180  24.3485700  2.956879
## 66    66  879581 146058 115.2039000  3.876797
## 41    41  744211 147327  14.9180200 11.926080
## 55    55  925744 147672   6.6703910 18.365500
## 32    32  828918 149033  36.0792600  6.636550
## 13    13  857843 152513   0.6571813  1.577002
## 54    54  811190 159792   6.6703910  3.876797
## 52    52 1073008 169201  24.1185600  3.416838
## 61    61  716589 177046  21.8184200 13.305950
## 37    37 1202917 187765  23.1985000  1.347023

Use R to draw a scatter plot of Profit vs. MTenure.

plot(y=Profit,x=MTenure,main="Profit vs. MTenure",col="black")
abline(lm(Store24.df$Profit~Store24.df$MTenure),col="red",lty="dotted")

Use R to draw a scatter plot of Profit vs. CTenure.

plot(y=Profit,x=CTenure,main="Profit vs. CTenure",col="black")
abline(lm(Store24.df$Profit~Store24.df$CTenure),col="red",lty="dotted")

Use R to construct a Correlation Matrix for all the variables in the dataset. (Display the numbers up to 2 Decimal places)

round(cor(Store24.df),2)
##            store Sales Profit MTenure CTenure   Pop  Comp Visibility
## store       1.00 -0.23  -0.20   -0.06    0.02 -0.29  0.03      -0.03
## Sales      -0.23  1.00   0.92    0.45    0.25  0.40 -0.24       0.13
## Profit     -0.20  0.92   1.00    0.44    0.26  0.43 -0.33       0.14
## MTenure    -0.06  0.45   0.44    1.00    0.24 -0.06  0.18       0.16
## CTenure     0.02  0.25   0.26    0.24    1.00  0.00 -0.07       0.07
## Pop        -0.29  0.40   0.43   -0.06    0.00  1.00 -0.27      -0.05
## Comp        0.03 -0.24  -0.33    0.18   -0.07 -0.27  1.00       0.03
## Visibility -0.03  0.13   0.14    0.16    0.07 -0.05  0.03       1.00
## PedCount   -0.22  0.42   0.45    0.06   -0.08  0.61 -0.15      -0.14
## Res        -0.03 -0.17  -0.16   -0.06   -0.34 -0.24  0.22       0.02
## Hours24     0.03  0.06  -0.03   -0.17    0.07 -0.22  0.13       0.05
## CrewSkill   0.05  0.16   0.16    0.10    0.26  0.28 -0.04      -0.20
## MgrSkill   -0.07  0.31   0.32    0.23    0.12  0.08  0.22       0.07
## ServQual   -0.32  0.39   0.36    0.18    0.08  0.12  0.02       0.21
##            PedCount   Res Hours24 CrewSkill MgrSkill ServQual
## store         -0.22 -0.03    0.03      0.05    -0.07    -0.32
## Sales          0.42 -0.17    0.06      0.16     0.31     0.39
## Profit         0.45 -0.16   -0.03      0.16     0.32     0.36
## MTenure        0.06 -0.06   -0.17      0.10     0.23     0.18
## CTenure       -0.08 -0.34    0.07      0.26     0.12     0.08
## Pop            0.61 -0.24   -0.22      0.28     0.08     0.12
## Comp          -0.15  0.22    0.13     -0.04     0.22     0.02
## Visibility    -0.14  0.02    0.05     -0.20     0.07     0.21
## PedCount       1.00 -0.28   -0.28      0.21     0.09    -0.01
## Res           -0.28  1.00   -0.09     -0.15    -0.03     0.09
## Hours24       -0.28 -0.09    1.00      0.11    -0.04     0.06
## CrewSkill      0.21 -0.15    0.11      1.00    -0.02    -0.03
## MgrSkill       0.09 -0.03   -0.04     -0.02     1.00     0.36
## ServQual      -0.01  0.09    0.06     -0.03     0.36     1.00

Use R to measure the correlation between Profit and MTenure. (Display the numbers up to 2 Decimal places)

round(cor(Store24.df$Profit,Store24.df$MTenure),2)
## [1] 0.44

Use R to measure the correlation between Profit and CTenure. (Display the numbers up to 2 Decimal places)

round(cor(Store24.df$Profit,Store24.df$CTenure),2)
## [1] 0.26

Use R to construct the following Corrgram based on all variables in the dataset

library(corrgram)
corrgram(Store24.df,order=TRUE,lower.panel=panel.shade,upper.panel=panel.pie,text.panel=panel.txt,main="Corrgram of Store24")

Run a Pearson’s Correlation test on the correlation between Profit and MTenure. What is the p-value?

cor.test(Store24.df$Profit,Store24.df$MTenure)
## 
##  Pearson's product-moment correlation
## 
## data:  Store24.df$Profit and Store24.df$MTenure
## t = 4.1731, df = 73, p-value = 8.193e-05
## alternative hypothesis: true correlation is not equal to 0
## 95 percent confidence interval:
##  0.2353497 0.6055175
## sample estimates:
##       cor 
## 0.4388692

Run a Pearson’s Correlation test on the correlation between Profit and CTenure. What is the p-value?

cor.test(Store24.df$Profit,Store24.df$CTenure)
## 
##  Pearson's product-moment correlation
## 
## data:  Store24.df$Profit and Store24.df$CTenure
## t = 2.2786, df = 73, p-value = 0.02562
## alternative hypothesis: true correlation is not equal to 0
## 95 percent confidence interval:
##  0.03262507 0.45786339
## sample estimates:
##       cor 
## 0.2576789

Run a regression of Profit on {MTenure, CTenure Comp, Pop, PedCount, Res, Hours24, Visibility}.

fit<-lm(Profit~MTenure+CTenure+Comp+Pop+PedCount+Res+Hours24+Visibility,Store24.df)
summary(fit)
## 
## Call:
## lm(formula = Profit ~ MTenure + CTenure + Comp + Pop + PedCount + 
##     Res + Hours24 + Visibility, data = Store24.df)
## 
## Residuals:
##     Min      1Q  Median      3Q     Max 
## -105789  -35946   -7069   33780  112390 
## 
## Coefficients:
##               Estimate Std. Error t value Pr(>|t|)    
## (Intercept)   7610.041  66821.994   0.114 0.909674    
## MTenure        760.993    127.086   5.988 9.72e-08 ***
## CTenure        944.978    421.687   2.241 0.028400 *  
## Comp        -25286.887   5491.937  -4.604 1.94e-05 ***
## Pop              3.667      1.466   2.501 0.014890 *  
## PedCount     34087.359   9073.196   3.757 0.000366 ***
## Res          91584.675  39231.283   2.334 0.022623 *  
## Hours24      63233.307  19641.114   3.219 0.001994 ** 
## Visibility   12625.447   9087.620   1.389 0.169411    
## ---
## Signif. codes:  0 '***' 0.001 '**' 0.01 '*' 0.05 '.' 0.1 ' ' 1
## 
## Residual standard error: 56970 on 66 degrees of freedom
## Multiple R-squared:  0.6379, Adjusted R-squared:  0.594 
## F-statistic: 14.53 on 8 and 66 DF,  p-value: 5.382e-12

List the explanatory variable(s) whose beta-coefficients are statistically significant (p < 0.05).

Mtenure, Comp,PedCount

List the explanatory variable(s) whose beta-coefficients are not statistically significant (p > 0.05).

Visibility

What is expected change in the Profit at a store, if the Manager’s tenure i.e. number of months of experience with Store24, increases by one month?

760.993$

What is expected change in the Profit at a store, if the Crew’s tenure i.e. number of months of experience with Store24, increases by one month?

944.978

Executive Summary 1)Effect of Tenure of managers and crew on profits was observed. It was found that tenure of managers in top 10 shops was 4 times 10 least profitable store 2)Pearson’s Correlation test proves that p value is 8.193e-05 for MTenure and 0.02562 for CTenure. Hence Mtenure is strongly correlated to profits . Hence Managers affect the profit at a store more. 3)Corrgram shows visual correlation between all variables and hence makes understanding simple 4) Regression Ananlysis shows that M tenure ie tenure of manager, Number of competitors per 10,000 people within a1/2 mile radius and Population in that radius affect Profit more . It had predicted model using which we can predict profit of any store.“”