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This is an R Markdown document. Markdown is a simple formatting syntax for authoring HTML, PDF, and MS Word documents. For more details on using R Markdown see http://rmarkdown.rstudio.com.

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, how does the relationship look like?

The relationship looks positively linear.

library(readr)
library(readr)
ad_sales <- read_csv('https://raw.githubusercontent.com/utjimmyx/regression/master/advertising.csv')
## Warning: Missing column names filled in: 'X1' [1]
## Warning: Duplicated column names deduplicated: 'X1' => 'X1_1' [2]
## 
## ── Column specification ────────────────────────────────────────────────────────
## cols(
##   X1 = col_double(),
##   X1_1 = col_double(),
##   TV = col_double(),
##   radio = col_double(),
##   newspaper = col_double(),
##   sales = col_double()
## )
plot(sales ~ TV, data = ad_sales)

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

There is a positive relationship between Tv ads and sales 10/27/20 12:26pm

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

The more you spend on the tv advertisement the more sale revenue you generate.

Question 4:Three things you learned from this tutorial

I learned how to use R Studio Cloud, it is very similar to regular R Studio. You have to install certain packages to complete the markdown file. I still want to know the benefit of using one over the other. I also got introduced to bivariate analysis. It is the analysis of only two variables. In the example they are comparing tv ads and sales.

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