Question: Take the offer II We saw in Chapter 16, Exercise 36 that Top One tested the effectiveness of a double-miles campaign by recently sending out
Take the offer II We saw in Chapter 16, Exercise 36 that Top One tested the effectiveness of a double-miles campaign by recently sending out offers to a random sample of 100,000 cardholders. Of those, 2468 registered for the promotion. Even though this is nearly a 2.5% rate, a staff member suspects that the success rate for the full campaign will be no different than the standard 2.2% rate that they are used to seeing in similar campaigns. What do you predict?
a) What are the hypotheses?
b) Are the assumptions and conditions for inference met?
c) Do you think the rate would change if they use this fundraising campaign? Explain.
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