Analyze the short case study, apply the right necessary mathematical model, and make the right managerial decision.

Sources:

1) Fundamental Concepts

The first topic aims to make you fully understand the basic rules regarding the mathematics of probability, which are discussed in these links:

https://courses.lumenlearning.com/wm-concepts-statistics/chapter/another-look-at-probability-1- of-2/

https://courses.lumenlearning.com/wm-concepts-statistics/chapter/another-look-at-probability-2- of-2/

https://courses.lumenlearning.com/wm-concepts-statistics/chapter/probability-rules-1-of-3/ https://courses.lumenlearning.com/wm-concepts-statistics/chapter/probability-rules-2-of-3/ https://courses.lumenlearning.com/wm-concepts-statistics/chapter/probability-rules-3-of-3/

Note: Please do focus on Bayes' Theorem.

2) Probability Distributions

Earlier we discussed the probability values of an event. We now explore the properties of probability distributions. We see how popular distributions, such as the normal, Poisson, binomial, and exponential probability distributions, can save us time and effort. Since a random variable may be discrete or continuous, we consider each of these types separately. These are discussed in these links:

https://courses.lumenlearning.com/wm-concepts-statistics/chapter/discrete-random-variables-1-of-5/

https://courses.lumenlearning.com/wm-concepts-statistics/chapter/discrete-random-variables-2-of-5/

https://courses.lumenlearning.com/wm-concepts-statistics/chapter/discrete-random-variables-3-of-5/

https://courses.lumenlearning.com/wm-concepts-statistics/chapter/continuous-probability- distribution-1-of-2/

https://courses.lumenlearning.com/wm-concepts-statistics/chapter/continuous-probability- distribution-2-of-2/

https://courses.lumenlearning.com/wm-concepts-statistics/chapter/introduction-to-normal-random- variables-1-of-6/

https://courses.lumenlearning.com/wm-concepts-statistics/chapter/introduction-to-normal-random- variables-2-of-6/

https://courses.lumenlearning.com/wm-concepts-statistics/chapter/introduction-to-normal-random- variables-5-of-6/

https://courses.lumenlearning.com/wm-concepts-statistics/chapter/introduction-to-normal-random- variables-6-of-6

Understand the basic foundations of probability analysis Describe statistically dependent and independent events TARGET LEARNING Describe and provide examples of both discrete and OUTCOMES continuous random variables Explain the difference between discrete and continuous probability distributions LEARNING ACTIVITY Short Case Analysis INTRUCTIONS: JetBlue Airways From the very beginning, young JetBlue Airways has built a reputation for creating first-rate customer satisfying experiences. Its slogan - YOU ABOVE ALL-tells the JetBlue faithful that they are at the very heart of the company's strategy and culture. Currently, the country where the company operates in, is experiencing an increase in service agencies; and thus is in a state of perfect competition. Looking at the statistic of airline performances gathered through extensive marketing research, JetBlue's competitors have invested in one of three aspects- manpower, machines, or methods - which can yield any of the following: Resources Increase in Satisfaction Rate Probability 15% 49 % Manpower 5% 51 % 15% 50 % Machines 5% 50 % Methods 15% 53 % 5% 47 % Given that your major competitor reported a 15% increase in customer satisfaction, which resource should you invest in and why