Consider the following scenario:
After Clark Maxwell met with a lawyer to discuss closing his furniture business and declaring bankruptcy, he wondered how things got to where they were. He knew that his two main struggles had been with employees and products. It seemed that he either had too many employees at a given time to afford the weekly payroll or he had to pay a premium for using day laborers and temp workers to make up for labor shortages. As far as product was concerned, he often had too much of one product that he had to discount to get rid of or he did not have enough of another product to meet the demand. He wished that he could have the success of his cousin, Cait, who never seemed to have these problems with the flooring store she owned. They were in similar industries, he thought, so what was her secret to success?
The secret to Cait’s business (in comparison to Clark’s, at least) had to do with the way she applied descriptive statistics to her business. By reviewing her data, she was able to determine how many full- and part-time employees she would need, as well as how that changed depending on different variables in her community. She also made efforts to gather information on consumer’s tastes and preferences in order to have the more valuable (and profitable) carpet in stock and ready to sell.
In this Assignment, you will consider basic concepts of descriptive statistics and how they can be used in business.
Submit your responses to the following prompts.
Note: For each prompt, be sure to reference at least one scholarly source to support your answer. Use the Walden Undergraduate Paper Template, provided in this week’s Learning Resources, to complete this Assignment.