Discuss the below:
Q: How much does advertising impact market penetration? To assess the impact of advertising in the tobacco industry, a study looked at the amount of money spent on advertising a particular brand of cigarettes and brand preference among adolescents and adults. The data are shown below: (Source: Center for Disease Control Website).
Brand Advertising ($ millions) % Adolescents % Adults
Marlboro 75 60 23.5
Camel 43 13.3 6.7
Newport 35 12.7 4.8
Kool 21 1.2 3.9
Winston 17 1.2 3.9
Benson & Hedges 4 1 3
Salem 3 0.3 2.5
Create scatterplots below: (do not connect the dots, but show a "line of best fit")
Adolescents Adults
a) Which variable is the independent variable?
b) Which variable is the dependent variable?
Then: with the dependent variable on the vertical (y) axis
c) Create a scatter plot of advertising and adolescent brand preference. Do you think there is a linear relationship between the two variables? Why or why not?
d) Create a scatter plot of advertising and adult brand preference. Do you think there is a linear relationship between the two variables? Why or why not?