Managing through Information - Research Paper Example

Managing Through Information The paper is based on discussing and analysing the survey details of the tourists and their expenditure separately for individuals and families or groups. Depending on the expenditure and their opinions on different services it is expected to take decisions in developing the tourist infrastructure. Erehwon Island gets its majority of tourists from Briton, France, Germany, and Italy. As it is a small Island the tourism depends on the on and off shore activities. The season runs for 4 months from May to August in every year. The analysis using mean, standard deviation, variance, estimate, chi-square activities the way the tourists use the existing facilities in the Island can be estimated. By analysing their opinions the exact points and places of developing infrastructure can be identified and the required action can be taken. The details are about expenditure and the tourist satisfaction. So every analysis and action taken must be on how far the tourists are using the existing infrastructure and the steps that can be taken to maximise them. The people are completely dependent on tourism for four months as they have no other occupation than fishing. It stresses the importance of developing tourism industry by increasing facilities for them, which makes them visit the Island frequently resulting in increase of revenue. Managing through information Task 1(a) - Group Spending British German French Italian Mean 422 471 412 451 Sample Standard Deviation 59 84 58 65 Standard Error 8 8.3 8 8.3 Estimate of Mean Upper Limit 539 554 302 306 Lower Limit 303 386 538 505 Comments : The standard deviation for German is more and Italians follow them. This tells that the people from that nationality are using different types of accommodations, transport facilities from cheaper ones to costlyones. But the standard deviations of British and French are less compared to German and Italian. Though these to nationals also have much difference from the mean of spending that difference is however less telling that increasing of infrastructure and facilities for low cost increase more number German and Italian tourists. This may result in more than 25% percent increase in revenues from the tourism Task 1(b) - Individual Spending British German French Italian Mean 105, 108, 106, 104, Sample Standard Deviation 14 18 16 15 Standard Error 2.5 3 2.8 3.1 Estimate of Mean Upper Limit 72 78 77 76 Lower Limit 125 135 130 134 Comments: The individual spending regarding each nationality also varies in the same way as group spending. But here French follows Germany and the increase of accommodation for individuals increase the tourists from Germany and France. The increase of facilities and accommodation for group or for family is capable of increasing tourists from British and Italy, as in the case of British and Italian nationals the deviation in spending from the mean is less. By increasing facilities for less charges may increase tourists from Germany and France. Task 1(c) - Difference in Means of Group Spending Standard Error British German French Italian British 0 5 1 2.9 German 5 0 4.9 2.0 French 1 4.9 0 4.1 Italian 2.9 2 4.1 0 Z-score British German French Italian British 0 2.2 1.1 3.5 German 2.2 0 6 2.2 French 1.1 6 0 2.2 Italian 3.5 2.2 2.2 0 Comments :The value of the Z Score is better for British and German, Italian and British, Italian and German , Italian and French. This means that gaining Italian tourists is more probable than gaining British nationals. Similarly gaining German tourists is more probable than attracting French. This means that the improving of infrastructure attracts tourists from Italy and Germany. Difference in Means of Individual Spending Standard Error British German French Italian British 0 3 1 1 German 3 0 2 4 French 1 2 0 2 Italian 1 4 3 0 Z-score British German French Italian British 0 2.2 1.1 3.5 German 2.2 0 6 2.2 French 1.1 6 0 2.2 Italian 3.5 2.2 2.2 0 Comments : The value of the Z Score is better for British and German, Italian and British, Italian and German , Italian and French. This means that gaining Italian tourists is more probable than gaining British nationals. Similarly gaining German tourists is more probable than attracting French. This means that the improving of infrastructure attracts tourists from Italy and Germany . Task 1(e) - Regression British German French Italian Intercept 82 84 83 81 Slope 23 24 24 20 Comments The intercept denotes the variation and the slope depends upon the value chosen for X. When this value is decreased the slope can be increased. So this implies that the income will be more from the individual groups who take rooms and prefer to eat outside without resorting to cook. These type of tourists are supposed to spend more revenue. Task 1(f) - Correlation British German French Italian R2 coefficient 0.85 0.84 0.83 0.82 Standard Error of intercept 2.5 2.4 2.2 2.6 Standard Error of slope 0.82 0.84 0.83 0.81 T statistic of intercept 0.05 0.06 0.07 0.81 T statistic of slope 4.5 4.4 4.6 4.2 Comments: This tells us that there is a relation between the increase of infrastructure and the number of touritsts. The increase of infrastructure increases the number of tourists Task 1(g) - Estimate for the spending of a family of five British German French Italian Estimate 125 135 130 134 Comments :The estimate tells us that for each individual or for a group the spending increases with the increase of number but the spending per head is more for individual groups resulting in more revenue. Task 1(h) - Difference of opinions within nationalities British German French Italian Chi-square value 0.1 1 0.8 0.5 Comments: The difference between opinions varies a lot with the British. The remaining three vary very little. This implies that the steps taken for developing the tourism attracts more tourists from Germany, France and Italian. Task 1(i) - Difference of opinions between nationalities Overall Accommodation Location Food Chi-square value 14 10 16 12 Comments This tells us that the probabilityof loosing tourists or failure of attracting tourists on development of infrastructure is low. Task 2 : The individual spending regarding each nationality varies in the same way as group spending. But here French follows Germany and the increase of accommodation for individuals increase the tourists from Germany and France. The increase of facilities and accommodation for group or for family is capable of increasing tourists from British and Italy, as in the case of British and Italian nationals the deviation in spending from the mean is less. By increasing facilities for fewer charges may increase tourists from Germany and France. The value of the Z Score is better for British and German, Italian and British, Italian and German, Italian and French. This means that gaining Italian tourists is more probable than gaining British nationals. Similarly gaining German tourists is more probable than attracting French. This means that the improving of infrastructure attracts tourists from Italy and Germany. The difference between opinions varies a lot with the British. The remaining three vary very little. This implies that the steps taken for developing the tourism attracts more tourists from Germany, France and Italian. Task 3 : Appendix The mean of group expenditure spent for each nationality (British) = 412.28 Standard deviation = square root of (4662.1584+2050.2784+3396.5584+4860.8784+5818.6384+2182.7584+8596.9984+334.1584+1710070609+265.0384+38698.7584+4585.9984+94691.5984+1622.4784+22.2784+471.7584+148779.9184+13160.6784+25370.1184+18300.6784+3933.7984+2141.8384+1137.0384+1746404100+5972.1984+2428.5184+2.9584+1542.9184+22284.5184+1041.9984+2.9584+1542.9184+18300.6784+29336.8384+29336.8384+5972.1984+9549.1984+22284.51841750083556+16200.1984+1175.1184+857.3184+5.1984+6769.9984+13990.1584+18572.2384+27982.5984+25052.5584+25052.5584+25052.5584+31783.7584)/50=square root of 174883.6360.6074/50 = square root of 3497.6727.22 = 59.14.112528520234370465241526411=59.14. Standard error = standard deviation/square root of number of values. =59.14/7.071= 8.36 Let the confidence level is 95%. Then alpha ( the likelihood of parameter lying outside the confidence level) = 1-.095 =0.05 Let the point estimation be standard deviation = 59.14 Upper limit of cumulative probability = 1-0.05/2 = 0.075 Lower limit of cumulative probability = 0.025 Upper limit of the range =mean+2xstandard deviation -0.075 = 421+118-0.075= 538.925 Lower limit of the range =mean -2xstandard deviation -0.025 = 302.975 This means that for a 95% confidence level the true population mean is greater than 302.975 less than or equal to 538.925. The Mean for spending of German nationals = 471.5 Standard deviation = square root of (7140.25+ 22350.25+ 5852.25+ 89700.25+90.75+ 32220.25+ 78680.25+ 51302.25+ 6806.25 +59780.25+ 240.25+ 7140.25+ 49952.25+ 42.25+ 11342.25+ 6972.25+ 6972.25+ 3540.25+ 1332.25+ 21756.25+ 21756.25+ 1722.25+ 20.25+ 9702.25+ 2450.25+ 342.25+ 6642.25+ 30450.25+ 2970.25+ 9900.25+ 20880.25+ 14280.25+ 10506.25+ 10506.25+ 6642.25+ 6162.25+ 19740.25+ 600.25+ 156.25+ 156.25+ 156.25+ 1260.25+ 30.25+5256.25+9506.25+7832.25+2.25+40200.25+13110.25+6162.25+2450.25=square root of 6959.36/48 =square root of 7104.35=84. Standard error = 84/7.071 =11.89 Let the confidence level is 95%. Then alpha = 1-.95=0.05 Let the point of estimation be standard deviation =84. Upper limit of cumulative probability =0.075 Lower limit of '" " = -.025 Upper limit of range = mean +2xstandard deviation -0.075 =471.5 +84-0.075 =554.025 Lower limit of range = mean -2xstandard deviation -0.025 = 471.5 -84-0.025 = 386.075 The estimation is more than 386 and less than or equal to 554 Similarly the mean, standard deviation standard error and estimations for French and Italian will be 412, 58, 8, {302,538} and 451, 65, 8.3, {306,555) The values for the expenditure for the individuals are British, 105, 14, 2.5, {72,125} German 108, 18, 3,(78,135} French 106,16,2.8, {77,130} Italian 104, 15, 3.1, (76,134} Read More