Variable Used in Sales Bench Marking - Assignment Example

The measure of central tendency chosen for this work is the statistical or sample mean.

The sample mean is very useful in determining the likelihood of an outcome such as predicting sales patterns, this is very important in guiding the management at Books R Us in decision-making. Some of the decisions to be made may pertain to investing in new technologies, reducing or increasing the resources allocated to the sales team at Books R Us2) Important variables in the data set considering the data set provided about Books R Us and the need to know if the sales performance at Books R Us is good or not, the average sales made by the business in every school in the district, the average number of students per district, the average family incomes in every district, the average amount spent per pupil and the average percentage of families receiving welfare are some of the highly significant variables that ought to be brought into perspective.3) Benchmarking to measure sales performance.

The measure of central tendency chosen (the sample mean) will be calculated for each of the variables identified above as critical in assessing the sales performance at Books R Us. The total values for each variable will be added first, and then divided with the total number of items recorded for each variable. The resulting means (for each variable) will then be used in sales assessment at Books R Us through constant comparison in the following ways.

The average sales made by Books R Us in every school in the district can help determine particular schools where sales are below the average or above the average. This can inform future marketing or sales targeting strategies to be used in the future 2. The average number of students per district can help determine if demand for books is high or low when compared to the actual student population in different schools within particular districts3. The average family incomes in every district help determine the purchasing power families have.

Compared with the first two variables, this can be used to assess sales performance about the pricing of books and can be used to guide decisions on how books are priced in particular districts 4. The average amount spent per pupil can help determine the purchasing power families have. Compared with the first three variables, this can be used to assess sales performance regarding the pricing of books, and existing demand and can be used to guide decisions on how books are priced and sales targeting in particular districts is done.