INSTRUCTIONS:
You will answer 1 question independently and each individual post, or question response, will consist of 500–750 words that answer 1 of the assigned discussion board questions.
To do this efficiently, you and your group must work together and decide who will answer each question. The instructor will not assign the questions. A best practice is to assign each question to two students to ensure all questions are answered at the end of the week but this is not required.
• Some answers will require a paragraph-style response, whereas others will be best answered with a table or bullet points. Use the style that is most appropriate for the specific question.
• Each answer must be supported by references to at least 2 peer-reviewed sources and 1 biblical integration. Current book reference: Schindler, P. S., & Cooper, D. R. (2014). Business research methods (12th ed.). New York, NY: McGraw-Hill/Irwin.
• Use proper grammar and current APA format. Must be Graduate level work.
Below is your question:
An automobile manufacturer observes the demand for its brand increasing as per capita income increases. Sales increases also follow low-interest rates, which ease credit conditions. Buyer purchase behavior is seen to be dependent on age and gender. Other factors influencing sales appear to fluctuate almost randomly (competitor advertising, competitor dealer discounts, introductions of new competitive models).
a) If sales and per capita income are positively related, classify all variables as dependent, independent, moderating, extraneous, or intervening.
b) Comment on the utility of a model based on the hypothesis.
Example of to start with the essay answer:
A. One scheme for assessing the variables:
Car Sales (DV) Buyer gender - EV
Per Capita Income (IV) Competitor advertising - MV
Ease of credit access (EV) Competitor dealer discounts - MV
low-interest rates - MV Introduction of competitor models - MV
Buyer age - EV
Car Sales (DV) will increase as per capita income increases (IV), as long as low interest (IVV) increase ease of access to credit among younger (EV) men (EV) and competitors do not introduce more attractive models (EV), increase advertising (EV), or increase their discounts (EV).
B. Given that buyer behavior is fickle with respect to ego-involved purchases (e.g. car), and given the number of uncontrollable extraneous variables, a model based on the above theory is unlikely to be relevant for any about of time.