Homework:
1.
Great Plains Roofing and Siding Company, Inc., sells roofing and siding products to home repair retailers, such as Lowe’s and Home Depot, and commercial contractors, the owner is interested in studying the effects of several variables on the value of singles sold($000). The marketing manager is arguing that the company should spend more money on advertising, while a market researcher suggests it should focus more on making its brand and product more distinct from its competitors.
The company has divided the United Stated into 26 marketing districts. In each district it collected information (Please check the Data for Homework on Moodle) on the following variables: volume of sales (in thousands of dollars), advertising dollars (in thousands), number of active accounts, number of competing brands, and a rating of district potential.
Please conduct regression analysis and demand estimation(show all five steps and the details), then give the managers some suggestions.
( For computing elasticity, assume Adv=8. Number of accounts=30, number of competitors=12, market potential=8)
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