MBA 512 Tips
-
Upload
kristynkelly -
Category
Business
-
view
188 -
download
0
Transcript of MBA 512 Tips
Topic:Restaurant Tipping
Presented by:Miranda Lazar & Kristyn Kelly
2003 sales at restaurants totaled $151 Billion
Assuming 15% tipping, waiters and waitresses earned $22.7 billion in tip income
Research shows that tip percentages are weakly related to customers’ rating of service quality
Tips may be influence by many factors• Size of the party• Table location in the restaurant• Gender• Smokers vs. non smokers• Time of the day (Lunch vs. Dinner)
Restaurant located in a suburban shopping mall
Server collected data during an interval of two & a half months• Gender (0=male, 1=female)• Smoker (0=no, 1=yes)• Day of the week (3=Thursday, 4=Friday,
5=Saturday, 6=Sunday)• Time of day (0=day, 1=night)• Size of the party
Manager believed that the data would provide a means of assessing what sorts of things affect tips and whether they were seen as objective
Total bills range from $3.07 to $50.81 Mean of Total bills = $19.79
$50.81
$3.07
Men
May be skewed do to more men were apart of the research than women
157 men vs. 87 women
SAMPLEHYPOTHESIS
TESTShyp
valuesample mean stdev sample size
for the meanREF
=average() =stdev() =(n)
NULL : Null statement
ALTERNATIVE: Alternative statement
test statistic (obs)
=standardize(sample mean, ref value, std error(stdev/sqrt(n))
critical measure
=normsinv(1-signif level/#tails)
one-tailed or two-tailed? 1
|OBS| > CRIT?
p-value=(#tails)*(normsidst(abs(obs)))
-level 0.050
p-value < -level?
HYPOTHESIS TESTS
hypothesized value sample mean stdev
sample size
for the mean
3.00 3.09 1.49 157
NULL : Men are better tippers than women
ALTERNATIVE: Men are not better tippers than women
test statistic (obs) .7540843
critical measure 1.6448535 one-tailed or two-tailed? 1
|OBS| > CRIT? no
p-value 0.225
-level 0.050
p-value < -level? no
ACCEPT THE NULL
Men are better tippers than women!
HYPOTHESIS TESTS
hypothesized value
sample mean stdev
sample size
for the mean 3.00
3.10 1.44 176
NULL : people tip more than the average tip at dinner time
ALTERNATIVE: people tip less than the average tip at dinner time
test statistic (obs)
0.94836
critical measure
1.64485
one-tailed or two-tailed? 1
|OBS| > CRIT? no
p-value 0.171
-level 0.050
p-value < -level? no
ACCEPT THE NULL
People tip more than average at dinner time!
Gender of patron has an influence over the amount of tip• Men tip an average of $3.09• Women tip an average of $2.83
Time of day has an influence over the amount of tip• Lunch tip average $2.72• Dinner tip average $3.10
Little or no influence over tip amount• Day of Week
Sat & Sun tend to have larger total bill=larger tips
• Average Total Bill Sat & Sun larger total bill
• Smoker vs. Non-Smoker Very little difference $2.99 avg. vs. $3.00 avg.
• Size of Party
Have servers alternate from lunch and dinner shifts so there is more opportunity for equal tip earnings.
Because average total bills tend to be larger on weekends equaling larger tips, also alternate days of week that servers work for opportunity to earn equal tips.
Add gratuity to the bottom line or explain that gratuity is not included.