Tata aspires to enter the US market by setting up their manufacturing unit there and producing cars locally to give competition to their US and European counterparts.
computer science
Description
Q1.
Problem Statement :
Tata aspires to enter the US market by setting up their manufacturing unit there and producing cars locally to give competition to their US and European counterparts. They have contracted an automobile consulting company (your team) to understand the factors on which the pricing of cars depends and accordingly design the products and target right segments. Specifically, they want to understand the factors affecting the pricing of cars in the American market, since those may be very different from the Indian market. The company wants to know: Which variables are significant in predicting the price of a car? How well those variables describe the price of a car? What product design and potential target segments to focus on? Based on various market surveys, the consulting firm (your team) has gathered a large data set of different types of cars across the America market.
Your Goal
You are required to model the price of cars with potential independent variables that can explain the pricing of cars. Then, you need to develop a business strategy for Tata that will focus on the product design, price points, and potential target segments. You are expected to blend your knowledge from different subjects (e.g., visualizing data, cleaning data) and use the learnings from the regression class (e.g., identifying suitable predictors, checking for multicollinearity, omitted variable bias, converting categorical variables to dummy variables, and identifying interaction effects) to develop the business strategy. The predicted pricing model along with a descriptive analysis of the data, will help you identify the best combinations of independent variables (i.e., product designs) to come up with different target segments and their respective price points. You can be creative in your approaches. There is no right or wrong answer. It is a Subjective matter.
Instruction Files
AssignmentonR.docx
15.0 KB
SA3-GroupAssignmentData.csv
26.7 KB
