The Journal of Business Venturing reported on the activities of entrepreneurs during the organization creation process.As part of a designed study, a total of 71 entrepreneurs were interviewed and divided into 3 groups: those that were successful in founding a new firm (n₁ = 34), those still actively trying to establish a firm (n₂ = 21), and those who tried to start a new firm but eventually gave up (n₃ = 16).The total number of activities undertaken (e.g., developed a business plan, sought funding, looked for facilities)by each group over a specified time period during organization creation was measured.The objective is to compare the mean number of activities of the 3 groups of entrepreneurs.Because of concerns over necessary assumption of the parametric analysis, it was decided to use a nonparametric analysis.Identify the nonparametric method that would be used to analyze the data.
A)Wilcoxon Rank Sum Test
B) test for independence
C)Kruskal-Wallis Rank Test
D)One-way ANOVA F test

Question

The Journal of Business Venturing reported on the activities of entrepreneurs during the organization creation process.As part of a designed study, a total of 71 entrepreneurs were interviewed and divided into 3 groups: those that were successful in founding a new firm (n₁ = 34), those still actively trying to establish a firm (n₂ = 21), and those who tried to start a new firm but eventually gave up (n₃ = 16).The total number of activities undertaken (e.g., developed a business plan, sought funding, looked for facilities)by each group over a specified time period during organization creation was measured.The objective is to compare the mean number of activities of the 3 groups of entrepreneurs.Because of concerns over necessary assumption of the parametric analysis, it was decided to use a nonparametric analysis.Identify the nonparametric method that would be used to analyze the data.
A)Wilcoxon Rank Sum Test 
B) test for independence 
C)Kruskal-Wallis Rank Test 
D)One-way ANOVA F test

Quizplus · Accepted Answer

The Kruskal-Wallis Rank Test is a nonparametric test used to compare the medians of three or more groups. It is appropriate for this scenario since it is being used to compare the mean number of activities of the three groups of entrepreneurs, and the data does not meet the assumptions of a parametric test. The Kruskal-Wallis Rank Test is a nonparametric method used to compare the mean ranks of three or more groups. It is appropriate for this scenario where we are comparing the mean number of activities of three groups of entrepreneurs, and we have concerns over the necessary assumption of the parametric analysis. The Wilcoxon Rank Sum Test is used to compare two groups, and the 11ebc114_1294_cb49_8acb_a5ec0d1cc566_TB8562_11 test for independence and One-way ANOVA F test are both parametric methods that assume normality and equality of variances.

The Journal of Business Venturing Reported on the Activities of Entrepreneurs