In a prestige car study, respondents were asked to rate the similarity of a BMW to a Mercedes, a Jaguar and other vehicles. Which statistical procedure would you recommend to analyse the data collected?
A) Multidimensional scaling
B) Discriminant analysis
C) Cluster analysis
D) Conjoint analysis

Question

Quizplus · Accepted Answer

Multidimensional scaling is a technique used to analyze similarity data and create a visual representation of the relationships between variables. It is commonly used in market research to understand how consumers perceive and compare different products or brands. In this scenario, respondents were asked to rate the similarity between different luxury car brands, making multidimensional scaling a suitable method for analyzing the perceived similarities between the brands. Discriminant analysis, cluster analysis, and conjoint analysis are not appropriate methods for analyzing similarity data.

In a Prestige Car Study, Respondents Were Asked to Rate