Student Drink Consumption Habits

This assignment analyzes student drinking habits at USC University. It compares the preferences of international and local students for various drinks, explores the relationship between price and quantity consumed, and investigates factors influencing brand loyalty. The analysis involves statistical correlation, preference scales, and visual representations like graphs. The findings reveal that energy drinks are most popular among both groups, while differences exist in least preferred drinks and the strength of the price-quantity relationship.

Research project 1
Student’s name
Lecturer
BAC21 Research project
Date

Research project 2
1.0 INTRODUCTION
This short research project was focused on determining the students purchasing and consumption
behavior of various drinks at USC University. The research included data collected from a
survey of 200 students from where a sample of 80 students was selected using purposive
sampling method. The sample included both local and international students from the university.
The data was analyzed using excel and SPSS. The research findings have been illustrated in both
tables and graphs for visual purposes.
2.0 DATA ANALYSIS
a) Proportion of local and domestic students
The graph below represents the number of local and international students in USC University
Figure 1

Research project 3
From the graph above, it can be observed that the majority of the students at USC University are
the local students. Out of the total 80 students, 75 of them are local students while 5 of them are
international students. The local students represent 97.5% of the students while the international
students represent 2.5%.
b) Test for relationship between price and average quantity consumed by students
To test whether there is a relationship between two variables, the test statistic employed is a chi-
square test. The Pearson Chi-square value is compared with the level of significance of the test
before coming to a conclusion. A hypothesis test for the test of relationship is as structured
below,
Null hypothesis: There is no relationship between price and average quantity of beverage
consumed by students.
Alternative hypothesis: There is a significant relationship between price and average quantity
of beverage consumed by students.
The tables below show the results for relationship test
Chi-Square Tests
Value df Asymp. Sig. (2-
sided)
Pearson Chi-Square 90.000a 81 .231
Likelihood Ratio 46.052 81 .999
Linear-by-Linear Association 8.588 1 .003
N of Valid Cases 10
a. 100 cells (100.0%) have expected count less than 5. The minimum
expected count is .10.
Table 1

Research project 4
Symmetric Measures
Value Asymp. Std.
Errora
Approx. Tb Approx. Sig.
Interval by Interval Pearson's R -.977 .005 -12.914 .000c
Ordinal by Ordinal Spearman Correlation -1.000 .000c
N of Valid Cases 10
a. Not assuming the null hypothesis.
b. Using the asymptotic standard error assuming the null hypothesis.
c. Based on normal approximation.
Table 2
From the results obtained in table 2 above it can be observed the p-value (.00) is less than the
level of significance (.05). This means that the test is directed to reject the null hypothesis and
accept the alternative hypothesis. It is therefore concluded that there is a significant relationship
between price and average quantity of beverage consumed by students.
To add on, from the chi-square results in table 1 above, the Pearson correlation value is .23
which indicates an existence of relationship.
Scatter plot to quantify the relationship between the two variables.
0 1 2 3 4 5 6
0
2
4
6
8
10
12
f(x) = − 2.02 x + 9.655
R² = 0.954225883603508
Quantity vs Price
Quantity
Price
Figure 2

Research project 5
From the regression analysis illustrated by the scatterplot above, it can be observed that there is a
linear relationship between price of the beverages and averages consumption. The gradient of the
line is negative indicating that the relationship is negative but perfect linear one. The value of R-
squared shows the extent to which the independent variable (quantity) explains the variation in
the dependent variable (price). It can be seen that the value is .95. This means that 95% of the
variation in the dependent variable (price) is explained by the independent variable (quantity).
This means that there exists a real relationship between the two variables.
c) Most popular and least popular drinks among students
The chart below represents drinks preference scores among students
Soft
drinks;
2.9625
Fruit juice; 2.875
Tea/Coffee; 3.1125
Energy Drinks; 4.0875
Other;
1.9625
Drinks preference score
Figure 3
Students were asked to rate their preferred drinks in a scale of 1 to 5 with 1 meaning less
preferred and 5 most preferred. The results are as indicated in the pie chart above. Energy drinks
attracted the highest preference score of 4.08 followed by tea/coffee which had a score 3.11. The
drinks which attracted least preference score was others category which included water and milk.
This category had a preference score of 1.96. From the above analyses it can be concluded that
the most popular drink is energy drinks while the least popular drinks are water and milk.

Research project 6
d) Does discount affect students’ loyalty to their brands of drinks
Behavior of students when 25% discount is given to another drink
Graph of students opinion on 25% given to another drink.
YES NO
0
10
20
30
40
50
60
23
57
Figure 4
Students were asked if they would change their choice preference if a 25% discount was allowed
on another beverage. Their responses are as indicated in the graph above. It can be observed that
out of the total 80 students interviewed, 23 of them admitted that they would change their
preference of their drink to the one that discount has been offered. However, majority of the
students who are 57 out of 80 said they would not change their loyalty if a competitor beverage
is offering a 25% discount. It can be therefore concluded that in general, students are not willing
to change their loyalty to a different drink if only 25% discount is offered on a second drink

Research project 7
Behavior of students when 40% discount is given to another drink
Graph of students opinion on 40% given to another drink.
yes no
0
5
10
15
20
25
30
35
40
45
50
49
31
Figure 5
Students were also asked if they would change their choice preference if a 40% discount was
allowed on another beverage. Their responses are as indicated in the graph above. It can be
observed that out of the total 80 students interviewed, 49 of them admitted that they would
change their preference of their drink to the one that discount has been offered. However,
minority of the students who are 31 out of 80 said they would not change their loyalty if a
competitor beverage is offering a 40% discount. It can be therefore concluded that in general,
students are willing to change their loyalty to a different drink if a 40% discount is offered on a
second drink.
e) Price quantity relationship for international students
The table below shows the strength of relationship between quantity of drink and price among
international students.

Research project 8
Symmetric Measures
Value Asymp. Std.
Errora
Approx. Tb Approx. Sig.
Interval by Interval Pearson's R .292 .103 .862 .414c
Ordinal by Ordinal Spearman Correlation .466 .119 1.490 .175c
N of Valid Cases 10
a. Not assuming the null hypothesis.
b. Using the asymptotic standard error assuming the null hypothesis.
c. Based on normal approximation.
Table 3
From the relationship test results above, it can be observed that the Pearson’s correlation value is
a positive .29. This means that there is a positive relationship between price and average quantity
of beverage consumed by international students. However, when this relationship is compared to
that of the local students, it is found that the relationship is much stronger in among local
students than the international students. The Pearson correlation when it comes to local students
is -.97 while for the international students it is .29. The other difference is that the relationship is
negative among local students while positive among international students.

Research project 9
f) Drink popularity comparison between local and international students
The graph below shows the most and least popular drinks between local and international
students.
Soft
drinks Fruit juice Tea/
Coffee Energy
Drinks Other
0
0.5
1
1.5
2
2.5
3
3.5
4
4.5
5
2.9 2.9 3.1
4
1.94
4.2
2.2
1.6
4.8
2.2 Local students
International students
Figure 6
The graph above compares the most and least popular drinks among the local and international
students. As can be observed, the most popular drink among the international students is energy
drink which has a preference score of 4.8. It can also be observed that the same drink is the most
popular among the local students having a rating score of 4.0. The least popular drink among the
international students is tea/coffee having a rating score of 1.6 while the least popular drink
among the local students is other category consisting of milk and water. This has a rating score
of 1.94.

Research project
10
g) 95% confidence interval estimate for having soft drink as the first drink
The table below shows the mean preference scale and confidence range
Mean 2.974358974
Standard Error 0.156950585
Median 3
Standard Deviation 1.386150036
Sample Variance 1.921411921
Count 80
Confidence Level(95.0%) 0.312528542
summary statistics
Table 3
As can be observed above, the confidence interval for the mean preference lies in the estimate
below;
2.97 ± 0.31
3.0 SUMMARY
From the analyses of the students’ consumption behavior analyses at USC university, the
research survey has found that the most popular drink among both the international and local
students are energy drinks. However the variation occurs when it comes to the least popular
drink among the two groups of students. It has been found that the relationship between price
and quantity of drinks consumed is much stronger among the local students than among the
international students. Though a relationship exists between the two variables in the two
categories of students, the relationship among the international students is less strong. It can also
be reported that students only change loyalty from their preferred products if a better discount is
offered on a second product, otherwise they will not do so. Lastly the report concludes that there
were more local students than international students in the University.