Analysis of Cinema Data for Business Expansion

Module Code: MSO4730
Module Name: Decision Making for International Managers
Name of the Module Leader: David Ebrahimoff
Students Names:
Students Numbers:
Students e-mail addresses:
Student’s degree course:

Introduction
The main aim of any business enterprise is to make profit and be able to expand their portfolios
in other new markets. The theme of this study is to analyze a data from 128 cinemas in the UK
and advise the managers on how they can expand the business. Based on this, analysis was
performed on 128 cinemas to understand the performance of these cinemas. The study sought to
answer the following objectives;
1. Investigate the relationship that exists between the monthly sales and the cinema location.
2. Investigate the relationship that exists between the monthly sales and the gender of the
manager who is managing the cinema
3. Investigate the relationship that exists between monthly rent and the monthly sales made
by the cinema.
4. Investigate the association between gender and the cinema size.
5. Investigate whether the total monthly cinema sales is £285,000.
Methodology
Context of the study
This is study was done in UK (England, Scotland and Wales). Data was collected from a random
sample of 128 cinemas in the mentioned three countries.
About the data
The dataset comprised of 11 variables with 128 cases.
Variable Variable name Variable type
Number Number of cinema Quantitative variable
Chain Cinema chain Qualitative variable
Region Regional location of the cinema Qualitative variable
Location Location of the cinema Qualitative variable
Size Size of the cinema Qualitative variable
Gender Gender of the manager Qualitative variable
Rent Monthly rent Quantitative variable
Distance Distance of the cinema away from the High
street
Quantitative variable
Advert Monthly advertising expenditure Quantitative variable
Weekend Monthly weekend sales Quantitative variable
Weekday Monthly weekday sales Quantitative variable
Total Monthly
Sales
Total monthly sales Quantitative variable

Missing data
There were no missing data values in the dataset.
Software used
Minitab software version 19 was used for the purposes of analysis
Statistical methods used
Both descriptive and inferential statistics were employed to analyze the data. Descriptive
statistics used included the mean, median, mode, standard deviation, frequency distribution
tables. For the inferential statistics, Chi-square test of association, t-test and regression analysis
were used to analyze the data.
Statistical Analysis
Descriptive statistics
Table 1 below gives the summary (descriptive) statistics of the data. As can be seen, a total of
128 cinemas were analyzed and the average monthly rent was found to be £2,032 with the
median monthly rent paid out being £2,000. The maximum and the minimum monthly rent paid
by the sampled cinemas was £3,200 and £900 respectively. The average distance of the cinema
away from the High street was found to be 2.446 miles with the farthest distance being 6.25
miles.
Table 1: Statistics
Variable N Mean SE
Mean
StDev Minim
um
Q1 Median Q3 Maximum
Rent 128 20.320 0.544 6.154 9.000 15.250 20.000 25.000 32.000
Distance 128 2.446 0.148 1.631 0.250 1.000 2.000 4.000 6.250
Advert 128 2285.5 59.5 672.9 1100.0 1832.5 2070.0 2970.0 3600.0
Weekend 128 157020 7400 83717 10540 89661 143539 216714 398456
Weekday 128 90372 5081 57488 3457 44208 85595 132630 287345
Total Monthly
Sales
128 247392 12416 140469 14098 133002 228319 354166 624896
The average monthly advertising expenses was found to be £2,285.5 with the highest recorded
expense being £3,600 and the lowest advertising expenses being £1,100. The average monthly
weekend sales were found to be £157,020 while the average monthly sales for the weekday was
found to be £90,372. Highest monthly sales for the weekend was found to be £398,456 while for
the weekend it was £287,345. Combining the weekend sales and the weekday sales, the average
total sales was found to be £247,392.
Frequency distributions
In terms of the chain distribution, most of the chains (n = 44) in the study were chain B. Chains
A and C were both represented by 42 chains in total.

Figure 1: Bar chart of Chain
In terms of gender distribution of the chain managers, majority of the chains (75%, n = 96) were
managed by male managers. 25% (n = 32) were managed by female managers.
Figure 2: Pie chart of gender
For the regional location, it was established that most of the cinemas were in England (39.1%, n
= 50) Scotland came second (33.6%, n = 43) and the third was Wales (27.3%, n = 35).