Business Decision Making: Data Visualization and Interpretation Report

This report provides an analysis of business data using various visualization techniques, including column charts, bar charts, scatter diagrams, and trend lines. The column chart demonstrates the relationship between sales and advertising expenses, showing a direct correlation where increased advertising leads to higher sales. The bar chart illustrates the relationship between sales and profit, indicating a proportional relationship between these variables. The scatter diagram depicts the relationship between the total number of customers and loyal customers, highlighting the importance of customer retention for business growth. The trend line serves as a forecasting tool, predicting future sales based on existing market trends. The report also includes references to academic sources supporting the analysis. This report aims to provide insights into data-driven decision-making in a business context, showcasing how different data visualization methods can aid in understanding market dynamics, sales performance, and customer behavior.

BUSINESS DECISION MAKING

TASK 3

COLUMN CHART
Year 1 Year 2 Year 3 Year 4
0
100000
200000
300000
400000
500000
600000
100000
200000
300000
500000
50000
80000 110000
140000
Sales
Advertising

INTERPRETATION
Column chart is one of a form of presentation
of data which helps in creating relationship
among two variables such as sales and
advertising. It shows direct relationship that
increase in the advertising expense will help
in inducing the amount of the sales and the
revenue. In the above case, the increasing
sales are due to the brand image of the firm
in its external market the amount of sales
has increases from one year to another.

BAR CHART
Year 1
Year 2
Year 3
Year 4
0 100000 200000 300000 400000 500000 600000
100000
200000
300000
500000
20000
60000
100000
140000
Profit
Sales

INTERPRETATION
Bar chart is another form of presentation of
data in which cause and effect relationship
has been shown from the above figure. This
figure shows that sales and the profit
incurred in an entity have direct proportion to
each other both these variable will affect
each other. It has been shown that the
absolute amount of sales is higher as
compared with the profit earned by the
business in a particular year.

SCATTER DIAGRAM
0.5 1 1.5 2 2.5 3 3.5
0
50
100
150
200
250
Total Number of customers
Loyal customers

INTERPRETATION
Scatter diagram shows the impact of one variable
over other which indirectly affects the overall aim of
the business (Graham, Harvey and Puri, 2015). The
main aim of the business owner is to achieve higher
market position by satisfying all of its existing and
potential customers. This figure shows the
relationship between two of the components which
runs on parallel basis in order to improve the
existing business entity’s performance. It also
reveals that total number of customers in all these
locations is higher as compared with the trusted and
loyal customers retain with the existing business.
The increasing numbers of customers will
strengthen the current business entity of the
restaurant owner.

TREND LINE
Year 1 Year 2 Year 3 Year 4
0
100000
200000
300000
400000
500000
600000
f(x) = 113333.333333333 x
R² = 0.988034188034188
Sales
Linear (Sales)
Advertising

INTERPRETATION
Trend line will act like a forecasting tool which
helps in determining the sales of the future
year on the basis of existing trend running in
the external market. This helps an individual
in order to predict their future sale which
helps in improving the existing business by
attracting its variety of customers towards
this entity. The above trend shows that the
sales achieved by the business are increasing
from one period to another.

REFERENCES
 Boulay, A. M., et.al., 2015. Analysis of water use impact
assessment methods (part B): applicability for water
footprinting and decision making with a laundry case
study. The International Journal of Life Cycle Assessment.
20(6). pp.865-879.
 Craft, J. L., 2013. A review of the empirical ethical
decision-making literature: 2004–2011. Journal of
Business Ethics. 117(2). pp.221-259.
 Graham, J. R., Harvey, C. R. and Puri, M., 2015. Capital
allocation and delegation of decision-making authority
within firms. Journal of Financial Economics. 115(3).
pp.449-470.
 Hwang, C. L. and Yoon, K., 2012. Multiple attribute
decision making: methods and applications a state-of-the-
art survey (Vol. 186). Springer Science & Business Media.

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