EXCITE CONDOMS RURAL LAUNCH

HYPOTHESIS TESTING (USING ONE SAMPLE

T TEST)

CURRENT SITUATION
Generally people are not much open to talk about or use condoms in rural market, but
after so many sessions conducted in the villages these days people now are little aware
of this term and try and use this preventive measure to have safe sex.
We are Excite Condoms, and we want to expand into the rural market
To launch the product in the rural market, especially for a product like condoms we
have to conduct a research to find out about the awareness about condoms in villages.
We have taken up the village Bhatona in the NCR region as it is closest to our
manufacturing plant.
The total Population of Bhatona is of 250 people.
We have done a Hypothesis testing for proportion for one sample using small

sample

DATA COLLECTION
For data collection we are using Systematic sampling Method and
randomly we are conducting this survey in the village Bhatona
where we will be asking the survey questions to the villagers.
Our total population is of 250 villagers (residents of Bhatona) and
among them we will systematically select 25 villagers (By using
systematic sampling where k=10; hence choosing every 10th
person in the village) which will be used to come up with the result.
If 40% or more of people surveyed found to be aware of the term
and are likely to accept our product and use it, then we will launch
our product in the rural market, else we will first have to take more
sessions and make them aware of it and later on come up with an

FLOW CHART OF WORK

Define the information needed
Choose the suitable method of research
Specify the sampling process
Design the questionnaire
Gather Data

Data Analysis

METHODOLOGY

Samplin
g
-Cluster
(Geographical)
-Systematic
(n=25)

Type

Researc
h
Design

Statistical
Design

Exploratory
Research
-Survey

Use this
research
to do
Simulate
d Test
Marketing
to
minimize
risk

RELEVANCE
t-test has been used because we have a small sample (n<30)
We have chosen the village Bhatona as our target group for this
survey. Of a total of 250 people, we will choose every 10 th household,
thus making the sample size 25 . Keeping this in mind, our survey was
handed out to 25 members of this village.
We have chosen to use the geographical cluster of the village Bhatona
in the NCR region as it is closest to our manufacturing plant (in Okhla).
We are using Statistical Design because it concerns with the question of
how many items are to be observed and how the information and data
gathered are to be analyzed(nominal, ordinal, interval and ratio)
We are using Exploratory Research as some facts are known, but
more information is needed for developing a viable theoretical
framework

CALCULATIONS
As per survey conducted for 25 members of a village,
belonging to the mentioned demographic segment,
Bhatona. Out of the 25 people, 16 said that theyd prefer
other means of contraception.
We want to launch our product in this village and later on
in other villages. If we find that 40% or more people know
about condoms we will go ahead with our decision to
launch our product in Bhatona. To find out if there is
enough awareness about our product, we test this data.

n=25, p=16/25=0.64, LOS=10%, P=40%

 Step 1:
Null hypothesis:
H0: The proportion of villagers who prefer condoms to other contraceptives is
not more than 40%.
H0 =Ph0 40%
Alternate hypothesis:
H1: The proportion of villagers who prefer condoms to other contraceptives is
at least 40%.
H1 = Ph0 >40%
Step 2:
Since n=25 (<30), the case is tested using t-statistic.
Step 3:
Standard error of Sample proportion,
p = sqrt (Ph0 (1- Ph0)/n) = sqrt ((0.4*0.6)/25)

 Step 4:
Observed value of t-statistic,
tobs = (p-Ph0)/ p
= (0.64-0.40)/0.09798
= 2.4495
tobs = 2.4495
Step 5:
With 10% LOS (90% Level of confidence), = 10%, the critical value of tstatistic, with n-1= 24 degrees of freedom,
tcr= 1.711
Step 6:
Since tobs falls outside the critical region, we REJECT the null hypothesis
that the
proportion of villagers who prefer condoms to other
contraceptives is not more than 40%. We ACCEPT the alternate hypothesis.

GRAPHICAL
REPRESENTATION

RESULTS
By the result of the hypothesis testing, we find
that there is a reasonably good level of awareness
among the villagers about condoms.
Hence, we have decided to go ahead with the
launch of Excite Condoms in the village
Bhatona
Based on the success of the product here, we will
decide on the future course of whether to launch
Excite Condoms in other nearby villages or not.

Thank You