Reply to discussion board post. 200ish words

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Reply to bold reply see below:

Initial post question:

Provide an example based on your professional experience of a situation in which using a multiple regression model or nonlinear regression model may have helped your organization make a better decision.

Re:Topic 4 DQ 1

I worked as the club manager in Germany when I was
stationed there in the military. When I took over, the club was making
an insane profit. The previous club manager had been allowed to do
almost anything he wanted since he was running a very successful
operation. Shortly after I took over, I found out that a large portion
of our sales were thanks to a rather lenient customs policy. The main
bulk of our funds were from the German soldiers at our base purchasing
cigarettes from us at a fraction of the cost on the economy.

Not long after I took over, the customs began cracking
down, which prevented us from selling to the locals. Before long, the
huge surplus we had was gone. Had our leadership run a basic multiple
regression, they could have learned where our money was coming from
and taken steps to improve the other cash generating programs.
Instead, I was left with no money for operation and a lot of broken
programs to fix. It took a significant amount of time to get the club
operating the way it should have.

“To determine which of the independent variables
in a multiple regression model is significant, a significance test on
the coefficient for each variable is performed” (Render et al., 2015, p. 130). If we had run the
multiple regression on the areas of our club’s sales, we would
have seen a very significant R², while the other
areas would have been extremely low. That would have given us the
opportunity to improve the operation while we still had a steady
influx of cash from the sale of the cigarettes.

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