Comparing And Contrasting The Linear Regression Analysis Theory And Pearson’s Product Moment Correlation Analysis Theory In Inferential Statistics

Abstract

This article takes a comparison and contrast of the correlation and regression theories in inferential statistics.The article uses the two theories on the relationship between customer services and volumes of sales at Kamwanyi B, restaurant in Kabalagala, Kampala, Uganda. The methods of data collection were by structured and un structured interviews with the use of a structured interview guide, which was administered to the restaurant management and at the same time the owners. The analysis was done using Ms Excel spread sheet, correlation and regression analysis was run and results indicated similarities in the results with r = 0.95 and also R2= 0.95, which implied a very high positive relationship between customer services and volumes of sales at the restaurant. Hypotheses were tested for both correlation coefficient(r) and the regression slope b1, with the level of significance of 0.01 (99%) and in both cases the results indicated a rejection of the null hypotheses and accepting the alternative, which affirmed that there was a positive strong linear relationship between the IV and the DV