Chapter 4. Linear Regression for Business
Linear regression is a powerful tool that enables the business analyst to perform data analytics and business intelligence. Linear regression is a statistical technique to represent relationships between two or more variables using a linear equation. You can use linear regression to predict an outcome, given some input. This chapter covers five topics that will give you the skills to use this technique in your analyses:
- Understanding linear regression
- Checking model assumptions
- Using a simple linear regression
- Refining data for simple linear regression
- Introducing multiple linear regression
Together, these topics provide a building-block approach to not only teach you the skills to build linear models, but also shape your analytical thinking. Using this approach with other datasets will help you to keep practicing these skills.
Note
Use case: The Marketing Dataset
The marketing manager has asked you to analyze marketing data to provide...
