Forecasting and Business Analysis

The data contained in the spreadsheet “Corner Store.xls” provide information relating to the gross monthly sales of a hypothetical corner store chain. Each observation in the data represents a corner store at a different location.

You have been approached by the owners of this corner store chain to conduct a
statistical analysis. They are looking to open new corner stores in several areas where
they are currently not operating. Hence, they are interested in the determinants of gross
sales, and in predicting the characteristics of the areas they should be considering for the
establishment of new corner stores.

Task
Write a report for the corner store chain owners. The report should provide a brief
summary of the data, justification of the variable(s) that you consider to be relevant, and
analysis of your results (including your interpretation of the results and any diagnostic
tests you have conducted). You should also highlight any limitations in your analysis and
suggestions for improving this research that you feel to be appropriate.