Multiple Regression in Practice
Students Name
RSCH 8210: Quantitative Reasoning and Analysis
Walden University
Introduction
The aim of this paper is to critique a peer-reviewed paper that utilized multiple regression. The
review will analyze the reason for using the regression method and why it was chosen over other
methods such as correlation analysis. This paper will discuss the data display that will include,
charts and graphs and whether the data stand-alone.
Critique
“Strategic Management Practices and Performance of Sacco’s In the County Government of
Kakamega, Kenya” is a study that was designed to predict the outcome of performance of
Sacco’s when strategic management practices are utilized (Mukhongo, & Muteshi, 2020).
Multiple regression is a statistical method for explaining the relationship between several
independent or predictor variables and one dependent or criterion variable. A dependent variable
is modeled as a function of many independent variables, each with its coefficients, plus a
constant term. The name "multiple regression" comes from the fact that it involves two or more
predictor variables (Frankfort-Nachmias & Leon-Guerrero, 2020).
The study was guided by a research question that “what is the influence of strategic management
practices on performance of Sacco’s in Kakamega County Kenya?” on the other hand, the
study’s null hypothesis was “strategy evaluation doesn’t have significant impact on performance
of Sacco’s in County Government of Kakamega, Kenya”.
The study’s independent variable is performance of Sacco’s while the dependent variable is
strategic management practices. The authors used multiple regression because they wanted to
show to whether performance of Sacco’s is predicted by strategic management practices.
For this analysis, multiple regression was an excellent choice. The researchers assessed the
influence of various strategic management practices on performance of Sacco’s by using
multiple factors in the results. Researchers and Sacco managers can utilize the findings in future
by using Strategic practices to improve firm profitability resulting to higher rates dividends on
member deposits and timeliness loans disbursement.
The authors presented the study in a straightforward and informative manner to easily
comprehend the details. The results are interpretable and stand-alone. The authors clearly
indicates the relationship between independent and dependent variable key use of regression
method. Strategy evaluation and strategy formulation (strategic management practices) had a
positive and significant influence on performance of Sacco’s in County Government of
Kakamega utilized (Mukhongo, & Muteshi, 2020).
Results
The authors clearly presented regression results. The model constant from the regression model
was positive with a significant value of 0.000 (B = 1.571, Sig = 0.000, < 0.05). Given that the p-
value (0.000) is below 0.05, we rejected the null hypothesis and accepted the alternative, and
concluded that strategy evaluation has a statistically significant impact on the performance of
Sacco’s in County Government of Kakamega, Kenya.
These findings were concurred with study results by Ahmed, and Sasaka, (2019) who argued that
Firms are expected to regularly track their external opportunities and challenges and their
internal vulnerabilities and strengths since they form the foundation of current strategies and help
determine if improvements are needed.
These findings are also similar with Damke,DGimenez,DandDDamke,D(2018) that revealed strategy
evaluation assists the organization's management team in coordinating employee activities
toward clear objectives and strategies for implementation. Effective managers use strategy to
concentrate their attention and resources on the interests of their businesses and provide a
coherent structure that drives decisions and behavior. Finally, managers use strategy to give their
companies a renewed sense of intent.
Conclusion
The authors used multiple regression analysis and presented their findings in a clear format. The
relationship between several independent variables and a dependent variable is investigated
using multiple regression. While multiple regression models allow you to examine the relative
effects of these independent, or predictor, variables on the dependent, or criterion, variable, these
often complex data sets can lead to incorrect conclusions if not properly examined.
References
Ahmed, H. S. H., & Sasaka, P. (2019). Effect of strategic management practices on the
performance of non-governmental organizations: Case of Shabelle Relief &
Development Organization (SHARDO) Mogadishu Somalia.DTheDStrategic Journal of
Business & Change Management,6 (2), 539 – 559.
Damke,DE. J.,DGimenez,DF. A. P., &DDamke,DJ. F. W.D(2018).DStrategic configurations and
performance: A study in micro and small business retailers.DRevista De
Administração,D53(1),D11–22.
Frankfort-Nachmias, C., & Leon-Guerrero, A. (2020). Social statistics for a diverse society (9th
ed.). Sage Publications.
Mukhongo, L. S., & Muteshi, D. C., (2020). Strategic management practices and performance of
sACCO’s in the county government of Kakamega, Kenya. The Strategic Journal of
Business & Change Management, 7(1), 837 – 848.
