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To: astyanax; jennyjenny

Here’s the link:

http://directorblue.blogspot.com/2009/05/dealergate-statistical-evidence-that.html


41 posted on 05/28/2009 11:48:24 AM PDT by TenthAmendmentChampion (Be prepared for tough times. FReepmail me to learn about our survival thread!)
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To: TenthAmendmentChampion

Just a heads up that there are some errors in the statistics provided in the RLJ analysis on that page. The blogger applies overall population percentages to local markets. This creates a problem. For example, in a random pull, the odds that all three dealers in Bentonville will be among the 789 closed are .25*.25*.25 = .015. But we know in reality that at least one of those dealerships will remain open, so the population percentages do not apply. The odds of the RLJ dealership remaining open in Bentonville are 1 in 3 if done randomly. This of course ignores any factors such as sales and performance. Given some of the money behind this group (Bob Johnson is a billionaire) these dealerships might be better capitalized and better performing than some of their competitors. There may be corruption or it may be performance based. Further investigation will tell.


42 posted on 05/28/2009 12:06:32 PM PDT by NC28203
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