What is a chi-squared test?
Question
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Answer ( 1 )
A chi-squared test basically helps to understand the relationship between
2 categorical variables and helps us in determining if they really depend on one
another.
Example:
Brand A Brand B
Men 100 20
Women 15 82
In this example, without performing any test, we can see that
Men prefer Brand A and women prefer Brand B. So, Gender
does play a role in brand preference.
The data in this example is clearly inclined towards their respective categories,
but when you have data which does not give a clear picture or there many categories
instead of just 2 , you will need to perform chi-square test to determine the dependency.