Overview
A jewelry firm wants to submit a bid to purchase a large collection of diamonds but is uncertain how much it should bid. You will use the results from a predictive model to make a recommendation on how much the jewelry company should bid for the diamonds.
Assignment Details
A diamond distributor has recently decided to exit the market and has put up a collection of diamonds up for auction. Seeing this as a great opportunity to expand its inventory, a jewelry firm is interested in making a bid. To determine how much to bid, the firm’s analytics department will use a large database of diamond prices to build a multiple regression model to predict the price of a diamond based on its attributes.
As the business analyst, you are tasked to build the regression model and apply that model to make a recommendation for how much the company should bid for the entire collection of diamonds.