GEMINI ENTERPRISES

Q#1: The characteristics of greatest importance in predicting who will or will not purchase ETB are the characteristics 1-10 labeled "major" by Gemini. These characteristics are known to be related to buyer behavior associated with Gemini consumer products.

Q#2: The three characteristics that appear to be the most among these 10 characteristics are 1 (consecutive nonresponse to previous Gemini mailings), 3 (consecutive responses), and 7 (total dollars spent on all mail purchases). Characteristics 1 and 3 reflect buyer perceptions of Gemini consumer mail offerings, while characteristic 7 reflects the willingness of buyers to make substantial purchases through the mail.

Q#3: The best approach to the development of answers for questions 1 and 2 would be to conduct a factor analysis in which characteristics 1-10 would be assessed within the context of characteristics 11-21. The socio-economic variables would likely would be the best characteristics to use among characteristics 11-21 because four factors are explainable by 50 variables, which provides the smallest ratio between factors (dependent outcomes) and variables (independent inputs) among characteristics 11-21 when classified as "residence," "people," and "socio-demographic."

Q#4: The factors that should be considered in the selection of a similar product are price range, function, and degree of technological sophistication required of user. Each of these three factors are highly relev

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