Dummy variables have been employed frequently in strategy research to capture the influence of categorical variables. However, misinterpretation of results may arise, especially when interaction ...

The use of dummy variables requires the imposition of additional constraints on the parameters of regression equations if determinate estimates are to be obtained. Among the possible constraints the ...

A two-valued qualitative variable can be represented by a single 0-or-1-valued "dummy" variable. If a qualitative variable has three or more possible values (e.g., make-of-car, or marital-status), ...

At times it is desirable to have independent variables in the model that are qualitative rather than quantitative. This is easily handled in a regression framework. Regression uses qualitative ...