I have a data having 2 continuous and 4 categorical variables. Each categorical variable has 3 levels. I want to know how to include the variables in the model. I am using SPSS
- Sales - Dependent Variable
- Retail Price
- Location : TX, CA, PY
- Display Location in Store : DL1, DL2, DL3
- Price Point : 2.5, 4.5, 1.0
I have created 9 dummy variables. 3 for Location, 3 for Display Location in Store and 3 for Price Point.
I am confused on how to use these independent variables. How to add the independent variables into the models. Should I add all the nine dummy variables or two dummy variables of each categorical variables along with Retail Price.
I searched on net but , did not get any solution. I would appreciate any kind of help.
Thanks in advance.