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What is Categorical Regression

Chapter 7
Handbook of Research on Digital Marketing Innovations in Social Entrepreneurship and Solidarity Economics
A type of regression that quantifies categorical data by assigning numerical values to the categories, resulting in an optimal mathematical adjustment for the transformed variables.
Published in Chapter:
Proposal of a Business Model Based on the Triple Business Performance-E
Carlos Ricardo Rey-Campero (Universidad Externado de Colombia, Colombia)
Copyright: © 2019 |Pages: 21
DOI: 10.4018/978-1-5225-8939-6.ch007
Abstract
This chapter aims to analyze the relationship between business models and dynamic capabilities in firms of the systems development sector of Bogota (Colombia). Based on the theoretical framework of business models, the author applies an analysis based on principal categorical components and categorical regression. Results show a correlation between the elements of the business model (strategy and dynamic capabilities) and business performance. In conclusion, the author proposes a business model endowed with efficiency, effectiveness, and efficacy for newly created micro, small, and medium-sized family firms that highly correlates with business performance.
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