Problem

The “Pepsi challenge.” “Take the Pepsi Challenge” was a marketing campaign used by the Pep...

The “Pepsi challenge.” “Take the Pepsi Challenge” was a marketing campaign used by the Pepsi-Cola Company. Coca-Cola drinkers participated in a blind taste test in which they tasted unmarked cups of Pepsi and Coke and were asked to select their favorite. Pepsi claimed that “in recent blind taste tests, more than half the Diet Coke drinkers surveyed said they preferred the taste of Diet Pepsi.” Suppose 100 Diet Coke drinkers took the Pepsi Challenge and 56 preferred the taste of Diet Pepsi. Test the hypothesis that more than half of all Diet Coke drinkerswill select Diet Pepsi in a blind taste test. Use α =.05.

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