Importance of Hypothesis Testing in Quality Management

Essentially good hypotheses lead decision-makers like you to new and better ways to achieve your business goals. When you need to make decisions such as how much you should spend on advertising or what effect a price increase will have your customer base, it's easy to make wild assumptions or get lost in analysis paralysis. A business hypothesis solves this problem, because, at the start, it's based on some foundational information. In all of science, hypotheses are grounded in theory. Theory tells you what you can generally expect from a certain line of inquiry.