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UNIT 4 IP Portion of GP - Term Paper Example

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lysis is used for various purposes: segmenting the markets and determining target markets, product positioning and new product development and selecting test markets. Cluster analysis is used in many restaurants, especially those that cater to people of different race. As in America, people of different races frequent famous restaurants. Thus, the cluster technique can be used to segment the market into these different races. The owners and managers then can specifically suit the need the specific race as to their eating habits and their tastes.
Factor analysis is also used by business especially to analyze a large volume of measurements and to search for their interrelationships. “A restaurant chain might gather and conduct factor analysis for a large volume of data on consumer preferences in order to determine the relative importance of portion size, pricing, and perceived quality” (LoveToKnow, Corp.).
On the other hand, multi-dimensional scaling is used “to detect meaningful underlying dimensions that allow the researcher to explain observed similarities or dissimilarities (distances) between the investigated objects” (StatSoft, Inc).
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In this paper, we discuss at least three of this statistical analysis as used in the business, with focus on cluster analysis technique.
“The term cluster analysis (first used by Tryon,…
UNIT 4 IP Portion of GP
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