6. What Is Predictive Analytics?

Chapter objectives:

• Explain what logic-driven models are used for in business analytics (BA).

• Describe what a cause-and-effect diagram is used for in BA.

• Explain the difference between logic-driven and data-driven models.

• Explain how data mining can aid in BA.

• Explain why neural networks can be helpful in determining both associations and classification tasks required in some BA analyses.

• Explain how clustering is undertaken in BA.

• Explain how step-wise regression can be useful in BA.

• Explain how to use R-Squared adjusted statistics in BA.

6.1 Introduction

In Chapter 1, “What Is Business Analytics?” we defined predictive analytics as an application of advanced statistical, information software, ...

Get Business Analytics Principles, Concepts, and Applications with SAS: What, Why, and How now with the O’Reilly learning platform.

O’Reilly members experience books, live events, courses curated by job role, and more from O’Reilly and nearly 200 top publishers.