Customer and Business Analytics

Chapter 9

Putting It All Together

At this point you have had an opportunity to gain some experience using the data mining tools contained in R and R Commander. Given this basic background, the primary goal of this chapter is to provide you with a framework that will allow you to rapidly develop a reasonably good model. A model can usually be improved by devoting more effort to it, but there are diminishing marginal returns to this effort. The popular 80/20 rule applies, and the “reasonably good” model is sometimes referred to as the “80% model,” implying that with 20% of your modeling time and effort you will get the first 80% of the return, and it will take 80% of your time to get the remaining 20% return (that results in the best possible model). ...