Chapter 6

Association Analysis


In the retail industry, market basket analysis explores the relationship between products by considering the co-occurrence of purchases in previous transactions. Association analysis is a generalization of applications like market basket analysis and is now commonly applied in clickstream analysis, cross-selling recommendation engines, and information security. Association analysis is an unsupervised data mining technique where there is no target variable to predict. Instead, the algorithm reviews each transaction containing a number of items (products) and extracts useful relationship patterns amongst the items in the form of rules. The challenge in association analysis is to differentiate a significant observation ...

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