Explore BrainMass

# Cluster Analysis

Cluster analysis is the task of grouping a set of objects in such a way that objects in the same group are more similar to each other than to those in other groups. It is not one specific algorithm, but the general task to be solved. It can be achieved by various algorithms, that different significantly in their notion of what constitutes a cluster and how to efficiently find them. Clustering can be formulated as a multi-objective optimization problem. The appropriate clustering algorithm and parameter setting depends on the individual data set and intended use of the results. It is not an automatic task but an iterative process of knowledge discovery or interactive multi-objective optimization that involves trial and failure.

Due to the fact the cluster cannot be defined, there are many clustering algorithms. The common denominator is a group of data objects. Different researchers employ different cluster models and for each of these cluster models, a different algorithm can be given.

Clustering algorithms can be categorized based on their cluster models.  Not all provide models for their clusters and can thus not easily be categorized. There is no objectively correct clustering algorithm. The most appropriate clustering algorithm for a particular problem often needs to be chosen experimentally unless there is a mathematical reason to prefer one cluster model over another.

### The Increase in ESS by Applying Ward's Method to Four Clusters

Use Ward's method to cluster the four items whose measurements on a single variable X are given in the following table. See attached (a) Initially, each item is a cluster and we have the cluster Show that ESS=0, as it must (b) If we join cluster {1} and {2}, the new cluster {12} jas see attached (c) Complete the las

### A Dendrogram using Single Linkage and Hierarchical Procedures

Sample correlations for five stocks are given. Treating the sample correlations as similarity measures, cluster the stocks using the single linkage and complete linkage hierarchical procedures. Draw the dendrogram and compare the results. JPMORGAN Citibank WellsFargo

### Factor Analysis, Cluster and Multidimensional Analysis

Give an example of a situation in which factor analysis, cluster analysis, and multidimensional analysis might be used.

### Hierarchical Cluster Analysis with SPSS

Need to conduct a simple hierarchical cluster analysis in which variables (rather than cases) are clustered, for the 15 efficacy questions (effic1 to effic15) from the file attached, using all standard defaults and without standardization (Please do not use SPSS 15 - I have SPSS 14 and I can't open the files that were done in

### MS Excel as a Tool for Interpreting Data

1. Describe ways in which the use of MS Excel as a tool for interpreting data can be used by a manager of an organization. 2. What potential legal and ethical issues could arise if the information gained in this survey was used to create an ideal profile of characteristics that the company looked for when hiring employees?