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Select any dataset ( from a company or public data) relevant that you would like to analyze using the clustering analysis Randomly divide it into

Select any dataset ( from a company or public data) relevant that you would like to analyze using the clustering analysis

  1. Randomly divide it into two chunks 80% and 20% of records.
  2. Select input variables (2 minimum) that you will use for cluster analysis. Provide reasoning for the selection.
  3. Use SPSS or other tool to apply appropriate cluster analysis method to clusters the larger part of the dataset.
  4. Identify clusters and describe their centroids and business meaning.
  5. If classes are poorly identified by the analysis or their business meaning is hard to describe. Change your variable selection and go to the step 3.
  6. For at least 5 records from the remaining smaller part of the dataset identify the closest cluster centroid. That will be a prediction which cluster those records belong too. Note that they have not been used in cluster identification, therefore this prediction will qualify as an example of predictive analytics.
  7. Describe each step and a result of this process, include relevant scripts and outputs produced by the tool you use.

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