K-Means Clustering

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Euclidean distances

It is commonly used as a method of measuring dissimilarity between quantitative observations.

Euclidean distance can be used to measure the distance between _____ in cluster analysis.

Observations

The data preparation technique used in market segmentation to divide consumers into different homogeneous groups is called

cluster analysis

The strength of a cluster can be measured by comparing the average distance in a cluster to the distance between cluster centroids. One rule of thumb is that the ratio for between-cluster distance to within-cluster distance should exceed what value for useful clusters?

1

In k-means clustering, k represents the

number of clusters

k-means clustering is the process of

organizing observations into distinct groups based on a measure of similarity

A method for modifying variables that reduces bias prior to cluster analysis

standardization

When clustering only by dummy variables that represent categorical variables, the simplest measure of similarity between two observations is called the _____.

the matching coefficient


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