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The Data Analysis Workshop

You're reading from   The Data Analysis Workshop Solve business problems with state-of-the-art data analysis models, developing expert data analysis skills along the way

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Product type Paperback
Published in Jul 2020
Publisher Packt
ISBN-13 9781839211386
Length 626 pages
Edition 1st Edition
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Authors (3):
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Konstantin Palagachev Konstantin Palagachev
Author Profile Icon Konstantin Palagachev
Konstantin Palagachev
Gururajan Govindan Gururajan Govindan
Author Profile Icon Gururajan Govindan
Gururajan Govindan
Shubhangi Hora Shubhangi Hora
Author Profile Icon Shubhangi Hora
Shubhangi Hora
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Toc

Table of Contents (12) Chapters Close

Preface
1. Bike Sharing Analysis 2. Absenteeism at Work FREE CHAPTER 3. Analyzing Bank Marketing Campaign Data 4. Tackling Company Bankruptcy 5. Analyzing the Online Shopper's Purchasing Intention 6. Analysis of Credit Card Defaulters 7. Analyzing the Heart Disease Dataset 8. Analyzing Online Retail II Dataset 9. Analysis of the Energy Consumed by Appliances 10. Analyzing Air Quality Appendix

Clustering

Clustering is an unsupervised learning technique in which you group categorically similar data points into batches, called clusters. Here, we will be focusing on the k-means clustering method.

K-means clustering is a clustering algorithm based on iterations where similar data points are grouped into a cluster based on their closeness to the cluster centroid. This means that the model runs iteratively to find the cluster centroid.

The optimum number of clusters for a dataset is found by using the elbow method.

Method to Find the Optimum Number of Clusters

The logic behind k-means clustering is to define a cluster in such a way that, within the cluster, the sum of square (WSS) is minimized. The smaller the value of WSS, the better the compactness of the cluster. The clusters that are compact have data points that are similar to one another. We will be using the elbow method to find the optimum number of clusters.

The elbow method gets its name from the arm...

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