Investing Answers Building and Protecting Your Wealth through Education Publisher of The Next Banks That Could Fail
Investing Answers Building and Protecting Your Wealth through Education Publisher of The Next Banks That Could Fail

Data Mining

What it is:

Data mining refers to the systematic software analysis of groups of data in order to uncover previously unknown patterns and relationships.

How it works (Example):

So called because of the manner in which it explores information, data mining is carried out by software applications which employ a variety of statistical and artificial intelligence methods to uncover hidden patterns and relationships among sets of data. For instance, a data mining program might be able to uncover a relationship between high sales volumes and poor weather conditions.

Why it Matters:

Data mining software is able to perform complex calculations and analyses on sets of data in a very short time. For this reason, data mining is used by companies in strategic planning.