Data Science for Business

Deduction starts with general rules and specific facts, and creates other specific facts from them.

In common usage, prediction means to forecast a future event. In data science, prediction more generally means to estimate an unknown value.

Database queries are appropriate when an analyst already has an idea of what might be an interesting subpopulation of the data, and wants to investigate this population or confirm a hypothesis about it.

Some involve the application of information technology, such as the automated discovery and evaluation of patterns from data, while others mostly require an analyst’s creativity, business knowledge, and common sense

Fundamental concept: If you look too hard at a set of data, you will find something—but it might not generalize beyond the data you’re looking at

Cross Industry Standard Process for Data Mining, abbreviated CRISP-DM (CRISP-DM Project, 2000), is one codification of this process.

Data-driven decision-making (DDD) refers to the practice of basing decisions on the analysis of data, rather than purely on intuition

the context of supervised segmentation, we consider the information gained by splitting the set on all values of a single attribute.

Entropy is only part of the story. We would like to measure how informative an attribute is with respect to our target: how much gain in information it gives us about the value of the target variable. An attribute segments a set of instances into several subsets.

If every member of a group has the same value for the target, then the group is pure.