Introduction to Business Analytics- Exam Chapter 1 with Answers

Descriptive Analytics - Answer-the use of data to understand past and current business performance and make informed decisions Predictive Analytics - Answer-predict the future by examining historical data, detecting patterns or relationships in these data, and then extrapolating these relationships forward in time Prescriptive Analytics - Answer-identify the best alternatives to minimize or maximize some objective Business Analytics is the use of... - Answer--data -information technology -statistical analysis -quantitative methods -mathematical or computer based models to help managers gain improved insight about their business operations and make better, fact-based decisions Pricing - Answer-setting prices for consumer and industrial goods, government contracts, and maintenance contracts Customer segmentation - Answer-identifying and targeting key customer groups in retail, insurance, and credit card industries Merchandising - Answer-determining brands to buy, quantities, and allocations Location - Answer-finding the best location for bank branches and ATMs, or where to service industrial equipment Social Media - Answer-understand trends and customer perceptions; assist marketing managers and product designers Benefits - Answer--reduced cots -better risk management -faster decisions -better productivity -enhanced bottom-line performance such as profitability and customer satisfaction Challenges - Answer--lack of understanding of how to use analytics -competing business priorities -insufficient analytical skills -difficulty in getting good data and sharing information