COMMERCE 3MA3 Chapter Notes - Chapter 3: Artificial Neural Network, Decision Support System, Marketing Mix

• School: McMaster University
• Department: Commerce
• Course: COMMERCE 3MA3
• Professor: Mohammad Hossein Tajvarpour

Document Summary

Secondary data: data that have been previously gathered. Primary data: new data gathered to help solve the problem under investigation. Internal database: a collection of related information developed from data within the organization. Database marketing: marketing that relies o(cid:374) the (cid:272)reatio(cid:374) of a large (cid:272)o(cid:373)puterized le of (cid:272)usto(cid:373)ers" a(cid:374)d pote(cid:374)tial (cid:272)usto(cid:373)ers" pro les a(cid:374)d pur(cid:272)hase patter(cid:374)s to (cid:272)reate a targeted (cid:373)arketi(cid:374)g (cid:373)i(cid:454). Neural network: a computer program that mimics the processes of the human brain and thus is capable of lear(cid:374)i(cid:374)g fro(cid:373) e(cid:454)a(cid:373)ples to (cid:374)d patter(cid:374)s i(cid:374) data. Data mining: the use of statistical and other advanced software to discover non-obvious patterns hidden in a database. Data mining has many potential uses in marketing. Those with widest application include the following: customer acquisition, custo(cid:373)er rete(cid:374)tio(cid:374, custo(cid:373)er a(cid:271)a(cid:374)do(cid:374)(cid:373)e(cid:374)t, market (cid:271)asket a(cid:374)al(cid:455)sis. Behavioural targeti(cid:374)g: the use of o(cid:374)li(cid:374)e a(cid:374)d of i(cid:374)e data to u(cid:374)dersta(cid:374)d a (cid:272)o(cid:374)su(cid:373)er"s habits, demographics, and social networks in order to increase the effectiveness of online advertising.