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Fuzzy Clustering

Classical clustering techniques are well known. They allow the classification of a number of observations into a few groups on the basis of their characteristics.

 

The classifications that result have a number of weaknesses:

  • They are black and white

  • They often use restricted amounts of information

  • It can be hard to produce a sensible classification

Volterra has carried out a lot of empirical work applying clustering techniques using fuzzy logic. These include:

  • Allow overlap between different segments

  • Can handle more useful information

  • Generally produce fewer segments

  • Provide a sense of the strength of the difference between groups

  • Can analyse how much change is necessary for an individual observation to move to a different category

The techniques are relevant to a number of commercial applications and have also been used to analyse university performance for the Times Higher Educational Supplement. Work using fuzzy clustering includes: Economic Geography of Great Britain, Retail Locations, Universities, Social & Economic Structure of the South East.