© Serials Publications
ISSN 0973-7448
APPLICATION OF FUZZY DATA MINING IN THE PREDICTION OF
BUSINESS TRENDS
Jugendra Dongre
1
, G L Prajapati
2
and S. V. Tokekar
2
1
International Institute of Professional Study, Devi Ahilya University, Indore (M. P.) India
2
Institute of Engineering and Technology, Devi Ahilya University, Indore (M. P.) India
E-mails: jugendra_kumar@rediffmail.com, glprajapati1@gmail.com, sanjivtokekar@yahoo.com
Abstract: As far as the study of manpower resources is increasing, driving useful information and helpful knowledge from
databases are evolving into an important research area. Knowledge discovery in databases plays an important role in
finding the future trends in retail sector. In this paper, we use fuzzy data mining approach for predicting business trends. The
concept of fuzzy logic in data mining may leads to a better result as compared to crisp logic. This work also analyzes the
customer historical data to evaluate the customers’ trends. According to the customer behavior we apply fuzzy computing in
terms of fuzzy rules through managing quantitative data to infer more general and important knowledge from data.
Keywords: Data Mining, Fuzzy Data Mining, Knowledge Discovery in Databeses, Fuzzy Logic
I J C S S A Vol. 6, No. 2, July-December 2012, pp. 115-119
1. INTRODUCTION
Data mining has useful business applications such as
finding useful hidden information from databases,
predicting future trends, and making good business
decisions [1] [4] [5]. Soft computing techniques such
as fuzzy logic, rough sets, and neural networks are
useful in data mining [l] [7]. Granular computing
techniques [2] [3] [9] can be used in data mining
applications [2] [3] [6] [8].
Data Mining is the process of discovering new
correlations, patterns, and trends by digging into large
amounts of data stored in warehouses, using artificial
intelligence like fuzzy logic. Data mining can also be
defined as the process of extracting knowledge hidden
from large volumes of raw data. The alternative name
of Data Mining is Knowledge discovery in databases
(KDD), knowledge extraction, data/pattern analysis,
etc. The importance of collecting data that reflect the
business.
In this study, we use the historical data of customers
and then feedback it to decision making for finding
the future trends for batter business. From the
association rule of fuzzy data mining we can know what
the most customers prefer.
Increased competition, demanding customers, and
flat sales are just a few of the challenges faced by the
retail industry. These are compounded with the fact
that many retailers don’t have an in-depth
understanding of customer behavior and buying habits,
which are key factors in determining decisions on
Product, Price, Promotion and Place. To be successful
in this environment, retailers have to develop a good
knowledge about their profitable customers and
customer segments, and devise effective strategies to
acquire, retain and grow customer value. We provide
the retail industry a comprehensive suite of integrated
knowledge discovery, predictive modeling, and strategy
development software programs that are easy to deploy,
learn and use, and that drive significant return on
investment within weeks of deployment. Our predictive
analytics systems empower retail marketing, sales and
risk management organizations to create revenue
opportunities, and reduce risks of loss, at every stage of
the customer life cycle from acquisition and targeting,
through providing the insight to develop products that
are based on a thorough understanding of the target
customer segments, to effectively targeting the right
customers, and determining the right store locations.
2. RELATED WORK
2.1. Fuzzy Logic
Fuzzy logic is a set of mathematical principles for
knowledge representation based on degrees of
membership.