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These techniques are applied when the rows and the columns of the data table represent the same units and when the measure is a disiance or a similarity. The goal of the analysis is to represent graphically these distances or similarities. Multidimensional Scaling (MDS) is used to represent the units as points on a map such thbt their Euclidean distances on the map approximate the original similarities- (classic MDS, which is equivalent to PCA, is used for distances, nnnmetric MDS for similarities)'. Additive tree analysis and cluster analysis free used to reprcsent the units as "leaves" of a tree with the distance on the tree" approximating the original distance or similarity.
Classification of Universe The universe may be classified either on the basis of number of units and on the basis of existence of units as is clear from the following chart :
Theories of Business forecasting
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