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Measurement Problems in Cluster Analysis

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  • Donald G. Morrison

    (Columbia University)

Abstract

In the first part of this paper we will review and modify the cluster analysis procedure presented by Green, Frank and Robinson [Green, P. E., R. E. Frank, P. J. Robinson. 1967. Cluster analysis in test market selection. Management Sci. 13 (8, April) B387-B400.] in a recent issue of this journal. In revising their procedure, we will raise some very fundamental questions with respect to cluster analysis in particular and multivariate statistics in general. The scale that we use in measuring the input variables (e.g., age, income, education, etc.) will affect the results. The question is: "How do we scale the input variables so that the results are `meaningful'?" We will see that some of the usual methods that are used to give statistically meaningful results will not assure us of managerially meaningful results. Finally, a possible "solution" along with its advantages and disadvantages over standard techniques will be presented.

Suggested Citation

  • Donald G. Morrison, 1967. "Measurement Problems in Cluster Analysis," Management Science, INFORMS, vol. 13(12), pages 775-780, August.
    • Handle: RePEc:inm:ormnsc:v:13:y:1967:i:12:p:b775-b780
    DOI: 10.1287/mnsc.13.12.B775
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    Cited by:

    1. Katerina Bezrukova & Karen A. Jehn & Elaine L. Zanutto & Sherry M. B. Thatcher, 2009. "Do Workgroup Faultlines Help or Hurt? A Moderated Model of Faultlines, Team Identification, and Group Performance," Organization Science, INFORMS, vol. 20(1), pages 35-50, February.
    2. Elaine Zanutto & Katerina Bezrukova & Karen Jehn, 2011. "Revisiting faultline conceptualization: measuring faultline strength and distance," Quality & Quantity: International Journal of Methodology, Springer, vol. 45(3), pages 701-714, April.
    3. Sherry M.B. Thatcher & Karen A. Jehn & Elaine Zanutto, 2003. "Cracks in Diversity Research: The Effects of Diversity Faultlines on Conflict and Performance," Group Decision and Negotiation, Springer, vol. 12(3), pages 217-241, May.
    4. Sharon Weinberg & Peter Bryant & Glenn Milligan & Richard Church & A. Gordon & Gildas Brossier & Brigitte Escofier & Kathleen Carley & Frank Critchle, 1989. "Book reviews," Journal of Classification, Springer;The Classification Society, vol. 6(1), pages 279-306, December.
    5. Karen Blackmore & Keith Nesbitt, 2013. "Verifying the Miles and Snow strategy types in Australian small- and medium-size enterprises," Australian Journal of Management, Australian School of Business, vol. 38(1), pages 171-190, April.
    6. Eric Molleman, 2005. "Diversity in Demographic Characteristics, Abilities and Personality Traits: Do Faultlines Affect Team Functioning?," Group Decision and Negotiation, Springer, vol. 14(3), pages 173-193, May.

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