Evaluation of the Contemporary Issues in Data Mining and Data Warehousing

Abstract

Over the past years data warehousing and data mining tools have evolved from research into a unique and popular business application class for decision support and business intelligence. This paper focuses on presenting the applications of data mining in the business environment. It contains a general overview of data mining, providing a definition of the concept, enumerating six primary data mining techniques and mentioning the main fields for which data mining can be applied. The paper also presents the main business areas which can benefit from the use of data mining tools, along with their use cases: retail, banking and insurance. Also the main commercially available data mining tools and their key features are presented within the paper. Theoretical and empirical literature was reviewed and various gaps in literature were identified. Besides the analysis of data mining and the business areas that can successfully apply it, the paper suggested and concluded that firms and scholars need to carry out more empirical research in the area of integrity of data mining and data warehousing since this will help eliminate marketing errors in operations and practice.