Data analytics has been increasing in popularity as businesses realized these techniques provide unique insights that they would otherwise be unlikely to see. There are four main categories of data analytics each with its own benefits, complexities, and corresponding levels of insight provided to users. Which of the following is the most likely reason a company would choose to use diagnostic analytics?
A) They need to examine past results and observe trend for a specific outcome.
B) They need to know what they can do about a situation to achieve a desired outcome in the future.
C) They need to look at past data and gain an understanding of why something occurred.
D) They would like to have a better understanding of something that is likely to occur at some point in the future.

Question

Quizplus · Accepted Answer

This question requires familiarity with the four categories of data analytics and when and how to use each. Choice C is correct because it represents an accurate reason that a company would use diagnostic analytics to address a specific concern. The remaining choices are incorrect because they each deal with one of the other three categories of analytics.

Data Analytics Has Been Increasing in Popularity as Businesses Realized