Business analytics is the use of data, statistical methods, and analytical techniques to understand business performance and support better decisions. It involves examining information such as sales, customer behavior, costs, operations, and financial results to identify patterns, measure outcomes, and uncover factors that influence performance. Depending on the goal, analysis may describe what happened, investigate why it happened, predict what is likely to happen, or recommend a course of action.
Organizations apply business analytics to areas such as sales forecasting, pricing, customer retention, inventory planning, and financial management. For example, a retailer can analyze purchasing patterns to forecast demand and adjust inventory before a seasonal increase in sales.
