Fast algorithm for mining item profit in retails based on microeconomic view

The microeconomic framework for data mining assumes that an enterprise chooses a decision maximizing the overall utility over all customers. In item selection problem, the store wants to select J item set S that maximizes the overall profit. Based on the microeconomic view, we propose a novel algorithm ItemRank to solve the problem of item selection with the consideration of cross-selling effect which has two major contributions. First, we propose customer behavior model, and demonstrate it with the data of customer-oriented business. Second, we propose the novel algorithm ItemRank which is implemented on the basis of customer behavior model. According to the cross-selling effect and the self-profit of items, ItemRank algorithm could solve the problem of item order objectively and mechanically. We conduct detailed experiments to evaluate our proposed algorithm and experiment results confirm that the new methods have an excellent ability for profit mining and the performance meets the condition which requires better quality and efficiency