Answer to Question 1
Online analytical processing (OLAP) is an important reporting application. It is more generic than RFM. OLAP provides the ability to sum, count, average, and perform other simple arithmetic operations on groups of data. The remarkable characteristic of OLAP reports is that they are dynamic. The viewer of the report can change the report's format, hence the term online. An OLAP report has measures and dimensions. A measure is the data item of interest. It is the item that is to be summed or averaged or otherwise processed in the OLAP report. Total sales, average sales, and average cost are examples of measures. A dimension is a characteristic of a measure. Purchase date, customer type, customer location, and sales region are all examples of dimensions. With an OLAP report, it is possible to drill down into the data. This term means to further divide the data into more detail.
Answer to Question 2
FALSE
