Which analytics technique can specifically recommend actions based on data?

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Prepare for the UCF QMB3200 Quantitative Business Tools II Exam. Study with comprehensive resources and practice multiple choice questions. Be exam-ready!

Prescriptive analytics is the analytics technique that specifically recommends actions based on data. It goes beyond merely analyzing historical data or predicting future outcomes, as descriptive and predictive analytics do. Descriptive analytics provides insights by summarizing past data to understand trends, while predictive analytics uses historical data to forecast potential future outcomes.

In contrast, prescriptive analytics applies advanced algorithms and mathematical models to suggest optimal actions for decision-making. It leverages data analysis to propose solutions that can lead to desired outcomes given specific constraints and objectives. This makes it invaluable in fields such as operations management, resource allocation, and strategic planning, where making informed recommendations is crucial for achieving the best results.