Which statistical measure is best for categorical data analysis?

The mode is the most appropriate statistical measure for analyzing categorical data because it identifies the category that appears most frequently within a dataset. Categorical data involve distinct categories or groups, such as colors, types of products, or survey responses, which do not have a natural numeric value or order.

Unlike the mean, which requires numerical data and is sensitive to extreme values, the mode focuses solely on frequency, making it ideal for understanding which category is the most common. The median is also not suitable as it refers to the middle value in ordered numerical data. Variance, on the other hand, measures the spread of numerical data around the mean, which is irrelevant for categorical datasets.

Therefore, the mode effectively summarizes categorical data by pinpointing the most common category, providing insights into trends or preferences within the data.