“Hierarchical cluster analysis: potential of the tourism up growths in the poorly developed Macedonian municipalities”

Abstract

Hierarchical cluster analysis is important procedure for segmentation and classification of the municipalities. On the basis on the given analysis, a partition of the municipalities in several homogeneous clusters will be performed, by which the problem of creating strategies for the poorly developed municipalities is significantly simplified. The problem of poorly developed municipalities is the high unemployment of the economically active population, so that by the development of the labor intensive economies (tourism) this problem is mainly solved. Hierarchical cluster analysis will provide an insight on which municipalities belong to created homogeneous cluster, as well as the advantages of the municipalities for the development of the suggested economy.