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MLS-C01 Modeling Practice Question

A machine learning team is building a recommendation system for an e-commerce platform. They have user-item interaction data (clicks, purchases). They need to choose an algorithm that can capture both user and item latent factors and handle missing data. Which algorithm should they use?

⚠ Common exam trap

A common mix-up: candidates choose PCA because it also performs dimensionality reduction, but PCA cannot handle missing data or model user-item interactions for collaborative filtering, which is the core requirement of the question.

Answer choices

Why each option matters

Answer the question above first, then reveal the full breakdown to understand why each option is right or wrong.

Correct answer & explanation

Matrix factorization

Matrix factorization is the correct choice because it decomposes the user-item interaction matrix into lower-dimensional latent factors for users and items, capturing underlying patterns in preferences. It naturally handles missing data by learning from observed interactions only, making it ideal for recommendation systems with sparse data.

Answer analysis

Option-by-option breakdown

For each option: why learners choose it and why it is or isn't the right answer here.

  • Linear regression

    Why it's wrong here

    Linear regression does not capture latent factors.

  • Principal component analysis (PCA)

    Why it's wrong here

    PCA is for dimensionality reduction, not recommendation.

  • Matrix factorization

    Why this is correct

    Matrix factorization learns latent factors and handles missing data.

  • Convolutional neural network (CNN)

    Why it's wrong here

    CNNs are for spatial data like images.

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