Building the CHAID Tree Model

  1. To run a Decision Tree analysis, from the menus choose:

    Analyze > Classify > Tree...

    Figure 1. Decision Tree dialog box
    Decision Tree dialog box
  2. Select Credit rating as the dependent variable.
  3. Select all the remaining variables as independent variables. (The procedure will automatically exclude any variables that don't make a significant contribution to the final model.)

At this point, you could run the procedure and produce a basic tree model, but we're going to select some additional output and make a few minor adjustments to the criteria used to generate the model.

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