Introduction
Hierarchical clustering groups similar data points step-by-step to show how they relate in a tree-like structure.
When you want to see how data naturally groups without deciding the number of groups first.
When you need a visual tree (dendrogram) to understand data relationships.
When working with small to medium datasets to explore data structure.
When you want to cluster data but don't know how many clusters to expect.
When you want to combine or split clusters at different levels of detail.