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Multidimensional scaling (MDS) can be considered to be an alternative to factor analysis (see Factor Analysis). In general, the goal of the analysis is to detect meaningful underlying dimensions that allow the researcher to explain observed similarities or dissimilarities (distances) between the investigated objects. In factor analysis, the similarities between objects (e.g., variables) are expressed in the correlation matrix. With MDS one may analyze any kind of similarity or dissimilarity matrix, in addition to correlation matrices.
doing some of my own Googlewash here. After I was researching LSI, the term MDS usually came up, but I couldn't find a decent explanation... maybe this will help
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