The Dependent Poisson Race Model and Modeling Dependence in Conjoint Choice Experiments

43 Pages Posted: 16 Oct 2007

See all articles by Shiling Ruan

Shiling Ruan

Ohio State University (OSU)

Steven N. MacEachern

Ohio State University (OSU)

Thomas Otter

Goethe University Frankfurt - Department of Marketing

Angela Dean

Ohio State University (OSU)

Date Written: June 29, 2007

Abstract

Conjoint choice experiments are used widely in marketing to study consumer preferences amongst alternative products. We develop a class of choice models, belonging to the class of Poisson race models, that describe a random utility which lends itself to a process-based description of choice. The models incorporate a dependence structure which captures the relationship between the attributes of the choice alternatives and which appropriately moderates the randomness inherent in the race. The new models are applied to conjoint choice data and are shown to have performance markedly superior to that of independent Poisson race models and of the multinomial logit model.

Keywords: Bayesian model, dependent processes, dominance, multinomial logit model

JEL Classification: C11, C25, M31

Suggested Citation

Ruan, Shiling and MacEachern, Steven N. and Otter, Thomas and Dean, Angela, The Dependent Poisson Race Model and Modeling Dependence in Conjoint Choice Experiments (June 29, 2007). Available at SSRN: https://ssrn.com/abstract=1020001 or http://dx.doi.org/10.2139/ssrn.1020001

Shiling Ruan

Ohio State University (OSU) ( email )

Blankenship Hall-2010
901 Woody Hayes Drive
Columbus, OH OH 43210
United States

Steven N. MacEachern (Contact Author)

Ohio State University (OSU) ( email )

Blankenship Hall-2010
901 Woody Hayes Drive
Columbus, OH OH 43210
United States

Thomas Otter

Goethe University Frankfurt - Department of Marketing ( email )

Frankfurt
Germany
++49.69.798.34646 (Phone)

HOME PAGE: http://www.marketing.uni-frankfurt.de/index.php?id=97?&L=1

Angela Dean

Ohio State University (OSU) ( email )

Blankenship Hall-2010
901 Woody Hayes Drive
Columbus, OH OH 43210
United States

Here is the Coronavirus
related research on SSRN

Paper statistics

Downloads
103
Abstract Views
1,360
rank
286,563
PlumX Metrics