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Comments on "On Conjoint Analysis and Quantal Choice Models"

Authors: Srinivasan, V;

Comments on "On Conjoint Analysis and Quantal Choice Models"

Abstract

In his paper, "On Conjoint Measurement and Quantal Choice Models," Albert Madansky (this issue) points out that conjoint analysis' usually deals with each respondent separately. It is an individual level analysis in the sense that the idiosyncratic parameters for each individual are estimated using only the preference judgments of that individual (for an illustration, see Parker and Srinivasan [1976, p. 1009]). On the other hand, quantal choice models are usually estimated at the aggregate level in the sense that a common set of parameters is estimated from the choice data of a sample of individuals (for an illustration, see McFadden [1976, p. 130]). Variation in the utility function across individuals is incorporated in such quantal choice models through a vector of measured characteristics of the individual. In this comment, we first discuss the rationale for the popular use of individual level analysis of preferences in marketing. Although conjoint analysis is usually carried out at the individual level and quantal choice approach is usually carried out at the aggregate level, it is possible to use conjoint analysis at the aggregate level (e.g., see Srinivasan and Shocker 1973) and use quantal choice analysis at the individual level (e.g., see Jain et al. 1979). The second part of this comment discusses some of the limitations of a popular quantal choice approach, namely, the LOGIT model, in individual level analysis.

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selected citations
These citations are derived from selected sources.
This is an alternative to the "Influence" indicator, which also reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
BIP!Citations provided by BIP!
popularity
This indicator reflects the "current" impact/attention (the "hype") of an article in the research community at large, based on the underlying citation network.
BIP!Popularity provided by BIP!
influence
This indicator reflects the overall/total impact of an article in the research community at large, based on the underlying citation network (diachronically).
BIP!Influence provided by BIP!
impulse
This indicator reflects the initial momentum of an article directly after its publication, based on the underlying citation network.
BIP!Impulse provided by BIP!
7
Average
Top 10%
Average
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