Advanced Search
MyIDEAS: Login to save this article or follow this journal

Modeling simplifying information processing strategies in conjoint experiments

Contents:

Author Info

  • Zhu, Wei
  • Timmermans, Harry
Registered author(s):

    Abstract

    Conjoint experiments are usually based on the assumption that respondents consider all attributes varied in the experiment when providing preference evaluations or choosing between choice alternatives. Recently, some research has examined the validity of this assumption by empirically analyzing the impact of the number of attributes on estimated utilities. It suggests that respondents not only build up a mental representation of the decision problem in reality, but also when they provide value judgments in a conjoint experiment. It implies that explicit modeling of this process of mental representation and information processing may improve the validity of conjoint estimates. This paper puts forward such a modeling approach, based on principles of bounded rationality. The approach uses attribute thresholds to construct individuals' preference structures from which heterogeneous decision heuristics can be exactly inferred. Decisions are modeled as a two-layer process with an individual selecting a heuristic first and then applying the chosen heuristic for decision making. The whole process is modeled with a latent class structure and the choice of heuristic is assumed to be influenced by mental effort, risk perception, and expected outcome. An application of the approach is carried out using data about people's choice of a new transit system. The results show the ability of the proposed approach to estimate different decision heuristics and information search patterns in different stages of the decision.

    Download Info

    If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
    File URL: http://www.sciencedirect.com/science/article/B6V99-4Y3KV08-1/2/5d48f3ac6040cc3907b8a27f44466e90
    Download Restriction: Full text for ScienceDirect subscribers only

    As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.

    Bibliographic Info

    Article provided by Elsevier in its journal Transportation Research Part B: Methodological.

    Volume (Year): 44 (2010)
    Issue (Month): 6 (July)
    Pages: 764-780

    as in new window
    Handle: RePEc:eee:transb:v:44:y:2010:i:6:p:764-780

    Contact details of provider:
    Web page: http://www.elsevier.com/wps/find/journaldescription.cws_home/548/description#description

    Order Information:
    Postal: http://www.elsevier.com/wps/find/supportfaq.cws_home/regional
    Web: https://shop.elsevier.com/order?id=548&ref=548_01_ooc_1&version=01

    Related research

    Keywords: Conjoint experiments Information processing Mental representation Heuristics;

    References

    References listed on IDEAS
    Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
    as in new window
    1. Swait, Joffre, 2001. "A non-compensatory choice model incorporating attribute cutoffs," Transportation Research Part B: Methodological, Elsevier, vol. 35(10), pages 903-928, November.
    2. Hensher, David A. & Rose, John & Bertoia, Tony, 2007. "The implications on willingness to pay of a stochastic treatment of attribute processing in stated choice studies," Transportation Research Part E: Logistics and Transportation Review, Elsevier, vol. 43(2), pages 73-89, March.
    3. David A. Hensher, 2006. "How do respondents process stated choice experiments? Attribute consideration under varying information load," Journal of Applied Econometrics, John Wiley & Sons, Ltd., vol. 21(6), pages 861-878.
    4. David A. Hensher, 2004. "Identifying the Influence of Stated Choice Design Dimensionality on Willingness to Pay for Travel Time Savings," Journal of Transport Economics and Policy, London School of Economics and University of Bath, vol. 38(3), pages 425-446, September.
    5. Green, Paul E & Srinivasan, V, 1978. " Conjoint Analysis in Consumer Research: Issues and Outlook," Journal of Consumer Research, University of Chicago Press, vol. 5(2), pages 103-23, Se.
    6. Swait, Joffre & Ben-Akiva, Moshe, 1987. "Incorporating random constraints in discrete models of choice set generation," Transportation Research Part B: Methodological, Elsevier, vol. 21(2), pages 91-102, April.
    7. Peter C. Fishburn, 1974. "Exceptional Paper--Lexicographic Orders, Utilities and Decision Rules: A Survey," Management Science, INFORMS, vol. 20(11), pages 1442-1471, July.
    8. Swait, Joffre & Adamowicz, Wiktor, 2001. " The Influence of Task Complexity on Consumer Choice: A Latent Class Model of Decision Strategy Switching," Journal of Consumer Research, University of Chicago Press, vol. 28(1), pages 135-48, June.
    9. Dennis H. Gensch, 1987. "A Two-Stage Disaggregate Attribute Choice Model," Marketing Science, INFORMS, vol. 6(3), pages 223-239.
    10. Araña, Jorge E. & León, Carmelo J. & Hanemann, Michael W., 2008. "Emotions and decision rules in discrete choice experiments for valuing health care programmes for the elderly," Journal of Health Economics, Elsevier, vol. 27(3), pages 753-769, May.
    11. Cantillo, Víctor & Ortúzar, Juan de Dios, 2005. "A semi-compensatory discrete choice model with explicit attribute thresholds of perception," Transportation Research Part B: Methodological, Elsevier, vol. 39(7), pages 641-657, August.
    12. Scott, Anthony, 2002. "Identifying and analysing dominant preferences in discrete choice experiments: An application in health care," Journal of Economic Psychology, Elsevier, vol. 23(3), pages 383-398, June.
    13. Timothy J. Gilbride & Greg M. Allenby, 2004. "A Choice Model with Conjunctive, Disjunctive, and Compensatory Screening Rules," Marketing Science, INFORMS, vol. 23(3), pages 391-406, October.
    14. Rose, John M. & Bliemer, Michiel C.J. & Hensher, David A. & Collins, Andrew T., 2008. "Designing efficient stated choice experiments in the presence of reference alternatives," Transportation Research Part B: Methodological, Elsevier, vol. 42(4), pages 395-406, May.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as in new window

    Cited by:
    1. Kaplan, Sigal & Shiftan, Yoram & Bekhor, Shlomo, 2012. "Development and estimation of a semi-compensatory model with a flexible error structure," Transportation Research Part B: Methodological, Elsevier, vol. 46(2), pages 291-304.

    Lists

    This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

    Statistics

    Access and download statistics

    Corrections

    When requesting a correction, please mention this item's handle: RePEc:eee:transb:v:44:y:2010:i:6:p:764-780. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Zhang, Lei).

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If references are entirely missing, you can add them using this form.

    If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.