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Choice-based preference disaggregation concerning vehicle technologies

Author

Listed:
  • Luis C. Dias

    (University of Coimbra, CeBER, Faculty of Economics
    INESC Coimbra)

  • Gabriela D. Oliveira

    (University of Coimbra, CeBER, Faculty of Economics
    INESC Coimbra)

  • Paula Sarabando

    (INESC Coimbra
    Polytechnic Institute of Viseu)

Abstract

The preference disaggregation paradigm in multi-criteria decision analysis allows inferring a multicriteria preference model for decision makers from their holistic judgments. In the well-known additive value function framework, preference disaggregation methods infer parameters that define the value functions for the multiple criteria. The present work addresses the use of choice-based multiple questions, rather than eliciting a ranking or a classification of alternatives as typically done. It proposes simple mathematical formulations to obtain the most typical value-function shapes (concave, convex, or S-shaped) and a post-optimization step to avoid extreme cases. These methods are applied in an empirical study concerning the preferences of a population towards vehicle technologies. Over a hundred potential vehicle buyers in Portugal were interviewed in person. The analysis examines to what extent respondents are consistent, what do their value functions inferred from choice-based questions look like, and how well do these functions represent their preferences for alternative vehicle technologies. Respondents were found to be frequently inconsistent in their answers to choice-based questions. However, the inferred value functions reproduced their choices with a relatively small internal error. Requiring the value function to have a typical shape did not increase error in general. The post-optimization step contributes to decrease the difference among the criteria weights and matches better the preferences displayed by the respondents when performing an additional task based on a detailed elicitation process.

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  • Luis C. Dias & Gabriela D. Oliveira & Paula Sarabando, 2021. "Choice-based preference disaggregation concerning vehicle technologies," Central European Journal of Operations Research, Springer;Slovak Society for Operations Research;Hungarian Operational Research Society;Czech Society for Operations Research;Österr. Gesellschaft für Operations Research (ÖGOR);Slovenian Society Informatika - Section for Operational Research;Croatian Operational Research Society, vol. 29(1), pages 177-200, March.
  • Handle: RePEc:spr:cejnor:v:29:y:2021:i:1:d:10.1007_s10100-020-00715-4
    DOI: 10.1007/s10100-020-00715-4
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    2. Josefa Mula & Marija Bogataj, 2021. "OR in the industrial engineering of Industry 4.0: experiences from the Iberian Peninsula mirrored in CJOR," Central European Journal of Operations Research, Springer;Slovak Society for Operations Research;Hungarian Operational Research Society;Czech Society for Operations Research;Österr. Gesellschaft für Operations Research (ÖGOR);Slovenian Society Informatika - Section for Operational Research;Croatian Operational Research Society, vol. 29(4), pages 1163-1184, December.

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