IDEAS home Printed from https://ideas.repec.org/
MyIDEAS: Login to save this paper or follow this series

Sample- and segment-size specific Model Selection in Mixture Regression Analysis

  • Sarstedt, Marko
Registered author(s):

    As mixture regression models increasingly receive attention from both theory and practice, the question of selecting the correct number of segments gains urgency. A misspecification can lead to an under- or oversegmentation, thus resulting in flawed management decisions on customer targeting or product positioning. This paper presents the results of an extensive simulation study that examines the performance of commonly used information criteria in a mixture regression context with normal data. Unlike with previous studies, the performance is evaluated at a broad range of sample/segment size combinations being the most critical factors for the effectiveness of the criteria from both a theoretical and practical point of view. In order to assess the absolute performance of each criterion with respect to chance, the performance is reviewed against so called chance criteria, derived from discriminant analysis. The results induce recommendations on criterion selection when a certain sample size is given and help to judge what sample size is needed in order to guarantee an accurate decision based on a certain criterion respectively.

    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://epub.ub.uni-muenchen.de/1252/1/2006_08_LMU_sarstedt.pdf
    Download Restriction: no

    Paper provided by University of Munich, Munich School of Management in its series Discussion Papers in Business Administration with number 1252.

    as
    in new window

    Length:
    Date of creation: 2006
    Date of revision:
    Handle: RePEc:lmu:msmdpa:1252
    Contact details of provider: Postal: Ludwigstr. 28,80539 Munich, Germany
    Phone: +49-(0)89-2180-3888
    Fax: +49-(0)89-344054
    Web page: http://www.bwl.uni-muenchen.de

    More information through EDIRC

    No references listed on IDEAS
    You can help add them by filling out this form.

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

    When requesting a correction, please mention this item's handle: RePEc:lmu:msmdpa:1252. 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: (Philipp Beltz)

    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.

    This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.