• The Journal of Asian Finance, Economics and Business
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• v.7 no.2
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• pp.221-228
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• 2020

This study suggests an alternative to the conventional collaborative filtering method for predicting consumer choice, using case-based reasoning. The algorithm of case-based reasoning determines the similarity between the alternative sets that each subject chooses. Case-based reasoning uses the inverse of the normalized Euclidian distance as a similarity measurement. This normalized distance is calculated by the ratio of difference between each attribute level relative to the maximum range between the lowest and highest level. The alternative case-based reasoning based on similarity predicts a target subject's choice by applying the utility values of the subjects most similar to the target subject to calculate the utility of the profiles that the target subject chooses. This approach assumes that subjects who deliberate in a similar alternative set may have similar preferences for each attribute level in decision making. The result shows the similarity between comparable alternatives the consumers consider buying is a significant factor to predict the consumer choice. Also the interaction effect has a positive influence on the predictive accuracy. This implies the consumers who looked into the same alternatives can probably pick up the same product at the end. The suggested alternative requires fewer predictors than conjoint analysis for predicting customer choices.

• Journal of the Korea Institute of Information Security & Cryptology
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• v.33 no.1
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• pp.117-128
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• 2023

Due to the full revision of the Digital Signature Act (enforcement on December 10, 2020), various certificates are being released and competing in the market. Under fierce competition, the certificate market share of large IT platform companies is increasing, and it is predicted that they will eventually monopolize the market. Therefore, identifying the consumer's certificate choice factors and understanding the difference in importance between the choice factors are essential elements for establishing a company's strategy for the certificate market and product positioning, and are key points in setting the government's certificate policy direction. In this study, consumers' certificate choice factors were extracted based on the details of preceding papers and surveys, and based on the extracted choice factors, 4 choice factors (reliability of issuer, program installation, certificate usage method(how to use), versatility(where to use)) were identified through a Delphi survey. As a result of conjoint analysis by conducting a consumer survey with selected choice factors, the reliability of the issuer was found to be the most important utility value. In order of importance, the certificate usage method(how to use), program installation, and versatility(where to use) appeared.

• Korean Journal of Community Nutrition
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• v.7 no.3
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• pp.354-360
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• 2002

The purposes of this study were (1) to understand how customers trade off one attribute against another when they choose a pizza restaurant, (2) to compare the importance of individual attributes with their relative importance and (3) to compare customers'brand choice patterns with the prediction of pizza restaurant operators. Empirical data for this study were collected from the customers (n=307) and operators (n=273) of flour famous pizza franchise restaurants in Korea, Pizza Hut, Mister Pizza, Domino's Pizza and Pizza Mall. The attributes and attribute levels for the hypothetical profiles were decided from the focus group discussion. A total of 16 profiles was selected from fractional factorial designs. The SPSS conjoint procedure was used to calculate utility scores and simulate profiles. The overall group statistics showed the relative importance of all attributes compared with one other. Taste was the most important attribute (32.48%) in choosing a pizza restaurant, followed by service (21.87%) , atmosphere (17.23%), price (15.17%) and speed of delivery (13.26%). There was a difference between the customers'ratings of the importance of the individual attributes and the ranking of the same attributes'relative importance as derived from the conjoint analysis. The operators rated service (26.54%) as also being important, as well as taste (27.76%), in choosing a pizza restaurant. The rankings of relative importance for pizza taste, service and price were statistically different in the customers'and operators'data (p < 0.001, p < 0.1, p < 0.5). Operators who want to differentiate themselves from their competitors should make decisions based on an increased understanding of their customers'brand choice decision process and measure the hidden needs of their customers.

• Journal of the Korean Operations Research and Management Science Society
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• v.31 no.3
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• pp.107-125
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• 2006

We introduce a two-stage game theoretic model to support decision making processes for product Positioning and pricing in competitive environment. In the first stage, firms decide on entry and product position, in the second stage, firms compete with price. 'Alpha rule' is used as a choice model. Demand parameters of the choice model are estimated by conjoint analysis. We investigate conditions for the existence of Nash price equilibria in the pricing game. Nash equilibria in the entry and positioning game are produced using a concept of stable sets. An example of the online game industry in Korea is examined.

• The Korean Journal of Applied Statistics
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• v.27 no.5
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• pp.681-691
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• 2014

Ranking-based conjoint analysis(RBCA) and choice-based conjoint analysis(CBCA) have attracted significant interest in various fields such as marketing research. When conducting research, the researcher has to select one suitable approach in consideration of strengths and weaknesses. This article performs an empirical comparison of the predictability of RBCA and CBCA in order to provide criterion for the selection. A new concept of measurement set is developed by combining the ranking set and choice set. The measurement set enables us to apply two approaches separately on the same consumer group that allows a fair comparison of predictability. RBCA and CBCA are conducted on consumer preferences for RTD-coffee; subsequently, the predicted values of market shares and hit rates are compared. The study result reveals that their predictabilities are not significantly different. Further, the result indicates that RBCA is recommended if the researcher wants to improve data quality by filtering out poor responses or to implement the market segmentation. In contrast, CBCA is recommended if the researcher wants to lessen the burden on the respondents or to measure preferences under similar conditions with the actual marketplace.

• Journal of Distribution Science
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• v.13 no.3
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• pp.79-91
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• 2015

Purpose - First, the study identifies and analyzes consumer preferences with regard to health foods and supplements. Second, it identifies and analyzes consumer preferences with regard to the properties of Vitamin C supplements. Third, in order to provide a basic data for the development of Vitamin C supplements and to measure how consumers value the properties of different Vitamin C products, a consumer survey was conducted through the choice-based conjoint model. Based on the results, the research estimates consumers' relative product-related priorities as well as price levels and willingness to pay (WTP) for different product types, and makes suggestions regarding consumer-oriented new product development and progressive directions for the successful launch of health foods and supplements. Research design, data, and methodology - This study aims to define the attributes of health foods and supplements based on several characteristics including their natural ingredients, product price, product originality, natural ingredient content, and additional functional ingredients, and makes suggestions regarding strategic market pricing and product development for health foods and supplements according to customer attitudes and characteristics. The research used choice-based conjoint analysis methodology based on the Multinomial Logic Model and collected 94 questionnaires filled out by users of Korean Vitamin C supplements. Results - Product price is the most influential factor among the five analyzed properties. When consumers buy Vitamin C products, the relative significance level of four of the examined properties is as follows: 40.9% for product price, 23.3% for product originality, 21.9% for natural ingredient content, and 13.9% for additional functional ingredients. Vitamin C content is excluded as it is not a statistically significant factor. It is interesting that supplement manufacturers and retailers consider Vitamin C content to be very important whereas consumers do not regard it as an important factor at the time of purchase. The results for the marginal willingness to pay (MWTP) for each property of Vitamin C supplements show that consumers are willing to pay an additional 11,146 Korean won for a 50% increase in the natural ingredient content. With regard to product originality, consumers are willing to pay an additional 11,301 Korean won for products manufactured in Europe than for products manufactured in China. Moreover, consumers show a greater preference for products manufactured in Korea than in Europe. However, consumers are not willing to pay more for additional Vitamin C or additional functional ingredients added to Vitamin C products. Conclusions - According to the results of consumer research on Vitamin C supplements, which represent a popular health food supplement in Korea, most Korean health food and supplement companies are not consumer- or market-oriented when developing new products. Companies gather information from either R&D specialists or sales managers and their opinions are highly reflected in new product development. The study's results will help companies recognize the importance of understanding consumers' unmet needs in advance to develop new products in the future.

• Journal of the Korean Home Economics Association
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• v.44 no.12
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• pp.105-115
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• 2006

The purpose of this study is to apply conjoint analysis to fashion product development. Conjoint measurement was undertaken on the traditional casual market, composed of Polo, Beanpole, Maru and Giordano brands. Product's attributes, such as brand name, price, country of origin and style, were selected as choice factors. Twelve profiles were used for full-profile stimulus cards method. Based on the importance and utility rates of the product attributes, preferences for the products currently in the market and simulated products were calculated. The results increased our understanding of the trends in traditional casual market and assisted in the preparation of marketing strategies for each brand.

• Journal of the Korean Society of Clothing and Textiles
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• v.33 no.7
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• pp.1086-1097
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• 2009

Consumers have more choices for apparel products as e-shopping grows. This study examines the importance of apparel product attributes and classifies online apparel buyers into groups based on product attribute evaluation in various choice sets. For the empirical research, the online survey was conducted and Latent Gold Choice 4.0 was used for the choice-based conjoint analysis. Five consumer segments are found based on the choice selection of product attributes. The importance of product attributes (online shopping mall, brand, price, and style) and the preference of each product attribute level were different across segments. This research improves the knowledge of the purchasing behavior of online apparel buyers and provides proper attribute combinations of apparel e-shopping for each consumer segment.

• The Korean Journal of Applied Statistics
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• v.27 no.2
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• pp.185-195
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• 2014

Ranking-based conjoint analysis is widely used in various fields such as marketing research. While the ranking-based conjoint affords several advantages over the rating-based or choice-based conjoint, it has a serious shortcoming that respondents have much difficulty in ranking the product profiles in order of preference when many profiles are involved. This article suggests a new method for the preference measurement to improve the response efficiency. The method employs the concept of ranking sets that let the respondent evaluate a small number of profiles at a time. Through the proposed method, preference rankings of profiles obtained from each ranking set are aggregated to generate overall rankings. The balanced incomplete block design is expanded and transformed to the dual design in order to construct well-balanced ranking sets that can accommodate a large number of profiles. The proposed method is applied to the analysis of consumer preferences for perfume-for-women.

• Journal of the Korean Society of Costume
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• v.58 no.7
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• pp.92-103
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• 2008

The purpose of this study was to subdivide the shoes market in Korea and to evaluate the size and competitive strength of each segment. In order to implement the purpose of this study, the data of 300 respondents were analyzed using CBC(Choice-Based Conjoint measurement) and mixture model. The part-worth utilities were then used to predict the impact of price change on the choice probability using the legit model. As a result, the mixture model showed the optimal segments number and the shoes market in Korea was divided into 4 segments. Each segment was identified by distinctive characteristics such as brands, price and demand for comfortable shoes. Also, as a result of grasping the competitive structure and the competitive strength by sub-markets, one group was sensitive to price according to each competitive situation, whereby the choice probability was greatly influenced, and the other group on the contrary. This study made it clear that discrimination between brands whose profits Increase sharply if price is lowered and brands whose profits do not increase even if price is lowered can help brand managers with their decision-making on price lowering.