Abstract
Advances in available data, econometric methods, and computing power have created a revolution in demand modeling over the past two decades. Highly granular data on household choices means that we can model very specific decisions regarding purchase choices for differentiated products at the retail level. In this chapter, we review the recent methods in modeling consumer demand, and their application to problems in industrial organization and strategic marketing.
Keywords
consumer demand; discrete choice; discrete-continuous choice; shopping basket models; machine learning;
JEL codes
- D43: Oligopoly and Other Forms of Market Imperfection
- L13: Oligopoly and Other Imperfect Markets
- L81: Retail and Wholesale Trade • e-Commerce
- M31: Marketing
Reference
Céline Bonnet, and Timothy J. Richards, “Models of Consumer Demand for Differentiated Products”, TSE Working Paper, n. 16-741, December 2016.
See also
Published in
TSE Working Paper, n. 16-741, December 2016