Have an idea?

Visit Sawtooth Software Feedback to share your ideas on how we can improve our products.

Price parameters in excel based ACBC simulator

Anyone handled different price parameters in excel based ACBC simulator?
asked Aug 19, 2013 by Lawrence Bronze (2,100 points)

1 Answer

0 votes
Hi Lawrence,
I had excel based linear price and part worth simulators for ACBC. As far as I remember they rescale price parameters after estimation to original scale, so you could use simple linear parameter - but check the ACBC documentation and compare with the SMRT simulation results. If you take a logarithm, you should log. Although I haven't used piecewise for the  ACBC I've used it for the CBC with the HB estimation and in the excel simulator price is a straightforward sum of products of  price parameters and prices recoded in design matrix (google: "coding price for piecewise").
answered Aug 19, 2013 by lkomenda Bronze (2,810 points)
It has been a long time after posting this question. Today, got some free time. So again on learning price parameters. I was able get Market share for except price variables.

In my example, I have five price band $16,     $60, $100,  $150 and $273. I saw couple of discussion where Bryan has answered about design matrix coding. But unable to understand that part.


Can somebody explain me?