Experimental Design and Choice modelling (ppt).pptVIP

Experimental Design and Choice modelling Motivating example Suppose we have three products which can be set at three price points Priced at $1, $2 and $3 (note equally spaced). These can be recoded as -1,0 1 respectively (-$2 i.e. –mean centred) We have is a 3x3x3 design. We can measure: the main effects for price for each model, called P1, P2 and P3 (also P1^2, P2^2, P3^2 for quadratic effects) The 2nd order interaction terms P1*P2, P1*P3 and P2*P3, And 3rd order interaction term P1*P2*P3 Motivating example How may scenarios do we need? If we have a straight linear main effects we the following tells us how many runs we may need (in SAS): %mktruns(3 3 3); Some Reasonable Design Sizes Cannot Be (Saturated=7) Violations Divided By 9 0 18 0 12 3 9 15 3 9 7 6 3 9 8 6 3 9 10 6 3 9 11 6 3 9 13 6 3 9 14 6 3 9 So we may decide to go with n=18 scenarios Let’s fit a main effects only model %mktdes(factors=x1-x3=3,n=18) proc print; run; Prediction Design Standard Number D-Efficiency A-Efficiency G-Efficiency Error ???????????????????????????????????????????????????????????????????????? 1 100.0000 100.0000 100.0000 0.6236 2 100.0000 100