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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 (2,830 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.

https://sawtoothsoftware.com/forum/1939/piecewise-linear-price-function-how-coded-the-design-matrix?show=1939

Can somebody explain me?

Thanks,
Lawrence
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