This study utilized and compared different econometric models to analyze conjoint analysis data to elicit floral customers' willingness to pay (WTP) for biodegradable plant containers. From the conjoint data, this paper shows that mixed tobit models or mixed ordered probit models generate more accurate results than the tobit, ordered probit models, or linear models used in the literature. Accordingly, we conclude that mixed tobit or mixed ordered probit models should be used in conjoint analysis instead of tobit, ordered probit or linear models when there is a significant correlation between multiple evaluations from the same participants. The results of the study show that participants were willing to pay a price premium for biodegradable containers, but the premium was not the same for different types of containers.
|Original language||English (US)|
|Title of host publication||XXVIII International Horticultural Congress on Science and Horticulture for People (IHC2010)|
|Subtitle of host publication||International Symposium on Integrating Consumers and Economic Systems|
|Publisher||International Society for Horticultural Science|
|Number of pages||8|
|State||Published - Mar 31 2012|
Copyright 2018 Elsevier B.V., All rights reserved.
- Probit model
- Tobit model