BA Session 21 & 22 | Group F

By Piyush Upmanyu
HR
11020841093
Group F

Session 21 & 22

Conjoint analysis is 

• A statistical technique used in market research  
• Identifies how individuals value different features that make up an individual product or service. 
• Determines the combination of a finite number of attributes that is most influential on respondent choice or decision making.  
• The implicit valuations (utilities or part-worths) can be used to create market models that estimate market share, sales, profitability, etc  
• Also referred to as multi-attribute compositional modeling, discrete choice modeling, or stated preference research 
• Is part of a broader set of trade-off analysis tools used for systematic analysis of decisions.

Using conjoint analysis, we can calculate which factor has a high utility value. Utility can be defined as a number which represents the value that consumers place on an attribute. In other words, it represents the relative worth of the attribute.

The importance of an attribute can be calculated by examining the range of utilities (that is, the difference between the lowest and highest utilities) across all levels of the attribute. These ranges tell us the relative importance of each attribute.

For Example : We analysed the preferences of students of our class while selecting a job. The attributes were Satisfaction, Work Life Balance, Salary, Industry, etc. 

Syntax :

Result Generated after Run Command

The higher importance value means that the particular attribute is more influential while selecting the job by the candidate.