Decision-Making in CBC Studies: A Matter of Context?
(A2019-4361)

AUTHORS

Verena Wackershauser, Otto-von-Guericke University Magdeburg; Marcel Lichters, Otto-von-Guericke-University Magdeburg; Marko Sarstedt, Otto-von-Guericke-University Magdeburg; Bodo Vogt, Otto-von-Guericke-University Magdeburg

KEYWORDS

Choice-based conjoint analysis; Compromise effect; Attraction effect

ABSTRACT

Choice-based conjoint analysis as preference measurement technique has built up a strong reputation, providing extensive implications for product innovation, pricing and market penetration decisions. However, research on context effects has sown doubts about the effectiveness of choice-based conjoint (CBC) analysis. This research systematically investigates, whether respondents’ decision-making behavior in CBC indeed succumbs to context effects. Each of three experimental studies thereby combines a classical CBC with holdout tasks provoking Compromise and Attraction effects. Whereas results confirm significant context effects in forced-choice CBC, those are not relevant in case a no-choice option is provided. Thus, results point to important implications for research practice and choice modeling