Advanced Methods for Modeling Markets - Read online and download for free

This volume offers a comprehensive exploration of advanced techniques for modeling markets, covering a broad range of topics such as sophisticated individual demand models, time series analysis, state space and spatial models, structural modeling, mediation analysis, competition modeling, and diffusion models. Serving as a companion to Modeling Markets (2015), where the foundational steps of market modeling—specification, data collection, estimation, validation, and implementation—were introduced, this volume builds upon those concepts with a focus on advanced methodologies. These include structural equation models, partial least squares, mixture models, hidden Markov models, generalized method of moments, Bayesian analysis, non- and semi-parametric estimation techniques, and methods for addressing endogeneity. Special emphasis is placed on the application of these methods in the context of big data.

As the marketing landscape evolves rapidly, models that quantify the responsiveness of market behavior to strategic marketing activities—such as advertising, pricing, promotions, and distribution—have become essential tools for managers. These models help identify actionable changes to enhance brand performance. In a world flooded with real-time data from countless sources, the challenge lies in extracting meaningful insights. While marketing models are now widely utilized, the effectiveness of marketing decisions hinges on the quality and robustness of the models themselves.

This authoritative volume provides an in-depth review of advanced modeling approaches, with each chapter offering:

• An introduction to the method or methodology

• A numerical example or application in marketing

• References to additional marketing applications

• Software recommendations for implementation

With contributions from leading experts in the field, this book delves into the current and future landscape of market modeling. It serves as a valuable resource for researchers, scientists, students, academics, and professionals in marketing, management, and economics.