Title :
Exploration of product Value - Characteristic relationship: Partial least squares path modeling for product design and development
Author :
Withanage, C. ; Park, T. ; Duc, T.T.H. ; Choi, H.
Author_Institution :
Sch. of Mech. & Aerosp. Eng., NTU, Singapore, Singapore
Abstract :
Estimating the product Value-Characteristic (VC) relationship is the most important task for deciding on the mix and the levels of product attributes of a new product targeted at a well established product market segment. In this paper, Partial Least Square Path Modeling was used to investigate the VC relationship of the US Sedan car market sales data from 2008 to 2010. A two-phase case study was conducted to achieve two primary objectives of empirical validation of Customer Revealed Value (CRV) as an indicator of the value generated by product characteristics; and formulation of a simplified VC model with most influencing variables. CRV was successfully validated, and it was used to get the simplified model with an improved goodness of fit value. In addition, CRV was used for the first time to explore the VC relationship of a market segment with latent variables in this study.
Keywords :
least squares approximations; product customisation; product design; US Sedan car market sales data; customer revealed value; partial least squares path modeling; product design; product development; product market segment; product value-characteristic relationship exploration; Automobiles; Data models; Estimation; Marketing and sales; Mathematical model; Product design; Vectors; Customer revealed value; partial least square path modeling; product design and development; product value;
Conference_Titel :
Industrial Engineering and Engineering Management (IEEM), 2011 IEEE International Conference on
Conference_Location :
Singapore
Print_ISBN :
978-1-4577-0740-7
Electronic_ISBN :
2157-3611
DOI :
10.1109/IEEM.2011.6118013
