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Mainstream Economics Versus Behavioral Economics—A Contribution to Reflection Read chapter Read first chapter

2018 | OriginalPaper | Chapter

13. Experimental Study of Consumer Behavior Using Agent-Based Simulation

Authors : Fatimah Furaiji, Małgorzata Łatuszyńska

Published in: Problems, Methods and Tools in Experimental and Behavioral Economics

Publisher: Springer International Publishing

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Abstract

The consumer is a key element in the marketing. Examining consumer behavior allows for a better understanding and forecasting factors influencing purchasing decisions, which in turn facilitates the formulation of effective marketing strategies. The aim of this study was to work out methodological basis for analyzing consumer behavior with application of agent-based simulation (ABS) as well as conducting simulation experiments using the elaborated methodology. The chapter presents ABS in the context of its applications in marketing research, proposes the methodology for consumer behavior analysis with the use of ABS, describes the concept of agent-based simulation model for investigating consumer behavior, and finally shows the results of simulation experiments executed for a case study. The case study focuses on the consumer behavior to buy electric appliances in Basra city and experiments relates to five exemplary marketing strategies. The results of the experiments confirm that the agent-based model can be a powerful tool for examining alternative marketing strategies rapidly, relatively cheaply, without requiring the actual commitment of resources.

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Metadata
Title
Experimental Study of Consumer Behavior Using Agent-Based Simulation
Authors
Fatimah Furaiji
Małgorzata Łatuszyńska
Copyright Year
2018
Book
Problems, Methods and Tools in Experimental and Behavioral Economics

Print ISBN: 978-3-319-99186-3

Electronic ISBN: 978-3-319-99187-0

Copyright Year: 2018

DOI
https://doi.org/10.1007/978-3-319-99187-0_13

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