Modeling Customer Preferences Using Multidimensional Network Analysis in Engineering Design
Modeling customer preferences using multidimensional network analysis in engineering design Mingxian Wang1, Wei Chen1, Yun Huang2, Noshir S. Contractor2 and Yan Fu3 1 Department of Mechanical Engineering, Northwestern University, Evanston, IL 60208, USA 2 Science of Networks in Communities, Northwestern University, Evanston, IL 60208, USA 3 Global Data Insight and Analytics, Ford Motor Company, Dearborn, MI 48121, USA Abstract Motivated by overcoming the existing utility-based choice modeling approaches, we present a novel conceptual framework of multidimensional network analysis (MNA) for modeling customer preferences in supporting design decisions. In the proposed multidimensional customer–product network (MCPN), customer–product interactions are viewed as a socio-technical system where separate entities of `customers' and `products' are simultaneously modeled as two layers of a network, and multiple types of relations, such as consideration and purchase, product associations, and customer social interactions, are considered. We first introduce a unidimensional network where aggregated customer preferences and product similarities are analyzed to inform designers about the implied product competitions and market segments. We then extend the network to a multidimensional structure where customer social interactions are introduced for evaluating social influence on heterogeneous product preferences. Beyond the traditional descriptive analysis used in network analysis, we employ the exponential random graph model (ERGM) as a unified statistical
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