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Journal Articles Marketing Letters Year : 2001

Cumulative Discrete Choice

Amit Pazgal
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We present a discrete choice model in which a consumer's impression of each alternative is based on her memory of past experience with this choice, and is stochastically updated whenever the alternative is chosen. The consumer remembers a cumulative utility index per alternative, and, when an alternative is chosen, the index is updated by the addition of a random variable, interpreted as instantaneous utility. We prove that the frequencies of choice converge, with probability 1, to limit frequencies, which can be computed from the model's parameters.

Dates and versions

hal-00752291 , version 1 (15-11-2012)



Itzhak Gilboa, Amit Pazgal. Cumulative Discrete Choice. Marketing Letters, 2001, vol. 12, n°2, pp. 119-130. ⟨10.1023/A:1011134718403⟩. ⟨hal-00752291⟩


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