To determine the optimal product from conjoint results,researchers
A) choose the levels of each attribute with the highest part worths, including the price attribute
B) incorporate information about production and distribution costs with the conjoint results to determine product attributes and price that result in profit
C) fit continuous curves through the part worths, including price, and use the levels at the highest points of these curves
D) none of the above

Question

Quizplus · Accepted Answer

It is possible that the optimal configurations chosen by respondents would involve negative profit.(The consumer will want "the best of everything at the lowest price," and the manufacturer will want "the lowest production cost and the highest price.")Detailed information about production and distribution costs may thus result in a higher price than suggested by initial conjoint results.

To Determine the Optimal Product from Conjoint Results,researchers