Template-Type: ReDIF-Paper 1.0
Author-Name: Dellaert, B.G.C.
Author-Name-Last: Dellaert
Author-Name-First: Benedict
Author-Person: pde296
Author-Name: Swait, J.
Author-Name-Last: Swait
Author-Name-First: Joffre
Author-Name: Adamowicz, W.L.
Author-Name-Last: Adamowicz
Author-Name-First: Vic
Author-Name: Arentze, T.A.
Author-Name-Last: Arentze
Author-Name-First: Theo
Author-Name: Bruch, E.E.
Author-Name-Last: Bruch
Author-Name-First: Elizabeth
Author-Name: Cherchi, E.
Author-Name-Last: Cherchi
Author-Name-First: Elisabetta
Author-Name: Chorus, C.G.
Author-Name-Last: Chorus
Author-Name-First: Casper
Author-Name: Donkers, A.C.D.
Author-Name-Last: Donkers
Author-Name-First: Bas
Author-Person: pdo14
Author-Name: Feinberg, F.M.
Author-Name-Last: Feinberg
Author-Name-First: Fred
Author-Name: Marley, A.A.J.
Author-Name-Last: Marley
Author-Name-First: Anthony
Author-Name: Salisbury, L.C.
Author-Name-Last: Salisbury
Author-Name-First: Linda
Title: Individuals' Decisions in the Presence of Multiple Goals
Abstract: This paper develops new directions on how individuals’ use of multiple goals can be incorporated in econometric models of individual decision making. We start by outlining key components of multiple, simultaneous goal pursuit and multi-stage choice. Since different goals are often only partially compatible, such a multiple goal-based approach implies balancing goals, leading to a deliberate goal-level choice strategy on the part of the decision maker. Accordingly, we introduce a conceptual framework to classify different aspects of individuals’ decisions in the presence of multiple goals. Based on this framework we propose a formalization of individual decision making when pursuing multiple goals. We briefly review different previous streams on goal-based decision making and how the proposed goal-driven conceptual framework relates to earlier research in discrete choice models. The framework is illustrated using examples from different domains, in particular marketing, environmental economics, transportation and sociology. Finally, we discuss identification and modeling needs for goal-based choice strategies and opportunities for further research.
Length: 32
Creation-Date: 2017-04-11
File-URL: https://repub.eur.nl/pub/99018/ERS-2017-007-MKT.pdf
File-Format: application/pdf
Series: RePEc:ems:eureri
Number: ERS-2017-007-MKT
Keywords: Decision making, Goal-based decisions, Multi-stage decisions, Choice Modeling, Goal conflict
Handle: RePEc:ems:eureri:99018