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Nested analytic hierarchy/network process for two-stage consumer choice issues

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  • Jih-Jeng Huang

Abstract

Although the analytic hierarchy/network process (AHP/ANP) has been widely used in various applications, it cannot deal with the two-stage consumer choice problem caused by nests composed of correlated sub-alternatives. Note that the sub-alternatives between different nests are influenced by distinct criteria. Hence, there are global criteria that affect the choice of the nests and local criteria that affect the sub-alternatives. If the global and local criteria are independent, it is a nested AHP problem; otherwise, it is a nested ANP problem. In this paper, we proposed a nested AHP/ANP to solve the two-stage consumer choice issue, which has not been considered before. In addition, an empirical case is demonstrated to verify the proposed method and compare the results with conventional AHP/ANP.

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  • Jih-Jeng Huang, 2021. "Nested analytic hierarchy/network process for two-stage consumer choice issues," Journal of the Operational Research Society, Taylor & Francis Journals, vol. 73(11), pages 2371-2384, December.
    • Handle: RePEc:taf:tjorxx:v:73:y:2021:i:11:p:2371-2384
    DOI: 10.1080/01605682.2021.1984184
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