|
Abstract:
|
The main driver in automobile sales behavior is location. A microlocation gravity model is used to represent consumer buying behavior as a function of spatial location. The model includes sub-models with the ability to adjust theoretical advertising spend, outlet locations and theoretical inventory or to change the area geography or attraction and draw to determine the model profitability and sales. The model uses agent based modeling to simulate the automobile purchase process. This model uses "StarLogo" software from the MIT. Sub-models include: buyer location distribution, random area geography, the "S" curve of the effect of advertising spend, the "S" curve as the effect of inventory, the distance metric between buyers and the sales outlets, a spatial interaction type attraction and draw model, a multinomial distribution of error model as well as various profitability models.
|
