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Investigating Factors Affect Customer’s Decision to Install and Buy Moblie Applications

Rezazadeh, Mahyar | 2019

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  1. Type of Document: M.Sc. Thesis
  2. Language: Farsi
  3. Document No: 52484 (44)
  4. University: Sharif University of Technology
  5. Department: Management and Economics
  6. Advisor(s): Fatemi, Farshad; Joshaghani, Hossein
  7. Abstract:
  8. In this research we are going to examine the effect of determinant paramets that are influencive on consumer behaviors for choosing applications. By analyse the cost-amount spended by each costumer we are suppose to investigate the influencive parametrs on spending amount of every consumer in Café Bazar platform.In today’s cutting-edge world of technology, widespread mobile application usage in humans’ lives is pervasive, we are optimistic that our research will finds efficacious ways so as to improve the pricing and advertisement strategies. We are faced with two specific problems. First, price of each Application might be endogenous and this problem would violates the consistency of parametrs. Our premise is that Mobile Application market is fully competitive and as a result, the endogeneity of the price is affected by the developer fixed effects, so by controlling the developers’ fixed effects we are sanguinary to prevail over the endogeneity problem. The second problemis that, some consumer are weeling to spend money on each application which has in-app-purchase option; but some observation of such consumer are missed becase spending money in each application is not affordable for some consumer, we use Heckmen model in order to investigate the consumer preferences for spending money in each application which has in-app-purchase option. Finally our results show that demand elasticity of price is 0.23. Besides, consumers’ demographic variables have significant role in forming the consumers’ choices. The age of consumers has significant effect on shaping the consumer prefernces. Moreover, its effect on the consumers’ choices is U shape. Finally, in the decision equation, the expenses elasticity of demand is 0.357 and its effect is statisticaly significant
  9. Keywords:
  10. Price Stickiness ; Price Volatility ; Demand Estimation ; Price Duration ; Price Setting Behavior

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