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Decision process of technology early adopters, impact of utility function and opportunity cost

Moraitis Nikolaos

Πλήρης Εγγραφή

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Περίληψη

With the increase in technology offering as services or technological devices, consumers respond to new products at various waves in the product life cycle. The key interest in such a new product is meeting a specific acceptance by the early adopters allowing it to become viable in the early stages of the product life cycle. As the acceptance by the early adopters’ segment of the market is related in achieving the products launch allowing it to secure the initial market penetration viability threshold, identifying decision making patterns and rationales in early adopters will provide information that can be utilized to meet consumer expectation in future technology products. The suggested methodology to tackle the above is using a structured questioner that aims to (a) identify someone as an early adopter, (b) to also rank the subjective utility function of the consumer on each product, (c) to also rank the subjective opportunity cost against similar products. Following the above rationale, a consumer successfully identified as early adopter will potentially denote one of the following (i) utility function and opportunity cost are aligned thus the decision-making criteria was correct, (ii) utility function and opportunity cost are not aligned thus the decision-making criteria was false. The above methodology aims to only demonstrate by cross examining utility-function and opportunity cost the decision-making process of early adapters and provide optimization insights on rational choice theory for the specific target group.

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