Hedonic price analysis for smartphones in the Indian market

Abstract

The aim of this project is to apply Hedonic Pricing approach to calculate the equilibrium shadow price of various features of a smartphone and to understand the preference of consumers towards them. Smartphone market is extremely competitive and fast-changing. Therefore, understanding consumer preference and appropriate pricing is very important for companies to thrive in this market. The study analyzes various hardware and software features of smartphones like camera quality, screen size, battery, phone design, processor specifications etc. using the hedonic pricing approach. Apart from these features, the study also includes effect of factors like brand and its country of origin. Finally, the study provides managerial implications to manufacturing companies and policy suggestions to the government that can help them make proper strategies based on the experiment results.