We investigate whether the latent class multinomial logit choice model with segmentspecific linear utility functions implies effects that are similar to those of parametric homogeneous nonlinear models given that this latent class model performs at least as well. The two nonlinear models have...

The multinomial logit model (MNL) is one of the most frequently used statistical models in marketing applications. It allows to relate an unordered categorical response variable, for example representing the choice of a brand, to a vector of covariates such as the price of the brand or variables...