The authors propose a new Bayesian latent structure regression model with variable selection to solve various commonly encountered marketing problems related to market segmentation and heterogeneity. The proposed procedure simultaneously performs segmentation and regression analysis within the...

Kim, Fong, and DeSarbo (2012) recently introduced a finite mixture Bayesian regression model to simultaneously identify market segments of consumers (heterogeneity) and determine how such segments differ with respect to active regression coefficients (variable selection). The current manuscript...