This contribution addresses various topics on parameter identification for constitutive equations on the basis of experimental data. Starting from the basic characteristics of inverse problems illustrated by simple examples, four different identification methods are introduced. Then, particular aspects of the least–squares approach are Outlined, such as direct and adjoint state differentiation methods, optimization, discretization error of FEM (finite element method), model error quantification of hierarchical modeling, consequences of instabilities, stochastic simulation, and statistical analysis. Uniform small strain problems as well as non‐uniform large strain problems are considered, where, for the latter, finite element results are incorporated into the optimization process. The examples are concerned with goal‐oriented adaptive refinement and statistical analysis for hierarchical modeling on the basis of an optical method for generation of experimental data in large strain elasticity.