“…The AHP method involves three basic steps: (1) conceptualize a complex decision problem as a hierarchy, (2) estimate the importance of decision criteria on each level of the hierarchy by adopting pairwise comparisons, and (3) rank the alternatives based on the derived weights of decision criteria. Bernasconi, Choirat, and Seri (2010) concluded that AHP was a reliable decisionmaking tool for subjective measurement of alternative courses of action. An advantage of AHP is that it can overcome the ambiguities in identifying determinant attributes and handle more complex problems by extending levels in the hierarchy (Armacost & Hosseini, 1994).…”
Section: Mcdm Methods For Evaluating Marketing Channel Alternativesmentioning
“…The AHP method involves three basic steps: (1) conceptualize a complex decision problem as a hierarchy, (2) estimate the importance of decision criteria on each level of the hierarchy by adopting pairwise comparisons, and (3) rank the alternatives based on the derived weights of decision criteria. Bernasconi, Choirat, and Seri (2010) concluded that AHP was a reliable decisionmaking tool for subjective measurement of alternative courses of action. An advantage of AHP is that it can overcome the ambiguities in identifying determinant attributes and handle more complex problems by extending levels in the hierarchy (Armacost & Hosseini, 1994).…”
Section: Mcdm Methods For Evaluating Marketing Channel Alternativesmentioning
“…The AHP error terms e ij 's make instead explicit the important notion that people are not like robots, but various effects, like lapses of concentration, states of mind, trembling, rounding effects and computational mistakes, imply that no model of human behavior can be assumed to hold deterministically. 5 In our previous paper (Bernasconi et al, 2010) we develop a detailed analysis of representation (3) and propose a statistical method based on a polynomial generalization of the logarithmic least squares, to estimate the priority vector u 0 when W −1 (·)…”
Section: Ahp In Separable Formmentioning
confidence: 99%
“…In fact, combining classical AHP with the separable form of Eq. (1) in Bernasconi, Choirat, and Seri (2010) we propose the following form for the ratio assessments of an AHP response matrix:…”
Section: Ahp In Separable Formmentioning
confidence: 99%
“…The answer is obviously an empirical one. A method for the estimation of u 0 and of φ 3 and the recovery of the residuals ν ij 's is proposed in Bernasconi et al (2010). In that source, the method is applied to an experiment in which 69 individuals are required to elicit three comparison matrices respectively concerning 5 probabilities from games of chance, 5 distances of Italian cities from Milan, and the rainfalls in 5 European cities in November 2001.…”
Section: Deterministic and Stochastic Components In The First Order Dmentioning
The Analytic Hierarchy Process (AHP) ratio-scaling approach is re-examined in view of the recent
developments in mathematical psychology based on the so-called separable representations. The study highlights the distortions in the estimates based on the maximum eigenvalue method used in the AHP distinguishing the contributions due to random noises from the effects due to the nonlinearity of the subjective weighting function of separable presentations. The analysis is based on the second order expansion of the Perron eigenvector and Perron eigenvalue in reciprocally symmetric matrices with
perturbations. The asymptotic distributions of the Perron eigenvector and Perron eigenvalue are derived
and related to the eigenvalue-based index of cardinal consistency used in the AHP. The results show the
limits of using the latter index as a rule to assess the quality of the estimates of a ratio scale. The AHP
method to estimate the ratio scales is compared with the classical ratio magnitude approach used in psychophysics
“…Discussions of the AHP have focused mainly on five areas: axiomatic foundation [8,9,12,41], calculation of the relative weights [2][3][4]7,9,17,32,35,37,42,49], rank reversal [3,5,10,11,20,21,40,43,45], aggregation [3,35], and scale [9,35,45].…”
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