Elasticity Calculation

During the Elasticity Calculation stage, the assortment elasticity is calculated. You do not configure any parameters. Click Run to initiate the calculation.

The assortment elasticity should not be a positive value because the transference model does not work properly if the value is positive. In addition, it should not be a null value because a null value indicates that the calculation of assortment elasticity failed and did not produce an assortment elasticity value. If an assortment elasticity value is positive, it must be replaced with a negative value. The replacement occurs during the escalation process.

Process

The elasticity calculation is a background process. You use this stage to view the results. Note that the substitutable demand information is displayed and the percentages for the DT models are calculated after you set the time intervals within the Manage Models tab.