Can We Predict Price Adjustment in an Online Supermarket by Using Machine Learning and Econometrics?

Part 1: Econometrics approach

Photo by Anne Preble on Unsplash

This series walks through my Master’s dissertation, which was not only my first end-to-end machine learning project but also it was a bridge between my econometrics and machine learning study. So there is a lot of space to improve, but I wanted to write this down as an archive before I completely forget what I have written (it’s been already more than 1.5 years tho). If you keen to have a look, the full text is available on ResearchGate. This story explains how econometrics approach can predict the firms’ price adjusting behaviour followed by Part 2 — ML approach.

Content

1. Brief Introduction to Price Adjusting Mechanism
2. Data Description
3. Econometrics Approach (+ a bit of ML)
4. Results
5. Next Steps

Brief Introduction to Price Adjusting Mechanism

Photo by Carlos Muza on Unsplash

This project seeks a way to predict the timing of price adjustment. There are 3 main…