Study On Pricing Of Direct-to-consumer Genetic Testing Products Based On The Signaling Model

With the improvement of the quality of life,people begin to pay more attention to personal physical and mental health,thus the scope of health care is becoming wider and wider.Among them,direct-to-consumer genetic test is a hot health care industry in recent years.Direct-to-consumer genetic test,gradually emerging in China,has been introduced into China for less than 20 years,so it is in the early stage of development.Obviously,because China's direct-to-consumer genetic testing market is still in its infancy,consumers don't know enough about direct-to-consumer genetic testing products,and the legislative supervision of departments is not enough,which leads to a series of problems such as chaotic market order and unreasonable pricing mechanism of direct-to-consumer genetic testing products.Thus,in this paper,we will focus on assisting the improvement of direct-to-consumer genetic testing market by pricing direct-to-consumer genetic testing products based on signaling model.Therefore,our research is based on the direct-to-consumer genetic testing market and signaling model.First of all,we introduce the development prospects and existing problems of the direct-to-consumer genetic testing market.And the application of operations research in health care is briefly reviewed from the perspectives of application scope,historical data and specific methods.Secondly,we have a detailed understanding of the theoretical knowledge about mechanism design theory,data preprocessing method and panel data model.Thirdly,we collect the price,quality and sales data of all direct-to-consumer genetic testing products on Taobao platform and Jingdong platform.And then we make a correlation analysis on the direct-to-consumer genetic testing products and draw the conclusion that "the higher the price,the more the sales volume".Finally,based on the direct-to-consumer genetic testing market,we set up an auxiliary pricing model using signaling model.We study whether different signals can signal the information of merchants' quality level to consumers in three different types of markets,and obtain the best sales strategy of merchants through equilibrium analysis.