[MARK] Marketing: working papers (RePEc, 04/10/2010)

Source : NEP (New Economics Papers) | RePEc

Date: 2010-06
By: Arrington, Kendra
Dennis, Jennifer
Mazzocco, Michael
URL: http://d.repec.org/n?u=RePEc:ags:wera10:93919&r=mkt
cluster analysis, consumers, farmersâ market, primary data, surveys
Keywords: Agribusiness,
  • Price and Brand Competition between Differentiated Retailers: A Structural Econometric Model
Date: 2010-04
By: Dubois, Pierre
Jodar-Rosell, Sandra
URL: http://d.repec.org/n?u=RePEc:tse:wpaper:22688&r=mkt
We develop a model of competition between retailer chains with a structural estimation of the demand and supply in the supermarket industry in France. In the model, supermarkets compete in price and brand offer over all food products to attract consumers, in particular through the share of private labels versus national brands across all their products. Private labels can serve as a differentiation tool for the retailers in order to soften price competition. They may affect the marginal costs of all products for the retailer because of eventual quality differences and also by helping retailers to obtain better conditions from their manufacturers. Differentiation is taken into account by estimating a discrete-continuous choice model of demand where outlet choice and total expenditures are determined endogenously. On the supply side, we consider a simultaneous competition game in brand offer and price between retailers to i dentify marginal costs. After estimation by simulated maximum likelihood, the structural estimates allow to simulate the effect on the equilibrium behavior of retailer chains of a demand shock through an increase in transportation costs for consumers and a merger between two retailer chains.
JEL: L13
  • Worried about Adverse Product Effects? Information Disclosure and Consumer Awareness
Date: 2010-05-12
By: Li, Sanxi
Peitz, Martin
Zhao, Xiaojian
URL: http://d.repec.org/n?u=RePEc:tse:wpaper:22665&r=mkt
Whether consumers are aware of potentially adverse product effects, is key for private and social incentives to disclose information. To obtain a better understanding of this issue we propose a simple monopoly model that highlights the conceptual difference between consumer unawareness and consumer uncertainty. We show that total surplus may be larger in an environment in which consumers are unaware of the potentially adverse effect. We also show that disclosing information whether a particular ingredient is harmful or not increases consumer surplus, but mandatory disclosure of the level of this ingredient may make consumers worse off.
Keywords: Information disclosure, informative advertising, consumer awareness
  • The Direct and Indirect Effect of Exchange to Build Customer Loyalty in Social Network Sites.
Date: 2010-04-16
By: Anandya, Dudi
URL: http://d.repec.org/n?u=RePEc:pra:mprapa:25277&r=mkt
The Internet has enabled people to connect to each other, regardless of time and space. This lead to a new phenomena, known as social networking through social network sites such Facebook, and Friendster. In social network sites members find new kinds of exchange, which is information exchange. Membership in many social network sites are free, which means that everyone is free to join or leave it. In that case social network providers must ensure that members keep using their site. Exchange has been known as subject matter in marketing. Exchange will lead to customer loyalty through value creation. This paper will show that exchange has direct impact to loyalty. The community based theory has been shown that if community members keep exchange activity, they will loyal to the community. The author will focus on friendship based communities such as Facebook.
Keywords: Exchange; Value; Community; Social Network Site

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