Firms signal high quality through high prices even if the market structure is highly competitive and price competition … is severe. In a symmetric Bertrand oligopoly where products may differ only in their quality, production cost is … increasing in quality and the quality of each firm’s product is private information (not known to consumers or to other firms …

oligopolistic market where firms compete in price and quality and where consumers are heterogeneous in knowledge: some consumers … know both the prices and quality of the products offered, some know only the prices and some know neither. We show that two … types of signalling equilibria are possible. Both are characterised by dispersion and Pareto-inefficiency of the price/quality …

new insights into the way the transition from mass to specialized advertising can affect market outcomes. Quality … promotion, in a model where a seller employs informative advertising to launch a new product. We propose a fairly general … advertising technology for the study of three promotional strategies—mass, imperfectly targeted, and customer directed advertising …

This paper shows how a firm can use non-targeted advertising to exploit consumers' desire for social status. A … monopolist sells multiple varieties of a good to consumers who each care about what others believe about his wealth. Advertising …

differentiated according to their environmental quality, where the production of green products generates positive externalities to … quality, (b) the market may generate fewer positive environmental externalities, and (c) total welfare may deteriorate. The … quality standard. …

This paper models strategic interactions between a product supplier, a provider of information about product quality …