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-known quality, and a firm with an unknown brand, firm B, has to choose to produce high or low quality. Firm A observes firm B …
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Whether consumers are aware of potentially adverse product effects is key to private and social incentives to disclose information about undesirable product characteristics. In a monopoly model with a mix of aware and unaware consumers, a larger share of unaware consumers makes information...
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intensify competition between firms. As a result, firms may earn higher profits from "de-targeted" advertising; i.e., when the …
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the firm sells both products under the same brand name, consumers adjust their beliefs about quality subject to the … markets and that even unprofitable products may be used to stabilize the umbrella brand. However, umbrella branding does not …
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