This paper analyzes dynamic advertising and pricing policies in a durable-good duopoly. The proposed infinite …-horizon model, while general enough to capture dynamic price and advertising interactions in a competitive setting, also permits … cumulative sales, while the optimal advertising is decreasing with cumulative sales. Comparative statics for the results are …

To increase the sales of their products through advertising, firms must integrate their brand-advertising strategy for … capturing market share from competitors and their generic-advertising strategy for increasing primary demand for the category …. This paper examines whether, when, and how much brand advertising versus generic advertising should be done. Using …

Cooperative (co-op) advertising is an important instrument for aligning manufacturer and retailer decisions in supply … chains. In this, the manufacturer announces a co-op advertising policy, i.e., a participation rate that specifies the … percentage of the retailer's advertising expenditure that it will provide. In addition, it also announces the wholesale price. In …

in advertising subsequent to the comprehensive survey of the literature by Sethi in 1977. The basic problem underlying … these models is that of determining optimal advertising expenditures and possibly other variables of interest over time for … advertising literature since 1977, such as quality as an additional marketing instrument, cumulative sales models, pulsing …

This paper considers a variation of the Vidale-Wolfe advertising model for which the maximum value of the objective … function and the form of the optimal feedback advertising control are identical in both a deterministic and a stochastic … environment. The stochastic environment is due to a white noise disturbance introduced in the deterministic sales-advertising …

retailers. The manufacturer decides on its support for the retailers' advertising activities by announcing cooperative … advertising subsidies called “participation rates.” The retailers compete for market share by selecting advertising efforts. We … find that the manufacturer should offer the cooperative advertising policy to only one retailer and even then, only when a …

-retailer cooperative advertising game where, in addition to the traditional setup into which the manufacturer subsidizes the retailer …'s advertising effort, we also allow the reverse support from the retailer to the manufacturer. In this representative case, we find …

Cooperative advertising is an important mechanism used by manufacturers to influence retailers' promotional decisions …. In a typical arrangement, the manufacturer agrees to reimburse a fraction of a retailer's advertising cost, known as the … optimal advertising efforts. We obtain feedback Stackelberg strategies consisting of manufacturer's subsidy rates and …

We propose a model to assess the value of a distributor in a dynamic stochastic cooperative advertising supply chain in …, the distributor also intermediates the pricing and advertising decisions between the manufacturer and the retailer. For … to the case of no distributor. Thirdly, as the distributor saves on the transport cost, the marginal advertising cost to …

We analyze optimal advertising spending in a duopolistic market where each firm's market share depends on its own and … its competitor''s advertising decisions, and is also subject to stochastic disturbances. We develop a differential game … model of advertising in which the dynamic behavior is based on the Sethi stochastic advertising model and the Lanchester …