Until recently, brand identities were built by firms via brand image advertising. However, the flourishing consumer communication weakened the firms' grip on their brands. The interaction between advertising and consumer communications and their joint impact on brand identity is the focal point...

This paper brings empirical evidence that the positive effect of exposure to advertising on consumers' tendency to purchase a product is due to the informative nature of ads and to consumers' risk-aversion. We show that the findings of previous studies that advertising intensity is an element in...

This study models advertising content as a noisy signal on product attributes. Contrary to previous empirical studies that modeled advertising only as part of the consumer's utility function, we formulate advertising also as an element in her information set. This approach yields the following...