of this study is to examine how coupons impact retailers’ pricing decisions. Specifically, this study explores how … retailer pricing and couponing change based on competitor’s coupon issuance; and whether different types of coupons … (manufacturer verses retailer) have different impacts on retailer’s pricing. Breakfast cereals are heavily purchased. The …

transportation costs of consumers, which consequently softens competition and allows higher profits. Therefore, the response of firms …

in a common market. We find that under intense price competition, firms may suffer from a decentralized structure …