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This paper develops an asymmetric price setting oligopoly model of store opening and closure decisions in the UK supermarket industry which is estimated using a survey of consumer choices and a dataset of store characteristics. The model is used to examine the strategic local entry and exit...
Persistent link: https://www.econbiz.de/10010605032
Many multi-product firms incur a complexity fixed cost when offering different product lines in different quality tiers relative to the case when offering all products lines in the same quality tier (high or low). Such fixed costs create an interdependency between firms' choices of quality tiers...
Persistent link: https://www.econbiz.de/10011305294
In this paper, we take a first step toward exploring empirically the product assortment strategies of oligopolistic firms. Our starting point is a discrete-choice demand model for differentiated products. We incorporate the demand model into an equilibrium supply model, in which firms compete by...
Persistent link: https://www.econbiz.de/10014047980
We analyze the existence of pure strategy symmetric price equilibria in a generalized version of Salop (1979)'s circular model of competition between differentiated products - namely, we allow consumers to purchase more than one brand. When consumers purchase all varieties from which they derive...
Persistent link: https://www.econbiz.de/10014209353
This paper analyses the extent of inter-format retail competition between supermarkets, discounters and drugstores in Germany, using data from the German market for diapers. We estimate a random coefficient logit model at the individual household level. Based on consumer substitution patterns,...
Persistent link: https://www.econbiz.de/10010227408
We conduct a regional analysis of the relationship between market concentration and price dynamics in the grocery …, we construct Herfindahl-Hirschman indices of concentration at the buying group, parent company and individual shop level … changes. Our results point to a positive association between retail market concentration and price growth in food and …
Persistent link: https://www.econbiz.de/10013109099
We develop a structural model of retail store choices for which household shopping plans and price beliefs are endogenously determined. In our model individual households make their store choices based on their expected basket costs, which are determined by their shopping plans and price...
Persistent link: https://www.econbiz.de/10012973734
"Window shopping" and "showrooming" refer to the activity in which potential buyers visit a brick-and-mortar store to examine a product but end up either not buying it or buying the product from an online retailer. This paper analyzes potential buyers who differ in their preference for...
Persistent link: https://www.econbiz.de/10013061425
The terms "window shopping" and "showrooming" refer to the activity in which potential buyers visit a brick-and-mortar store to examine a product but end up either not buying it or buying the product from an online retailer. This paper analyzes potential buyers who differ in their preference for...
Persistent link: https://www.econbiz.de/10009742421
Plug and Play – The Era of Technology Convergence.Emergences of new technologies like Mobile, Cloud and robust payment gateways have enhanced the business models of e-commerce applications. Google pioneered the advertisement based revenue model. Amazon gave a whole new dimension to e-business...
Persistent link: https://www.econbiz.de/10012949705