Erdem, Tülin; Keane, Michael P.; Sun, Baohong - In: Marketing Science 27 (2008) 6, pp. 1111-1125
In this paper, we develop a structural model of household behavior in an environment where there is uncertainty about brand attributes and both prices and advertising signal brand quality. Four quality signaling mechanisms are at work: (1) price signals quality, (2) advertising frequency signals...