In this paper we present an industry in which a pioneer has entered, accumulated capital in the form of goodwill, and in his monopoly period has also reduced his cost of production as a result of some form of learning by doing. At some later date a newcomer enters. His production cost is higher...

We are indebted to John Little (Little, J. D. C. 1986. Comments. 107–108.) and Hugh Zielske (Zielske, H. A. 1986. Comments. 109.) for their valuable comments on our paper. Some of the comments merit further clarification and our response to these comments is provided below.

The question of whether a pulsed advertising policy is superior to an even policy (constant spending over time) is of practical relevance to both advertising practitioners and model builders. This paper presents an analytical model that can be used to analyze the impact of the various pulsing...

Innovation diffusion models are developed to represent the spread of a new product from its manufacturer(s) to its ultimate users. In the marketplace, however, the growth of a new product can be retarded by supply restrictions such as the unavailability of the product due to limitations on the...

Five awareness forecasting models embedded in their respective new product introduction models are compared. Conditions which govern the differences in the awareness estimates provided by the various models are delineated. Managerial implications of the results are discussed.