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This paper investigates the price decision making and channel performance under cost misrepresentation at the retail stage. In the standard double marginalization game, we introduce a preliminary stage, where the retailer can misrepresent her constant marginal cost. We give respective sufficient...
Persistent link: https://www.econbiz.de/10005422856
Recent research suggests that the signal (e.g., sign or marker) with a point of purchase promotion will stimulate a … retailer profitability that incorporates this “promotion signal sensitivity.” In a field test, the profitability of the … promotion policy prescribed by this model is compared to the profitability of two other promotion policy-setting paradigms: a …
Persistent link: https://www.econbiz.de/10008787828
information and promotion literatures is proposed. These hypotheses relate the presence of various promotions (price, clearance …, and new product), promotion scope, and the type of out-of-store communication vehicle used by retailers to each of the … purchase. The effect of price promotion on consumers' spending in a store is also significant, but varies in sign with the type …
Persistent link: https://www.econbiz.de/10008789706
Cross-brand pass-through implies that a retailer responds to wholesale promotional support from a target brand by changing the retail prices of competitive brands. Besanko et al. (2005) model a target brand's retail price as a function of its own and other brands' wholesale prices using 780...
Persistent link: https://www.econbiz.de/10008789771
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Some statistical methods developed recently in the biometrics and econometrics literature show great promise for improving the analysis of duration times in marketing. They incorporate the right censoring that is prevalent in duration times data, and can be used to make a wide variety of useful...
Persistent link: https://www.econbiz.de/10008788281
We consider a group of frequently purchased consumer brands which are partial substitutes and examine two situations; the first where the group of brands is managed by a retailer, and second where the brands compete in an oligopoly. We assume that demand is a function of actual prices and...
Persistent link: https://www.econbiz.de/10008789654
Persistent link: https://www.econbiz.de/10005048577
United States firms collectively spend over $6.5 billion annually on coupon promotions and are becoming increasingly concerned with their profitability. FSI (free-standing-insert) data show that coupon duration varies across brands. In this paper, we show how coupon duration can affect coupon...
Persistent link: https://www.econbiz.de/10009208864