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There is widespread evidence that some firms use false advertising to overstate the value of their products. We consider a model in which a policymaker is able to punish such false claims. We characterize an equilibrium where false advertising actively influences rational buyers, and analyze the...
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This study examines the effect of pricing practices and other factors on consumers’ buying behavior in the UAE in the post-Covid-19 era. The focus is on buying from hypermarkets. Other factors such as product quality, the possibility of paying with cards, convenient hypermarket layout, near...
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the firm sells both products under the same brand name, consumers adjust their beliefs about quality subject to the … markets and that even unprofitable products may be used to stabilize the umbrella brand. However, umbrella branding does not …
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