nep-mkt New Economics Papers
on Marketing
Issue of 2008‒02‒02
ten papers chosen by
Joao Carlos Correia Leitao
University of the Beira Interior

  1. Price Variation Antagonism and Firm Pricing Policies By Courty, Pascal; Pagliero, Mario
  2. Why NGOs matter for the success of sports events? The case of the America's Cup By Jacopin, Tanguy; Urrutia, Ignacio
  3. Relationship Quality and the Theory of Planned Behavior Models of Behavioral Intentions and Purchase Behavior By M. H. DE CANNIÈRE; P. DE PELSMACKER; M. GEUENS
  4. The value of Sainsbury's sales data in assessing the impact of self-service methods on food retailing in postwar Britain By Bridget Williams
  5. Mr Drage, Mr Everyman, and the creation of a mass market for domestic furniture in interwar Britain By Peter Scott
  6. Realizing the gains from trade : export crops, marketing costs, and poverty By Porto, Guido; Brambilla, Irene; Balat, Jorge
  7. Advertising Intensity and Welfare in an Equilibrium Search Model By Ian McCarthy
  8. A Framework for Developing Semantic Differentials in IS research: Assessing the Meaning of Electronic Marketplace Quality (EMQ) By Verhagen, Tibert; Meents, Selmar
  9. Freedom to be a Child: Commercial Pressures on Children By David Piachaud
  10. Competing through business models By Casadesus-Masanell, Ramon; Ricart, Joan E.

  1. By: Courty, Pascal; Pagliero, Mario
    Abstract: Pricing schemes that vary prices in response to demand shocks may antagonize consumers and reduce demand. At the same time, consumers may take advantage of the opportunities offered by price changes. Overall, the net impact of varying price on demand is ambiguous. We investigate the issue empirically, exploiting a unique dataset from a firm that has experimented with different pricing schemes. Each scheme is characterized by how much prices respond to demand variations. Holding average price and other variables constant, we find that demand is higher when prices vary more. The evidence suggests that the antagonism effect cannot be first order.
    Keywords: Consumer demand; Fairness; Responsive pricing
    JEL: D01 D12 L86
    Date: 2007–01
  2. By: Jacopin, Tanguy (IESE Business School); Urrutia, Ignacio (IESE Business School)
    Abstract: Collaborations among companies and NGOs have been widely described in the literature. However, little has been said about how NGOs can become a key success factor for sports events. Palliating the uncertainties associated with consumer response, in this paper it is argued that NGO activist behavior is now a stronger antecedent of success in sporting events than consumer response. The America's Cup is used to illustrate how collaboration with NGOs can create value for all stakeholders and produce the desired outcome.
    Keywords: Stakeholder Management; Value Creation; Sport Marketing; Sport events;
    Date: 2007–09–03
    Abstract: Using real-life purchase behavior data of apparel and survey information, this study compares the Relationship Quality and the Theory of Planned Behavior models. The attitude towards the buying behavior, the subjective norm and perceived behavioral control (antecedents of the buying intention in the Theory of Planned Behavior) are better predictors of behavioral intentions than Relationship Quality. In both models intentions fully mediate the impact of attitudinal antecedents on behavior, both in terms of purchase incidence and purchase behavior (amount spent, number of visits, and types of products bought). Frequency and recency of prior buying behavior and, to a lesser extent, its monetary value, predict subsequent purchase incidence, above and beyond the impact of attitude and intention. Attitudinal antecedents of behavior significantly predict buying behavior, but they become insignificant when buying behavior is included in the model.
    Keywords: Relationship quality model, theory of planned behavior, customer-firm relationship, intention, behavior
    Date: 2008–01
  4. By: Bridget Williams
    Date: 2007
  5. By: Peter Scott (Centre for International Business History, University of Reading)
    Abstract: This paper examines strategies used by durable goods retailers to create a mass market in interwar Britain, via a case-study of domestic furniture. Interwar demand for new furniture witnessed particularly rapid growth - mainly owing to the extension of the market to lower-income groups. A number of innovative national retailers eveloped liberal HP facilities to bring furniture within the economic reach of these groups, while sophisticated national advertising campaigns were used to both legitimise buying furniture on HP and project furnishing by this means as key to achieving the type of aspriational lifestyles being promulgated in the popular media.
    Date: 2007
  6. By: Porto, Guido; Brambilla, Irene; Balat, Jorge
    Abstract: This paper explores the role of export costs in the process of poverty reduction in rural Africa. The authors claim that the marketing costs that emerge when the commercialization of export crops requires intermediaries can lead to lower participation into export cropping and, thus, to higher poverty . They test the model using data from the Uganda National Household Survey. The findings show that: i) farmers living in villages with fewer outlets for sales of agricultural exports are likely to be poorer than farmers residing in marketendowed villages; ii) market availability leads to increased household participation in export cropping (coffee, tea, cotton, fruits); and iii) households engaged in export cropping are less likely to be poor than subsistence-based households. The authors conclude that the availability of markets for agricultural export crops helps realize the gains from trade. This result uncovers the role of complementary factors that provide market access and reduce marketing costs as key building blocks in the link between the gains from export opportunities and the poor.
    Keywords: Transport Economics Policy & Planning,Markets and Market Access,Rural Poverty Reduction,Crops & Crop Management Systems
    Date: 2008–01–01
  7. By: Ian McCarthy (Indiana University Bloomington)
    Abstract: We analyze an equilibrium search model in a duopoly setting with bilateral heterogeneities in production and search costs in which firms can advertise by announcing price and location. We study existence, stability, and comparative statics in such a setting, compare the market advertising level to the socially optimal level, and find conditions in which firms advertise more or less than the social optimum.
    Keywords: Search, Advertising, Welfare
    JEL: D21 D43 D83 M37
    Date: 2008–01
  8. By: Verhagen, Tibert (Vrije Universiteit Amsterdam, Faculteit der Economische Wetenschappen en Econometrie (Free University Amsterdam, Faculty of Economics Sciences, Business Administration and Economitrics); Meents, Selmar
    Abstract: Adequate usage of measurement instruments is key for solid research. In this study we focus on the semantic differential as general technique of measurement. Despite calls for methodological rigor in information systems (IS) research, many of the applications of the semantic differential in IS studies are characterized by flaws and weaknesses. Consequently, the findings of these studies demand cautious usage since validity problems are likely to exist. The aim of this study is to shed light on the semantic differential. Principles of semantic differentiation are discussed, and used as foundation to introduce a framework for developing and applying semantic differentials. The framework delineates the crucial role of linguistics and concept-scale interaction, and extends available guidelines for measurement validation with procedures to test wording credibility, linguistic contrast, psychological bipolarity, and contextual contamination. The framework is exemplified using a demonstration exercise, which centers on the assessment of the meaning of the concept electronic marketplace quality (EMQ). Using a mixture of qualitative and quantitative methods, the demonstration exercise clarifies the prerequisites for semantic differentiation and provides guidelines for researchers. The paper concludes with a discussion of implications for researchers, reviewers and practice.
    Keywords: Semantic differential; Measurement validation; Research methodology; Linguistics; Contextual contamination; Electronic marketplace quality
    Date: 2007
  9. By: David Piachaud
    Abstract: Children's lives have been transformed over the past century. Family incomes have increased, children lead more solitary lives, attitudes to childhood have changed, new products have been developed and commercial pressures on children have increased. The importance of these commercial pressures is analysed. Do children understand advertising? How is child poverty affected? How does increased materialism affect psychological well-being? The issues raised for public policy are discussed in terms of children's freedom, the rights of children and the protection of children. Finally, the future of childhood is considered and choices between constraining commercial pressures or not are considered.
    Keywords: childhood, consumption, advertising, commercialization
    JEL: I31
    Date: 2007–07
  10. By: Casadesus-Masanell, Ramon (Harvard Business School); Ricart, Joan E. (IESE Business School)
    Abstract: In this article a business model is defined as the firm choices on policies, assets and governance structure of those policies and assets, together with their consequences, be them flexible or rigid. We also provide a way to represent such business models to highlight the dynamic loops and to facilitate understanding interaction with other business models. Furthermore, we develop some tests to evaluate the goodness of a business model both in isolation as well as in interaction with other business models of different organizations, be those competitors, complements, suppliers, partners, etc.
    Keywords: Business model; Interaction; Competitive Strategy; Competitive Dynamics;
    Date: 2007–11–03

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