nep-mkt New Economics Papers
on Marketing
Issue of 2010‒05‒29
five papers chosen by
Joao Carlos Correia Leitao
University of Beira Interior and Technical University of Lisbon

  1. On the strategic use of attention grabbers . By Eliaz, K.; Spiegler, R.
  2. Use and Perception of the Internet as a Marketing Tool to Promote Rural Tourism By Paulo Duarte; Ana Rita Pais
  3. Survey Evidence on Customer Markets By Ali Choudhary; Thorlakur Karlsson; Gylfi Zoega
  4. An Empirical Analysis of the Determinants of Marketing Contract Structures for Corn and Soybeans By Paulson, Nicholas D.; Katchova, Ani; Lence, Sergio H.
  5. Demand for Crop Insurance by Organic Corn and Soybean Farmers in Three Major Producing States By Singerman, Ariel; Hart, Chad E.; Lence, Sergio H.

  1. By: Eliaz, K.; Spiegler, R.
    Abstract: When a …firm decides which products to offer or put on display, it takes into account the products' ability to attract attention to the brand name as a whole. Thus, the value of a product to the …firm emanates from the consumer demand it directly meets, as well as the indirect demand it generates for the firms other products. We explore this idea in the context of a stylzed model of competition between media content providers (broadcast TV channels, internet portals, newspapers) over consumers with limited attention. We characterize the equilibrium use of products as attention grabbers and its implications for consumer conversion, industry profi…ts and (mostly vertical) product differentiation.
    Date: 2010–03–26
  2. By: Paulo Duarte (Departamento de Gestão e Economia, Universidade da Beira Interior); Ana Rita Pais (Universidade da Beira Interior)
    Abstract: Businesses and communities in rural areas face increased challenges to compete in the globalized tourism market. Rural areas and small communities often have rich endogenous natural resources, which may appeal to a stressed urban public, however, simply possessing these attributes is not sufficient, the must be communicated and promoted to the right people. The purpose of this study is to explore the use of Internet and online marketing tools to improve the competitiveness of small-scale rural tourism companies. The paper presents an overview of the perception, knowledge and use of Internet as a marketing toll by small-scaled rural tourism companies located in Portugal centre region and discusses the challenges and motivations involved in promoting rural tourism in a globalized market. A sample of small-scaled rural tourism companies was inquired about their attitudes toward the use of Internet marketing tools. The results show that Rural Tourism companies have limited knowledge of web marketing tools potential to support the rural tourism and highlight the need to increase the use of Internet as a marketing tool to globally communicate, promote and positioning rural tourism in order to leverage resources and create sustainability.
    Keywords: Rural tourism, SMEs, Internet, Marketing, e-Commerce
    Date: 2010
  3. By: Ali Choudhary; Thorlakur Karlsson; Gylfi Zoega
    Abstract: This paper uses survey data from Iceland on 884 firms to test for the theory of customer markets proposed by Phelps and Winter (1970) and Okun (1981). The results provide support for the customer market theory in that managers agree that customers are valuable to firms - they rank them second only to employees - and they use various means of augmenting and retaining their customer base, such as advertising. Surprisingly, however, price setting appears not to be an important ploy for attracting and retaining customers. In this we confirm the earlier results of Lye and Sibly (1994) using Australian data. Instead, advertising and direct contact with customers are listed as significantly more important.
    Date: 2009–11
  4. By: Paulson, Nicholas D.; Katchova, Ani; Lence, Sergio H.
    Abstract: Contracts serve as coordination mechanisms which allocate value, risk, and decision rightsacross buyers and sellers. The use of marketing contracts in agriculture, specifically for crop production,has been increasing over the past decade. This study investigates the determinants ofagricultural marketing contract design employing data from the USDA’s Agricultural ResourceManagement Survey. Models are estimated to analyze the association between producer and contractorcharacteristics, the decision to produce under contract, and the types of contract structuresobserved in practice, while controlling for the potential for endogenous matching betweencontracting parties. Results indicate that while certain producer characteristics are significantlyassociated with the decision to produce corn or soybeans under contract, there is no significantassociation between those characteristics and specific contract attributes.
    JEL: Q13 Q15
    Date: 2010–05–01
  5. By: Singerman, Ariel; Hart, Chad E.; Lence, Sergio H.
    Abstract:  Abstract A survey of organic grain and oilseed producers in Iowa, Minnesota and Wisconsin was conducted to collect information about their demographic characteristics, production and price risk management strategies, yields and losses, and crop insurance decisions. The data are analyzed using a discrete choice model to establish which variables influence organic producers’ decision of whether to purchase crop insurance and also which ones affect the insurance product choice when applicable. The study describes the risk profiles of organic producers, and analyzes whether significant variations exist between organic and conventional methods of production so as to quantitatively determine the differential production risk associated with organic production. This research may contribute to the design of an organic crop insurance policy in which organic producers would be charged according to their idiosyncratic production risks, rather than the arbitrary 5% blanket premium surcharge currently in use.  
    Date: 2010–05–23

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