nep-mkt New Economics Papers
on Marketing
Issue of 2011‒12‒05
seven papers chosen by
Joao Carlos Correia Leitao
University of Beira Interior and Technical University of Lisbon

  1. Digging deeper: How do different types of organic consumers influence the increasing organic market share? By Laura Mørch Andersen; Thomas Bøker Lund
  2. The positive externalities of an art museum. A zero-truncated Poisson approach By Manuela Pulina
  3. THE USEFULNESS OF ANALYTICAL TOOLS FOR SUSTAINABLE FUTURES By Aliye Ahu Akgün; Eveline van Leeuwen; Peter Nijkamp
  4. The significance of neighborhood in Istanbul By E.Umran Topcu
  5. Do Taxes Produce Better Wine? By Martin Ljunge
  6. University as a collaborator partner and firm’s performance: Measuring behavioral additionality By Jose Polo; Néstor Duch; Martí Parellada
  7. Innovative Retail and the UK Growth Agenda By Michelle Lowe

  1. By: Laura Mørch Andersen (Institute of Food and Resource Economics, University of Copenhagen); Thomas Bøker Lund (Institute of Food and Resource Economics, University of Copenhagen)
    Abstract: The purpose of this paper is to investigate how sub markets with different degrees of maturity develop during a period of general organic growth, and how different consumer segments behave on these sub markets. The paper uses actual purchasing behaviour of six consumer segments with different attitudes towards food in general and organic production and products in particular. The data is from the Danish market for organic foods, which is one of the most mature markets in the world. The segmentation splits consumers into a positive and a non-positive half, each half consisting of three different segments. The estimations show that the development in general organic consumption varies between segments, and that their behaviour varies between sub markets. The positive half of the population has driven the overall growth in organic budget share at the Danish market over the period 2005 to 2007, while the other half have not changed their consumption significantly. The results indicate that for the most dedicated organic consumers, the organic budget share may be approaching a saturation point for some types of food, but also identifies other types of food which still have a growing organic budget share, even among the most dedicated consumers. The combination of attitudes and actual behaviour for a large number of consumers is new, and the results provide a valuable contribution to the ongoing investigation of organic consumers, and provide new nuances to the understanding of the latest organic growth.
    Keywords: organic budget shares, organic consumers, consumer segments, latent class analysis, demand
    JEL: D12
    Date: 2011–07
  2. By: Manuela Pulina
    Abstract: Only in the 80’s cultural activity has began to be viewed as a part of tourism (OECD, 2009). The UNWTO estimated that cultural tourism accounted for 40% of all international tourism, up from 37% in 1995 (Mintel, 2011). Museums play a relevant role as repositories of education, social cohesion and personal development. They are a stimulus for the economy, since culture consumers generally have a higher spending propensity than other consumers’ segments (Europa Inform, 2004). Museums are expected to produce positive externalities that can be called cultural spill-over. A museum will not benefit only the public (private) investor but society as a whole because new knowledge will enter society’s pool of cultural knowledge. This study predicts the repeat visitation to the MART of Rovereto, one of the most important museums of modern and contemporary art in Italy. The survey data were obtained during autumn 2009 on site. Via a zero-truncated Poisson estimation, a positive effect on the odds of having a repeat visitation to the museum, is given by either the presence of a temporary exposition or a permanent and temporary exposition; the probability to revisit the museum within the same year; visitation of the annex “Casa Deperoâ€, an important futurist arts exposition, restored in January 2009; visitation of any other city that hosted MART. Negative effects on the odds are given by the distance; number of people travelling with the interviewed visitor; the probability to recommend the museum to friends and family.
    Date: 2011–09
  3. By: Aliye Ahu Akgün; Eveline van Leeuwen; Peter Nijkamp
    Abstract: The aim of this study is to assess the usefulness of analytical tools for policy evaluation. The study focuses on a multi-method integrated toolkit, the so-called SMILE toolkit. This toolkit consist of the integration of three evaluation frameworks developed within an EU-funded consortium called Development and Comparison of Sustainability (DECOIN) and further applied within the consortium Synergies in Multi-Scale Inter-Linkages of Eco-social systems (SMILE). This toolkit is developed to provide reporting features that are required for monitoring policy-making. The sustainable development perspective is rather difficult to attempt due to its dynamism and its multi-dimensionality. Therefore, in this study, we aim to assess the usefulness of the SMILE toolkit to sustainable development issues on the basis of the critical factors of sustainable development. In other words, here, we will prove the usefulness of the toolkit to help policymakers to think about and work on sustainable developments in the future.
    Date: 2011–09
  4. By: E.Umran Topcu
    Abstract: Abstract The neighborhood is prominent in contemporary urban studies. One reason for choosing neighborhood as a unit of action is that the neighborhood provides an efficient scale within which to measure any change in target population’s circumstances. Neighborhood here is defined as the bundle of spatially based attributes associated with clusters of residences. This bundle of attributes is multidimensional consisting of everything from topography and structures and demography to social interactions. For most people, residence and the context in which it exists, that is to say neighborhood, is the largest consumption item of a lifetime. How much an individual’s needs and aspirations are met by his neighborhood is a concern for researchers and planners. This study expresses a belief in the value of the concept of place as part of the neighborhood question. There are now many established ways of looking at the neighborhood, as place, as network, as image, as property and as administrative unit. These all have something to offer individually and deserve continuing attention to help counteract some of the deficiencies of our contemporary society. In this study respondents from two districts of Istanbul are asked for their subjective assessments of a set of domains associated with neighborhood satisfaction. The neighborhoods are chosen to be one traditional and one modern context. The results indicate significant differences among the residents of traditional and modern neighborhoods. Keywords: Neighborhood satisfaction, context, subjective assessment, traditional, modern
    Date: 2011–09
  5. By: Martin Ljunge (Department of Economics, University of Copenhagen)
    Abstract: Theory predicts that unit taxes increase the quality consumed in a market since unit taxes reduce the relative price of high quality goods. Ad valorem taxes, on the other hand, have no effect on relative prices and should not affect product quality. The hypothesis is tested empirically in the US wine market. I find that the market share of high quality wine is significantly increased by unit taxes and that there is no significant effect of ad valorem taxes, in accordance with the hypothesis and previous empirical studies.
    Keywords: Quality Choice; Unit Tax; Tax Distortion
    JEL: D12 H31
    Date: 2011–10–14
  6. By: Jose Polo; Néstor Duch; Martí Parellada
    Abstract: In this paper we empirically analyze the effects of collaboration in innovation with universities on the firm’s innovative performance. Using data from the Technological Innovation Panel dataset (PITEC for its acronym in Spanish) we have constructed a database of 4643 innovative firms in Spain, where we estimate the impact of different types of collaborative partnerships on the increments on firm’s range and quality of products, and on the improvements of the firm’s production capacity and flexibility. The estimation from an ordered logit model shows that firms collaborating actively with universities, as well as, firms that use universities as their principal source of information are more prone to have product and process additionalities, while subcontracting specific R&D activities to universities do not seem to affect the firm’s innovative performance. A sensitive analysis shows that firms belonging to manufacturing sectors benefit more from the collaboration with universities than firms from services sectors.
    Date: 2011–09
  7. By: Michelle Lowe
    Abstract: The context for this paper is the 2010 Cameron Government growth review which identified retail as one of six sectors capable of delivering significant economic growth and stimulating employment in the post-economic crisis period. Additionally the paper relates to recent arguments in UK public policy regarding innovation in services. In the UK retail sector accounts for 8% of GDP and employs 1 in 10 of the workforce. Annual turnover was 316 billion in 2009 of which GVA was 68 billion. This placed the UK’s retail sector as the sixth largest in the world in terms of sales. The paper focuses on three case studies spread across the size spectrum. a.Tesco – the UK’s largest retailer, where the focus will be on the innovative aspects of the firm’s recent high risk US market entry, specifically the novel ‘capabilities’ which Fresh & Easy Tesco’s US subsidiary has developed and the potential for future growth both in the US and other international markets via the scaling up of these innovations. b.Jack Wills – a high growth medium sized clothing retailer whose profitability growth currently exceeds 70% per annum. Notable for its word of mouth/viral marketing techniques, the firm has recently expanded its reach to include a sister brand Aubin & Wills targeting a different demographic sector. In addition the firm has recently expanded into east coast USA specifically to Boston, Martha’s Vineyard and Nantucket and has plans for further expansion to Japan within the next eighteen months. c.The Hambledon a mini ‘lifestyle’ department store recently ranked within the top seven inspiring independent clothing retailers in the UK and regularly highlighted as ‘cutting edge’ within the media. Notable for its ‘choice edited’ collection the store has demonstrated a remarkable ability to capture growth during the recent crisis period in UK consumer confidence. The studies reveal some of the barriers and opportunities faced by retailers in delivering the growth the UK Government seeks. Additionally they illustrate the key role that retailers play in the development and sustainability of innovative urban spaces and the creative economy.
    Date: 2011–09

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