nep-mkt New Economics Papers
on Marketing
Issue of 2015‒09‒11
five papers chosen by
João Carlos Correia Leitão
Universidade da Beira Interior

  1. Consumer acceptance and willingness to pay for edible insects as food in Kenya: the case of white winged termites By Mohammed H. Alemu; Søren B. Olsen; Suzanne E. Vedel; Kennedy O. Pambo; Victor O. Owino
  2. Social paradigms of the digital marketing- an Indian perspective of Social Media Marketing By Malhotra, Deepika
  3. Competition between Cities and Their Spatial Structure By AGO Takanori
  4. Do consumers take advantage of common pricing standards? An experimental investigation By Robert Sugden; Jiwei Zheng
  5. The KBC Bank/ESRI Consumer Sentiment Index By Duffy, David; Morley, Ciara; Watson, Dorothy

  1. By: Mohammed H. Alemu (Department of Food and Resource Economics, University of Copenhagen); Søren B. Olsen (Department of Food and Resource Economics, University of Copenhagen); Suzanne E. Vedel (Department of Food and Resource Economics, University of Copenhagen); Kennedy O. Pambo (Department of Agricultural and Resource Economics, Jomo Kenyatta University of Agriculture and Technology); Victor O. Owino (International Atomic Energy Agency)
    Abstract: Edible insects are receiving substantial attention because of their potential as a significant future food source of high nutritional value and with important environmental benefits. As a result, there is a focus on the supply side to establish and optimize the insect production sector and develop the value chain. However, as the ultimate success of a product development depends on consumers' product judgement and acceptance, acquiring information about potential demand is of paramount importance for policy advice. In this paper, we aim to give a first insight into the potential demand for termite-based food products (TBFPs) in Kenya. We assess the demand in terms of consumer preferences and willingness to pay using a stated choice experiment method. A novel feature of this paper is that it focuses on how the termites should be presented and introduced, either as whole or processed, in a typical daily meal in order to increase consumer acceptance. Results from the latent class model reveal that consumers prefer and are willing to pay more for TBFPs with high nutritional value and when they are recommended by officials. In addition, results show that high to a very high food safety control levels of the TBFPs are valued positively by most consumers.
    Keywords: Stated Choice Experiment; Edible insects; Latent class model; Termite-based food products; WTP
    JEL: D12 Q11 Q13 Q18 Q54 Q56
    Date: 2015–09
  2. By: Malhotra, Deepika
    Abstract: With the tremendous and broadly scattered populace of India it has dependably been a test for organizations to control market progress and they need to strive to make their vicinity felt all through the length and expansiveness of the country. Gone are the days when an insignificant promotion on radio or an imaginative publicizing battle was sufficient to hypnotize the objective client. The Information correspondence innovation insurgency had made it basic for organizations to go for interactive media advancement crusades in western nations as well as in India. The developing web entrance, the high offers of advanced mobile phones and the 3G administrations being generally made accessible by cell telephone organizations in India together make impeccable conditions for a computerized upset to occur. On the off chance that we take a gander at the bigger picture the organizations whether private or open are all occupied with prominent promoting projects utilizing either single media or mixed media battles. What's more, this is going on the grounds that if in today's age an organization or brand "is out of site it goes out of psyche", consequently promoting has turned into a fundamental malice. The advertising arrangement essentially means to make the business furnish the arrangement with the mindfulness with the normal clients. From 1980 onwards, on the other hand, the Indian state has moved Indian political economy towards East Asian models of improvement.
    Keywords: Social media marketing, Indian online markets, online marketing, social marketing, viral marketing, Linkedin marketing, Facebook marketing, YouTube as marketing tool.
    JEL: M3 M31 M37 O3 O33
    Date: 2015–08–19
  3. By: AGO Takanori
    Abstract: Spatial competition has dealt with a single city over which firms compete. This paper extends it to a model with multiple cities. Specifically, we construct a spatial Cournot model with circular cities where consumers can choose which city to go under the spatial distribution of firms as determined by a location-quantity game. As a result, firms can agglomerate at a point even in the circular cities in equilibrium due to their ability to enhance consumer surplus at their locating city and rob more consumers of the rival city if they agglomerate to commit to the lower price. A welfare analysis shows excess agglomeration.
    Date: 2015–09
  4. By: Robert Sugden (University of East Anglia); Jiwei Zheng (University of Warwick)
    Abstract: Gaudeul and Sugden have hypothesized that, when some but not all competing products are priced in a common standard and when consumers are liable to make errors in cross-standard price comparisons, consumers confine their attention to common-standard offers. This ‘largest common standard’ (LCS) heuristic provides incentives for sellers to use common standards, and so differs from most ‘consider-then-choose’ decision processes by not exposing consumers to exploitation by sellers. We report an experimental test of this hypothesis, using choice tasks similar to those represented in the Gaudeul–Sugden model. These tasks are parameterized such that participants, given their actual cognitive abilities, would benefit by using the LCS heuristic. However, we find little evidence that this heuristic is used. Most participants use a ‘dominance editing’ (DE) rule which begins by eliminating transparently dominated offers. This rule incentivises sellers not to use common standards. Since DE is less efficient than LCS, given participants’ cognitive abilities, the use of DE is evidence of overconfidence.
    Keywords: shortlisting, common standard, largest common standard heuristic, dominance editing, consideration set
    Date: 2015–07
  5. By: Duffy, David; Morley, Ciara; Watson, Dorothy
    Date: 2015–06

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