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Price and Product-Line Rivalry Among Supermarket Retailers AgEcon
Richards, Timothy J..
Product-line length, or variety, is a key competitive tool used by retailers to differentiate themselves from rivals. Theoretical models of price and variety competition suggest that both store and product heterogeneity are key determinants of price and variety strategies, but none test this hypothesis in a rigorous way. This study provides the first empirical evidence on supermarket retailers' combined price and variety strategies using a nested CES modeling framework. Unlike other discrete-choice models of product differentiation, the NCES model is sufficiently general to admit both corner and interior solutions in both store and product choice. The model is estimated using store-level scanner data for all grocery chains in a major West Coast market and...
Tipo: Working or Discussion Paper Palavras-chave: Game theory; Nested CES; Price competition; Retailing; Variety.; Demand and Price Analysis.
Ano: 2004 URL: http://purl.umn.edu/28535
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Measuring Market Power in the Ready-To-Eat Cereal Industry AgEcon
Nevo, Aviv.
The ready-to-eat cereal industry is characterized by high concentration, high price-cost margins, large advertising to sales ratios, and numerous introductions of new products. Previous researchers have concluded that the ready-to-eat cereal industry is a classic example of an industry with nearly collusive pricing behavior and intense non-price competition. This paper empirically examines this conclusion. In particular, I estimate price-cost margins, but more importantly I am able empirically to separate these margins into three parts: (1) that which is due to product differentiation; (2) that which is due to multi-product firm pricing; and (3) that due to potential price collusion. The results suggest that given the demand for different brands of cereal,...
Tipo: Working or Discussion Paper Palavras-chave: Discrete choice models; Random coefficients; Product differentiation; Ready-to-eat cereal industry; Market power; Price competition; Agribusiness; Demand and Price Analysis; Industrial Organization.
Ano: 1998 URL: http://purl.umn.edu/25164
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Az élelmiszerek fogyasztói árai és a kiskereskedelmi árverseny AgEcon
Tunyogine Nechay, Veronika.
Az élelmiszerek fogyasztói árindexe évek óta az inflációt meghaladó ütemben nő, az élelmiszer-kiskereskedelmi egységek éleződő versenye ellenére. A verseny erősségét az élelmiszer-kiskereskedelem kiegyenlített versenystruktúrája eredményezi, amit az első hat piaci szereplő relatív piaci arányának állandósága jelez. A verseny leggyakoribb eszköze az ár, az alacsonyabb ár alkalmazása akciókkal és árcsökkentéssel történhet. Az átlagos fogyasztói ár tendenciáját a különböző árváltoztatási jellemzők (akció, árcsökkentés, árnövekedés és nem változik az ár) gyakoriságainak és árszintjeinek vizsgálata is alátámasztja. Az árnövekedések aránya az árváltoztatási jellemzőkön belül a választott bolttípusokban meghaladja az árversenyre utaló akciók és árcsökkentések...
Tipo: Journal Article Palavras-chave: Élelmiszer fogyasztói árak; Fogyasztói árindex; Árverseny; Árváltoztatási jellemzők gyakorisága és árszintje; Első árrés; Hátsó kondíciók; Retail food prices; Consumer price index; Price competition; Frequency of price change parameters and price level; First margin; Underlying terms; Agribusiness; Financial Economics.
Ano: 2010 URL: http://purl.umn.edu/99123
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