DEMAND FOR DIFFERENTIATED BRANDS, ADVERTISING AND RD ACTIVITY

• KAWASHIMA, Yasuo

抄録

type:text

This paper develops a model in which consumers pick a bundle consisting of the numeraire and one of the available brands on the basis of rational behavior of consumers. A quasiconvex utility function is introduced to deal with demand for brands. After the existence of a Nash-Cournot equilibrium in prices in differentiated markets is demonstrated, we take up interesting properties of the markets: a firm can capture a larger market share if it can succeed in developing new technologies or in undertaking more advertising. The welfare effects of RD and advertising are more complicated: cost reductions of any firm lead to a welfare improvement, whereas advertising of a top quality brand does not improve welfare but that of a low quality brand does improve welfare.

収録刊行物

• Keio economic studies

  Keio economic studies 22 (2), 35-50, 1985

  Keio Economic Society, Keio University

詳細情報

• CRID: 1050845762332761728
• NII論文ID: 110000989751
• NII書誌ID: AA00260492
• ISSN: 00229709
• Web Site: https://koara.lib.keio.ac.jp/xoonips/modules/xoonips/detail.php?koara_id=AA00260492-19850002-0035
• 本文言語コード: en
• 資料種別: journal article
• データソース種別:
  • IRDB
  • CiNii Articles