Jump to ContentJump to Main Navigation

Online

49,00 € / $74.00*

* Prices subject to change. Shipping costs will be added if applicable.
Publication Date:
September 2007
ISSN:
1542-0485
DOI:
10.2202/1542-0485.1179

See all formats and pricing

Online
Individual Subscription Online only
Euro [D] 49.00
RRP for USA, Canada, Mexico
US$ 74.00 *
Print
Individual Subscription Online only
Euro [D] 195.00
RRP for USA, Canada, Mexico
US$ 263.00 *
Print + Online
Individual Subscription Online only
Euro [D] 234.00
RRP for USA, Canada, Mexico
US$ 316.00 *
*Prices subject to change. Shipping costs will be added if applicable.

Generic and Brand Advertising in Markets with Product Differentiation

Kosin Isariyawongse / Yasushi Kudo / Victor J. Tremblay

1Oregon State University

1Oregon State University

1Oregon State University

Citation Information: Journal of Agricultural & Food Industrial Organization. Volume 5, Issue 1, Pages –, ISSN (Online) 1542-0485, DOI: 10.2202/1542-0485.1179, September 2007

Publication History:
Published Online:
2007-09-11

In this paper, we analyze how generic advertising affects brand advertising and firm profits in differentiated oligopoly markets. We show that in the Crespi (2007) model only the high quality firm will use brand advertising when differentiation is vertical. We also demonstrate that when differentiation is horizontal, the equilibrium is likely to be more symmetric in terms of firm profits, spending on brand advertising, and firm response to generic advertising. Finally, we point out that generic advertising will increase expenditures on brand advertising when firms play a supermodular game. The results confirm that there are many reasons why generic advertising may increase firm spending on brand advertising.

Keywords: generic advertising; vertical differentiation; horizontal differentiation; supermodular games

Comments (0)

Please log in or register to comment.