|
on Industrial Competition |
| By: | Crespi, John M.; Xia, Tian; Jones, Rodney |
| Abstract: | Cattle production follows a dynamic cycle that has often been analyzed, and cattle markets receive much scrutiny because of the potential for buyer market power. The relationship between the two has been little studied, however. This paper provides a simple conceptual framework to study how the cattle cycle and market concentration jointly affect the bargaining power of producers and packers yielding the following main results. Not surprisingly, a larger cattle stock reduces producers' bargaining position, which results in a lower fed cattle price. More importantly, however, the cattle stock's negative effect on price is magnified by the market concentration in beef packing. Thus, the cycle itself is very importantly related to a posited cycle of bargaining power between cattle producers and beef packers. Secondly, the model also shows how beef packers may use the special feature of cattle as both consumption and capital goods to lower the cattle price by influencing cattle inventories. |
| Keywords: | Livestock Production/Industries, |
| Date: | 2008 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea08:6263&r=com |
| By: | Fanelli, Domenico |
| Abstract: | We study a two-stage duopoly game, where, at the first stage, firms choose if adopting or not a social responsibility label. The firm who adopts the social responsibility label (the ethical firm) has high marginal costs, while the firm who doesn’t adopt it (the standard firm), supports low marginal costs. After the first stage, each firm knows the choice made by its rival and, at the second stage of the game, chooses prices. Consumers are divided into two groups: the group of consumers who prefers buying the good by the ethical firm and the group of consumers who prefers buying the good by the lowest price firm. Depending on the difference between the high and the low marginal cost and on the proportions of the two groups of consumers, the game has two asymmetric or two symmetric Sub-game Perfect Nash Equilibria. Symmetric Nash Equilibria imply that both firms makes the same choice at the first stage of the game (both decide to be ethical or standard), while asymmetric Nash Equilibria imply different choices at the first stage of the game: one of the two firms chooses to be ethical and the other standard. We analyzed the same model of Davies (2005) changing one of its assumption: the proportions of the two groups of consumers are not fixed a priori. With this new assumption, results of Davies (2005) are no more satisfied. In Davies (2005), ethical labeling cannot eliminate standard production when there are two firms and the marginal cost of ethical firm is higher than the marginal cost of standard firm: in equilibrium, one of the two firms always chooses to be standard at the first stage of the game. In our model (a duopoly where marginal cost of the ethical firm is higher than marginal cost of standard firm) instead it exists a condition on the model’s parameters such that ethical labeling, in equilibrium, can eliminate standard production: if that particular condition is satisfied, it exists a symmetric subgame perfect Nash Equilibrium where both firms chooses, at the first stage of the game, to be ethical. |
| Keywords: | Social Responsibility; Ethical labeling; Price Competition; Duopoly |
| JEL: | M14 D64 L15 D43 |
| Date: | 2008–11–12 |
| URL: | http://d.repec.org/n?u=RePEc:pra:mprapa:11544&r=com |
| By: | Karantininis, Kostas; Sauer, Johannes; Furtan, William Hartley |
| Abstract: | While mergers, both horizontal and vertical, have been shaping the landscape of the agri-food industry in Europe, the implications of the changing market structure on the level of innovation has not been studied yet. In this paper we deal with the link between innovation and market structure using the empirical example of the Danish agri-food industry. The purpose of this paper is two-fold. First we test for the importance of vertical integration on innovation. While there exist several studies on this linkage, to our knowledge, this is the first that deals with the agri-food industry. Secondly, we examine both product proliferation and innovation. To our knowledge, there are no other similar studies that examine both aspects using the same data set. We follow the hypothesis put forward by Armour and Teece (1980) that vertical integration enhances technological innovation, mainly because vertical integration may resolve hold-up problems. Our paper is related also to recent work by Weiss and Witkopp (2005) on the German food industry, although their work is mostly related to the role of the retail sector. We are able to examine both innovation (measured as investment on R&D) as well as product proliferation (measured as number of new products). We also examine the effects of network relationships and the importance of countervailing power. We use data from an extensive survey of 444 Danish firms over two years, 2000 and 2005 to estimate two different models: a bootstrapped zero-inflated Poisson regression and a robust Heckman sample selection model. The results verify the hypotheses formulated for both models with various degrees of significance. |
| Keywords: | Innovation, Vertical Integration, Product Proliferation, Agribusiness, Agribusiness, |
| Date: | 2008 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea08:6074&r=com |
| By: | Olmos, Marta Fernandez; Rosell-Martinez, Jorge; Espitia-Escuer, Manuel Antonio |
| Abstract: | The possible co-existence of spot and contract market that can emerge in the presence of quality issues with a number of growers and processors in each stage is something that has largely remained an open question in the literature. This paper is an attempt to fill this void. We use a straightforward two-stage Cournot oligopoly model with specific demand and cost functions. In the first stage, processors decide simultaneously whether or not to set an incentive contract. The second stage is the stage in which growers choose their levels of quantity and quality based on the industry structure developed in the first stage. With the help of numerical simulations we conducted the study of the equilibrium structures. Our results suggest that for a wide range of number of participants in both markets, participation in both markets constitutes a Nash equilibrium for the model. |
| Keywords: | Marketing, |
| Date: | 2008 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea08:6082&r=com |
| By: | Katchova, Ani L. |
| Abstract: | The increasing use of agricultural contracts and processor concentration raises concerns that processors may offer lower contract prices in absence of competition from other local contractors and spot markets. This study examines the price competitiveness of marketing and production contracts depending on the availability of alternative marketing options. A propensity score matching method is used to compare prices using contract data from a farm-level national survey. The results show that the absence of other contractors or spot markets in producers€٠areas does not lead to significant price differences in agricultural contracts for most commodities, providing evidence that most agricultural processors do not exercise market power by reducing prices when other local buyers are not available. |
| Keywords: | alternative marketing options, local competition, marketing contracts, production contracts, agricultural prices, propensity score matching, Agribusiness, Marketing, |
| Date: | 2008 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea08:6336&r=com |
| By: | SHELDON, Ian; Roe, Brian |
| Abstract: | Using a model of vertical product differentiation, we show under what institutional circumstances welfare gains will be maximized as economies integrate and harmonize labeling and certification policies for credence goods. Specifically, we show that harmonized mandatory, exclusive discrete labeling will not maximize the gains from economic integration, i.e., the choice of labeling regime can have a negative effect on market structure if firms choose to exit, reducing the range and quality of goods in the integrated market. |
| Keywords: | Vertical differentiation, credence goods, harmonized labeling, economic integration, International Relations/Trade, F12, F21, L13, |
| Date: | 2008 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea08:6340&r=com |
| By: | SHELDON, Ian |
| Abstract: | This paper examines whether it makes sense to consider Sutton's "bounds" approach as a candidate theory for explaining the recent evolution of market structure in the biotechnology sector, and to speculate whether market structure will change if the industry begins to introduce second-generation GM products that are of more direct benefit to consumers. A key result is that the market structure is bounded in the presence of endogenous sunk costs, implying care should be taken when inferring any correlation between R&D expenditure and seller concentration in the biotechnology sector. |
| Keywords: | Biotechnology, market structure, Research and Development/Tech Change/Emerging Technologies, L1, L11, |
| Date: | 2008 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea08:6078&r=com |
| By: | Gomez, Miguel I.; Rao, Vithala R.; Yuan, Hong |
| Keywords: | Agribusiness, Industrial Organization, Marketing, |
| Date: | 2008 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea08:6247&r=com |
| By: | Maican, Florin (Department of Economics, School of Business, Economics and Law, Göteborg University); Orth, Matilda (Department of Economics, School of Business, Economics and Law, Göteborg University) |
| Abstract: | Entry of large (“big-box”) stores along with a drastic fall in the total number of stores is a striking trend in retail markets. In this paper we provide a dynamic structural model, controlling for unobserved prices and local market characteristics, to estimate total factor productivity in retail markets. Then we evaluate how increased competition from large entrants influences incumbents’ productivity in local markets. Using detailed data on retail food stores in Sweden, we find that net entry substantially contributes to industry productivity growth. In local markets, productivity dispersion increases as a consequence of large entrants, i.e., low productive incumbents become less productive whereas high productive incumbents become more productive. We conclude that large entrants play a central role in explaining productivity differences across stores. |
| Keywords: | Retail markets; Imperfect competition; Industry dynamics; TFP; Space productivity; Dynamic structural model |
| JEL: | C24 L11 O30 |
| Date: | 2008–11–12 |
| URL: | http://d.repec.org/n?u=RePEc:hhs:gunwpe:0328&r=com |
| By: | Pofahl, Geoffrey M. |
| Abstract: | We empirically estimate the valuation of new carbonated soft drink products within a model of market value maximization. We show that equity value is an important consideration in the firm decision to differentiate or imitate in new product introductions. Our results indicate that differentiation is a marginally better strategy for new product introductions as opposed to imitation of existing products. This finding is quite logical given the already high levels of imitative competition existing in the carbonated soft drink category. |
| Keywords: | Demand and Price Analysis, Marketing, |
| Date: | 2008 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea08:6257&r=com |
| By: | Jang, Jonglck; Sykuta, Michael |
| Abstract: | Achieving consistency in hog quality has been one of the greatest challenges in the US pork industry. Packers, processors and retailers all ranked lack of uniformity in live hogs, carcasses, and retail cuts with regard to size and backfat as the most important quality issue facing the industry in the mid 1990s (NPPC, Pork Quality Audit, 1994), and quality consistency continues to be a leading industry concern (Martinez and Zering, 2004). The past 15 years have also witnessed dramatic changes in the organization of the US hog industry. In 1993, over 82% of hogs were sold through spot markets while 11% were sold under marketing contracts. By 2005, only 11% of hogs were sold through spot markets, with 67% sold under marketing contracts and over 20% owned by packers through formal integration or production contracts. This change in industry structure has not gone unnoticed by agricultural economists. A large body of literature examines the relations between hog quality and newly developed organization modes, particularly production contracting and vertical integration. A variety of theoretical frameworks and empirical approaches have been employed, whether using surveys (Kliebenstein and Lawrence, 1995), simulation techniques (Poray, 2002), contract document analysis (Martinez and Zering, 2004), and quality outcome analysis (Muth, et al., 2007). However, research focusing on production contracts and formal vertical integration fails to address the dominant institutional form, namely marketing contracts. Likewise, research focusing on market-based incentive mechanisms fails to provide a consistent explanation for the use and design of long-term hog marketing contracts. We propose a theoretical explanation for the use of long-term marketing contracts in the presence of buyer-specific quality attributes in an otherwise commoditized industry. This theoretical framework draws from and builds upon existing theories of contracting and organizational economics. In particular, the paper develops an analytical model that accounts for the use and structure of long-term marketing contracts to increase intertemporal quality consistency in hog procurement. The paper links the packer€ٳ decision to move from spot-market transactions to long-term marketing contracts to the packer€ٳ downstream product differentiation strategy. We provide empirical evidence to support the model and its explanatory power relative to existing theories. |
| Keywords: | Livestock Production/Industries, |
| Date: | 2008 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea08:5966&r=com |
| By: | Andersson, Hans; Hoffmann, Ruben |
| Abstract: | Changes in EU agricultural policies towards additional focus on rural development issues raise questions regarding the economic impact of local/spatial competition. Traditionally, farmers have typically been price takers in markets for major agricultural products. This is, however, not necessarily true in the case of local markets for €ܮew enterprises€ݮ This article examines local/and spatial competition for farm tourism services, specifically €ܓelf cateringÂ€Ý in Sweden. The results show that spatial dependences exist and have to be considered in the econometric estimation of the hedonic pricing model. Using spatial econometrics it is shown that the price is affected by the average price, the demand for and supply of lodging in the regional market. Notable is that the results indicate that local competition has a positive effect on the price while regional competition has a negative effect. Marketing channels used as well as size and ranking of the service were found to affect the price of lodging. Diversification does not seem to positively affect prices. The findings illustrate the potential importance of local competition for rural developments studies. It also raises questions concerning policies promoting diversification and multifunctionality as a way of revitalizing urban areas. |
| Keywords: | Community/Rural/Urban Development, |
| Date: | 2008 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea08:6156&r=com |
| By: | Paolo Casini |
| Abstract: | We analyze the effects of entry in a previously monopolistic microcredit market characterized by asymmetric information and by institutions that offer only one type of contract. We consider different behavioral assumptions concerning the Incumbent and study their influence on equilibrium predictions. We show that competition leads to contract differentiation but can make borrowers worse off. Moreover, the screening process creates a previously unexplored source of rationing. We show that if the incumbent institution is altruistic, rationing is reduced and that this can positively affect the competitor's profit. |
| Keywords: | Microfinance, Competition, Altruism, Differentiation, Credit Rationing |
| JEL: | G21 L13 L31 O16 |
| Date: | 2008 |
| URL: | http://d.repec.org/n?u=RePEc:eca:wpaper:2008_037&r=com |
| By: | Ignacio Hernando (Banco de España); María J. Nieto (Banco de España); Larry Wall (Federal Reserve Bank of Atlanta) |
| Abstract: | This paper analyzes the determinants of bank acquisitions both within and across countries in the EU-25 over the period 1997-2004. The findings of this paper are broadly in line with those of the academic literature on the subject, which are mainly based on the US experience. Our results suggest poorly managed EU-25 banks (high cost to income) are more likely to be acquired by other EU-25 banks, in the same country. Nevertheless, this underperformance of target banks does hold for cross border bank acquisitions only if compared to the median of the market. Larger banks are more likely to be acquired by other banks in the same country. The probability of being acquired by another bank in the same market is larger for banks that are quoted in the stock market, which is consistent with the disciplinary character of listing in the stock markets. Finally, banks operating in more concentrated markets are less likely to be acquired by other banks operating within the same country but are more likely to be acquired by banks in other EU-25 countries. |
| Keywords: | bank acquisitions, merger gains, probability of acquisition |
| JEL: | G21 G34 |
| Date: | 2008–11 |
| URL: | http://d.repec.org/n?u=RePEc:bde:wpaper:0823&r=com |
| By: | Elena Cefis |
| Abstract: | The paper investigates the effects of Mergers and Acquisitions (M&A) on corporate research and development (R&D) strategies using Community Innovation Survey (CIS) data on the Dutch manufacturing sector. The focus of the research is whether M&A affect corporate innovation strategies, favouring in-house R&D and innovation expenses versus external technological sourcing. The results show that M&A activities have a positive and significant impact on innovation investments by firms, and particularly on R&D intensity and total expenditure on innovation. M&A affect corporate innovation strategies, favouring in-house R&D versus external technological sourcing. Firm post-merger behaviour favours the consolidation of the knowledge, competences and capabilities that have been acquired by merging with or by buying another firm, confirming that the reasons for a merger or acquisition are most often related to firms' innovative performance. Following involvement in a M&A, firms tend primarily to focus on fully integration of their resource bases in order to enable them to produce and sell innovative products that are new to the market. |
| Keywords: | Technology sourcing; Innovation; M&A; Heckman two-stage; Bi-Tobit. |
| JEL: | D21 O31 O32 L22 |
| Date: | 2008–11–11 |
| URL: | http://d.repec.org/n?u=RePEc:ssa:lemwps:2008/25&r=com |
| By: | Soiliou Namoro; Timothy Mathews |
| Abstract: | . . . |
| Date: | 2008–10 |
| URL: | http://d.repec.org/n?u=RePEc:pit:wpaper:373&r=com |
| By: | Berchicci, L.; King, A.A.; Tucci, C.L. (Erasmus Research Institute of Management (ERIM), RSM Erasmus University) |
| Abstract: | Previous research has considered extensively the causes and effects of market entry order and timing. It has neglected, however, the timeliness of such entry — the degree to which a firm delivered a new product on the date it had set for its release. In this article, we begin to fill the need for such research by evaluating some strategic explanations for why a firm might miss a scheduled entry date. We then test whether such “tardy entry†influences sales performance in the new market. |
| Keywords: | entry timing;new products;disk drive industry;reputation;managerial disfunction |
| Date: | 2008–11–04 |
| URL: | http://d.repec.org/n?u=RePEc:dgr:eureri:1765013766&r=com |
| By: | Yuriy Gorodnichenko; Jan Svejnar; Katherine Terrell |
| Abstract: | Globalization brings opportunities and pressures for domestic firms in emerging markets to innovate and improve their competitive position. Using data on firms in 27 transition economies, we test for the effects of globalization through the impact of increased competition and foreign direct investment on domestic firms' efforts to innovate (raise their capability) by upgrading their technology, improving the quality of their product or service, or acquiring certification. We find that competition has a negative effect on innovation, especially for firms further from the efficiency frontier, and we do not find support for an inverted U effect of competition on innovation. We show that the supply chain of multinational enterprises and international trade are important channels for domestic firms' innovation. We detect no evidence that firms in a more pro-business environment are more likely to display a positive or inverted U relationship between competition and innovation, or that they are more sensitive to foreign presence. |
| JEL: | F23 O16 P23 |
| Date: | 2008–11 |
| URL: | http://d.repec.org/n?u=RePEc:nbr:nberwo:14481&r=com |
| By: | Maria Guadalupe (Columbia University); Julie M. Wulf (Harvard Business School, Startegy Unit) |
| Abstract: | This paper establishes a causal effect of competition from trade liberalization on various characteristics of organizational design. We exploit a unique panel dataset on firm hierarchies (1986-1999) of large U.S. firms and find that increasing competition leads firms to become flatter, i.e., (i) reduce the number of positions between the CEO and division managers (DM), (ii) increase the number of positions reporting directly to the CEO (span of control), (iii) increase DM total and performance-based pay. The results are generally consistent with the explanation that firms redesign their organizations through a set of complementary choices in response to changes in their environment. |
| Keywords: | organizational change, hierarchy, organizational structure, incentives, complementarities, decentralization, competition |
| JEL: | L2 M2 M52 |
| Date: | 2008–11 |
| URL: | http://d.repec.org/n?u=RePEc:hbs:wpaper:09-067&r=com |
| By: | Stephan, Andreas (CESIS - Centre of Excellence for Science and Innovation Studies, Royal Institute of Technology); Tsapin , Andriy (Europa-Universität Viadrina) |
| Abstract: | The paper studies the persistence of profit and its determinants in emerging markets. We apply Markov chain analysis, dynamic panel GMM estimation, and quantile regression techniques to a panel of approximately 3,000 Ukrainian companies. The empirical results show a moderate level of profit persistence, as well as a relatively low speed of adjustment to the steady-state profit level, thus providing no support for the hypothesis that there is a lower persistence of profits in emerging markets due to more intense competition. Regarding the determinants of firm profit in an emerging market economy, the findings from alternative methods reveal that ownership structure and regional location of the firm have a significant impact. |
| Keywords: | profit; persistence; convergence; markov chain analysis; Ukarine |
| JEL: | G30 G32 |
| Date: | 2008–11–12 |
| URL: | http://d.repec.org/n?u=RePEc:hhs:cesisp:0151&r=com |
| By: | Chalil, Diana |
| Abstract: | Cooking oil is known as an essential commodity in Indonesia. Having such an important role, the Indonesian government often interfered the cooking oil market to assure its price remain low. To do so, the government uses a subsidy policy as one of its instruments. A dynamic duopoly model is applied to evaluate the impact of subsidies given the structure of the industry. Estimation results suggest an evidence of both an increase in the consumer surplus but a decrease in aggregate welfare due to market power. A possible reason is proposed, but, in order to obtain a clear explanation, further research is required. |
| Keywords: | market power, subsidy, Indonesian palm oil industry, Agricultural Finance, Crop Production/Industries, Demand and Price Analysis, |
| Date: | 2008 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aare08:6022&r=com |
| By: | Wang, Holly H.; Ge, Yuanlong |
| Keywords: | Agribusiness, Demand and Price Analysis, |
| Date: | 2008 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea08:36976&r=com |
| By: | Boetel, Brenda L.; Liu, Donald J. |
| Abstract: | This paper expands the contributions of Goodwin and Holt (AJAE, 1999) and Goodwin and Harper (J. of Ag. and Appl. Econ., 2000), GHH henceforth, who analyze retail-wholesale-farm price transmissions in the U.S. beef and pork industries using weekly data. First, in light of advancements in unit root tests, we re-examine in a more comprehensive manner GHH€ٳ conclusion that the weekly U.S. cattle/beef and hog/pork price series are nonstationary. The conventional augmented Dickey-Fuller test that GHH adopt has low power in discriminating against the unit root null because it does not entertain the possibility of a structure break in the deterministic trend function. Second, we examine more closely the estimation procedure surrounding the long run price linkage equation, ensuring the unbiasedness in the estimated long run price transmission coefficient. Moreover, we ascertain whether there have been structural changes in the long run price linkage equation using a new approach, which endogenously estimates the break date. Third, we employ two data sets with different frequencies, weekly data and monthly data, to gain insight into the reasons underlying price asymmetry found in GHH. |
| Keywords: | Livestock Production/Industries, Research Methods/ Statistical Methods, |
| Date: | 2008 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea08:6169&r=com |
| By: | Harry Huizinga (Tilburg University and CEPR); Johannes Voget (Oxford University Centre for Business Taxation and Tilburg University); Wolf Wagner (Tilburg University) |
| Abstract: | Cross-border M&As can trigger a higher international taxation of the target’s income. Non-resident dividend withholding taxes may be imposed by the target country, while additional corporate income taxation can be imposed by the acquiring country. Our evidence suggests that takeover premiums fully reflect non-resident dividend withholding taxes, while there is some evidence that they reflect corporate income taxation by the acquiring country as well. In contrast, acquiring firm stock market returns around the bid announcement do not appear to reflect either type of taxation. These results are consistent with previous findings that the gains of M&As primarily accrue to target shareholders. |
| Keywords: | international taxation, takeover premiums |
| JEL: | F23 G34 |
| Date: | 2008 |
| URL: | http://d.repec.org/n?u=RePEc:btx:wpaper:0826&r=com |
| By: | Micheels, Eric; Gow, Hamish |
| Keywords: | Marketing, |
| Date: | 2008 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea08:6484&r=com |
| By: | Plastina, Alejandro; Giannakas, Konstantinos; Pick, Daniel |
| Abstract: | This study provides a new framework of analysis of the market and welfare effects of mandatory country of origin labeling (MCOOL) for fruits and vegetables that accounts for heterogeneous consumer preferences for domestic products, differences in producer agronomic characteristics, and retailer market power when buying and selling these products. The market and welfare effects of MCOOL are shown to be case-specific and dependent on the labeling costs at the farm and retail levels, the strength of consumer preference for domestic products, the market power of retailers, the marketing margin along the supply chain, and the relative costs of imported and domestic products. Simulation results for the US markets of apples and tomatoes indicate that for the regulation to increase total economic welfare in these markets, the consumer demand after MCOOL would need to increase by 2.6% to 7.0% for domestic apples and by 8.2% to 22.4% for domestic tomatoes, depending on the market power of retailers and the size of the labeling costs. |
| Keywords: | Crop Production/Industries, International Relations/Trade, |
| Date: | 2008 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea08:6536&r=com |
| By: | Ubilava, David; Foster, Kenneth A.; Lusk, Jayson L.; Nilsson, Tomas |
| Abstract: | Consumers' preferences for credence attributes of a product may differ from each other, when facing the choices between branded and/or non-branded products. We test this hypothesis with conditional and mixed logit regression using data obtained by choice experiment surveys. The results suggest that, on average, consumers are willing to pay more for a certification attribute when the product is branded. Additionally, greater variation in consumer willingness-to-pay is observed in the non-branded case. This latter characteristic of the results may represent the increased uncertainty some consumers internalize concerning quality consistency when brand information is not provided. These results have interesting implications for producers, processors, retailers, and policy makers. |
| Keywords: | Consumer/Household Economics, |
| Date: | 2008 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea08:6194&r=com |
| By: | Martinez, Steve W. |
| Abstract: | This paper finds wide variation in brand premiums and discounts across types of branded beef cuts, ranging from -98 cents for a brand of ground beef targeting cost-conscious consumers to $4.15 for a brand of steak produced by a family-operated beef alliance. Other factors affecting beef cut prices include package size, price promotions, store format, ground beef leanness, type of steak cut, and geographic region where the beef was purchased. |
| Keywords: | Livestock Production/Industries, Marketing, |
| Date: | 2008 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea08:6455&r=com |
| By: | Sarmiento, Camilo; Wilson, William W. |
| Abstract: | This article estimates factors that impact location decisions by new ethanol plants using logistic regression analysis and spatial correlation techniques. The results indicate that location decisions are impacted by the agricultural characteristics of a county, competition, and state-level subsidies. Spatial competition is particularly important. Existence of a competing ethanol plant reduces the likelihood of making a positive location decision and this impact decreases with distance. State-level subsidies are significant and a very important factor impacting ethanol location decisions. |
| Keywords: | ethanol, location decisions, spatial correlation, Agribusiness, |
| Date: | 2008–05 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aaea08:6175&r=com |
| By: | Morales, Luis Emilio; Fleming, Euan; Wright, Vic; Griffith, Garry; Umberger, Wendy |
| Abstract: | Meat Standards Australia (MSA) represents a new beef classification system, derived from consumer preferences, which allows classifying beef in interesting ways to consumers and creates the basis for product differentiation and branding. Currently, branding of beef cuts occurs on a limited scale; however, research has revealed clear segmentation across consumers and premiums for preferred products in niche markets. The objective of this study is to identify the potential for large-scale differentiation and branding in the Australian beef marketing system and how this may best be done given the structure of the supply chain. |
| Keywords: | Innovation, Branding, Australian beef marketing system, Livestock Production/Industries, Marketing, |
| Date: | 2008 |
| URL: | http://d.repec.org/n?u=RePEc:ags:aare08:5993&r=com |