search query: @indexterm ECONOMETRICS / total: 250
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Author: | Kadiyali, V. |
Title: | Product line extensions and competitive market interactions: an empirical analysis |
Journal: | Journal of Econometrics
1999 : MAR/APR, VOL. 89:1-2, p. 339-364 |
Index terms: | ECONOMETRICS PRODUCTS COMPETITION |
Language: | eng |
Abstract: | Line extensions are an important competitive instrument in consumer non-durable products. Using the "new empirical industrial organization" methodology, the authors examine the impact of a line extension on price competition between two national yogurt manufacturers. The authors find that the extending firm gains price-setting power. Additionally, the positioning of the line extension grows the combined sales, and raises the average weekly contributions for both firms. |
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