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Tekijä:Doraszelski, U.
Draganska, M.
Otsikko:Market segmentation strategies of multiproduct firms
Lehti:Journal of Industrial Economics
2006 : MAR, VOL. 54:1, p. 125-149
Asiasana:market segmentation
strategy
competition
products
companies
models
Kieli:eng
Tiivistelmä:This study analyzes a multiproduct duopoly asking whether firms should offer general purpose products (hereafter as: pd./pds.) or tailor their offerings to fit specific consumer needs. Offering (here as: off-g.) a targeted pd. has 2 effects: utility (here as: ut-y.) increases for some consumers due to increased (as: incd.) fit, whereas ut-y. decreases for others due to incd. misfit. It is shown that in addition to the degree of fit and misfit, the intensity of competition and the fixed cost of off-g. an additional pd. determine firms' market segmentation strategies.
SCIMA tietueen numero: 265540
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