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Welfare analysis of introducing private label packaged salads into the US market
Agribusiness ( IF 2.1 ) Pub Date : 2021-01-25 , DOI: 10.1002/agr.21692
Xiao Meng 1 , Edward C. Jaenicke 2
Affiliation  

In this study, we use the Berry, Levinsohn, and Pakes (BLP) method to study consumer demand and firm supply to the 2005 US market for packaged salads. Our results show that, although consumers in general are price sensitive, their sensitivity decreases as income increases. Moreover, consumers exhibit strong brand loyalty if they prefer specific features, such as the organic claim of a brand. Using our estimation results, we conduct a welfare analysis of introducing private label (store brands) packaged salads. Our results show that the hypothetical elimination of private label brands would result in the packaged salad market becoming less competitive, implying total welfare increased and consumers fared much better after the introduction of private label packaged salads. [EconLit citations: D12, Q13, Q18].

中文翻译:

将自有品牌包装沙拉引入美国市场的福利分析

在这项研究中,我们使用 Berry、Levinsohn 和 Pakes (BLP) 方法来研究 2005 年美国包装沙拉市场的消费者需求和公司供应。我们的结果表明,虽然消费者一般对价格敏感,但随着收入的增加,他们的敏感性会降低。此外,如果消费者更喜欢特定的特征,例如品牌的有机主张,他们就会表现出强烈的品牌忠诚度。使用我们的估计结果,我们对引入自有品牌(商店品牌)包装沙拉进行了福利分析。我们的结果表明,假设消除自有品牌品牌将导致包装沙拉市场的竞争减弱,这意味着在引入自有品牌包装沙拉后,总福利增加,消费者的表现要好得多。[EconLit 引文:D12、Q13、Q18]。
更新日期:2021-01-25
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