Competitive product positioning and pricing under brand loyalty

Author
Enstroem, Rickard
Ghosh, Subhadip
Faculty Advisor
Date
2016
Keywords
product differentiation , spatial competition , brand loyalty , pricing
Abstract (summary)
We analyze the pure strategy equilibrium in prices and the corresponding equilibrium product differentiation in a two-stage linear spatial competition duopoly model with quadratic transportation costs. Both firms have segments of brand loyal and non-brand loyal consumer segments, with the two firms primarily competing on the brand switching segment. A comparative statics analysis is undertaken, looking at the impact of a change in size, presence, and asymmetry of the brand loyal segments.
Publication Information
Enstroem, R. & Ghosh, S. (2016). Competitive product positioning and pricing under brand loyalty. Indian Economic Review, 51(1-2), 69–81.
DOI
Notes
Item Type
Article
Language
English
Rights
All Rights Reserved