Journal article
A Probabilistic Choice Model for Market Segmentation and Elasticity Structure
Journal of marketing research, Vol.26(4), pp.379-390
11/01/1989
DOI: 10.1177/002224378902600401
Abstract
Marketing scholars commonly characterize market structure by studying the patterns of substitution implied by brand switching. Though the approach is useful, it typically ignores the destabilizing role of marketing variables (e.g., price) in switching behavior. The authors propose a flexible choice model that partitions the market into consumer segments differing in both brand preference and price sensitivity. The result is a unified description of market structure that links the pattern of brand switching to the magnitudes of own- and cross-price elasticities. The approach is applied in a study of competition between national brands and private labels in one product category.
Details
- Title: Subtitle
- A Probabilistic Choice Model for Market Segmentation and Elasticity Structure
- Creators
- Wagner A. Kamakura - Vanderbilt UniversityGary J. Russell - Vanderbilt University
- Resource Type
- Journal article
- Publication Details
- Journal of marketing research, Vol.26(4), pp.379-390
- DOI
- 10.1177/002224378902600401
- ISSN
- 0022-2437
- eISSN
- 1547-7193
- Language
- English
- Date published
- 11/01/1989
- Academic Unit
- Marketing
- Record Identifier
- 9984380627002771
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