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The Cyclicality of New Product Introductions

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Author Info
Kostas Axarloglou (Babson College)
Abstract

This study analyzes empirically the cyclical nature of the timing of new product introductions in U.S. manufacturing. New product introductions vary more in nonseasonal frequencies than in seasonal frequencies. However, the seasons alone account for only a small part of their total variability with demand factors being much more important. Demand fluctuations account for 35%80% and 17%43%, respectively, of the seasonal and cyclical variability of new product introductions in various industries. Finally, new product introductions respond more to fluctuations in aggregate demand than in market demand and in business cycles than in seasonal cycles.

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File URL: http://www.journals.uchicago.edu/cgi-bin/resolve?JB760102
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Publisher Info
Article provided by University of Chicago Press in its journal Journal of Business.

Volume (Year): 76 (2003)
Issue (Month): 1 (January)
Pages: 29-48
Download reference. The following formats are available: HTML (with abstract), plain text (with abstract), BibTeX, RIS (EndNote, RefMan, ProCite), ReDIF
Handle: RePEc:ucp:jnlbus:v:76:y:2003:i:1:p:29-48

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  1. Hartl, Jochen & Herrmann, Roland, 2006. "The Role of Business Expectations for New Product Introductions: A Panel Analysis for the German Food Industry," Journal of Food Distribution Research, Food Distribution Research Society, vol. 37(02), July. [Downloadable!]
  2. Kostas Axarloglou, 2008. "Product line extensions: causes and effects," Managerial and Decision Economics, John Wiley & Sons, Ltd., vol. 29(1), pages 9-21. [Downloadable!]
  3. Lamey, L. & Deleersnyder, B. & Dekimpe, M.G. & Steenkamp, J.B.E.M., 2005. "The Impact of Business-Cycle Fluctuations on Private-Label Share," Research Paper ERS-2005-061-MKT Revision, Erasmus Research Institute of Management (ERIM), ERIM is the joint research institute of the Rotterdam School of Management, Erasmus University and the Erasmus School of Economics (ESE) at Erasmus Uni. [Downloadable!]
  4. Florin Bilbiie & Fabio Ghironi & Marc J. Melitz, 2007. "Endogenous Entry, Product Variety, and Business Cycles," NBER Working Papers 13646, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
  5. Florin O. Bilbiie & Fabio Ghironi & Marc J. Melitz, 2007. "Monetary Policy and Business Cycles with Endogenous Entry and Product Variety," NBER Working Papers 13199, National Bureau of Economic Research, Inc. [Downloadable!] (restricted)
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