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Competitive behavior of national brands: The case of orange juice

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  • James Binkley

    (Department of Agricultural Economics, Krannert Bldg, Purdue University, West Lafayette, IN, 47907-1145)

  • James Eales

    (Department of Agricultural Economics, Krannert Bldg, Purdue University, West Lafayette, IN, 47907-1145)

  • Mark Jekanowski

    (Department of Agricultural Economics, Krannert Bldg, Purdue University, West Lafayette, IN, 47907-1145)

  • Ryan Dooley

    (Department of Agricultural Economics, Krannert Bldg, Purdue University, West Lafayette, IN, 47907-1145)

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    Abstract

    The purpose of this study is to examine orange juice demand, focusing on the main forms: frozen and chilled, and considering the role of brands, private label, and product variety. We have data for 54 regions in the U.S. for 1989 and 1990. This is advantageous. A December 1989 freeze resulted in major increases in prices of all forms of orange juice in 1990. Results suggest that the three national brands were using some pricing strategies, but we find no indication that it has been to the detriment of smaller competitors. Indeed, private label and regional brands improved their market positions during the period. [Econlit Classifications: D130, D400]. © 2001 John Wiley & Sons, Inc.

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    Bibliographic Info

    Article provided by John Wiley & Sons, Ltd. in its journal Agribusiness.

    Volume (Year): 17 (2001)
    Issue (Month): 1 ()
    Pages: 139-160

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    Handle: RePEc:wly:agribz:v:17:y:2001:i:1:p:139-160

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    Web page: http://onlinelibrary.wiley.com/journal/10.1002/(ISSN)1520-6297

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    1. Green, Richard & Hahn, William & Rocke, David, 1987. "Standard Errors for Elasticities: A Comparison of Bootstrap and Asymptotic Standard Errors," Journal of Business & Economic Statistics, American Statistical Association, vol. 5(1), pages 145-49, January.
    2. Jerry A. Hausman, 1994. "Valuation of New Goods under Perfect and Imperfect Competition," NBER Working Papers 4970, National Bureau of Economic Research, Inc.
    3. Ronald W. Cotterill, 1999. "Jawboning cereal: The campaign to lower cereal prices," Agribusiness, John Wiley & Sons, Ltd., vol. 15(2), pages 197-205.
    4. Frank Asche & Cathy R. Wessells, 1997. "On Price Indices in the Almost Ideal Demand System," American Journal of Agricultural Economics, Agricultural and Applied Economics Association, vol. 79(4), pages 1182-1185.
    5. Jagmohan S. Raju & Raj Sethuraman & Sanjay K. Dhar, 1995. "The Introduction and Performance of Store Brands," Management Science, INFORMS, vol. 41(6), pages 957-978, June.
    6. Nelson, Philip, 1974. "Advertising as Information," Journal of Political Economy, University of Chicago Press, vol. 82(4), pages 729-54, July/Aug..
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