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A Model Of Retail Outlet Selection For Beef

  • Medina, Sara
  • Ward, Ronald W.
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    Multinomial logit models were used to explain consumer outlet selection when buying beef, specifically roasts, steaks, ground beef, and other types of beef. Outlets were grouped into supermarkets, butchers, warehouses, supercenters, and others, and the probability of selecting each outlet type over a range of demographic and other variables was tested. The models were estimated from household data, with 198,682 observations used in the estimation. Empirical results showed that the type of beef purchased and the size of the purchase played an importance role in the choice of outlet. Furthermore, the increase in mobility seen when consumers buy larger unit cuts could not be fully explained by price discounting. Implications for the potential growth of each outlet types are discussed.

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    File URL: http://purl.umn.edu/34205
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    Article provided by International Food and Agribusiness Management Association (IAMA) in its journal International Food and Agribusiness Management Review.

    Volume (Year): 02 (1999)
    Issue (Month): 02 ()
    Pages:

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    Handle: RePEc:ags:ifaamr:34205
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    1. Peter M. Guadagni & John D. C. Little, 1983. "A Logit Model of Brand Choice Calibrated on Scanner Data," Marketing Science, INFORMS, vol. 2(3), pages 203-238.
    2. Pashigian, B Peter & Bowen, Brian, 1991. "Why Are Products Sold on Sale? Explanations of Pricing Regularities," The Quarterly Journal of Economics, MIT Press, vol. 106(4), pages 1015-38, November.
    3. Theil, Henri, 1969. "A Multinomial Extension of the Linear Logit Model," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 10(3), pages 251-59, October.
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