IDEAS home Printed from https://ideas.repec.org/a/bla/jemstr/v15y2006i1p101-123.html
   My bibliography  Save this article

Marketing Innovation

Author

Listed:
  • Yongmin Chen

Abstract

"This paper provides an economic analysis of marketing innovation. A dynamic duopoly model is developed to study two forms of marketing innovation: Gamma, which allows a firm to acquire consumer information effectively; and sigma, which reduces consumer transaction costs. The incentives and effects of marketing innovation differ markedly from those of product or process innovations. Although Gamma benefits the innovating firm, it hurts some consumers; and, while sigma benefits all consumers, it may or may not benefit the innovating firm. Increased competition intensity reduces the value of Gamma but increases the value of sigma. The private incentive is too high for Gamma but too low for sigma." Copyright 2006, The Author(s) Journal Compilation (c) 2006 Blackwell Publishing.

Suggested Citation

  • Yongmin Chen, 2006. "Marketing Innovation," Journal of Economics & Management Strategy, Wiley Blackwell, vol. 15(1), pages 101-123, March.
  • Handle: RePEc:bla:jemstr:v:15:y:2006:i:1:p:101-123
    as

    Download full text from publisher

    File URL: http://www.blackwell-synergy.com/servlet/useragent?func=synergy&synergyAction=showTOC&journalCode=jems&volume=15&issue=1&year=2006&part=null
    File Function: link to full text
    Download Restriction: Access to full text is restricted to subscribers.

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Loginova, Oksana & Wang, X. Henry, 2013. "Mass customization in an endogenous-timing game with vertical differentiation," Economic Modelling, Elsevier, vol. 33(C), pages 164-173.
    2. repec:spr:rvmgts:v:11:y:2017:i:3:d:10.1007_s11846-016-0196-x is not listed on IDEAS
    3. Lluís Bru & Ramon Faulí-Oller & Joel Sandonís, 2011. "Partial price discrimination by an upstream monopolist," SERIEs: Journal of the Spanish Economic Association, Springer;Spanish Economic Association, vol. 2(2), pages 217-231, June.
    4. repec:ksa:szemle:1713 is not listed on IDEAS
    5. Bernhardt, Dan & Liu, Qihong & Serfes, Konstantinos, 2007. "Product customization," European Economic Review, Elsevier, vol. 51(6), pages 1396-1422, August.
    6. Vincent Conitzer & Curtis R. Taylor & Liad Wagman, 2012. "Hide and Seek: Costly Consumer Privacy in a Market with Repeat Purchases," Marketing Science, INFORMS, vol. 31(2), pages 277-292, March.
    7. Müller Hansruedi & Müller Yvonne, 2010. "Die Innovationskraft von Sport-Mega- Events – das Fallbeispiel UEFA EURO 2008," Zeitschrift für Tourismuswissenschaft, De Gruyter, vol. 2(1), pages 37-50, May.
    8. Chen, Yongmin & Feenstra, Robert C., 2008. "Buyer investment, export variety, and intrafirm trade," European Economic Review, Elsevier, vol. 52(8), pages 1313-1337, November.
    9. Yongmin Chen, 2008. "DYNAMIC PRICE DISCRIMINATION WITH ASYMMETRIC FIRMS -super-," Journal of Industrial Economics, Wiley Blackwell, vol. 56(4), pages 729-751, December.
    10. Liu, Qihong & Serfes, Konstantinos, 2006. "Customer information sharing among rival firms," European Economic Review, Elsevier, vol. 50(6), pages 1571-1600, August.
    11. Curtis Taylor & Liad Wagman, 2008. "Who Benefits From Online Privacy?," Working Papers 08-26, NET Institute.
    12. Robert C. Feenstra & Yongmin Chen, 2005. "Buyer Investment, Product Variety, and Intrafirm Trade," NBER Working Papers 11752, National Bureau of Economic Research, Inc.
    13. Falk Martin, 2015. "Employment Effects of Technological and Organizational Innovations: Evidence Based on Linked Firm-Level Data for Austria," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), De Gruyter, vol. 235(3), pages 268-285, June.
    14. Ali Falah Al-zoubi, 2017. "Creative Marketing as a Strategic Introduction to Enhance the Competitive Advantages in Jordanian Service Organizations: A Case Study," International Journal of Marketing Studies, Canadian Center of Science and Education, vol. 9(2), pages 78-91, April.
    15. Garcia Pires, Armando J., 2014. "Media diversity, advertising, and adaptation of news to readers’ political preferences," Information Economics and Policy, Elsevier, vol. 28(C), pages 28-38.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:jemstr:v:15:y:2006:i:1:p:101-123. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Wiley-Blackwell Digital Licensing) or (Christopher F. Baum). General contact details of provider: http://www.kellogg.northwestern.edu/research/journals/JEMS/ .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.