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Media Coverage and Car Manufacturers' Sales

Author

Listed:
  • Ralf Dewenter

    () (Helmut-Schmidt-University Hamburg)

  • Ulrich Heimeshoff

    () (Heinrich-Heine-University of Duesseldorf)

  • Tobias Thomas

    () (Media Tenor International)

Abstract

A wide range of media-provided information on many products is based on reviews or expert opinions. The effects of such information on product sales is analyzed in a small but growing literature in economics and marketing science. However, there is much more general coverage on companies and products in the media than product reviews and ex-pert opinions. Based on a unique dataset, we test whether coverage of car manufacturers in leading media outlets has significant impact on new car registrations in Germany. We find that positive media coverage has a statistically significant effect on the number of new cars sold by several leading manufacturers on the German car market.

Suggested Citation

  • Ralf Dewenter & Ulrich Heimeshoff & Tobias Thomas, 2016. "Media Coverage and Car Manufacturers' Sales," Economics Bulletin, AccessEcon, vol. 36(2), pages 976-982.
  • Handle: RePEc:ebl:ecbull:eb-16-00168
    as

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    References listed on IDEAS

    as
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    Cited by:

    1. Beckmann Klaus B. & Dewenter Ralf & Thomas Tobias, 2017. "Can News Draw Blood? The Impact of Media Coverage on the Number and Severity of Terror Attacks," Peace Economics, Peace Science, and Public Policy, De Gruyter, pages 1-16.
    2. Bonnet, Céline & Schain, Jan Philip, 2017. "An empirical analysis of mergers: Efficiency gains and impact on consumer prices," DICE Discussion Papers 244, University of Düsseldorf, Düsseldorf Institute for Competition Economics (DICE).

    More about this item

    Keywords

    media coverage; consumer behavior; car registrations;

    JEL classification:

    • D1 - Microeconomics - - Household Behavior
    • L6 - Industrial Organization - - Industry Studies: Manufacturing

    Statistics

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