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On modeling the advertising-operations interface under asymmetric competition

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  • Mesak, Hani I.
  • Bari, Abdullahel
  • Luehlfing, Michael S.
  • Han, Fei

Abstract

Using a market share attraction structure of advertising competition and following a supermodular game approach, this article demonstrates for an asymmetric oligopoly, the directional impact of changes in model parameters on the marketing controlled variables of all rivals (advertising budgets) and the operations controlled variables of all rivals (ordered quantities). Importantly, the various changes are examined analytically, empirically and numerically in both non-dominated and dominated asymmetric oligopolies.

Suggested Citation

  • Mesak, Hani I. & Bari, Abdullahel & Luehlfing, Michael S. & Han, Fei, 2015. "On modeling the advertising-operations interface under asymmetric competition," European Journal of Operational Research, Elsevier, vol. 240(1), pages 278-291.
  • Handle: RePEc:eee:ejores:v:240:y:2015:i:1:p:278-291
    DOI: 10.1016/j.ejor.2014.07.009
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    2. Liu, Yezheng & Qian, Yang & Jiang, Yuanchun & Shang, Jennifer, 2020. "Using favorite data to analyze asymmetric competition: Machine learning models," European Journal of Operational Research, Elsevier, vol. 287(2), pages 600-615.
    3. Tunuguntla, Vaishnavi & Basu, Preetam & Rakshit, Krishanu & Ghosh, Debabrata, 2019. "Sponsored search advertising and dynamic pricing for perishable products under inventory-linked customer willingness to pay," European Journal of Operational Research, Elsevier, vol. 276(1), pages 119-132.
    4. Samuel Sale, R. & Mesak, Hani I. & Inman, R. Anthony, 2017. "A dynamic marketing-operations interface model of new product updates," European Journal of Operational Research, Elsevier, vol. 257(1), pages 233-242.
    5. Pun, Hubert & Heese, H. Sebastian, 2015. "A note on budget allocation for market research and advertising," International Journal of Production Economics, Elsevier, vol. 166(C), pages 85-89.
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