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Retail coffee pricing dynamics in Argentina

Author

Listed:
  • Juan M. C. Larrosa

    (Universidad Nacional del Sur and Southern Institute of Economic and Social Research (IIESS))

  • Leandro Meller

    (Universidad Nacional del Sur and Southern Institute of Economic and Social Research (IIESS))

  • Juan I. Uriarte

    (Hyperia)

  • Gonzalo R. Ramírez Muñoz de Toro

    (Hyperia)

Abstract

Our study examines the impact of different attributes on the dynamic pricing of retail coffee in Argentina. Coffee emerges as a special case of an imported commodity with increasing demand in the past years. We focus on weekly price changes given the prevailing inflation, a context that alters relative price. The estimations associates price changes with attributes, cost, and time-related variables. At this time–frequency, estimations identify marketing practices prevailing in the sector. We use dynamic panel data models with instrumental variables dealing with endogeneity problems. Significant effects are detected in packaging, brand, grain, and variants on coffee pricing by undershooting or overshooting in price adjustments. We also detect weekly, monthly, and cycle effects (including the SARSCoV2 lockdown).

Suggested Citation

  • Juan M. C. Larrosa & Leandro Meller & Juan I. Uriarte & Gonzalo R. Ramírez Muñoz de Toro, 2023. "Retail coffee pricing dynamics in Argentina," SN Business & Economics, Springer, vol. 3(8), pages 1-21, August.
    • Handle: RePEc:spr:snbeco:v:3:y:2023:i:8:d:10.1007_s43546-023-00527-z
    DOI: 10.1007/s43546-023-00527-z
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    References listed on IDEAS

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    More about this item

    Keywords

    Coffee; Pricing; Webscraping; Inflation; Seasonality; Argentina;
    All these keywords.

    JEL classification:

    • D40 - Microeconomics - - Market Structure, Pricing, and Design - - - General
    • L81 - Industrial Organization - - Industry Studies: Services - - - Retail and Wholesale Trade; e-Commerce
    • L66 - Industrial Organization - - Industry Studies: Manufacturing - - - Food; Beverages; Cosmetics; Tobacco

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