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Price Discrimination and Other Marketing Strategies

In: New Perspectives on Industrial Organization

Author

Listed:
  • Victor J. Tremblay

    (Oregon State University)

  • Carol Horton Tremblay

    (Oregon State University)

Abstract

A perfectly competitive firm has no need for marketing. Price and firm demand are exogenously determined, making price competition impossible. Expensive advertising campaigns are unprofitable because advertising can have no effect on firm demand. The only thing the firm must decide is how much output to produce and bring to market.

Suggested Citation

  • Victor J. Tremblay & Carol Horton Tremblay, 2012. "Price Discrimination and Other Marketing Strategies," Springer Texts in Business and Economics, in: New Perspectives on Industrial Organization, edition 127, chapter 0, pages 379-421, Springer.
    • Handle: RePEc:spr:sptchp:978-1-4614-3241-8_14
    DOI: 10.1007/978-1-4614-3241-8_14
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