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Brand-Level Demand Analysis of Mayonnaise in Northeast Texas

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  • Bakhtavoryan, Rafael

Abstract

Mayonnaise is the most consumed condiment in the U.S. with domestic consumers spending some $2 billion on its consumption and with a couple of brands controlling a significant portion of the market. However, the demand for mayonnaise at the brand level has not been studied extensively in previous research. In this study, the Barten synthetic model was estimated to investigate the demand for mayonnaise and competition among major mayonnaise brands (private label, Hellmann’s, Kraft, and other brands) in Northeast Texas. Compensated cross-price elasticities revealed that Kraft was the major competitor to private label and other brands, while private label was the major competitor to Kraft.

Suggested Citation

  • Bakhtavoryan, Rafael, 2017. "Brand-Level Demand Analysis of Mayonnaise in Northeast Texas," 2017 Annual Meeting, February 4-7, 2017, Mobile, Alabama 251922, Southern Agricultural Economics Association.
    • Handle: RePEc:ags:saea17:251922
    DOI: 10.22004/ag.econ.251922
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    References listed on IDEAS

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    1. Toshinobu Matsuda, 2005. "Differential Demand Systems: A Further Look at Barten's Synthesis," Southern Economic Journal, John Wiley & Sons, vol. 71(3), pages 607-619, January.
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    4. Berndt, Ernst R & Savin, N Eugene, 1975. "Estimation and Hypothesis Testing in Singular Equation Systems with Autoregressive Disturbances," Econometrica, Econometric Society, vol. 43(5-6), pages 937-957, Sept.-Nov.
    5. Deaton, Angus S & Muellbauer, John, 1980. "An Almost Ideal Demand System," American Economic Review, American Economic Association, vol. 70(3), pages 312-326, June.
    6. Deaton,Angus & Muellbauer,John, 1980. "Economics and Consumer Behavior," Cambridge Books, Cambridge University Press, number 9780521296762, October.
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    Keywords

    Consumer/Household Economics; Demand and Price Analysis;

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