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Price Effects of Private Labels Development

Author

Listed:
  • Bontemps, Christophe
  • Orozco, Valérie
  • Réquillart, Vincent
  • Trévisiol, Audrey

Abstract

We study the price response of national brands to the development of private labels. Using monthly data from a consumer survey, we show that prices of national brands increase with the development of private labels. However, we also show that the price increase in national brand products is explained by a strategy of product differentiation. Finally, price reaction of national brands differs with the type of private labels they are facing.
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Suggested Citation

  • Bontemps, Christophe & Orozco, Valérie & Réquillart, Vincent & Trévisiol, Audrey, 2004. "Price Effects of Private Labels Development," IDEI Working Papers 299, Institut d'Économie Industrielle (IDEI), Toulouse.
    • Handle: RePEc:ide:wpaper:2612
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