Dissipative advertising signals quality: Static model with a continuum of types

Laurent Linnemer

doi:10.1016/j.econlet.2011.10.011

Dissipative advertising signals quality: Static model with a continuum of types

Laurent Linnemer

ENSAE

Research output: Contribution to journal › Article › peer-review

Abstract

Advertising and price have been shown to signal product quality. Most works limit the number of types to high and low quality. I characterize the optimal separating marketing strategy when both quality and marginal cost are uncertain and continuous variables.

Original language	English
Pages (from-to)	150-153
Number of pages	4
Journal	Economics Letters
Volume	114
Issue number	2
DOIs	https://doi.org/10.1016/j.econlet.2011.10.011
Publication status	Published - 1 Feb 2012
Externally published	Yes

Keywords

Dissipative advertising
Quality
Signaling

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10.1016/j.econlet.2011.10.011

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title = "Dissipative advertising signals quality: Static model with a continuum of types",

abstract = "Advertising and price have been shown to signal product quality. Most works limit the number of types to high and low quality. I characterize the optimal separating marketing strategy when both quality and marginal cost are uncertain and continuous variables.",

keywords = "Dissipative advertising, Quality, Signaling",

author = "Laurent Linnemer",

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language = "English",

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AB - Advertising and price have been shown to signal product quality. Most works limit the number of types to high and low quality. I characterize the optimal separating marketing strategy when both quality and marginal cost are uncertain and continuous variables.

KW - Dissipative advertising

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KW - Signaling

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DO - 10.1016/j.econlet.2011.10.011

M3 - Article

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VL - 114

SP - 150

EP - 153

JO - Economics Letters

JF - Economics Letters

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ER -

Dissipative advertising signals quality: Static model with a continuum of types

Abstract

Keywords

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