ISSN:
1573-059X
Keywords:
cooperative advertising
;
channel coordination
;
reseller externality
Source:
Springer Online Journal Archives 1860-2000
Topics:
Economics
Notes:
Abstract Cooperative advertising arrangements between manufacturers and resellers contain two principal components in their payment schedules: a participation rate and an accrual rate. We analyze 2,156 cooperative advertising plans to see how they vary across consumer and industrial products, as well as between convenience and nonconvenience consumer products. We also study how participation and accrual rates vary by the level of manufacturer concentration across product categories. We find that both participation and accrual rates are higher for consumer products than for industrial products and within consumer products are higher for convenience products than for nonconvenience products. We find mixed results for the effect of manufacturer concentration on these rates. We discuss how these results are consistent with existing perspectives on cooperative advertising.
Type of Medium:
Electronic Resource
URL:
http://dx.doi.org/10.1007/BF00994036
Permalink