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AA00260492-19900001-0021.pdf
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Title |
Title |
DYNAMIC ADVERTISING AND LIMIT PRICING
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DAS, Satya P.
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Indiana University
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NIHO, Yoshio
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Kana |
ニホ, ヨシオ
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University of Wisconsin-Milwaukee
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Keio Economic Society, Keio University
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Issued (from:yyyy) |
1990
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Keio economic studies
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Volume |
27
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Issue |
1
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Year |
1990
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Start page |
21
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End page |
39
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Abstract |
Optimal pricing and advertising strategies by the established firms are investigated under a dynamic condition of entry. It is shown that under the threat of entry the optimal advertising policy by the established firms is to lower their advertising expenses gradually rather than raise it as one may expect. Also, an easier or more liberal entry policy leads to a greater market concentration in the long run. Higher market growth is found to have the same consequence as those of easier entry.
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