Scandinavian Working Papers in Economics
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No 18:
Does the Quality of Store Brands Affect the Number of National Brand Suppliers?

Sven-Olov Daunfeldt (), Matilda Orth () and Niklas Rudholm ()

Abstract: This paper examines how the increased market shares of the store brands affect the entry and survival of national brand suppliers. The analysis is performed on monthly scanner data for a number of household- and personal-care products covering June 2001 through May 2004. An increased market share of medium-priced store brands was found to decrease the number of suppliers of national brands. However, no statistically significant impact was found of low-priced store brand market shares on the numer of national brand suppliers. It thus seems that it is mainly medium-priced store brands that compete with national brands.

Keywords: Scanner data; household products; count data; private labels; (follow links to similar papers)

JEL-Codes: L13; L81; (follow links to similar papers)

21 pages, June 9, 2008

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