Effects of the Private-Label Invasion in Food Industries

Posted: 4 Jan 2003

See all articles by Michael B. Ward

Michael B. Ward

Economics Department, Monash Business School

Jay Shimshack

University of Virginia - Frank Batten School of Leadership and Public Policy

Jeffrey M. Perloff

University of California, Berkeley - Department of Agricultural & Resource Economics

J. Michael Harris

U.S. Department of Agriculture (USDA) - Economic Research Service (ERS)

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Abstract

Using supermarket scanner data, we test a variety of hypotheses from trade journals about the invasion of private-label food products. According to conventional industry wisdom, name-brand firms defended their brands against new private-label products by lowering their prices, engaging in additional promotional activities, and increasingly differentiating their products. Our empirical evidence is inconsistent with these beliefs.

Suggested Citation

Ward, Michael B. and Shimshack, Jay and Perloff, Jeffrey M. and Harris, J. Michael, Effects of the Private-Label Invasion in Food Industries. Available at SSRN: https://ssrn.com/abstract=366500

Michael B. Ward (Contact Author)

Economics Department, Monash Business School ( email )

Wellington Road
Clayton, Victoria 3
Australia

HOME PAGE: http://www.monash.edu.au/research/people/profiles/profile.html?sid=2042119&pid=9319

Jay Shimshack

University of Virginia - Frank Batten School of Leadership and Public Policy ( email )

235 McCormick Rd.
P.O. Box 400893
Charlottesville, VA 22904-4893
United States

Jeffrey M. Perloff

University of California, Berkeley - Department of Agricultural & Resource Economics ( email )

207 Giannini Hall
Berkeley, CA 94720
United States
510-642-9574 (Phone)
510-643-8911 (Fax)

HOME PAGE: http://are.berkeley.edu/~perloff

J. Michael Harris

U.S. Department of Agriculture (USDA) - Economic Research Service (ERS)

355 E Street, SW
Washington, DC 20024-3221
United States

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