Applying microeconomic theory, we develop a forecasting model for firm entry into local markets and test this model using data from the Swedish wholesale industry. The empirical analysis is based on directly estimating the profit function of wholesale firms. As in previous entry studies, profits...

Entry of firms into local markets has often been studied using administrative areas such as municipalities as the assumed relevant markets to study. However, administrative areas and the actual relevant markets based on local demand for firms’ products often need not coincide, which could bias...

The p-median model is used to locate P facilities to serve a geographically distributed population. Conventionally, it is assumed that the population always travels to the nearest facility. Drezner and Drezner (2006, 2007) re-estate three arguments on why this assumption might be incorrect, and...

To identify the relevant product markets for Swedish pharmaceuticals, a spatial econometrics approach is employed. First, we calculate Moran’s Is for different market definitions and then we use a spatial Durbin model to determine the effect of price changes on quantity sold off own and...

We develop a method for empirically measuring the difference in carbon footprint between traditional and online retailing (“e-tailing”) from entry point to a geographical area to consumer residence. The method only requires data on the locations of brick-and-mortar stores, online delivery...

Previously, studies of consumer satisfaction have often used surveys or interviews as the preferred method of choice. In this paper, we suggest an alternative method, using a combination of revealed and stated preference techniques in order to study consumer satisfaction with organic food...

A real-options approach was used, incorporating uncertainty and irreversibility of investments, to study the number of stores entering the Swedish retail food market during the period 1994-2002. It was found that uncertainty affected the entry-decision. Entry was less frequent in highly...

This paper examines, using a zero-inflated negative binomial regression model, what determined entry into the Swedish retail and wholesale trade markets between 1990 and 1996. According to the results, high returns on equity and low sunk costs seemed to attract more entry into retail trade...

This paper studies the impact of the Stockholm road pricing trial on retail revenues. The analysis is performed using revenue data from 14 shopping malls, 9 within the tool area and 5 outside the tool area. The data also include revenue data from a sample of retail stores located along the main...

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...