This paper investigates whether firms’ responsiveness to customer reviews affects firms’ online reputation. Responsiveness is measured by the intensity (fraction) of reviews that are responded to whereas online reputation is measured using TripAdvisor’s average customer review rating (1-5...

We consider a model of vertical competition where downstream firms (retailers) purchase an upstream input from a monopolist and are able to differentiate from each other in terms of quality. Our primary focus is to study the effects of introducing a large retailer, such as a Wal-Mart...

Scientific evidence on the effect of sugar consumption on obesity has propelled policy makers in several states across the U.S. to propose the imposition of a tax on soft drinks sales. In this paper, we look at the effect of two tax events: a 5.5% sales tax on soft drinks imposed by the state of...

We apply a dynamic estimation procedure to investigate the effect of obesity on the demand for soda. The dynamic model accounts for consumers’ storing behavior, and allows us to study soda consumers’ price sensitivity (how responsive consumers are to the overall price) and sale sensitivity...