This paper empirically examines the impact of entry by Wal-Mart on competition in the supermarket industry. Using a detailed panel dataset spanning 1994–2006, we estimate the impact of Wal-Mart on firm outcomes and market structure, controlling for persistent local trends and systematic...

This provides a test of Kashyap’s speculation that branded goods are discounted less often when private label goods have a high market share. This was tested by (1) looking at a cross section across a large set of packaged goods categories and (2) looking at twelve product categories...

This paper develops more accurate and robust baseline sales estimates (sales in the absence of price promotion) using a dynamic linear model (DLM) enhanced with a multiple structural change model (MSCM). We first discuss the value of utilizing aggregated (chain-level) vs. disaggregated...

Large corporate like Reliance Ltd., Bharthi Retail, ‘Tata Chemicals -Total Produce’ venture and many major chain shops have entered the Vegetable and fruits retail market. They have the infrastructure to expand rapidly across metro and suburban area. They also have cold storage facilities to...

We present a demand system for tied goods incorporating dynamics arising from the tied-nature of the products and the stockpiling induced by storability and durability. We accommodate competition across tied good systems and competing downstream retail formats by endogenizing the retail format...

We empirically investigate the demand for tied goods sold through competing retail channels. Tied good pricing strategies commonly involve a low price on the initial purchase (i.e. the primary good) to drive adoption, and a substantial markup on aftermarket goods to capture value. However, if...

The literature on grocery store loyalty views a consumer as possessing store loyalty toward a particular store for her or his overall shopping needs. In this study, we examine store loyalty as a category-specific trait, i.e., a consumer could be loyal to Store A in category 1, but loyal to Store...

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...

The paper explores an efficiency hypothesis regarding the contractual process between large retailers, such as Wal-Mart and Carrefour, and their suppliers. The empirical evidence presented supports the idea that large retailers play a quasi-judicial role, acting as "courts of first instance" in...

Retailing is a set of business activities that adds value to the producers and services sold to consumers for their personal or family use. Often people think of retailing only as sale of product in stores. But retailing also involves sale of services, medical facilities, boarding, lodging,...