Retailer heterogeneity and price transmission

Differences in price dynamics across retail chains, even for identical products, offer the opportunity to provide new insights into determinants of transmission. Specifically, we highlight role strategic complementarity and mark-up elasticities as factors underpinning Using supermarket data on a sample orange juice coffee products from seven largest chains UK, results show that ignoring exerts positive bias estimation transmission hence overstates importance input costs setting. In contrast recent research, private label are found exhibit consistently lower levels (higher elasticity) than national brands, likely reflecting context competition UK food retailing. The focus points links between frequency adjustment