A Theory of Consumer Boycotts under Symmetric Information and Imperfect Competition
نویسنده
چکیده
This paper models strategic interactions between non-identical duopolistic firms and a public interest / environmental organization (EO) that promotes "green" production practices by threatening consumer boycotts against "brown" producers. The paper describes when boycotts are deterred by prior firm commitments to be "green" and, alternately, when a boycott arises in equilibrium, despite symmetric information. When a boycott arises, it is either a small persistent boycott against the "small firm" in the industry, or a large transitory boycott against the "large firm" in the industry that prompts the target firm quickly to accede to the boycott demands.
منابع مشابه
Biding Strategy in Restructured Environment of Power Market Using Game Theory
In the restructured environment of electricity market, firstly the generating companies and the customers are looking for maximizing their profit and secondly independent system operator is looking for the stability of the power network and maximizing social welfare. In this paper, a one way auction in the electricity market for the generator companies is considered in both perfect and imperfec...
متن کاملThe Competitive Effects of Consumer Boycotts
I present a model for consumer boycotts. The more a firm complies with consumers’ wishes, the higher its marginal cost, but the lower the probability of facing a consumer boycott. I show that the threat of a consumer boycott can increase the expected profits of firms. Firms lose out when they do face a boycott, but gain even more when their competitor does, giving them more market power. The st...
متن کاملHigher-Order Stability Analysis of Imperfect Laminated Piezo-Composite Plates on Elastic Foundations Under Electro-Thermo-Mechanical Loads
This article provides a fully analytical approach for nonlinear equilibrium path of rectangular sandwich plates. The core of structure is made of symmetric cross-ply laminated composite and the outer surfaces are piezoelectric actuators which perfectly bonded to inner core. The structure is subjected to electro-thermo-mechanical loads simultaneously. One side of plate is rested on Pasternak typ...
متن کاملConsumer Boycotts in Switzerland 1994-2004: Typologies and Strategies
This paper suggests that consumer boycotts target irresponsible behaviors of corporations toward consumer, political, and social issues. After identifying the characteristics of consumer boycotts’ best practices, the paper documents the results of a field study conducted on consumer boycotts in Switzerland. Results reveal its peculiarities compared to the reality in the United States, where emp...
متن کاملProviding a local model of guerrilla marketing in small and medium-sized start-ups in Iran Based on the theory of corporate information behavior
Background and Aim: Considering the importance of customer behavior, the purpose of this study is to present a local marketing model with emphasis on consumerschr('39') attitudes to purchase Iranian products with a customer information behavior approach. Research Method: The method of this research was data-based theory and data collection was done through semi-structured interviews. Also, the...
متن کامل