scholarly journals Competition and Price Wars in the U.S. Brewing Industry

2012 ◽  
Vol 7 (2) ◽  
pp. 226-240 ◽  
Author(s):  
Jayendra Gokhale ◽  
Victor J. Tremblay
Keyword(s):  
Market Power ◽  
Price Competition ◽  
Jel Classification ◽  
Brewing Industry ◽  
War Of Attrition ◽  
Price Wars ◽  
Production Technologies ◽  
The 1960S ◽  
Fierce Competition ◽  
The U.S

AbstractThe behavior of the macro or mass-production segment of the U.S. brewing industry appears to be paradoxical. Since the end of Prohibition in 1934, the number of independent brewers has continuously declined while the major national brewers, such as Anheuser-Busch, Miller, and Coors, have gained market share. In spite of this decline in the number of competitors, profits and market power have remained low in brewing. Iwasaki et al. (2008) explain this result by providing evidence that changes in marketing and production technologies favored larger brewers and forced the industry into a war of attrition, in which only a handful of firms could survive. This led to fierce competition, especially from the 1960s through the mid 1980s. Since the late 1990s, the war appears to have subsided. Thus, the purpose of this study is to determine whether price competition diminished after the mid-1990s. We find evidence that competition has diminished but not enough to substantially increase market power. (JEL Classification: D22, L11, L66)

scholarly journals The Global Domain of the Dollar: Eight Questions

2020 ◽  
Vol 48 (4) ◽  
pp. 421-429
Author(s):  
Robert N. McCauley
Keyword(s):  
Economic Activity ◽  
Balance Sheet ◽  
The United States ◽  
Fiscal Deficits ◽  
Exorbitant Privilege ◽  
The World ◽  
World Economic ◽  
Dollar Debt ◽  
The 1960S ◽  
The U.S

Abstract Since the late 1950s, the rest of the world has come to use the dollar to an extent that justifies speaking of the dollar’s global domain. The rest of the world denominates much debt in U.S. dollars, extending U.S. monetary policy’s sway. In addition, in outstanding foreign exchange deals, the rest of the world has undertaken to pay still more in U.S. dollars: off-balance-sheet dollar debts buried in footnotes. Consistent with the scale of dollar debt, most of the world economic activity takes place in countries with currencies tied to or relatively stable against the dollar, forming a dollar zone much larger than the euro zone. Even though the dollar assets of the world (minus the United States) exceed dollar liabilities, corporate sector dollar debts seem to make dollar appreciation akin to a global tightening of credit. Since the 1960s, claims that the dollar’s global role suffers from instability and confers great benefits on the U.S. economy have attracted much support. However, evidence that demand for dollars from official reserve managers forces unsustainable U.S. current account or fiscal deficits is not strong. The so-called exorbitant privilege is small or shared. In 2008 and again in 2020, the Federal Reserve demonstrated a willingness and capacity to backstop the global domain of the dollar. Politics could constrain the Fed’s ability to backstop the growing share of the domain of the dollar accounted for by countries that are not on such friendly terms with the U.S.

scholarly journals The freshness of the fell streams: contextualizing the success of Lapin Kulta Beer in the 1960s

2019 ◽  
Vol 11 (2) ◽  
pp. 165-180
Author(s):  
Janne Ikäheimo
Keyword(s):  
Marketing Research ◽  
External Factors ◽  
Primary Sources ◽  
Trade Association ◽  
Brewing Industry ◽  
Content Type ◽  
European Free Trade Association ◽  
The Social ◽  
Social Tensions ◽  
The 1960S

Purpose As Finland became an associate member of the European Free Trade Association in early 1960s, the domestic brewing industry faced a new threat posed by imported beer. It was neutralized effectively with joint and individual efforts of the breweries. This paper aims to analyze the maneuvers taken by Tornion Olut Oy to brand its new product, Lapin Kulta, which ultimately became the most popular beer in Finland. In addition, the contemporary changes in the Finnish society with related social tensions are shown to have contributed to its success significantly. Design/methodology/approach Archival research focusing on primary sources complemented with biographies, historical newspaper and magazine articles as well contemporary research papers with an aim to reconstruct and better understand the historical and social context of the events. Findings The success of the Lapin Kulta beer in 1960s was not only based on the effective marketing, although a well-thought name, the successful participation in international beer “competitions” enhancing the brand and both improved distribution and logistics certainly contributed to it. Instead the success is shown to have depended also on seemingly odd collection of external factors. However, when put together, the success is shown to have been based on brand's capability to address the social tensions present in Finland during 1960s. Originality/value The importance of the context reconstruction in historical marketing research is underlined as developments traditionally attributed solely to product qualities and marketing may equally stem from a multitude of external factors. As a case study, the research represents a fresh take on the subject through a variety of previously neglected sources.

scholarly journals Scanner Data: New Opportunities for Demand and Competitive Strategy Analysis

1994 ◽  
Vol 23 (2) ◽  
pp. 125-139 ◽  
Author(s):  
Ronald W. Cotterill
Keyword(s):  
Market Power ◽  
Price Competition ◽  
Tacit Collusion ◽  
Scanner Data ◽  
Strategy Analysis ◽  
Price Response ◽  
Oligopoly Model ◽  
Sufficient Detail ◽  
Bertrand Price Competition ◽  
Reaction Equations

This paper reviews prior research by agricultural economists on the demand for food products using scanner data. Thereafter, a differentiated product's oligopoly model with Bertrand price competition is developed and used to specify brand level demand and oligopoly price reaction equations. The model has sufficient detail to estimate brand level price elasticities and price response elasticities which in turn can be used to estimate three indices of market power. The first index estimated is the familiar Rothschild Index. The paper develops estimates two new indexes, the observed index and the Chamberlin quotient for tacit collusion. It concludes with comments on how the proposed method for the measurement of market power in a differentiated oligopoly can be improved.

The Discovery of Retrolental Fibroplasia and the Role of Oxygen: A Historical Review, 1942–1956

2004 ◽  
Vol 23 (2) ◽  
pp. 31-38 ◽  
Author(s):  
Elizabeth Reedy
Keyword(s):  
Premature Infants ◽  
Retinopathy Of Prematurity ◽  
Historical Review ◽  
Retrolental Fibroplasia ◽  
History Of ◽  
To Come ◽  
The 1960S ◽  
Prematurely Born Infants ◽  
The U.S

Nearly 50 years after it was thought to be conquered, retinopathy of prematurity (ROP) continues to cause vision disturbances and blindness among prematurely born infants. During the 1940s and early 1950s, researchers and caregivers first identified and struggled to eliminate this problem, which seemed to come from nowhere and was concentrated among the most advanced premature nurseries in the U.S. Research studies initially identified many potential causes, none of which could be proved conclusively. By the mid-1950s, oxygen was identified as the culprit, and its use was immediately restricted. The rate of blindness among premature infants decreased significantly. ROP was not cured, however. By the 1960s, it had reappeared. The history of ROP serves to remind us that, despite our best intentions, the care and treatment of premature newborns will always carry with it the possibility of iatrogenic disease. This caution is worth remembering as we work to expand the quality and quantity of clinical research.

The Decline of College Textbook Publishing: Cengage Learning and McGraw-Hill

2020 ◽  
Vol 65 (2) ◽  
pp. 284-299
Author(s):  
Bob Carbaugh
Keyword(s):  
Business Model ◽  
Jel Classification ◽  
Production Costs ◽  
Book Market ◽  
Educational Materials ◽  
College Textbook ◽  
Revenue Streams ◽  
Textbook Publishing ◽  
Harmful Effects ◽  
The U.S

America’s college textbook publishers historically had a business model based on continuing profits and growth led by high prices. However, that model eroded as competition from the used-book market and rental textbooks resulted in falling textbook sales and losses for publishers. Textbook publishers are currently revising their business model so as to move away from printed textbooks to digital (online) educational materials. Also, publishers are downsizing their operations and undergoing mergers with each other to survive in the marketplace. The 2019 merger proposal of McGraw-Hill and Cengage Learning reflects the current problems of college textbook publishing: The merger would be between two financially weak companies that are attempting to reduce overhead and production costs and create additional revenue streams. However, the U.S. Department of Justice’s concerns about the harmful effects on competition led to the companies’ agreement to abandon their plans to merge in May 2020. JEL Classification: A00, K21, L22, L41

scholarly journals Costs of Biological and Cultural Resource Protection to the U.S. Natural Gas Industry

2020 ◽  
pp. 1-20
Author(s):  
Mitch Kunce
Keyword(s):  
Endangered Species ◽  
Natural Gas ◽  
Jel Classification ◽  
Cultural Resources ◽  
Private Lands ◽  
Gas Industry ◽  
Land Type ◽  
Threatened And Endangered Species ◽  
Natural Gas Industry ◽  
The U.S

Using a unique land transaction from the 1860s in the Western U.S., this paper examines whether the presence of biological and cultural resources on private and federal land increase drilling costs to the U.S. natural gas industry. Our results suggest that the presence of these resources can increase costs, but the effect depends on the land type and which resources are being protected. The presence of threatened and endangered species increase drilling costs significantly on both federal and private lands; whereas the existence of migratory wildlife like elk and pronghorn does not. Cultural resources have a differentiated impact-they raise drilling costs significantly on federal lands, but not on private lands. JEL classification numbers: C23, Q58. Keywords: Endangered Species, U.S. Natural Gas, Cultural Resources, Drilling Costs.

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