Customer return policies for experience goods
The economic rationale for the retail practice of allowing customers to return merchandise is examined in terms of consumer learning issues. Analysis shows that generous return policies lead to improved risk-sharing between sellers and customers, allowing consumers to protect themselves against any loss. In contrast, the absence of these customer return policies, provides zero expected utility to consumers, thereby reducing the incentive to shop at stores that do not permit the return of merchandise within a reasonable time frame.
Publication Name: Journal of Industrial Economics
Is Japan's retail sector truly distinctive?
Japan's retail sector is statistically analyzed to determine whether it is distinctive. International differences in numbers of stores per person, based on data from 16 countries, are analyzed. The country's ubiquity of retail stores mirrors its geography, transport system and limited living space. Such a ubiquity is found to be an economic response to unique local conditions.
Publication Name: Journal of Comparative Economics
Slotting allowances and retailer market power
A study on correlation between slotting allowances in retailing industry, and retailer market power, is presented. For the purpose, a bilateral oligopoly model is used.
Publication Name: Journal of Economic Studies
- Abstracts: The influence of expert reviews on consumer demand for experience goods: a case study of movie critics. A New Approach to the Incorporation of Attributes into Consumer Theory
- Abstracts: Gender differences in overeducation: a test of the theory of differential overqualification. The State of Development Theory
- Abstracts: Increasing returns, trade and the regional structure of wages. Regional integration in Europe
- Abstracts: The European policy of Francois Mitterrand. European business in Japan: a policy crossroads? The public policy role of the European Investment Bank within the EU
- Abstracts: Estimates of trade effects of Portugal's and Spain's entry to the European Union. World Trade Organization and the failure of Seattle