On Asymptotic Properties of the Parameters of Differentiated Product Demand and Supply Systems When Demographically-Categorized Purchasing Pattern Data are Available

In this paper, we derive asymptotic theorems for the Petrin (2002) extension of the Berry, Levinsohn, and Pakes (BLP, 1995) framework to estimate demand-supply models with micro moments. The micro moments contain the information relating the consumer demographics to the characteristics of the products they purchase. With additional assumptions, the extended estimator is shown to be CAN and more efficient than the BLP estimator. We discuss the conditions under which these asymptotic theorems hold for the random coefficient logit model. We implement extensive simulation studies and confirm the benefit of the micro moments in estimating the random coefficient logit model.

Reexamination of Bargaining Power in the Distribution Channel under Possible Price Pass-through Behaviors of Retailers (Bayesian approaches and statistical inference)

This research aims to gain deeper insight into the determinants of relative power within the distribution channel. We formulate bilateral bargaining under the generalized Nash bargaining. However, when the retailers think retail price increase can be passed on to their customers, we expect them to engage less in vigorous bargaining. We thus allow for the possibility that the retailers can pass through the price increase negotiated with manufacturers to its customers and that the manufacturers are well aware of such behavior by the retailer. As a result, the parties' bargaining powers are determined endogenously not only from the substitution patterns of their customers but also from the willingness of their customers to accept the retail price increase triggered by the wholesale price increase negotiated between the retailer and the manufacturer. In this manuscript, we present the theoretical result on the barganing power in the distribution channel under this expanded framework

Econometric investigation of random coefficient logit models of demand and its extension to multi-period demand estimation

科学研究費助成事業(科学研究費補助金)研究成果報告書：基盤研究(B) 2008-2012課題番号：2131008

Do consumers understand TCO? : an empirical study of consumer decision making in the U.S. automobile market

At the beginnig of the 1980\u27s,there was a gap in quality between cars made by the U.S."Big Three" and those made by the Japanese.Since then,the Big Three have adopted Japanese production techiniques,parts prucurement practices,and lavor relations,dramatically improving the quality of their automobiles.During the period,the Japanses manufactures kept their automobiles more expensive than the comparable models made by the Big Three to slow their sales,thereby blunting trade frictions,and preventing possible dumping complaints by the Big Three.Yet the Big Three seem to be losing overall U.S. market share,dipping to 68.3% in 1999 after fluctuating between 70-74% for the precedeing two decades,while that of the Japanses automobiles increased from 19.8% in 1985 to 24.0% in 1999.To find an economic rationale underlying this trend,we formulated a hypothesis that U.S. consumers\u27 automobile purchase decisions were influenced not by the initial purchasing prices,but by the total cost of ownership(TCO).We first proposed and illustrated a method to convert the automobiles\u27 reliability scores in Consumer Repots into monetary maintenance and repair expenditure.We then calcuated those expenditures,and incorporated them into the TCO calculation for the twenty-six most popular 1996-model-year vehicles.The proposed statisical model takes care of the bias introduced by partially missing reliability data.We found that the market shares of vehicles generally reflected their TCO differential when U.S. consumers chose from U.S automobiles.In medium passenger car market where the Japanese had already been offering credible alternatives by 1996,however U.S automobiles seem to have been given "buy American" TCO premium of about $2,000.Includes bibliographical reference