Journal of the Korean Operations Research and Management Science Society (한국경영과학회지)

The Korean Operations Research and Management Science Society (한국경영과학회)
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Influence of Coupon Duration on Consumer's Behavior : Three or Wore Brands in the Market

쿠폰의 유효기간이 소비자의 구매 행태에 미치는 영향 : 시장에 3개 이상의 브랜드가 있는 상황

  • Published : 2005.06.01
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Abstract

This research deals with the issues concerning how consumers change their purchase behavior if one of brands in the market prolongs its coupon duration while there are more than two brands. If they extend coupon duration of a brand, consumers increase Purchase of the brand with coupons. But they increase or reduce purchase of competing brands with coupons depending on the condition of the market. increase of purchase of the brand with prolonged coupons stems from reducing purchase of the consumer's most favorite brands with regular price and their less preferred brands with coupons. On the other hand, consumers who prefer the brand at in-between level tend to reduce purchase of competing brands with coupons under certain conditions. Therefore firms which do not have dominant market positions have strong incentive for strategic alliance in terms of coupon duration.

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