Empirical tests of sale theories: Hungarian milk prices
The paper tests various predictions of the sale theory literature, using the retailer specific price data in Hungary. Besides being set in a New Member State, characterised by rather different history of retailing than the established market economies, one of the main innovations of this paper is th...
| Main Authors: | , |
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| Format: | Article |
| Language: | English |
| Published: |
Czech Academy of Agricultural Sciences
2015-11-01
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| Series: | Agricultural Economics (AGRICECON) |
| Subjects: | |
| Online Access: | https://agricecon.agriculturejournals.cz/artkey/age-201511-0003_empirical-tests-of-sale-theories-hungarian-milk-prices.php |
| _version_ | 1797900013028769792 |
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| author | Zoltán BAKUCS Imre FERTŐ |
| author_facet | Zoltán BAKUCS Imre FERTŐ |
| author_sort | Zoltán BAKUCS |
| collection | DOAJ |
| description | The paper tests various predictions of the sale theory literature, using the retailer specific price data in Hungary. Besides being set in a New Member State, characterised by rather different history of retailing than the established market economies, one of the main innovations of this paper is the comparative assessment of price promotions of two homogenous, every-day products different only with respect to their perishability: one litre boxed and one litre durable fluid milk. Using a battery of empirical techniques from the simple summary statistics, the distribution analysis to the discrete choice models and the co-integration, there is concluded that competing theory predictions on price distributions are not accepted. Also the Hypothesis that manufacturers determine timing of sales is rejected. The results do not confirm that durable goods should have a qualitatively different pricing pattern than perishable products. When the temporal order of sales is considered, the estimations support the Hypothesis of alternate sales. In sum, the predictions of the existing retail sales models only partly confirm certain empirical aspects of price promotions. |
| first_indexed | 2024-04-10T08:38:04Z |
| format | Article |
| id | doaj.art-4c425bb9b0a849ca92cfffabdafc6afd |
| institution | Directory Open Access Journal |
| issn | 0139-570X 1805-9295 |
| language | English |
| last_indexed | 2024-04-10T08:38:04Z |
| publishDate | 2015-11-01 |
| publisher | Czech Academy of Agricultural Sciences |
| record_format | Article |
| series | Agricultural Economics (AGRICECON) |
| spelling | doaj.art-4c425bb9b0a849ca92cfffabdafc6afd2023-02-23T03:24:38ZengCzech Academy of Agricultural SciencesAgricultural Economics (AGRICECON)0139-570X1805-92952015-11-01611151152110.17221/168/2014-AGRICECONage-201511-0003Empirical tests of sale theories: Hungarian milk pricesZoltán BAKUCS0Imre FERTŐ1Institute of Economics, Centre for Economic and Regional Studies, Hungarian Academy of Sciences, Budapest, HungaryInstitute of Economics, Centre for Economic and Regional Studies, Hungarian Academy of Sciences, Budapest, HungaryThe paper tests various predictions of the sale theory literature, using the retailer specific price data in Hungary. Besides being set in a New Member State, characterised by rather different history of retailing than the established market economies, one of the main innovations of this paper is the comparative assessment of price promotions of two homogenous, every-day products different only with respect to their perishability: one litre boxed and one litre durable fluid milk. Using a battery of empirical techniques from the simple summary statistics, the distribution analysis to the discrete choice models and the co-integration, there is concluded that competing theory predictions on price distributions are not accepted. Also the Hypothesis that manufacturers determine timing of sales is rejected. The results do not confirm that durable goods should have a qualitatively different pricing pattern than perishable products. When the temporal order of sales is considered, the estimations support the Hypothesis of alternate sales. In sum, the predictions of the existing retail sales models only partly confirm certain empirical aspects of price promotions.https://agricecon.agriculturejournals.cz/artkey/age-201511-0003_empirical-tests-of-sale-theories-hungarian-milk-prices.phpchain level pricesmilk productsprice promotionsale theories |
| spellingShingle | Zoltán BAKUCS Imre FERTŐ Empirical tests of sale theories: Hungarian milk prices Agricultural Economics (AGRICECON) chain level prices milk products price promotion sale theories |
| title | Empirical tests of sale theories: Hungarian milk prices |
| title_full | Empirical tests of sale theories: Hungarian milk prices |
| title_fullStr | Empirical tests of sale theories: Hungarian milk prices |
| title_full_unstemmed | Empirical tests of sale theories: Hungarian milk prices |
| title_short | Empirical tests of sale theories: Hungarian milk prices |
| title_sort | empirical tests of sale theories hungarian milk prices |
| topic | chain level prices milk products price promotion sale theories |
| url | https://agricecon.agriculturejournals.cz/artkey/age-201511-0003_empirical-tests-of-sale-theories-hungarian-milk-prices.php |
| work_keys_str_mv | AT zoltanbakucs empiricaltestsofsaletheorieshungarianmilkprices AT imreferto empiricaltestsofsaletheorieshungarianmilkprices |