An econometric model of a retail firm

Abstract

Abstract Existing models of retail resource allocation generally specify response functions in a somewhat ad hoc manner. These are not usually derived from an explicit model of consumer maximization, and they generally do not explicitly consider the supply side of the market. This paper shows how the model of Ehrlich and Fisher (1982) can be used to provide insights into the proper specification of these functions. We illustrate the application of this model on data from a retail chain; our application extends work in Ratchford and Stoops (1988) to the demand side of the market. Potential areas of application of the model are to understanding the demand for labor and advertising services by consumers, and to the measurement of retail productivity.

Cite this work

No public copy is stored for this record, so only the metadata is cited.

Stored only when both papers are in the corpus — 15 citations exist upstream.

Papers that cite the same references — the relational fallback while embeddings are still backfilling.