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Chinese Journal of Management Science ›› 2007, Vol. 15 ›› Issue (2): 134-140.

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The Effect of Price Promoting on Consumer Brand Choice

HU Song1,2, ZHAO Ping3, QIU Xiao-dong4   

  1. 1. School of Economics and Management, Xi'an Technological Univerisity, Xi'an 710032, China;
    2. G-Het Business Dept., China Unicom, Beijing 100032, China;
    3. School of Economics and Management, Tsinghua University, Beijing 100084, China;
    4. School of Economics and management, Beijing Jiaotong University, Beijing 100084, China
  • Received:2005-11-21 Revised:2007-03-15 Online:2007-04-30 Published:2007-04-30

Abstract: Abstract:Through experimental study,the authors find that consumers have different price sensitivity to different product. The choice market share gained by low tier brand promotion is larger than high tier brand in comparatively expensive product such as lap-top,cell phone etc.,while the opposite result will be acquired in some comparatively cheap product,e. g. shampoo.The results give significant implications on pricing tactics for marketers in Chinese market.

Key words: Market Share, High Tier Brand, Low Tier Brand, Discrete Choice Model, Multinomial Logit Model

CLC Number: