Consumer Loyalty in the Swedish Pharmaceuticals Market

David Granlund () and Niklas Rudholm ()
Additional contact information
David Granlund: Department of Economics, Umeå University, Postal: S 901 87 Umeå, Sweden
Niklas Rudholm: Department of Economics, Dalarna University, Postal: SE-781 88 Borlänge, Sweden

No 742, Umeå Economic Studies from Umeå University, Department of Economics

Abstract: The purpose of this paper is to test if consumer loyalty is stronger toward brand name pharmaceutical products and branded generics as compared to "true" generics in the Swedish pharmaceuticals market. The results show that consumers are equally loyal toward brand name pharmaceuticals and branded generics, while substantially less loyal toward generics. The results thus seem to give support to the idea that brand name recognition is important in creating consumer loyalty toward pharmaceutical products.

Keywords: Brand loyalty; Branded generics; Parallel import; Generic competition (search for similar items in EconPapers)
JEL-codes: D12 I11 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-com and nep-mkt
Date: Written 2008-06-17

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