Product Design, Multiproduct Production, and Brand Proliferation

Victor J. Tremblay and Carol Horton Tremblay
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Victor J. Tremblay: Oregon State University
Carol Horton Tremblay: Oregon State University

Chapter Chapter 13 in New Perspectives on Industrial Organization, 2012, pp 343-377 from Springer

Abstract: Abstract One of the most important decisions a firm must make is the style and qualities that its product will possess. Up to this point, we have taken product or brand characteristics as given. The main reason for this is that it can take a considerable amount of time to come up with something innovative, such as a new style of automobile or a more powerful laundry detergent. Nevertheless, when developing a new car a firm must answer a number of design questions—should the company produce an economy or a sports car, should the body style be traditional or cutting-edge, should it have a front-wheel, rear-wheel, or all-wheel drive train.

Keywords: Nash Equilibrium; Marginal Cost; Consumer Surplus; Marginal Revenue; Total Surplus (search for similar items in EconPapers)
Date: 2012
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DOI: 10.1007/978-1-4614-3241-8_13

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