Abstract
A structural latent variable model is used to simultaneously determine the affect of newspaper advertisement characteristics on consumer preferences for apples and on demand for apple varieties. The advertisement characteristics considered included size, color, and logos. The estimated apple preference variable is an important explanatory variable in apple variety demand. Model specifications that exclude the variable tend to overstate own-price demand elasticities. Ad size has a positive impact on Golden Delicious, Granny Smith, and Gala sales, but a negative impact on Red Delicious sales. Color ads, though, were only found to significantly influence Red Delicious sales. The use of a logo had no impact on apple sales.
Original language | English (US) |
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Pages (from-to) | 159-177 |
Number of pages | 19 |
Journal | Agribusiness |
Volume | 16 |
Issue number | 2 |
DOIs | |
State | Published - Mar 2000 |
Externally published | Yes |
ASJC Scopus subject areas
- Food Science
- Geography, Planning and Development
- Animal Science and Zoology
- Agronomy and Crop Science
- Economics and Econometrics