Details
| Originalsprache | Englisch |
|---|---|
| Aufsatznummer | 101047 |
| Seitenumfang | 10 |
| Fachzeitschrift | Information economics and policy |
| Jahrgang | 64 |
| Frühes Online-Datum | 4 Aug. 2023 |
| Publikationsstatus | Veröffentlicht - Sept. 2023 |
Abstract
ASJC Scopus Sachgebiete
- Volkswirtschaftslehre, Ökonometrie und Finanzen (insg.)
- Volkswirtschaftslehre und Ökonometrie
- Umweltwissenschaften (insg.)
- Management, Monitoring, Politik und Recht
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in: Information economics and policy, Jahrgang 64, 101047, 09.2023.
Publikation: Beitrag in Fachzeitschrift › Artikel › Forschung › Peer-Review
}
TY - JOUR
T1 - A model of endogenous targeting in duopoly
AU - Siemering, Christian
PY - 2023/9
Y1 - 2023/9
N2 - The paper investigates welfare effects of targeted advertising in a duopoly. To this end, a game-theoretical model is proposed in which firms can make costly investments in their targeting technology. It can be shown that ex ante identical firms use different technologies in every pure-strategy equilibrium of the technology game. If firms target the same group of consumers, the low-technology firm could increase overall welfare by using a better technology. However, this leads to lower industry profits due to tougher competition among firms.
AB - The paper investigates welfare effects of targeted advertising in a duopoly. To this end, a game-theoretical model is proposed in which firms can make costly investments in their targeting technology. It can be shown that ex ante identical firms use different technologies in every pure-strategy equilibrium of the technology game. If firms target the same group of consumers, the low-technology firm could increase overall welfare by using a better technology. However, this leads to lower industry profits due to tougher competition among firms.
KW - Excessive targeting
KW - Targeted advertising
KW - Technology investments
KW - Welfare
UR - http://www.scopus.com/inward/record.url?scp=85171624346&partnerID=8YFLogxK
U2 - 10.1016/j.infoecopol.2023.101047
DO - 10.1016/j.infoecopol.2023.101047
M3 - Article
AN - SCOPUS:85171624346
VL - 64
JO - Information economics and policy
JF - Information economics and policy
SN - 0167-6245
M1 - 101047
ER -