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| Lola Esteban and Jose M. Hernandez |
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| ''Strategic Targeted Advertising and Market Fragmentation'' |
| ( 2007, Vol. 12 No.10 ) |
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| This paper proves that oligopolistic price competition with both targeted advertising and targeted prices can lead to a permanent fragmentation of the market into a local monopoly. However, compared to mass advertising, targeting increases social welfare and turns out to be more beneficial for consumers than for firms. |
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| Keywords: discount coupons. |
JEL: L1 - Market Structure, Firm Strategy, and Market Performance: General
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| Manuscript Received : May 02 2007 | | Manuscript Accepted : May 21 2007 |
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