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Lola Esteban and Jose M. Hernandez
 
''Strategic Targeted Advertising and Market Fragmentation''
( 2007, Vol. 12 No.10 )
 
 
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.
 
 
Keywords: discount coupons.
JEL: L1 - Market Structure, Firm Strategy, and Market Performance: General
 
Manuscript Received : May 02 2007 Manuscript Accepted : May 21 2007

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