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          Volume 33, Number 3, November 2002 >

Please use this identifier to cite or link to this item: http://purl.umn.edu/26830

Title: NON-CREDIBLE INFORMATION FLOWS BETWEEN FOOD MANUFACTURERS AND RETAILERS
Authors: DeVuyst, Cheryl Sinn
Issue Date: 2002-11
Abstract: Asymmetric information between food manufacturers and retailers constrains the efforts of analysts studying the retail food chain. The problem may be especially pronounced during new product introductions. Manufacturers may have demand information about new products but have incentives to not credibly relay that information. Retailers often lack reliable demand information about new products. Understanding the roots of non-credible information flows within the manufacturer/retailer relationship is important to behavioral modeling in the food chain. This paper provides an analytic derivation to explain sufficient conditions for non-credible information flows leading to asymmetric information and adverse selection problems. Results provide insight about formation of information sharing mechanisms in the retail grocery channel.
URI: http://purl.umn.edu/26830
Institution/Association: Journal of Food Distribution Research>Volume 33, Number 03, November 2002
Total Pages: 7
Language: English
From Page: 31
To Page: 37
Collections:Volume 33, Number 3, November 2002

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