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Advertising and Monopoly

  • W. Duncan Reekie

Abstract

Some politicians believe that advertising can ‘create demands ... artificially, by conjuring up worlds of fantasy’.1 Government committees adopt similar views. Advertising and promotion ‘help to create and maintain the kind of market in which it is possible ... to have substantial freedom to determine ... prices’.2 ‘The effects of this are not only to increase prices [which] ... is wasteful, but also ... to create a situation in which even the less successful ... can earn extremely comfortable profits’.3

Keywords

Market Share Market Power Scale Economy Consumer Choice Entry Barrier 
These keywords were added by machine and not by the authors. This process is experimental and the keywords may be updated as the learning algorithm improves.

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Notes and References

  1. 4.
    Robert L. Steiner, ‘Does Advertising Lower Consumer Prices?’, Journal of Marketing, 1973.Google Scholar
  2. 5.
    T. Wilson, ‘Restrictive Practices’, in J. P. Miller (Ed.), Competition, Cartels and their Regulation (North Holland, 1962) p. 119.Google Scholar
  3. 6.
    J. A. Schumpeter, Capitalism, Socialism and Democracy (Harrap, 1950) p. 84.Google Scholar
  4. 13.
    W. S. Comanor and T. A. Wilson, ‘Advertising, Market Structure and Performance’, Review of Economics and Statistics (1967).Google Scholar
  5. 19.
    Ralph Turvey, Demand and Supply (George Allen and Unwin, 1971) pp. 35–8.Google Scholar

Copyright information

© W. Duncan Reekie 1981

Authors and Affiliations

  • W. Duncan Reekie

There are no affiliations available

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