Firms' ethics, consumer boycotts, and signalling
نویسندگان
چکیده
منابع مشابه
A Stochastic Model of Consumer Boycotts
This paper presents a model of consumer boycotts where the discrete choices of concerned consumers are represented as a stochastic processes. We solve for the limiting distribution of the process and analyze its properties. We then discuss how the model relates to game-theoretic models of collective action and derive an equilibrium selection result. The type of equilibrium selected depends on t...
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I present a model for consumer boycotts. The more a firm complies with consumers’ wishes, the higher its marginal cost, but the lower the probability of facing a consumer boycott. I show that the threat of a consumer boycott can increase the expected profits of firms. Firms lose out when they do face a boycott, but gain even more when their competitor does, giving them more market power. The st...
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This paper suggests that consumer boycotts target irresponsible behaviors of corporations toward consumer, political, and social issues. After identifying the characteristics of consumer boycotts’ best practices, the paper documents the results of a field study conducted on consumer boycotts in Switzerland. Results reveal its peculiarities compared to the reality in the United States, where emp...
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This paper presents a model of consumer boycotts where the discrete choices of concerned consumers are represented as a stochastic processes. Boycotts are interpreted as a form of voting where consumers are trying to shape the behavior of firms.We solve for the limiting distribution of the process and analyze its properties. We then discuss how the model relates to standard game-theoretic appro...
متن کاملBoycotts and Violence
Sumanta Banerjee ([email protected]) is best known for his book In the Wake of Naxalbari: A History of the Naxalite Movement in India (1980). The Maoists want a provision in the electoral rules to arm the voter with the right to reject a candidate, but if the voters are granted such a provision, will they allow them to participate in the elections, or still insist on boycotting them? It is hi...
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ژورنال
عنوان ژورنال: European Journal of Political Economy
سال: 2010
ISSN: 0176-2680
DOI: 10.1016/j.ejpoleco.2009.12.002