Hedonic Decomposition of Beer Prices: Consumer Ratings and Quantity Discounts

References

• Ahamada, I., and E. Flachaire. 2010. Non-Parametric Econometrics. New York: Oxford university press.
   Google Scholar
• Arias-Bolzmann, L., O. Sak, A. Musalem, L. Lodish, K. R. Baez, and., and L. J. De Sousa. 2003. Wine Pricing: The Influence of Country of Origin, Variety, and Wine Magazine Ratings. International Journal of Wine Business Research 15 (2): 47–57.
   Google Scholar
• Ashenfelter, O. 2008. Predicting the Quality and Prices of Bordeaux Wine. Economic Journal 118: 174–184.
   Web of Science ®Google Scholar
• Ashenfelter, O., D. S. Hosken, and M. C. Weinberg. 2015. Efficiencies Brewed: Pricing and Consolidation in the US Beer Industry. The RAND Journal of Economics 46 (2): 328–361. https://doi.org/10.1111/1756-2171.12092
   Web of Science ®Google Scholar
• Ashton, R. H. 2012. Reliability and Consensus of Experienced Wine Judges: Expertise within and between? Journal of Wine Economics 7 (1): 70–87. https://doi.org/10.1017/jwe.2012.6
   Google Scholar
• Avery, Z. 2010. 500 Beers. London: Apple press.
   Google Scholar
• Betancur, M. I., K. Motoki, C. Spence, and C. Velasco. 2020. Factors Influencing the Choice of Beer: A Review. Food Research International 137: 109367. https://doi.org/10.1016/j.foodres.2020.109367
   PubMed Web of Science ®Google Scholar
• Cardebat, J. M., J. M. Figuet, and E. Paroissien. 2014. Expert Opinion and Bordeaux Wine Prices: An Attempt to Correct Biases in Subjective Judgments. Journal of Wine Economics 9 (3): 282–303. https://doi.org/10.1017/jwe.2014.23
   Google Scholar
• Caves, R. E., and D. P. Greene. 1996. Brands’ Quality Levels, Prices, and Advertising Outlays: Empirical Evidence on Signals and Information Costs. International Journal of Industrial Organization 14 (1): 29–52. https://doi.org/10.1016/0167-7187(95)00478-5
   Web of Science ®Google Scholar
• Chrysochou, P. 2014. Drink to Get Drunk or Stay Healthy? Exploring Consumers’ Perceptions, Motives and Preferences for Light Beer. Food Quality and Preference 31: 156–163. https://doi.org/10.1016/j.foodqual.2013.08.006
   Web of Science ®Google Scholar
• Clerides, S., P. Davis, and A. Michis. 2015. National Sentiment and Consumer Choice: The Iraq War and Sales of US Products in Arab Countries. The Scandinavian Journal of Economics 117 (3): 829–851. https://doi.org/10.1111/sjoe.12112
   Web of Science ®Google Scholar
• Combris, P., S. Lecocq, and M. Visser. 1997. Estimation of Hedonic Price Equation for Bordeaux Wine: Does Quality Matter? The Economic Journal 107 (441): 390–402. https://doi.org/10.1111/j.0013-0133.1997.165.x
   Web of Science ®Google Scholar
• Costanigro, M., and J. J. McCluskey. 2011. Hedonic Price Analysis in Food Markets. In J.L. Lusk, j. Roosen and J. Shogren (Eds), The Oxford Handbook of the Economics of Food Consumption and Policy. NY: Oxford University Press.
   Google Scholar
• Costanigro, M., J. J. McCluskey, and C. Goemans. 2010. The Economics of Nested Names: Name Specificity, Reputation and Price Premia. American Journal of Agricultural Economics 92 (5): 1339–1350. https://doi.org/10.1093/ajae/aaq065
   Web of Science ®Google Scholar
• Cragg, J. G., and G. D. Stephen. 1993. Testing Identifiability and Specification in Instrumental Variable Models. Econometric Theory 9 (2): 222–240. https://doi.org/10.1017/S0266466600007519
   Web of Science ®Google Scholar
• Culbertson, W. P., and D. Bradford. 1991. The Price of Beer: Some Evidence from Interstate Comparisons. International Journal of Industrial Organization 9 (2): 275–289. https://doi.org/10.1016/S0167-7187(05)80008-6
   Web of Science ®Google Scholar
• Donadini, G., M. D. Fumi, E. Kordialik-Bogacka, L. Maggi, M. Lambri, and P. Sckokai. 2016. Consumer Interest in Specialty Beers in Three European Markets. Food Research International (Ottawa, Ont.) 85: 301–314. https://doi.org/10.1016/j.foodres.2016.04.029
   PubMed Web of Science ®Google Scholar
• Feenstra, R. 1995. Exact Hedonic Price Indexes. The Review of Economics and Statistics 77 (4): 634–653. https://doi.org/10.2307/2109812
   Web of Science ®Google Scholar
• Fox, J. 2000. Multiple and Generalized Nonparamatric Regression. Thousand Oaks, CA: Sage.
   Google Scholar
• Fox, J. 2008. Applied Regression Analysis and Generalized Linear Models. Thousand Oaks, CA: Sage.
   Google Scholar
• Friberg, R., and E. Grönqvist. 2012. Do Expert Reviews Affect the Demand for Wine? American Economic Journal: Applied Economics 4 (1): 193–211. https://doi.org/10.1257/app.4.1.193
   Web of Science ®Google Scholar
• Friberg, R., and A. Romahn. 2015. Divestiture Requirements as a Tool for Competition Policy: A Case from the Swedish Beer Market. International Journal of Industrial Organization 42: 1–18. https://doi.org/10.1016/j.ijindorg.2015.06.005
   Web of Science ®Google Scholar
• Haeger, J. W., and K. Storchmann. 2006. Prices of American Pinot Noir Wines: Climate, Craftsmanship, Critics. Agricultural Economics 35 (1): 67–78. https://doi.org/10.1111/j.1574-0862.2006.00140.x
   Web of Science ®Google Scholar
• Kaimann, D., C. L. M. Spiess-Bru, and B. Frick. 2023. Ratings Meet Prices: The Dynamic Relationship of Quality Signals. Journal of Wine Economics: 1–19. https://doi.org/10.1017/jwe.2023.14
   Web of Science ®Google Scholar
• Lancaster, K. 1966. A New Approach to Consumer Theory. Journal of Political Economy 74 (2): 132–157. https://doi.org/10.1086/259131
   Web of Science ®Google Scholar
• Lipczynski, J., J. O. S. Wilson, and J. Goddard. 2017. Industrial Organization: Competition, Strategy and Policy (5th Ed.). Harlow: Pearson.
   Google Scholar
• Malone, T., and J. Lusk. 2017. An Instrumental Variable Approach to Distinguishing Perceptions from Preferences for Beer Brands. Managerial and Decision Economics 39 (4): 403–417. https://doi.org/10.1002/mde.2913
   Web of Science ®Google Scholar
• Markidou, A. G., and A. A. Michis. 2016. Channel Concentration and Retail Prices: Evidence from the Traditional Cheese Market of Cyprus. Journal of Agricultural & Food Industrial Organization 14 (1): 109–119. https://doi.org/10.1515/jafio-2014-0016
   Google Scholar
• Meillon, S., V. Dugas, C. Urbano, and P. Schlich. 2010. Preference and Acceptability of Partially Dealcoholized White and Red Wines by Consumers and Professionals. American Journal of Enology and Viticulture 61 (1): 42–52. https://doi.org/10.5344/ajev.2010.61.1.42
   Web of Science ®Google Scholar
• Meyerding, S. G. H., A. Bauchrowitz, and M. Lehberger. 2019. Consumer Preferences for Beer Attributes in Germany: A Conjoint and Latent Class Approach. Journal of Retailing and Consumer Services 47: 229– 240. https://doi.org/10.1016/j.jretconser.2018.12.001
   Web of Science ®Google Scholar
• Michis, A. A. 2009a. Forecasting Brand Sales with Wavelet Decompositions of Related Causal Series. International Journal of Business Forecasting and Marketing Intelligence 1 (2): 95–110. https://doi.org/10.1504/IJBFMI.2009.028449
   Google Scholar
• Michis, A. A. 2009b. Regression Analysis of Marketing Time Series: A Wavelet Approach with Some Frequency Domain Insights. Review of Marketing Science 7 (1): 2. https://doi.org/10.2202/1546-5616.1083
   Google Scholar
• Michis, A. A. 2015. A Wavelet Smoothing Method to Improve Conditional Sales Forecasting. Journal of the Operational Research Society 66 (5): 832–844. https://doi.org/10.1057/jors.2014.28
   Web of Science ®Google Scholar
• Michis, A. A. 2016. Market Concentration and Nonlinear Pricing in European Banking. Journal of Economics and Business 85: 1–12. https://doi.org/10.1016/j.jeconbus.2016.02.003
   Google Scholar
• Michis, A. A. 2023. Retail Distribution Evaluation in Brand-Level Sales Response Models. Journal of Marketing Analytics 11 (3): 366–378. https://doi.org/10.1057/s41270-022-00165-8
   Google Scholar
• Michis, A. A., and A. G. Markidou. 2013. Determinants of Retail Wine Prices: Evidence from Cyprus. Empirical Economics 45 (1): 267–280. https://doi.org/10.1007/s00181-012-0616-y
   Web of Science ®Google Scholar
• Moore, M. R., J. P. Doubek, H. Xu, and B. J. Cardinale. 2020. Hedonic Price Estimates of Lake Water Quality: Valued Attribute, Instrumental Variables, and Ecological-Economic Benefits. Ecological Economics 176: 106692. https://doi.org/10.1016/j.ecolecon.2020.106692
   Web of Science ®Google Scholar
• Oczkowski, E. 2001. Hedonic Wine Price Functions and Measurement Error. Economic Record 77 (239): 374–382. https://doi.org/10.1111/1475-4932.00030
   Web of Science ®Google Scholar
• Oczkowski, E., and H. Doucouliagos. 2014. Wine Prices and Quality Ratings: A Meta-Regression Analysis. American Journal of Agricultural Economics 97 (1): 103– 121. https://doi.org/10.1093/ajae/aau057
   Web of Science ®Google Scholar
• Pinkse, J., and M. E. Slade. 2004. Mergers, Brand Competition, and the Price of a Pint. European Economic Review 48 (3): 617–643. https://doi.org/10.1016/S0014-2921(02)00328-8
   Web of Science ®Google Scholar
• Porretta, S., and G. Donadini. 2008. A Preference Study for No Alcohol Beer in Italy Using Quantitative Concept Analysis. Journal of the Institute of Brewing 114 (4): 315–321. https://doi.org/10.1002/j.2050-0416.2008.tb00775.x
   Web of Science ®Google Scholar
• Rey, P., and J. Stiglitz. 1995. The Role of Exclusive Territories in Producers’ Competition. The Rand Journal of Economics 26 (3): 431–451. https://doi.org/10.2307/2555997
   Web of Science ®Google Scholar
• Rojas, C. 2008. Price Competition in U.S. brewing. The Journal of Industrial Economics 56 (1): 1–31. https://doi.org/10.1111/j.1467-6451.2008.00330.x
   Web of Science ®Google Scholar
• Rosen, S. 1974. Hedonic Prices and Implicit Markets: Product Differentiation in Pure Competition. Journal of Political Economy 82 (1): 34–55. https://doi.org/10.1086/260169
   Web of Science ®Google Scholar
• San Martin, G. J., J. L. Troncoso, and B. Bernhard. 2008. Determinants of Argentinean Wine Prices in the U.S. Journal of Wine Economics 3 (1): 72–84. https://doi.org/10.1017/S1931436100000560
   Google Scholar
• Slade, M. E. 1998. Beer and the Tie: Did Divestiture of Brewer-Owned Public Houses Lead to Higher Beer Prices? The Economic Journal 108 (448): 565–602. https://doi.org/10.1111/1468-0297.00305
   Web of Science ®Google Scholar
• Slade, M. 2004. Market Power and Joint Dominance in U.K. brewing. Journal of Industrial Economics 52 (1): 133–163. https://doi.org/10.1111/j.0022-1821.2004.00219.x
   Web of Science ®Google Scholar
• Slade, M. 2011. Competition Policy towards Brewing: Rational Response to Market Power or Unwarranted Interference in Efficient Markets?. In Johan F.M. Swinnen (Ed.), The Economics of Beer. NY: Oxford University Press.
   Google Scholar
• Smith, R. A., C. N. McKinney, S. B. Caudill, and F. G. Mixon. Jr., 2016. Consumer Ratings and the Pricing of Experience Goods: Hedonic Regression Analysis of Beer Prices. Agricultural and Food Economics 4 (1): 24. https://doi.org/10.1186/s40100-016-0068-3
   Google Scholar
• Sopranzetti, B. J. 2015. Hedonic Regression Models. In C.-F. Lee and J. Lee (eds.), Handbook of Financial Econometrics and Statistics, NY: Springer.
   Google Scholar
• Stock, J. H., and M. Yogo. 2005. Testing for Weak Instruments in Linear IV Regression. In Identification and Inference for Econometric Models, 80–108. New York: Cambridge University Press.
   Google Scholar
• Taylor, L. O. 2003. The Hedonic Method. In P.A. Champ, K.J. Boyle, and T.C. Brown (Eds), A Primer on Non-Market Valuation. Boston: Kluwer Academic Publishers.
   Google Scholar
• The Brewers of Europe 2019. European Beer Trends - Statistics Report 2019 Edition. Brussels: Belgium.
   Google Scholar
• Thompson, N. J., and K. E. Thompson. 1996. Reasoned Action Theory: An Application to Alcohol-Free Beer. Journal of Marketing Practice: Applied Marketing Science 2 (2): 35–48. https://doi.org/10.1108/EUM0000000000020
   Google Scholar
• Tremblay, V. J. 1985. A Reappraisal of Interpreting Rising Concentration: The Case of Beer. The Journal of Business 58 (4): 419–431. https://doi.org/10.1086/296307
   Google Scholar
• Tremblay, V. J., and C. H. Tremblay. 2005. The U.S. Brewing Industry: Data and Economic Analysis. Cambridge, MA: MIT press.
   Google Scholar
• Van Heerde, H. J. 2017. Non- and Semiparametric Regression Models. In Advanced Methods for Modeling Markets, ed. P.S.H. Leeflang, J.E. Wieringa, T.H.A. Bijmolt, and K.H. Pauwels, 396–408. Cham: Springer.
   Google Scholar
• Verbeek, M. 2017. A Guide to Modern Econometrics, 5th edition, Hoboken, NJ: John Wiley & Sons.
   Google Scholar
• Viscusi, W. K. 1993. The Value of Risk to Life and Health. Journal of Economic Literature 31: 1912–1946.
   Web of Science ®Google Scholar
• Wang, O., X. Gellynck, and W. Verbeke. 2017. Chinese Consumers and European Beer: Associations between Attribute Importance, Socio-Demographics, and Consumption. Appetite 108: 416–424. https://doi.org/10.1016/j.appet.2016.10.029
   PubMed Web of Science ®Google Scholar
• White, H. 1980. A Heteroskedasticity-Consistent Covariance Matrix Estimator and a Direct Test for Heteroskedasticity. Econometrica 48 (4): 817–838. https://doi.org/10.2307/1912934
   Web of Science ®Google Scholar
• Wooldridge, J. M. 2006. Introductory Econometrics: A Modern Approach, 3rd edition. Mason OH:Thomson SouthWestern.
   Google Scholar