Advertising in Vertical Relationships: An Equilibrium Model of the Automobile Industry

Abstract

I model consumer demand for new cars, and pricing and advertising decisions of automobile manufacturers and dealers. I estimate the model with detailed car transaction and local advertising data, and I recover consumer preferences and firm surplus. On the demand side, the consumer purchase decision depends on the distance between dealers and consumers and advertising spending by both dealers and manufacturers. On the supply side, both dealers and manufacturers make a price

Auto Dealer Loan Intermediation: Consumer Behavior and Competitive Effects

“…This paper also contributes more broadly to the literatures on auto markets. While dealer revenues from auto-loan intermediation are substantial (Davis, 2012), the literature on competition in auto markets has largely abstracted from dealer loan intermediation and the implied joint pricing of cars and loans (Berry et al, 1995, Morton et al, 2001, 2003, Gavazza et al, 2014, Nurski and Verboven, 2016, Murry, 2017, Biglaiser et al, 2019. 5 We complement these studies by accounting for the strategic considerations that arise from the joint pricing of cars and car loans.…”

“…He finds that buyers are more elastic to distance with estimated elasticities ranging from −1.1 to −1.8. This might be a result of a different subset of markets thatMurry (2017) focuses on.…”

How and When to Use the Political Cycle to Identify Advertising Effects

“…Dealers and manufacturers spent an estimated $51 billion literature (e.g. Murry [2017]). Anecdotal evidence from the popular press suggests that political advertising is particularly relevant for car dealerships, so we interpret this case study as a near ideal case for the theory of the identification strategy.…”

Prediksi Waktu Kedatangan Pelanggan Servis Kendaraan Bermotor Berdasarkan Data Historis menggunakan Support Vector Machine

“…Hasil menunjukkan bahwa, dengan pemilihan metode yang tepat, SVM dapat memprediksi waktu kedatangan pelanggan dengan tingkat akurasi mencapai 92.5% berdasarkan validasi K-Fold crossvalidation pada data latih dan mencapai rata-rata 97.33% untuk pengukuran nilai presisi, akurasi dan recall pada data uji Kata kunci-Support Vector, SVM, Klasifikasi, Prediksi, Hyperplane, Kedatangan Pelanggan I. PENDAHULUAN Authorized dealer kendaraan adalah perusahaan yang berperan sebagai mitra distributor kendaraan dari produsen ke konsumen atau yang disebut sebagai agen penjualan. Inti bisnis dari dealer kendaraan selain jual-beli kendaraan dan suku cadang, juga melayani jasa servis berupa perawatan dan perbaikan kendaraan [1]. Jasa servis memberikan keuntungan yang besar bagi dealer kendaraan dikarenakan perawatan kendaraan perlu dilakukan secara rutin agar kondisi kendaraan selalu prima.…”