LECTURE 8: EMPIRICAL STUDIES OF ADVERTISING. AEM 4550: Economics of Advertising Prof. Jura Liaukonyte. 1964. 1970. Cigarette Advertising on TV. All US tobacco companies advertised heavily on TV Surgeon General issues official warning Cigarette smoking may be hazardous
AEM 4550:Economics of AdvertisingProf. Jura Liaukonyte
1970Cigarette Advertising on TV
If you are advising Reynolds, what strategy do you recommend?
Advertise is strictly dominant forReynoldsif:
If you have a dominant strategy, use it.
Expect your opponent to use her dominant strategy if she has one.
NETWORKS SELL THEIR TIME IN 3 STAGES:
The Upfront Market
The Scatter Market
The Opportunistic Market