The Advertising Budget's Determinants in a Market with Two Competing Firms
通过计算机模拟研究双寡头市场中广告预算规模的决定因素，发现固定生产成本不影响支出，而可变成本、广告效果、滞后系数等有显著影响，适合关注广告竞争策略的研究者。
This is an exploratory study of the determinants of the size of the advertising budget in duopolistic competition. The model is a computer simulation that embodies learning, a multipenod decision horizon, brand loyalty, and other basic features of competitive reality in a two firm market. Theoretical propositions are derived based on the postulated model. These include: Fixed production cost does not affect expenditures. Variable production cost is inversely related to expenditures. An increase in immediate advertising effectiveness increases expenditures. An increase in the lag coefficient increases expenditures. The greater the share-change coefficient, the greater are the expenditures. Initial expenditure levels have a strong effect on later levels. And the initial competition-reaction expectations have a strong effect at first, which later diminishes as firms learn how competitors behave.