Effect of a sustainable firm’s entry on customer channel choices and existing retailers' market shares
Hans Sebastian Heese1, Eda Kemahlioglu-Ziya1, Olga Perdikaki2
1NC State University, United States of America; 2University of South Carolina, United States of America
New sustainability-marketed firms have emerged in the grocery and consumer packaged goods categories responding to consumers’ rising preferences for sustainable products. Motivated by this trend in the retail industry, we study how the entry of a new firm that sells an assortment of sustainable consumer goods affects the consumers’ channel choices and the existing retailers’ market shares in two different types of product offerings -- packaged and fresh goods.