Name File Type Size Last Modified
  pnp_replication_sullivan 08/28/2020 07:30:PM

Project Citation: 

Sullivan, Christopher. Data and code for: Split Apart: Differentiation, Diversion, and Coordination in the Market for Superpremium Ice Cream. Nashville, TN: American Economic Association [publisher], 2020. Ann Arbor, MI: Inter-university Consortium for Political and Social Research [distributor], 2020-09-14. https://doi.org/10.3886/E120840V1

Project Description

Summary:  View help for Summary I explore recent behavior in the market for superpremium ice cream. I first document that the flavors offered in supermarkets by Ben & Jerry's and Haagen-Dazs became increasingly differentiated from 2006–2013. Using an estimated model of demand, I show that this differentiation increased profits for both firms. Also, unilateral deviation from the set of products offered in 2013 would have increased variable profits for the deviating firm. These facts, when coupled with anecdotal evidence, suggest that these firms tacitly coordinated their choice of flavors. A companion piece, Sullivan (2019), formalizes this result and quantifies the implications for outcomes and welfare.

Scope of Project

JEL Classification:  View help for JEL Classification
      D22 Firm Behavior: Empirical Analysis
      L25 Firm Performance: Size, Diversification, and Scope
      L66 Food; Beverages; Cosmetics; Tobacco; Wine and Spirits
      L81 Retail and Wholesale Trade; e-Commerce


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