The Market for High-Quality Medicine: Retail Chain Entry and Drug Quality in India

被引：14

作者：

Bennett, Daniel ^{[1
]}

Yin, Wesley ^{[2
]}

机构：

[1] Univ Southern Calif, Los Angeles, CA 90089 USA

[2] Univ Calif Los Angeles, Los Angeles, CA 90024 USA

来源：

REVIEW OF ECONOMICS AND STATISTICS | 2019年 / 101卷 / 01期

关键词：

MONOPOLISTIC COMPETITION; PRODUCT QUALITY; PRICE; INFORMATION; INFERENCE; ATTITUDES; SELECTION;

D O I：

10.1162/rest_a_00758

中图分类号：

F [经济];

学科分类号：

02 ;

摘要：

This study examines the effect of chain store entry on drug quality and prices in India. In contrast to prevailing mom-and-pop pharmacies, chains exploit scale economies in distribution and signaling to offer high-quality drugs at lower cost. We show that chain entry leads to a 5% improvement in drug quality and a 2% decrease in prices at incumbent retailers. Effects are larger for locally distributed drug brands but do not depend on consumer SES. Our findings suggest that in markets with asymmetric information, organizational technologies such as chains can play an important role translating market expansion into higher quality.

引用

页码：76 / 90

页数：15

共 65 条

[1] Selection on observed and unobserved variables: Assessing the effectiveness of Catholic schools [J].