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Student
Title
Supervisor
Faculty
Educational Programme
Final Grade
Year of Graduation
Denis Prokopev
The Impact of Trade-Marketing Activities on Demand: Low-Alcohol Beverages Market
2017
Even in spite of ever so strict prohibitions in regards to TV-commercials of low-alcohol drinks, trade-marketing managed to prove itself as the most effective and accessible tool of product promotion. That being said, it is the trade-marketing that helps to properly maintain and further advance and strengthen one’s company positions in economic realm of a gradually shrinking beer market.

The research paper incorporates an analysis of impact trade-marketing makes on consumer demand. The analysis has been carried out by implementation of panel data models through a use of instrumental variables. Not only does this kind of model allow for more consideration towards differences and discrepancies among brands, it also makes it possible to overcome every limitation put on by factors’ endogeneity. The research has been conducted using regressor lags.

As a result of a test performed on fixed effects models, no distinctive differences were found in to what implications every Baltica brand has on trade-marketing’s influence on consumer demand.

A hypothesis on possible implications of following set of factors on consumer demand has been positively confirmed: change in the brand price; active brand discount; a number of retail chains selling products of a particular brand; total activity budget; the average monthly income of the population.

It became clear throughout the research that non-alcoholic drinks differ from low-alcohol drinks and beer brands in general in terms of how exactly impact of trade marketing on consumer demand is achieved/what ways are used to achieve impact of trade marketing on consumer demand.

A scientific approach presented in the paper will prove itself useful an instrument which application will found in decision-making process in retail sales management.

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