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Comments on Competitive Responsiveness

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  • Steven M. Shugan

    (Warrington College of Business, University of Florida, 201 Bryan Hall, Box 117155, Gainesville, Florida 32611-7155)

Abstract

features many and diverse articles that analyze competitive responsiveness. Although recent editorials (e.g., Shugan 2002) suggest that competitive responsiveness is only a part of a comprehensive competitive marketing strategy, it remains a vital part. For that reason and many others, is particularly proud of this special issue edited by David J. Reibstein and Dick R. Wittink. Before introducing and vigorously applauding both the editors and authors of this excellent special issue, we emphasize that competitive responsiveness raises numerous issues, including whether one can forecast outcomes of new policies based on past observations made under old policies (i.e., the Lucas critique) and decisions regarding which variables should be considered endogenous (Shugan 2004), i.e., determined within the model. Perhaps, normative models are inherently perishable—evolution in market structure requires modifications over time. Also, although complete consistency within the world of the model is aesthetically pleasing, imposing industry-specific exogenous constraints (that might appear unrelated to the modeling assumptions) is sometimes necessary.

Suggested Citation

  • Steven M. Shugan, 2005. "Comments on Competitive Responsiveness," Marketing Science, INFORMS, vol. 24(1), pages 3-7.
  • Handle: RePEc:inm:ormksc:v:24:y:2005:i:1:p:3-7
    DOI: 10.1287/mksc.1040.0114
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    1. Martín-Herrán, Guiomar & McQuitty, Shaun & Sigué, Simon Pierre, 2012. "Offensive versus defensive marketing: What is the optimal spending allocation?," International Journal of Research in Marketing, Elsevier, vol. 29(2), pages 210-219.
    2. John R. Hauser & Steven M. Shugan, 2008. "Commentary—Defensive Marketing Strategies," Marketing Science, INFORMS, vol. 27(1), pages 85-87, 01-02.
    3. Steven M. Shugan, 2009. "—Relevancy Is Robust Prediction, Not Alleged Realism," Marketing Science, INFORMS, vol. 28(5), pages 991-998, 09-10.
    4. Harald Van Heerde & Kristiaan Helsen & Marnik G. Dekimpe, 2007. "The Impact of a Product-Harm Crisis on Marketing Effectiveness," Marketing Science, INFORMS, vol. 26(2), pages 230-245, 03-04.

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