Analysis of Quality Crisis and Recovery Model of Regional Brand Market
Because of the different influencing factors, the defective market of regional brand would be contrary to Akerlof adverse selection model, it will still exist. Therefore, this paper establishes the consumer incentive model and local government regulation model. Models shows: Defective market will gradually revert to genuine market by raising prices, improving product information penetration, increasing penalties and reducing inspection costs. Using the adulteration scandal about Wuchang "rice flower" as a case sample enhances the credibility of theoretical research findings.
Dongye Sun, Wen-Pei Sung and Ran Chen
G. J. Tong and W. Wang, "Analysis of Quality Crisis and Recovery Model of Regional Brand Market", Applied Mechanics and Materials, Vols. 121-126, pp. 1352-1357, 2012