Private-Label Share during the Current Economic Slowdown: Investigation from the Czech, Slovak, Hungarian and Polish Markets
Private-Label Share during the Current Economic Slowdown: Investigation from the Czech, Slovak, Hungarian and Polish Markets

Summary/Abstract: This paper investigates whether the current economic slowdown in the four CEE countries was accompanied by strong growth of private-label share as the theory suggests. Unexpectedly, based on the data of Nielsen Retail Measurement Service, we prove that the private-label share grew relatively slowly, although all four countries had large potential for growth of this share. We demonstrate that the key reason behind this development was most probably the massive in-store promotions that were decreasing the price gap between private labels and branded products. Managerial implications of these findings for both manufacturers and retailers within the region are discussed.

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