Lam, H. Y. T. and Doukas, A. J. and Guo, M. and Xiao, S. (2016) 'Media endorsements of new product announcements : a new marketing strategy.', European financial management., 22 (3). pp. 394-426.
This paper examines whether investors' decisions are influenced by the word content of newspaper reports of new product announcements. Using textual analysis we find that announcements of new products covered by financial newspapers with positive word content earn significant abnormal returns. These returns are 270 basis points higher than new products without positive word coverage, and such announcements bring negative impact to their rival firms' value. Our results suggest that the market reacts to the linguistic content of the new product announcement rather than to the announcement itself.
|Keywords:||Product launch, Event study, Media sentiment, Textual analysis, Industry rivals.|
|Full text:||(AM) Accepted Manuscript|
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|Publisher Web site:||http://dx.doi.org/10.1111/eufm.12057|
|Publisher statement:||This is the accepted version of the following article: Lam, H. Y. T., Doukas, A. J., Guo, J. and Xiao, S. (2016), Media Endorsements of New Product Announcements: A New Marketing Strategy. European Financial Management, 22(3): 394-426, which has been published in final form at http://dx.doi.org/10.1111/eufm.12057. This article may be used for non-commercial purposes in accordance With Wiley Terms and Conditions for self-archiving.|
|Record Created:||11 Dec 2014 16:50|
|Last Modified:||01 Jan 2017 00:41|
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