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A Deeper Look at the Economics of Advertiser Support for Television: The Implications of Consumption-Differentiated Viewers and Ad Addressability
Unformatted Document Text:  32 Table 3 Market Feasibility Conditions Program Type 1 2 Market Feasibility Condition LH RH β L > αβ R 1 − α RH RH αβ R 1 − α > β L > αβ R 1 − α + 1 − 2 α 1 − α RH LH αβ R 1 − α + 1 − 2 α 1 − α > β L Type of Product Advertised LH LH αβ R 1 − α + 1 − 2 α 1 − α > β L > αβ R 1 − α Table 4 Feasibility Conditions and Per Viewer Revenue Ratios as Functions of E R Program Type 1 2 Feasibility Condition PVRR LH RH γ 2 α > β R γ − αβ R α 1 − β R ( ) RH RH 2 α + γ − 1 2 α > β R > γ 2 α β R 1 − β R Type of Product Advertised RH LH β R > 2 α + γ − 1 2 α αβ R 1 − α − γ + αβ R

Authors: Kim, Eun-mee. and Wildman, Steven.
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32
Table 3
Market Feasibility Conditions
Program Type
1
2
Market Feasibility Condition
LH RH
β
L
> αβ
R
1
α
RH RH
αβ
R
1
α
>
β
L
> αβ
R
1
α
+
1
2
α
1
α
RH LH
αβ
R
1
α
+
1
2
α
1
α
>
β
L
Type
of
Product
Advertised
LH LH
αβ
R
1
α
+
1
2
α
1
α
>
β
L
> αβ
R
1
α
Table 4
Feasibility Conditions and Per Viewer Revenue Ratios as Functions of
E
R
Program Type
1
2
Feasibility Condition
PVRR
LH RH
γ
2
α
>
β
R
γ
αβ
R
α
1
β
R
(
)
RH RH
2
α + γ −
1
2
α
>
β
R
> γ
2
α
β
R
1
β
R
Type
of
Product
Advertised
RH LH
β
R
>
2
α + γ −
1
2
α
αβ
R
1
α − γ + αβ
R


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