Young, Andrew T.; Levy, Daniel - Department of Economics, Bar Ilan University - 2013
Coca-Cola. Since implicit contracts are unobservable, we adopt a narrative approach to demonstrate that the Coca … implicit contract promised a 6.5oz Coca-Cola of a constant quality, the “secret formula,” at a constant price, 5¢. We show that … Coca-Cola attributes and market structure made it a suitable candidate for an implicit contract. Focusing on the observable …