Why Have Private Labels Been More Successful in Recent Years

question 168

Essay

Why have private labels been more successful in recent years?

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Definitions:

Fat Tails

Refers to the occurrences of extreme movements in stock prices or higher than normal risks in investments, which lead to heavy tails in a probability distribution.

Kurtosis

Measure of the fatness of the tails of a probability distribution. Indicates probability of observing extreme high or low values.

Skewness

A measure of the asymmetry of the probability distribution of a real-valued random variable about its mean.

Tail Risk

Risk of extreme events in the far tail of the probability distribution.