Behavior-Based Price Discrimination and Product Choice
نویسندگان
چکیده
منابع مشابه
Behavior-Based Price Discrimination and Customer Recognition*
When firms are able to recognize their previous customers, they may be able to use their information about the consumers’ past purchases to offer different prices and/or products to consumers with different purchase histories. This article surveys the literature on this “behavior-based price discrimination.” *Forthcoming in the Handbook on Economics and Information Systems, Elsevier. We thank M...
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This paper is a rst step in investigating the competitive and welfare e¤ects of behavior-based price discrimination (BBPD) in markets where rms have information to employ retention strategies as an attempt to avoid the switching of their clientele to a competitor. We focus on retention activity in the form of a discount o¤ered to a consumer expressing an intention to switch. When retention st...
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We study the effect of price salience on product choice along two dimensions: whether a good is purchased and, conditional on purchase, the kind of good purchased. Consistent with our theoretical predictions, we find that making the full purchase price salient to consumers reduces both the quality and quantity of goods purchased. The effect of salience on quality is comparable in size to the ef...
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The existing literaturewhich analyses the relationship between the product differentiation degree and the sustainability of a collusive agreement on price assumes that firms cannot price discriminate, and concludes that there is a negative relationship between the product differentiation degree and the critical discount factor. This paper, in contrast, assumes that firms are able to price discr...
متن کاملBehavior - based price discrimination by a patient seller
We investigate a model in which one seller and one buyer trade in each of two periods. The buyer has demand for one unit of a non-durable object per period. The buyer’s reservation value for the good is private information and is the same in both periods. The seller commits to prices in each of two periods. Prices in the second period may depend on the buyer’s first-period behavior. Unlike the ...
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ژورنال
عنوان ژورنال: SSRN Electronic Journal
سال: 2020
ISSN: 1556-5068
DOI: 10.2139/ssrn.3551834