When do Co‐located Firms Selling Identical Products Thrive?*

How Do Firms Make Money Selling Digital Goods Online?

We review research on revenue models used by online firms who offer digital goods. Such goods are nonrival, have near zero marginal cost of production and distribution, low marginal cost of consumer search and low transaction costs. Additionally, firms can easily observe and measure consumer behavior. We start by asking what consumers can offer in exchange for digital goods. We suggest that con...

Limiting Price Discrimination when Selling Products with Positive Network Externalities

Assume a seller wants to sell a digital product in a social network where a buyer’s valuation of the item has positive network externalities from her neighbors that already have the item. The goal of the seller is to maximize his revenue. Previous work on this problem [9] studies the case where clients are offered the item in sequence and have to pay personalized prices. This is highly infeasib...

Selling Information to Competitive Firms∗

Internal agency conflicts distort firms’ choices and reduce social welfare. To limit these distortions, principals dealing with privately informed agents often acquire information from specialized intermediaries, such as auditing and certification companies, that are able to ascertain, and credibly disclose, agents’private information. We study how the structures of both the information provisi...

Are Biosimilars Identical to the Reference Products?

Are Biosimilars Identical to the Reference Products?