Pricing and product line strategies based on versioning and introducing successive generations are widely used by software manufacturers. Such product release and renewal strategies, which aim to expand market share and implement more e¤ective price discrimination, also expose …rms to the risk of cannibalization of their higher quality products by lower quality versions, and of current generati...

We use a novel framework that integrates standard asset pricing and microstructure models to study how asymmetric information, imperfect competition among market makers, and risk aversion affect equilibrium illiquidity and asset pricing. All the main results are obtained in closed-form. In our model, market power, asymmetric information, and market-making cost drive market illiquidity. This mod...

In this paper we compare Nash equilibria analysis and agent-based modelling for assessing the market dynamics of network-constrained pool markets. Power suppliers submit their bids to the market place in order to maximize their payoffs, where we apply reinforcement learning as a behavioral agent model. The market clearing mechanism is based on the locational marginal pricing scheme. Simulations...

The Internet has transformed the nature of business-to-consumer transaction-making practices in many industries. Sellers now attract customers with innovative Internet-based selling mechanisms that can reveal or conceal market information. We define market transparency as a design dimension for Internetbased selling that involves firm choices about the level of availability and accessibility of...

Modern genetics has shown the power of modifying microbes, from viruses to bacteria to algae, to produce desirable agricultural products. Nevertheless, gene additions or modification have led to relatively few products in the marketplace due partly to costs of regulation, but also to the challenges of production, delivery and application. Some products with gene loss have been marketed, notably...

Increased use of the Internet for the distribution of digital products allows firms to embrace new business models. These models provide higher levels of product customization. In search of a better match between products and consumers’ willingness to pay, many online and mobile content providers have recently started to add new charging methods to their existing pricing strategies. Currently, ...

This study presents an optimal framework for the operation of integrated energy systems using demand response programs. The main goal of integrated energy systems is to optimally supply various demands using different energy carriers such as electricity, heating, and cooling. Considering the power market price, this work investigates the effects of multiple energy storage devices and demand res...

In this paper, a three-echelon supply chain , including two producers, distributor and retailer who produce products in different brands have been considered. Any manufacturer, has a separate channel and the exclusive retailer offers their products, which have been prepared from the distributor (exclusive market) with discount or other manufacturer. In this paper pricing decisions on substitute...

We present a game-theoretic treatment of distributed power control in CDMA wireless systems. We make use of the conceptual framework of noncooperative game theory to obtain a distributed and market-based control mechanism. Thus, we address not only the power control problem, but also pricing and allocation of a single resource among several users. A cost function is introduced as the difference...

This paper investigates the incentives of firms to produce compatible products in a market where consumers’ choice among brands depends on the availability of complementary services supporting the individual brands. We analyze a computer industry in which consumers treat computers and computer specific software as complementary products. Our main result shows that, despite the fact that a compu...