Li, Hongmin; Huh, Woonghee Tim - In: Manufacturing & Service Operations Management 13 (2011) 4, pp. 549-563
We consider the problem of pricing multiple differentiated products with the nested logit model and, as a special case, the multinomial logit model. We prove that concavity of the total profit function with respect to market share holds even when price sensitivity may vary with products. We use...