Loginova, Oksana; Wang, X. Hnery; Zeng, Chenhang - Economics Department, University of Missouri - 2012
divide consumers into two groups, experienced and inexperienced. Experienced consumers know their valuations of the product … in advance. The presence of experienced consumers yields new insights. Specifically, pre-orders from experienced … consumers lead to a more precise forecast of future demand by the firm. We show that the firm will always adopt advance selling …