Showing 1 - 10 of 24
Persistent link: https://www.econbiz.de/10011477510
We analyze a model of a quality-constrained monopolist's product line decision that encompasses a variety of important examples of second-degree price discrimination, including intertemporal price discrimination, coupons, advance purchase discounts, versioning of information goods, and damaged...
Persistent link: https://www.econbiz.de/10003232481
Explaining why prices do not immediately adjust to business cycles remains one of the most important unresolved questions in macroeconomics. When researchers ask managers for an explanation, their responses reveal a reluctance to vary prices for fear of quot;antagonizing customers.quot; However,...
Persistent link: https://www.econbiz.de/10012723060
We examine how the introduction of digital cinema technologies in the South Korean movie industry created flexibility for theaters in movie showings. Using detailed data on theaters' digital adoption and daily assortment decisions between 2006-16, we show that on average digitization is...
Persistent link: https://www.econbiz.de/10012852220
We show that some customers systematically purchase new products that flop. Their early adoption of a new product is a strong signal that a product will fail - the more they buy, the less likely the product will succeed. These customers, whom we call ‘Harbingers' [of failure], prefer products...
Persistent link: https://www.econbiz.de/10013055918
When a multi-channel retailer opens its first retail store in a state, the firm is obligated to collect sales taxes on all Internet and catalog orders shipped to that state. In this paper, we assess how opening a store affects Internet and catalog demand. We analyze purchase behavior among...
Persistent link: https://www.econbiz.de/10012707851
This study shows that individuals' habits in grocery shopping are incrementally useful in predicting their credit card payment behaviors and that such incremental predictive power can translate into incremental profits for firms. Guided by prior work, we identify five broad grocery shopping...
Persistent link: https://www.econbiz.de/10013217533
In this paper, we provide direct evidence on the behavior of markups in the retail sector across space and time. Markups are measured using gross margins. We consider three levels of aggregation: the retail sector as a whole, the firm level, and the product level. We find that: (1) markups are...
Persistent link: https://www.econbiz.de/10013234951
We use unique price data to study how retailers react to underlying cost changes. Temporary sales account for 95% of price changes in our data. Simple models would, therefore, suggest that temporary sales play a central role in price responses to cost shocks. We find, however, that, in response...
Persistent link: https://www.econbiz.de/10013077225
We study how the opening of a factory store impacts a retailer's demand in its other channels. It is possible that a factory store may damage a retailer's brand image and lead to substitution away from its higher quality core channels. Alternatively, the opening of a factory store may have...
Persistent link: https://www.econbiz.de/10013063594