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Search frictions can explain why the "law of one price" fails in retail markets and why even firms selling commodity … products have pricing power. In online commerce, physical search costs are low, yet price dispersion is common. We use browsing … data from eBay to estimate a model of consumer search and price competition when retailers offer homogeneous goods. We find …
Persistent link: https://www.econbiz.de/10012458251
consumer search and purchasing behavior. We collaborate with one of the largest e-commerce platforms in China and study its …Despite substantial efforts to help consumers search in more intuitive ways, text search remains the predominant tool … for product discovery online. In this paper, we explore the effects of visual and textual cues for search refinement on …
Persistent link: https://www.econbiz.de/10014486191
New data-gathering techniques, often referred to as "Big Data" have the potential to improve statistics and empirical research in economics. In this paper we describe our work with online data at the Billion Prices Project at MIT and discuss key lessons for both inflation measurement and some...
Persistent link: https://www.econbiz.de/10012456563
Platform marketplaces can potentially steer buyers to certain sellers by recommending or guaranteeing those sellers. Money-back guarantees--which create a direct financial stake for the platform in seller performance--might be particularly effective at steering, as they align buyer and platform...
Persistent link: https://www.econbiz.de/10012479867
Regulators around the world are discussing, or taking action to limit, self-preferencing by large platforms. This paper … explores Amazon's search rankings of its own products as the European Union's Digital Markets Act (DMA) was coming into effect …. Using data on over 8 million Amazon search results at 22 Amazon domains in the US, Europe, and elsewhere, I document three …
Persistent link: https://www.econbiz.de/10014528339
and platforms' investments in data infrastructure. Data improves service quality, causing a feedback loop that tends to … other users, (ii) market concentration, and (iii) platforms' incentives to invest in data infrastructure, causing …
Persistent link: https://www.econbiz.de/10013537775
attributes that make products appear more attractive than they are. AI tools enable platforms to learn glossiness and engage in …
Persistent link: https://www.econbiz.de/10014437003
) in search. To address this question, we collect new micro-level consumer search data using a custom browser extension … installed by a panel of study participants. Using this methodology, we observe search positions, search behavior, and product … characteristics. We find that Amazon branded products are indeed ranked higher than observably similar products in consumer search …
Persistent link: https://www.econbiz.de/10013537786
We develop and estimate a model of consumer search with spatial learning. Consumers make inferences from previously … searched objects to unsearched objects that are nearby in attribute space, generating path dependence in search sequences. The … estimated model rationalizes patterns in data on online consumer search paths: search tends to converge to the chosen product in …
Persistent link: https://www.econbiz.de/10014372454
For some kinds of goods, rarity itself is valued. "Fashionable'" goods are demanded in part because they are unique. In this paper, we explore the economics of rare goods using auctions of limited-edition shoes held by an e-commerce platform. We model endogenous entry and bidding in multi-unit...
Persistent link: https://www.econbiz.de/10013362005