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entry brand, and by improving consumer perception for parts of the platform. In the meantime, flagship entry cannibalizes … the sales of same-brand sellers, while other brands may gain as the buyer base expands on the platform … hurts existing sellers of the entry brand. On average, the effect on consumer welfare is more positive if the flagship entry …
Persistent link: https://www.econbiz.de/10012629459
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...
Persistent link: https://www.econbiz.de/10012458251
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 consumer search and purchasing behavior. We collaborate...
Persistent link: https://www.econbiz.de/10014486191
Data on sales of memory modules are used to explore several aspects of e-retail demand. There is a strong relationship between e-retail sales to a given state and sales tax rates that apply to purchases from online retailers. This suggests that there is substantial substitution between online...
Persistent link: https://www.econbiz.de/10012466426
Over the last 15 years, the typical household has increasingly concentrated its spending on a few preferred products. However, this is not driven by "superstar" products capturing larger market shares. Instead, households increasingly purchase different products from each other. As a result,...
Persistent link: https://www.econbiz.de/10012480080
We examine manufacturers' decisions of whether and how to offer their products for sale over the internet. Manufacturers that rely on promotion of their products by brick and mortar retailers must consider the possibility that internet retailers can free ride off of that promotional effort. This...
Persistent link: https://www.econbiz.de/10012470662
Investments in brand provide one method for vendors to become known and convince potential customers that vendors will … their commitments can serve a similar function and may undermine investments in brand. This study uses a 13-month panel … whether information use undermines brand. We find that individuals who take up using price comparison sites reduce their …
Persistent link: https://www.econbiz.de/10012468755
Online prices are increasingly being used for a variety of inflation measurement and research applications, yet little is know about their relation to prices collected offline, where most retail transactions take place. This paper presents the results of the first large-scale comparison of...
Persistent link: https://www.econbiz.de/10012456533
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 positive effects as it may attract new buyers and serve as a form of brand …
Persistent link: https://www.econbiz.de/10012459486
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