We build a model to analyze the cost (wholesale price) pass-through incentives of a retailer selling two products. The products, `leader' and `follower,' are such that the leader's price affects the follower's demand, but not vice versa. These products could be in different categories, such as a...

We show that bundling and advance selling are equivalent when the consumers and the seller agree on the probability of each possible state of nature occurring and are risk-neutral, and when the seller can pre-commit to spot prices to be charged after the uncertainty about the state of nature is...