policies in pricing and learning problems in the absence of product differentiation. Finally, we extend our results to the case …

of the firm's learning on the forward-looking customers. Based on these, we construct and analyze markdown policies that … intuition, we show that forward-looking customers can improve the performance of a learning policy: if the customers are forward …

market (i.e., “learning”) while guarding against an informed bettor's strategic manipulation (i.e., “bluff-proofing”). We … family of policies, called inertial policies, that balance the tradeoff between learning and bluff-proofing. We construct a …

high to ensure complete learning. In competitive situations, however, varying prices provides information to competitors … and may reduce the value of learning. Such situations may arise in the pricing of new products such as pharmaceuticals and … learning so that firms optimally reduce any variation in prices and choose not to learn demand. The result can be that the …