Digital technology is the representation of information in bits, reducing the costs of collecting, storing, and parsing customer data. This has led to a reduction of five costs: Search costs, replication costs, transportation costs, tracking costs, and verification costs. In this article, we...

We use evidence from store openings by a bricks-and-clicks retailer to examine the drivers of substitution and complementarity between online and offline retail channels. Our evidence supports the coexistence of substitution across channels and complementarity in demand. In places where the...

We review research on revenue models used by online firms who offer digital goods. Such goods are nonrival, have near zero marginal cost of production and distribution, low marginal cost of consumer search and low transaction costs. Additionally, firms can easily observe and measure consumer...

We empirically examine the trade-off between the benefits of buying online and the benefits of buying in a local retail store. How does a consumer's physical location shape the relative benefits of buying from the online world? We explore this problem using data from Amazon on the top selling...

It is not surprising that the financing of early-stage creative projects and ventures is typically geographically localized since these types of funding decisions are usually predicated on personal relationships and due diligence requiring face-to-face interactions in response to high levels of...