A retail market in which customers repeat purchase is considered. Customers are influenced not only by the price set by the firm, but by their level of disenchantment. Disenchantment measures the degree of customer disaffection in the customer-firm relationship. Changes in price lead to...

This paper considers the efficient use of a natural resource in which increased recreational use results in increased degradation. Users treat degradation as an external cost, and do not take it into account in their choice of use.