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Suppose that consumers incur fixed shopping costs and choose stores according to advertised discounts. Then, the extent to which a store will discount advertised items should increase with the profit from other regularly-priced items. Bookstores customarily advertise discounts on bestsellers....
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higher online spending share is associated with higher price flexibility, smaller price changes, less prevalent sales, and … lower price dispersion within narrow categories of goods. I conjecture that online shopping makes it easier for consumers to …
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. However, it is not clear whether these costs soften or exacerbate price competition. Using a large database of gas stations …' prices in the Italian market, we study fuel prices in early and late periods of loyalty programs: the sharp price changes … conclusive, as our data cannot exclude other factors explaining the price reduction. We discuss implications for managers and …
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dispersion of price changes in eight retail chains in Mexico, and compare them with price statistics stemming from brick and …) change more frequently than those observed on websites (online). However, given a price change, online prices tend to exhibit … larger price changes than their offline counterparts. In 2020, period affected by the pandemic, the above relationship across …
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