characteristics and more concerned about hidden quality characteristics. Online retailers rely more on advertising than traditional …. Advertising and revenue data for the online book market reveal that consumers respond to advertising rather than low prices. As … the market increases, advertising costs escalate and there is no new entry. Advertising to sales ratios and market …

vertical product differentiation,incomplete consumer awareness, and perfect information exchange between retailers.Advertising … and revenue data for the online book market reveal that consumers respondto advertising rather than low prices. As the … market increases, advertising costs escalateand there is no new entry. Advertising to sales ratios and market concentration …

The last decades have seen large improvements in digital advertising technology that allowed firms to better target … specific consumer tastes. This research studies the relationship among digital advertising, the rise of varieties, and economic … welfare. We develop a model of advertising and varieties where firms choose the intensity of digital ads directed at specific …

newspapers in that costs of news production are recouped via advertising. We build a stylized model that rationalizes these facts … forcing the business model of the internet to be advertising-based. For the most likely cases, our model would imply that the …