We analyze the strategic behavior of firms when demand is determined by a rule of thumb behavior of consumers. We … assume consumer dynamics where individual consumers follow simple behavioral decision rules governed by imitation and habit …

Learning models extend the traditional discrete choice framework by postulating that consumers have incomplete …

A monopolist uses prices as an instrument to influence consumers' belief about the unknown quality of its product …. Consumers observe prices and sales in earlier periods to learn about the product. Every period they decide whether to consume … faces consumers that can delay their purchase decision versus when they can't …