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Two commonly used pricing models in the supplier-retailer setting are the agency pricing model and the wholesale pricing model. In the agency pricing model, the supplier sets the price, whereas in the wholesale pricing model, the price is set by the retailer. In this paper, we focus on the...
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Refurbishing of used products is increasingly being recognized as a value recovery strategy in sustainable operations. Both manufacturers and retailers engage in refurbishing. Manufacturers, to some extent, can deter other players from refurbishing through various means such as product design,...
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Customers often evaluate products at brick-and-mortar stores to identify their “best fit” product but buy it for a lower price at a competing online retailer. This free-riding behavior by customers is referred to as “showrooming” and we show that this is detrimental to the profits of the...
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Different mechanisms through which easier access to physical stores could affect customers’ online purchase behavior are not well understood in the literature. We use customer-level data of a large apparel retailer to estimate the treatment effect of store openings on the online purchase...
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We consider advertising problems under an IT capacity constraint encountered by electronic retailers in a duopolistic setting. While there is a considerable amount of literature on advertising games between firms, introducing an IT capacity constraint fundamentally changes this problem. In the...
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