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Traditionally, the value of a product has been assessed according to the direct revenues the product creates. However, products do not exist in isolation but rather influence one another's sales. Such influence is especially evident in eCommerce environments, where products are often presented...
Persistent link: https://www.econbiz.de/10013118580
Traditionally, the value of a product has been assessed according to the direct revenues the product creates. However, products do not exist in isolation but rather influence one another's sales. Such influence is especially evident in eCommerce environments, where products are often presented...
Persistent link: https://www.econbiz.de/10013121666
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Nonlinear usage-based pricing is applied extensively to price software products. Different from other products, software customers often cannot vary their required usage volume, a property we label local demand inelasticity. For instance, a client firm that needs a salesforce automation software...
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A number of technology products display positive network effects, and are used invariable quantities by heterogeneous customers. Examples include operating systems, infrastructureand back-end software, web services and networking equipment. This paper studies optimalnonlinear pricing for such...
Persistent link: https://www.econbiz.de/10012766085
A number of products that display positive network effects are used in variable quantities by heterogeneous customers. Examples include corporate operating systems, infrastructure software, web services and networking equipment. In many of these contexts, the magnitude of network effects are...
Persistent link: https://www.econbiz.de/10012769258