Supply chains today routinely use third parties for many strategic activities, such as manufacturing, R&D, or software development. These activities often include relationship-specific investment on the part of the vendor, while final outcomes can be uncertain. Therefore, writing complete...

We propose a structural model of correlated learning with indirect inference to explain late-mover advantages. Our model focuses on a class of products with the following two features: (i) products which build on a common fundamental technology (e.g., computer processor, car, smartphone, etc.);...

Ad content and viewer attention are strategically intertwined. Consumers watch an ad only if they expect sufficient benefit to doing so and advertisers structure ad content (information and entertainment) to make it attractive for consumer attention. We conceptualize these strategic interactions...

We propose that consumers often make choices that diverge from those of others to ensure that they effectively communicate desired identities. Consistent with this identity-signaling perspective, four studies illustrate that consumers are more likely to diverge from majorities, or members of...

Digital advertising markets are growing and attracting increased scrutiny. This paper explores four market inefficiencies that remain poorly understood: ad effect measurement, frictions between and within advertising channel members, ad blocking and ad fraud. These topics are not unique to...

Addressing directly to consumers has proven one of the most effective solutions to market a product or service development. If the invention of printing allowed an unprecedented increase, hitherto, communication to the masses, need to increase the impact of a promotional message led gradually to...

Search engines stand as the first entry point to internet resources for 70% of users. The results page is therefore an appealing place for advertising in the form of sponsored links also called paid results. Yet little academic knowledge has been developed to understand users’ perceptions and...

A model of new-product adoption is proposed that incorporates price and advertising effects. An optimal control problem that uses the model as its dynamics is solved explicitly to obtain the optimal price and advertising effort over time. The model has a great potential to be used in obtaining...

Direct-to-consumer advertising of pharmaceuticals has led to questions of whether consumers benefit from the additional drug information, or are harmed by being induced to pursue prescriptions that are unnecessary or even dangerous. We conducted an empirical study of the relation between...

Four studies examine the influence of attaching a seemingly insignificant Post-it note to a survey packet on the likelihood of completing the survey. Participants who received a packet with an affixed Post-it note request had significantly higher return rates than participants who received the...