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Product bundling may benefit or harm consumers dependingon the correlation betweenconsumer willingness to pay for the bundledgoods and the levels of market dominance of firms. We develop astructural demand model that allows for correlatedconsumer's willingness to pay and flexible...
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Product-Service Systems (PSS) enable new value to customers compared to traditional selling of goods, e.g. through new business models such as Performancebased contracting (PBC) and Pay-per-use (PPU). This turns the manufacturer into a service provider, which has to perform maintenance, repair...
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We discuss the effect of pricing strategies by two firms on the total firm revenue, consumer and total welfare using simulation and numerical analysis. We consider pricing decisions for mixed bundling and where each firm offers two closely related products as well as a bundle. Bundling is a key...
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