This chapter presents a selective review of a literature in marketing that analyzes diffusion and pricing over the product life-cycle. I primarily focus on empirical work, and on papers that deal with the dynamics of pricing over time. I discuss how recent empirical work has linked outcomes to...

Demand volatility and production lead time oblige manufacturers of made-to-stock goods to use economic forecasts in deciding on production quantities. Manufacturers of finitely durable goods face an additional complication -- in making production decisions, they must consider not only the...

Temporary price promotions, or sales, are common in many markets. Using retail scanner data, I find that manufacturers, not retailers, control the timing of sales, while retailers exercise some control over the magnitude of the price decrease. I also find that observed sale policy is more...

This chapter presents a selective review of a literature in marketing that analyzes diffusion and pricing over the product life-cycle. I primarily focus on empirical work, and on papers that deal with the dynamics of pricing over time. I discuss how recent empirical work has linked outcomes to...