The Tuscan Lifestyles case (Mason 2003) offers a simple twist on the standard view of how to value a newly acquired customer, highlighting how standard retention-based approaches to the calculation of expected CLV are useless in a noncontractual setting. Using the data presented in the case, it...

Under the practice of “digital co-op”, manufacturers subsidize the online advertising expenditures of retailers that they sell their products through, even though retailers typically compete with manufacturers in the advertising market and appropriate a share of the manufacturers' channel...

We study the bidding strategies of vertically differentiated firms that bid for sponsored search advertisement positions for a keyword at a search engine. We explicitly model how consumers navigate and click on sponsored links based on their knowledge and beliefs about firm qualities. Our model...

Negative advertising provides information about the weaknesses of a competitor’s product. We study negative advertising with a focus on how it impacts product positioning for profit-maximizing firms. We build a model of informative advertising competition, where product positioning is...