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All-units discounts in retail contracts refer to discounts that lower a retailer's wholesale price on every unit purchased when the retailer's purchases equal or exceed some quantity threshold. These discounts pose a challenge to economic theory because it is difficult to understand why a...
Persistent link: https://www.econbiz.de/10014028993
Inducing self-selection among different segments of consumers is an important issue in pricing. Some firms induce self-selection by offering a menu of two-part tariffs (e.g., different rate plans) and letting consumers select the tariff and quantity they prefer. Other firms induce self-selection...
Persistent link: https://www.econbiz.de/10014075444
Given the widespread adoption of low-price guarantees and discussion of their anti-competitive effects in the theoretical literature, it is unfortunate that there is little empirical evidence available on the subject. This chapter analyzes the effects of low-price guarantees on advertised tire...
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This paper proposes a new approach of fighting collusion in tournaments which sheds light on the principle of divide and conquer: the principal can benefit from manipulating information revelation, by which he brings asymmetric information between the agents and thus creates a distortion of...
Persistent link: https://www.econbiz.de/10015260577
This paper brings a new point of view into the theory of collusion-proof mechanism design, which highlights the principle of divide and conquer. We relax the restriction of publicly enforced grand contract in the framework of Laffont-Martimort-Itoh, which allows us to incorporate the approach of...
Persistent link: https://www.econbiz.de/10015260623
We study a duopoly model where each firm chooses personalized prices for its targeted consumers, who can be active or passive in identity management. Active consumers can bypass price discrimination and have access to the price offered to non-targeted consumers, which passive consumers cannot....
Persistent link: https://www.econbiz.de/10012013635
Recent years have seen growing cases of data-driven tech mergers such as Google/Fitbit, inwhich a dominant digital platform acquires a relatively small rm possessing a large volumeof consumer data. The digital platform can consolidate the consumer data with its existingdata set from other...
Persistent link: https://www.econbiz.de/10012544000
Purpose: The purpose of this paper is to explore the influence of subsidiary autonomy on subsidiary performance under uncertainty. Based on previous studies, the authors classify subsidiary autonomy into two categories, namely, strategic autonomy and operational autonomy, and investigate the...
Persistent link: https://www.econbiz.de/10012078639