Daily-deal platforms have been in the spotlight in recent years. Originated from the group-buying selling strategy, these platforms have now shifted toward a business model that combines deep discount and advertising. We analyze the structure of daily-deal platforms from the two-sided market...

We develop a formal model to investigate the implications of bounded rationality for the origin and structure of loss aversion and optimism in marketplaces. Based on Simon's original description, we explicitly model bounded rationality as a decision mechanism that captures incomplete...