We investigate analytical and empirical properties of the Heteroscedastic Exponomial Choice (HEC) model to lay the groundwork for its use in theoretical and empirical research that build demand models on a discrete choice foundation. The HEC model generalizes the Exponomial Choice (EC) model by...

(1) Problem Definition: An increased incidence of quality issues, resulting in defective product returns (DPRs), is a concern for firms bringing innovative products to market. While a firm can recover value from DPRs through refurbishing, consumers are known to act strategically in anticipation...