Large sunk costs of development, negligible costs of reproduction, and distribution resulting in economies of scale distinguish information goods from physical goods. Versioning is a way firms may take advantage of these properties. However, in a baseline model where consumers differ in their...

The review systems of online platforms create a stream of online word-of-mouth that allows consumers to learn from others' purchasing experience. However, it is difficult for consumers to discern the authenticity of a review or the reviewer's level of experience with the product. Platforms can...

Consumer ratings play a decisive role in purchases by online shoppers. Although the effect of the average and the number of consumer ratings on future product pricing and demand have been studied with some conclusive results, the effects of the variance of these ratings are less well understood....

Empirical studies have delivered mixed conclusions on whether the widely acclaimed assertions of lower electronic retail (e-tail) prices are true and to what extent these prices impact conventional retail prices, profits, and consumer welfare. For goods that require little in-person pre- or...

We study a two-echelon supply chain network consisting of manufacturers and retailers facing customers that differ in their price- and time-sensitivity. We examine how many price/lead time options should be provided by manufacturers and retailers under decentralized and centralized supply chain...