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In persuasion problems where the receiver's action is one-dimensional and his utility is single-peaked, optimal signals are characterized by duality, based on a first-order approach to the receiver's problem. A signal is optimal if and only if the induced joint distribution over states and...
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reselling or agency selling. Three game-theoretic models in which price and advertising decisions affect consumer demand are … analyzed. Contrary to common belief about agency selling, we demonstrate that when manufacturer advertising greatly influences … demand, reselling is the only feasible business model. Agency selling should be considered only when manufacturer advertising …
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centre of a Hotelling line. Finally, we provide three applications of our results to monopoly advertising under a uniform …
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