We consider a revenue-maximizing seller who, before proposing a mechanism to sell herobject(s), observes a vector of signals correlated with buyersiacute;valuations. Each buyer knows only the signal that the seller observes about him, but not the signals she observes about other buyers. The...

We study a simultaneous move game of targeted advertising and pricing in a market with various consumer segments. In this setting we explore the implications of market segmentation on firm competitiveness. If firms are unable to target their ads on different consumer segments, a unique...

We present a strategic game of pricing and targeted-advertising. Firms can simultaneously target price advertisements to different groups of customers, or to the entire market. Pure strategy equilibria do not exist and thus market segmentation cannot occur surely. Equilibria exhibit random...