Science and technology advances drive firms to continually enhance their product’s performance and launch sequentially improving offerings. Firms face challenges in marketing such improving products to well informed, forward-looking consumers who anticipate product improvements and seek to...

Firms in several industries, such as medicine, apparel, and publishing, must jointly determine the price and production quantity of their products well in advance of the selling season. Normative prescriptions to solve this problem have generally ignored behavioral aspects of decision making...