Should a firm charge on a per-use basis or sell subscriptions when its service experiences congestion? Queueing-based models of pricing primarily focus on charging a fee per use for the service, in part because per-use pricing enables the firm to regulate congestion — raising the per-use price...

In many markets consumers incur search costs and firms must choose a pricing strategy that determines how their pricing responds to market conditions. A pricing strategy may involve commitments to take actions that are not optimal given the information the firm knowns about demand. Two types of...