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We investigate in a competitive setting the consequences of mobile targeting, the practice of firms setting prices based on consumers' real-time locations. A distinct market feature of mobile targeting is that a consumer could travel across different locations for an offer that minimizes his...
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We consider a platform that matches service providers with potential customers. Ratings of a service provider reveal the quality of his service while ratings of a consumer reveal the cost to serve her. Under a competitive search framework, we study how bilateral ratings influence market...
Persistent link: https://www.econbiz.de/10011749374
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A seller often needs to determine the amount of product information to provide to consumers. We model costly consumer information search in the presence of limited information. We derive the consumer's optimal stopping rule for the search process. We find that, in general, there is an...
Persistent link: https://www.econbiz.de/10012932851
Consumers of experience goods typically face some uncertainty about the fit between their tastes and the features of products being o¤ered. Information technology has given consumers the ability to conduct research online about their potential fit with products before buying, and modern sellers...
Persistent link: https://www.econbiz.de/10012830281