Recent advances in intelligent pricing softwares have created numerous opportunities for retailers to turn customer information into additional profits through targeted pricing: charging different prices to different market segments directly or indirectly based on customer demographics. However,...

This paper investigates how a monopoly seller should determine the optimal set of pricing variables (pricing metrics) for third-degree price discrimination applications in which buyers have log-normally distributed willingness-to-pay (WTP). In a setup that closely resembles linear and probit...

This paper proposes a simple analysis for examining an agent's optimal decisions in a principal-agency problem. Unlike the standard approach, the target firm's expected return and risk are modeled as a parametric curve in terms of a critical business decision. A general condition is derived for...

In this paper we analyze a model of usage pricing for digital products with discontinuous supply functions, which characterizes a number of information technology-based products and services for which variable increases in demand are fulfilled by the addition of "blocks" of computing or network...

Are laws made by voters or industry? Here, we address this question in the context of copyright levies. Many Western countries allow private copying subject to a compulsory copyright levy. Applying political economy analysis, we show that (i) content producers always prefer a copyright levy to...