This paper investigates the effects of a limited consumer memory on the price competition between firms. It studies a specific aspect of memory--namely, the categorization of available price information that the consumers may need to recall for decision making. This paper analyzes competition...

The increasing availability of customer information is giving many firms the ability to reach and customize price and other marketing efforts to the tastes of the individual consumer. This ability is labeled as consumer addressability. Consumer addressability through sophisticated databases is...

An important question that firms face in advertising is developing effective media strategy. Major improvements in the quality of consumer information and the growth of targeted media vehicles allow firms to precisely target advertising to consumer segments within a market. This paper examines...

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In this paper, we investigate a gasoline station's incentive to price-discriminate by selling full-service gasoline as well as self-service gasoline. Unlike previous research, we explicitly model a firm's incentive to price discriminate by choosing to be either single-product or multi-product as...

This paper analyzes the competitive role of retail shopping experience in markets with consumer search costs. We examine how a retailer's advantage in providing consumer shopping experience affects its equilibrium pricing and price advertising strategies. We find that if the consumer valuation...

We study the phenomenon of strategic polarization in group interactions. Agents with private preferences choose a public action (e.g., voice opinions), and the mean of their actions represents the group’s realized outcome. They face a trade-off between influencing the group outcome and...