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When an improvable durable good (such as packaged software) saturates the market, the seller could be tempted to release new versions too frequently, hurting her profit. A novel contractual device, which I term as a Free New Version Rights warranty (free NVR warranty), can help the seller...
Persistent link: https://www.econbiz.de/10008787809
The paper provides a formal rationale for the common practice of using sales assistance. The argument is made in a model where a consumer's situation determines his needs. The products are differentiated and the map identifying the best match between a consumer's situation and a product is known...
Persistent link: https://www.econbiz.de/10008787815
supermarkets adopting it in competition with Promotional Pricing (PROMO). Conventional wisdom attributes this success either to … generally, the retailing issues addressed in this paper, the economic analysis of competition, and the empirical findings should …'s success by analyzing the competition between supermarkets through a game theoretic analysis of a market consisting of both …
Persistent link: https://www.econbiz.de/10008787873
competition for such customers tends to erode the effects of higher CRM efforts of an individual firm. When firms develop a … developments may not always be desirable, because sometimes these future benefits may lead to more intense competition and hence …
Persistent link: https://www.econbiz.de/10008787891
that persuasive advertising need not result in channel conflict. …
Persistent link: https://www.econbiz.de/10008787897
-averse. Minimal warranties are created by the impact of consumer moral hazard and competition in the insurance after-market for the …
Persistent link: https://www.econbiz.de/10008787903
focus on the conventional retail sector. This paper is an effort toward modeling competition in the multiple … competition. Fourth, in contrast with the fixed location of the retail store that anchors its localized market power, the location … address direct and neighboring retail competition. The level of information disseminated by the direct marketer is shown to …
Persistent link: https://www.econbiz.de/10008787932
particular auction game might provide sellers with liquidity (i.e., faster transactions) while providing buyers with unique items …
Persistent link: https://www.econbiz.de/10008787934
Two models of competition between high-end and low-end products benefiting the high-end firms are presented. One is a … quantity competition model, and the other is a price competition model with product differentiation. The key factor is the … who care little about product quality intensifies competition among the high-end firms. The existence of low-end firms …
Persistent link: https://www.econbiz.de/10008787945
The act of trading in a used car as partial payment for a new car resonates with practically all consumers. Such transactions are prevalent in many other durable goods markets, ranging from golf clubs to CT scanners. What roles do trade-ins play in these markets? What motivates the seller to set...
Persistent link: https://www.econbiz.de/10008787953