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In this work, we study semi-personalized pricing strategies where a seller uses features about their customers to segment the market, and customers are offered segment-specific prices. In general, finding jointly optimal market segmentation and pricing policies is computationally intractable,...
Persistent link: https://www.econbiz.de/10014030511
Persistent link: https://www.econbiz.de/10009699669
According to current data regulations, consumers are mobile among different markets, which endogenizes market segmentation. When accommodating such strategic interactions, a segmentation is stable if no consumer can find a profitable deviation to another market. In every stable market...
Persistent link: https://www.econbiz.de/10014048625
A data broker sells market segmentations created by consumer data to a producer with private production cost who sells a product to a unit mass of consumers with heterogeneous values. In this setting, I completely characterize the revenue-maximizing mechanisms for the data broker. In particular,...
Persistent link: https://www.econbiz.de/10012825417
A data broker sells market segmentations created by consumer data to a producer with private production cost who sells a product to a unit mass of consumers with heterogeneous values. In this setting, I completely characterize the revenue-maximizing mechanisms for the data broker. In particular,...
Persistent link: https://www.econbiz.de/10014092360
This chapter surveys the developments in price discrimination theory as it applies to imperfectly competitive markets …
Persistent link: https://www.econbiz.de/10014024582
Pay What You Want (PWYW) and Name Your Own Price (NYOP) are customer-driven pricing mechanisms that give customers (some) pricing power. Both have been used in service industries with high fixed costs to price discriminate without setting a reference price. Their participatory and innovative...
Persistent link: https://www.econbiz.de/10012971780
Pay What You Want (PWYW) and Name Your Own Price (NYOP) are customerdriven pricing mechanisms that give customers (some) pricing power. Both have been used in service industries with high fixed capacity costs in order to appeal to additional customers by reducing prices without setting a...
Persistent link: https://www.econbiz.de/10010530590
Pay What You Want (PWYW) and Name Your Own Price (NYOP) are customer driven pricing mechanisms that give customers (some) pricing power. Both have been used in service industries with high fixed costs to price discriminate without setting a reference price. Their participatory and innovative...
Persistent link: https://www.econbiz.de/10011591510
The rise of big data and sophisticated, machine learning algorithms is increasing the prevalence of price discrimination and even personalized pricing. In traditional models, where consumers' willingness-to-pay (WTP) is a function of preferences (and budget constraints), price discrimination is...
Persistent link: https://www.econbiz.de/10012243412