We study the bidding strategies of vertically differentiated firms that bid for sponsored search advertisement positions for a keyword at a search engine. We explicitly model how consumers navigate and click on sponsored links based on their knowledge and beliefs about firm qualities. Our model...

Recent privacy regulations and firm policies endow consumers with the choice of whether to allow firms to use their personal data for marketing (and other) purposes. We investigate the impact of consumer data privacy choices on the advertising ecosystem. We consider a scenario with competing...

Firms in many industries experience protracted periods of pricing power, the ability to successfully enact price increases. In these situations, firms must decide not only whether to raise prices, but to whom. Specifically, in a competitive context, they must determine whether it is more...