Download or read book Behavioral Pricing with Loss averse Consumers written by Mario Scharfbillig and published by . This book was released on 2013 with total page 118 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Are Markets with Loss Averse Consumers More Sensitive to Losses written by Zhenyu Hu and published by . This book was released on 2016 with total page 20 pages. Available in PDF, EPUB and Kindle. Book excerpt: Behavioral pricing and revenue management aims to incorporate realistic consumer behavior into firms' pricing and inventory models. The key input to these models is market demand, which is often assumed to inherit the characteristics of consumer behavior -- as when, for example, one assumes that a market consisting of loss-averse consumers is more responsive to losses than to gains. Yet market demand and consumer behavior need not be related and so, we argue, that approach to modeling market demand is misguided. This paper proposes an approach that accounts for the heterogeneity in consumer valuation: we aggregate the demand of individual loss-averse consumers to obtain market demand and show that market demand may be more responsive to gains, to losses or be equally responsive. Our results have profound implications not only for how best to characterize the market demand of behaviorally biased consumers but also for determining the firm's optimal pricing policy.

Download or read book Conditions for Loss Averse and Gain Seeking Consumer Price Behavior written by Markku Kallio and published by . This book was released on 2009 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Michigan Journal of Economics written by and published by UM Libraries. This book was released on 1980 with total page 370 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Price Discrimination with Loss Averse Consumers written by Jong-Hee Hahn and published by . This book was released on 2015 with total page 53 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper proposes a theory of price discrimination based on consumer loss aversion. A seller offers a menu of bundles before a consumer learns his willingness to pay, and the consumer experiences gain-loss utility with reference to his prior (rational) expectations about contingent consumption. With binary consumer types, the seller finds it optimal to abandon screening under an intermediate range of loss aversion if the low willingness-to-pay consumer is sufficiently likely. We also identify sufficient conditions under which partial or full pooling dominates screening with a continuum of types. Our predictions are consistent with several observed practices of price discrimination.

Download or read book Redefining Loss Averse and Gain Seeking Consumer Price Behavior written by Markku Kallio and published by . This book was released on 2009 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Choices Values and Frames written by Daniel Kahneman and published by Cambridge University Press. This book was released on 2000-09-25 with total page 864 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book presents the definitive exposition of 'prospect theory', a compelling alternative to the classical utility theory of choice. Building on the 1982 volume, Judgement Under Uncertainty, this book brings together seminal papers on prospect theory from economists, decision theorists, and psychologists, including the work of the late Amos Tversky, whose contributions are collected here for the first time. While remaining within a rational choice framework, prospect theory delivers more accurate, empirically verified predictions in key test cases, as well as helping to explain many complex, real-world puzzles. In this volume, it is brought to bear on phenomena as diverse as the principles of legal compensation, the equity premium puzzle in financial markets, and the number of hours that New York cab drivers choose to drive on rainy days. Theoretically elegant and empirically robust, this volume shows how prospect theory has matured into a new science of decision making.

Download or read book Pricing and Information Disclosure in Markets with Loss averse Consumers written by Heiko Karle and published by . This book was released on 2010 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Dynamic Pricing with Loss Averse Consumers and Peak end Anchoring written by Javad Nasiry and published by . This book was released on 2009 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book The Psychology of Price written by Leigh Caldwell and published by Jaico Publishing House. This book was released on 2015-12-07 with total page 170 pages. Available in PDF, EPUB and Kindle. Book excerpt: How to Use Price to Increase Demand, Profit and Customer Satisfaction HOW SMART IS YOUR PRICING? For any business, deciding how much to charge for a product or service is crucial. By gaining an insight into the way consumers think and purchase, you can generate more demand, more customer value – and more profit. MAXIMISE REVENUE • How do unwanted products Influence what customers expect to pay? • How does offering extras for free dramatically increases Perceived Value? • Why does changing the timing of a payment make people pay 50% More? TRIED AND TESTED TECHNIQUES Written by the founder of Inon, a leading pricing consultancy, whose clients range from the BBC and Grant’s Whisky to Alzheimer’s Disease International and HM Treasury, The Psychology of Price provides an insight into the strategies used by multinational corporations. Leigh Caldwell is a pricing expert and leading researcher in behavioural economics, writing the UK’s most popular behavioural blog (www.knowingandmaking.com) and appearing as a frequent guest on BBC News. By background a mathematician and economist, he is the founder and chief executive of Inon, the UK’s leading pricing consultancy.

Download or read book New Directions In Behavioral Pricing written by Chezy Ofir and published by World Scientific. This book was released on 2024-05-21 with total page 208 pages. Available in PDF, EPUB and Kindle. Book excerpt: Behavioral pricing research is viewed as central to academic marketing research as well as strategic pricing. The objective of this book is to introduce new research directions in Behavioral Pricing. It investigates how consumers perceive, evaluate, and integrate prices with other factors to make value, fairness judgments and product and brand choices. Encompassing customer price-related attitudes, knowledge, cognitive processes, and behaviors, the book seeks to predict and explain customers' reactions to price strategies and associated psychological, physiological, and emotional processes.

Download or read book Handbook of Behavioral Industrial Organization written by Victor J. Tremblay and published by Edward Elgar Publishing. This book was released on 2018 with total page 483 pages. Available in PDF, EPUB and Kindle. Book excerpt: The Handbook of Behavioral Industrial Organization integrates behavioral economics into industrial organization. Chapters cover concepts such as relative thinking, salience, shrouded attributes, cognitive dissonance, motivated reasoning, confirmation bias, overconfidence, status quo bias, social cooperation and identity. Additional chapters consider industry issues, such as sports and gambling industries, neuroeconomic studies of brands and advertising, and behavioral antitrust law. The Handbook features a wide array of methods (literature surveys, experimental and econometric research, and theoretical modelling), facilitating accessibility to a wide audience.

Download or read book Consumer Search and the Uncertainty Effect written by Heiko Karle and published by . This book was released on 2020 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Dynamic Pricing in the Presence of Social Externalities and Reference price Effect written by Jafar Chaab and published by . This book was released on 2022 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt:

Download or read book Bounded Rationality and Industrial Organization written by Ran Spiegler and published by Oxford University Press. This book was released on 2011-02-18 with total page 235 pages. Available in PDF, EPUB and Kindle. Book excerpt: Conventional economic theory assumes that consumers are fully rational, that they have well-defined preferences and easily understand the market environment. Yet, in fact, consumers may have inconsistent, context-dependent preferences or simply not enough brain-power to evaluate and compare complicated products. Thus the standard model of consumer behavior-which depends on an ideal market in which consumers are boundlessly rational-is called into question. While behavioral economists have for some time confirmed and characterized these inconsistencies, the logical next step is to examine the implications they have in markets. Grounded in key observations in consumer psychology, Bounded Rationality and Industrial Organization develops non-standard models of "boundedly rational" consumer behavior and embeds them into familiar models of markets. It then rigorously analyses each model in the tradition of microeconomic theory, leading to a richer, more realistic picture of consumer behavior. Ran Spiegler analyses phenomena such as exploitative price plans in the credit market, complexity of financial products and other obfuscation practices, consumer antagonism to unexpected price increases, and the role of default options in consumer decision making. Spiegler unifies the relevant literature into three main strands: limited ability to anticipate and control future choices, limited ability to understand complex market environments, and sensitivity to reference points. Although the challenge of enriching the psychology of decision makers in economic models has been at the frontier of theoretical research in the last decade, there has been no graduate-level, theory-oriented textbook to cover developments in the last 10-15 years. Thus, Bounded Rationality and Industrial Organization offers a welcome and crucial new understanding of market behavior-it challenges conventional wisdom in ways that are interesting and economically significant, and which in the end effect the well-being of all market participants.

Download or read book Getting Price Right written by Gerald Smith and published by Columbia University Press. This book was released on 2021-10-12 with total page 537 pages. Available in PDF, EPUB and Kindle. Book excerpt: Winner, 2022 Leonard L. Berry Marketing Book Award, American Marketing Association How do leaders, managers, and proprietors go about the essential task of setting prices? What biases enter into this process, and why? How can a business debias its price setting to become more productive, strategic, and profitable? Combining perceptive insights from behavioral economics with leading-edge ideas on price management, this book offers a new approach to pricing. Gerald Smith demonstrates why understanding, reframing, and refining everyday pricing processes—a firm’s or manager’s pricing orientation—results in a better long-term pricing strategy. He explores how pricing actually happens in practice and shows how to identify and remove the psychological blinders that cause suboptimal decisions and policies. Smith details how to improve pricing orientation by combining the soft behavioral skills that intuitively shape and refine pricing practice with the hard analytic skills that guide and structure pricing strategy. The result is more rational and more profitable pricing—with respect to not only revenue and profitability but also employee productivity and customer satisfaction. Offering an accessible and actionable model, Getting Price Right is the first book to apply behavioral economics to managerial price setting. It is a must-read for corporate business leaders, thought leaders, and professionals interested in advances in pricing and for managers, entrepreneurs, proprietors, and small and midsize business owners whose everyday work involves pricing.

Download or read book Elgar Encyclopedia of Consumer Behavior written by Johanna Gollnhofer and published by Edward Elgar Publishing. This book was released on 2024-06-05 with total page 329 pages. Available in PDF, EPUB and Kindle. Book excerpt: Modern commercial landscapes are characterized by rapidly evolving markets, and this authoritative Encyclopedia acts as an essential navigational guide to such changeable consumer environments.