Download or read book Does Behaviour Based Price Discrimination Foster Firms Differentiation written by Stefano Colombo and published by . This book was released on 2016 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: We study the impact of behaviour-based price discrimination on the incentive of the firms to differentiate their products. We consider both 'standard' and 'extreme' behaviour-based price discrimination: the latter always reduces the incentive to differentiate with respect to uniform pricing, while the former fosters differentiation if the consumers are sufficiently forward-looking and/or the firms are sufficiently myopic.
Download or read book Price Discrimination written by Fouad Sabry and published by One Billion Knowledgeable. This book was released on 2024-03-27 with total page 374 pages. Available in PDF, EPUB and Kindle. Book excerpt: What is Price Discrimination Price discrimination is a microeconomic pricing strategy where identical or largely similar goods or services are sold at different prices by the same provider in different market segments. Price discrimination is distinguished from product differentiation by the more substantial difference in production cost for the differently priced products involved in the latter strategy. Price differentiation essentially relies on the variation in the customers' willingness to pay and in the elasticity of their demand. For price discrimination to succeed, a firm must have market power, such as a dominant market share, product uniqueness, sole pricing power, etc. All prices under price discrimination are higher than the equilibrium price in a perfectly competitive market. However, some prices under price discrimination may be lower than the price charged by a single-price monopolist. Price discrimination is utilized by the monopolist to recapture some deadweight loss. This Pricing strategy enables firms to capture additional consumer surplus and maximize their profits while benefiting some consumers at lower prices. Price discrimination can take many forms and is prevalent in many industries, from education and telecommunications to healthcare. How you will benefit (I) Insights, and validations about the following topics: Chapter 1: Price discrimination Chapter 2: Monopoly Chapter 3: Monopolistic competition Chapter 4: Oligopoly Chapter 5: Perfect competition Chapter 6: Imperfect competition Chapter 7: Deadweight loss Chapter 8: Two-part tariff Chapter 9: Pricing Chapter 10: Barriers to entry Chapter 11: Yield management Chapter 12: Market power Chapter 13: Non-price competition Chapter 14: Market structure Chapter 15: Pricing strategies Chapter 16: Dynamic pricing Chapter 17: Revenue management Chapter 18: Value-based pricing Chapter 19: Rental value Chapter 20: Profit (economics) Chapter 21: Monopoly price (II) Answering the public top questions about price discrimination. (III) Real world examples for the usage of price discrimination in many fields. Who this book is for Professionals, undergraduate and graduate students, enthusiasts, hobbyists, and those who want to go beyond basic knowledge or information for any kind of Price Discrimination.
Download or read book Market Dominance and Behavior Based Pricing Under Horizontal and Vertical Differentiation written by Thomas Gehrig and published by . This book was released on 2007 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: We evaluate behavior-based price discrimination from an antitrust perspective by focusing on an industry with inherited market dominance. Under horizontal differentiation behavior-based pricing does not by itself lead to persistence of dominance unless the dominant firm is protected by significantly higher switching costs than its small rival. This result continues to hold even if the dominant firm can use behavior-based pricing to compete against an entrant with no access to consumers' purchase histories. Under vertical differentiation behavior-based pricing enhances the dominance of the high-quality seller and, hence, consumer welfare.
Download or read book Behavior based Price Discrimination and Product Choice written by Chongwoo Choe and published by . This book was released on 2020 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt: We study a two-period model of behavior-based price discrimination in Fudenberg and Tirole (2000) but allow firms to make product choice in the first period. We show that the only possible equilibrium involves maximal differentiation. This is in contrast to Choe et al. (2018) where equilibrium features less than maximal differ- entiation when competition is in personalized pricing. Thus, our result highlights an important interplay between the type of price competition and product choice.
Download or read book The Conflict of Price Differentiation and Price Fairness written by Luisa Domanska and published by GRIN Verlag. This book was released on 2019-01-11 with total page 105 pages. Available in PDF, EPUB and Kindle. Book excerpt: Master's Thesis from the year 2018 in the subject Business economics - Business Management, Corporate Governance, grade: 1,7, Cologne Business School Köln, language: English, abstract: The thesis describes the conflict of price differentiation strategies and the consumers' perception of price fairness in different manners. By that, the role of a price is explained in detail in the role of marketing, as well as it's role in behavioral economics regarding price fairness. Different examples, being a highly discussed topic in the current state of the art, are brought together to demonstrate the variety of this price policy. Uber, the haircutting industry as well as typical gender-based pricing or emergency situations represent crucial practices that are discussed in regard of moral and ethical limitations in terms of price fairness. Finally, the work aims to understand the limitations on price differentiation in the context of price fairness and tries to answer questions as: When is price differentiation acceptable for consumers and when should firms reconsider differential price strategies due to a perceived abuse of trust, anger or similar emotions of targeted customers? For that, an empirical social research is considered to bring first and secondary data together, and to enable the defintion of those limitations to become a little clearer.
Download or read book Behavior Based Price Discrimination with Experience Goods written by Hoe Sang Chung and published by . This book was released on 2016 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper examines the profitability of behavior-based price discrimination (BBPD) by duopolists producing horizontally differentiated experience goods. Considering a three-stage game in which the firms first make price discrimination decisions followed by two-stage pricing decisions, the two main results we obtain are the following: (i) if consumers underestimate the quality of the products at a level that is not very low, there are two subgame perfect Nash equilibria where both firms do not collect information about consumers' purchase histories so that neither firm price discriminates and where both firms collect consumer information to practice BBPD; (ii) BBPD is more profitable than uniform pricing if consumers overestimate at a more than moderate level.
Download or read book The Economics of Price Discrimination written by George Norman and published by Edward Elgar Publishing. This book was released on 1999 with total page 624 pages. Available in PDF, EPUB and Kindle. Book excerpt: This volume brings together significant articles which have appeared between 1971 and 1997, analyzing the application and effects of price discrimination.
Download or read book Can Price Discrimination Be Bad for Firms and Good for All Consumers A Theoretical Analysis of Cross Market Price Constraints with Entry and Product Differentiation written by Ofer H. Azar and published by . This book was released on 2003 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: The article examines a differentiated-products duopoly model where the firms make entry decisions to two markets and then choose prices. The effects of product differentiation and entry costs are analyzed in two games: with and without price discrimination between the markets. Allowing price discrimination encourages more entry and tends to reduce prices and profits and to increase consumer welfare in both markets. The model suggests that firms might be better off if they agree not to price discriminate between different markets. It also suggests that when the market is not a natural monopoly, regulators should consider the effects of universal service requirements on entry before adopting them, because entry might be discouraged by such requirements, leading to less competitive markets.
Download or read book Recent Advances in the Theory of Third Degree Price Discrimination written by Takanori Adachi and published by Springer Nature. This book was released on 2023-07-06 with total page 85 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book provides an updated overview of the recent progress in the theoretical study of third-degree price discrimination. It is a marketing tactic and is said to be present if the unit price is different across different groups of buyers. Its welfare evaluation is often difficult because it entails two countervailing effects: on one hand, it exploits surplus from consumers who have high willingness-to-pay, but on the other hand, it generates gains from trade from consumers who otherwise would not purchase the good. Recognizing this difficulty, we provide new insights on evaluation of third-degree price discrimination in consideration of network effects and vertical product differentiation. Our analysis is particularly useful for the industries related to information and communication technologies (ICT) because these two elements characterize them. Furthermore, we also study the welfare effects of third-degree price discrimination under imperfect competition other than monopoly. At first, it seems that it may complicate the analysis under monopoly. However, we argue that the main thrusts of analysis under monopoly carry over to the case of oligopoly. We also take into account behavioral aspects and their implications for studying third-degree price discrimination. Overall, this book is designed to provide implications for contemporary management and policy issues by advancing theoretical issues in industrial organization.
Download or read book Marketing Theory Practice and Perspectives written by Dr. Qaisar Abbas Fatimi and published by Dr. Qaisar Abbas Fatimi. This book was released on 2024-03-10 with total page 256 pages. Available in PDF, EPUB and Kindle. Book excerpt: Imagine a small coffee shop in a quaint neighborhood, which, through the power of effective marketing, transforms into a global phenomenon. Picture a startup with a revolutionary idea, using just the right blend of marketing strategies to become a household name. These stories, and countless others, form the tapestry of marketing's rich and varied history, a tapestry this book aims to explore and elucidate. At the heart of our journey is the quest to understand the essence of marketing. We begin in the past, delving into the foundational theories crafted by pioneers of the trade. These theories, like the story of David Ogilvy who revolutionized advertising with his focus on direct, customer-centric messaging, lay the groundwork for all that marketing has become today. As we move through the chapters, we encounter the practices that have shaped the present landscape of marketing. We tell tales of companies like Nike, which harnessed the power of brand storytelling to build an empire, and of small businesses that leveraged social media marketing to compete with industry giants. These stories illuminate the practical applications of marketing theories, demonstrating their power and versatility. In addressing ethical and sustainable marketing, we recount narratives of brands like Patagonia, which has woven environmental responsibility into its marketing fabric, inspiring a generation of conscious consumers and marketers alike. These tales underscore the growing importance of ethics in marketing, highlighting the shift towards more responsible business practices. The digital revolution in marketing brings its own set of stories. We delve into the world of AI and VR, recounting how these technologies are creating new frontiers in customer engagement, much like how Spotify uses data analytics to personalize user experiences, redefining the music industry's marketing strategies. Data-driven marketing strategies are no less dramatic. We explore how Netflix's data analytics have not just shaped marketing campaigns but also content creation, turning viewer preferences into blockbuster hits. Our global perspective includes tales of cross-cultural marketing successes and faux pas, learning from brands that have skillfully navigated the complex tapestry of global markets, and from those who stumbled, offering invaluable lessons in the importance of cultural sensitivity. As we peer into the future, we share predictions and possibilities, like the potential impact of blockchain technology on marketing transparency and customer trust. These forward-looking perspectives prepare our readers for the exciting, uncharted territories of marketing yet to come. In crafting "Marketing: Theory, Practice, and Perspectives," the goal was not just to create a book but to weave a story – a story that captures the imagination, imparts wisdom, and inspires action. It is a story that invites you, the reader, to be a part of this incredible world of marketing, to learn from its past, engage with its present, and shape its future.
Download or read book Behavior Based Price Discrimination with a General Demand written by Rosa Branca Esteves and published by . This book was released on 2023 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: This paper offers a complete picture of the impact of behavior-based price discrimination on profits, consumer surplus, and welfare in markets with a general demand function, where consumers and firms can discount the future at different discount factors. Regardless of the demand function considered, in comparison to uniform pricing, BBPD reduces firmsí second-period prices and profits. In contrast, we show that new results arise regarding the impact of BBPD on first-period prices. Under perfectly inelastic and CES demand, the firm-side e§ect is null and the consumer-side e§ect fully explains the increase in first-period prices. This is no longer the case when the price elasticity of demand varies with price level. Specifically, we show that the firm-side effect can lead firms to raise first-period prices, even when consumers are myopic. We also show that, depending on the demand function considered, the consumer side effect can act to reduce or increase first-period prices. The overall impact of BBPD on first-period prices depends on the interplay between these two effects. Our analysis reveals that the output effect and consumer switching play an important role in explaining the impact of BBPD on welfare. When discount factors are equal, BBPD may have a positive or negative impact on consumer surplus and social welfare, which contrasts with the result that BBPD is beneficial for consumers under a unit and CES demand. For a linear demand function, we identify the regions for firms and consumers discount factors where BBPD can simultaneously enhance or reduce total discounted profits, consumer surplus, and social welfare.
Download or read book Competition Law Analysis of Price and Non price Discrimination Abusive IP Based Legal Proceedings written by Pierre Kobel and published by Springer Nature. This book was released on 2021-03-29 with total page 505 pages. Available in PDF, EPUB and Kindle. Book excerpt: This book gathers national and international reports from around the globe on key issues in the field of antitrust and intellectual property. Its first part discusses to what extent competition law should be concerned with differences in prices, terms and conditions, or quality that suppliers offer different purchasers. A detailed international report explores the major trends and challenges in this field and provides an excellent comparative study on this complex and challenging subject. In turn, the second part examines whether there should be legal restrictions on the ability of persons who claim, without sufficient justification, to hold IP rights that have been infringed on, to bring, or to threaten to bring, legal proceedings based on such claims against their competitors or others. In this regard, the book brings together the current legal responses across a number of European countries and elsewhere in the world, all summarised and elaborated on in an international report. The book also includes the resolutions passed by the General Assembly of the International League of Competition Law (LIDC) following debates on each of these topics, which include proposed solutions and recommendations. The LIDC is a long-standing international association that focuses on the interface between competition law and intellectual property law, including unfair competition issues.
Download or read book Behavior and Characteristic Based Price Discrimination written by Stefano Colombo and published by . This book was released on 2018 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: We develop a model of behavior- and characteristic-based discriminatory pricing where consumers are heterogeneous both in tastes and in price sensitivity. Each firm is able to distinguish between the consumers that have bought from it and those that have bought from the rival. Furthermore, each firm learns the price sensitivity of their own consumers. We show that using this additional information may yield higher profits than uniform pricing provided that consumers are heterogeneous enough with respect to price sensitivity. We also discuss consumer surplus implications of such behavior- and characteristic-based price discrimination, and we show that the impact of price discrimination depends on both the consumer type and the level of consumers' heterogeneity.
Download or read book The Liberalisation of the Telecommunications Sector in Sub Saharan Africa and Fostering Competition in Telecommunications Services Markets written by Rachel Alemu and published by Springer. This book was released on 2018-02-02 with total page 405 pages. Available in PDF, EPUB and Kindle. Book excerpt: This study investigates whether the existing regulatory framework governing the telecommunications sector in countries in Sub-Saharan Africa effectively deals with emerging competition-related concerns in the liberalised sector. Using Uganda as a case study, it analyses the relevant provisions of the law governing competition in the telecommunications sector, and presents three key findings: Firstly, while there is comprehensive legislation on interconnection and spectrum management, inefficient enforcement of the legislation has perpetuated concerns surrounding spectrum scarcity and interconnection. Secondly, the legislative framework governing anti-competitive behaviour, though in line with the established principles of competition law, is not sufficient. Specifically, the framework is not equipped to govern the conduct of multinational telecommunications groups that have a strong presence in the telecommunications sector. Major factors hampering efficient competition regulation include Uganda’s sole reliance on sector-specific competition rules, restricted available remedies, and a regulator with limited experience of enforcing competition legislation. The weaknesses in the framework strongly suggest the need to adopt an economy-wide competition law. Lastly, wireless technology is the main means through which the population in Uganda accesses telecommunications services. Greater emphasis should be placed on regulating conduct in the wireless communications markets.
Download or read book Competitive Behaviour based Price Discrimination Among Asymmetric Firms written by Elias Carroni and published by . This book was released on 2015 with total page pages. Available in PDF, EPUB and Kindle. Book excerpt:
Download or read book Imperfect Behavior Based Price Discrimination written by Stefano Colombo and published by . This book was released on 2016 with total page 0 pages. Available in PDF, EPUB and Kindle. Book excerpt: In this article, we develop a model encompassing behavior-based discriminatory pricing as a limit case of a more general framework where firms have incomplete information about consumers' purchase histories. We show that information accuracy has a nonmonotonic impact on profits and the worst situation for firms is when information accuracy is intermediate. We also discuss welfare and consumer surplus implications of information accuracy. Although welfare monotonically decreases with the level of information accuracy, there is an inverse U-shape relationship between consumers surplus and information accuracy.
Download or read book Price discrimination product differentiation and interacting markets written by Giora Moore and published by . This book was released on 1984 with total page 158 pages. Available in PDF, EPUB and Kindle. Book excerpt:
