A model of price promotions with consumer search
Article Abstract:
A price discrimination model was developed for price promotions. The model is characterized by the explicit differentiation between regular and promotional prices. Regular prices are selected first, then promotional prices. Moreover, while regular prices are always available to everyone, promotional prices are only available when offered, and only to those who look for them. The model showed that even a monopolist will offer random promotions under these conditions. Also, as search expenses rise, the frequency and depth of promotion increases.
Publication Name: International Journal of Industrial Organization
Subject: Business, international
ISSN: 0167-7187
Year: 1999
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A structural econometric model of price discrimination in the French mortgage lending industry
Article Abstract:
A model of discrimination is proposed, in the market for mortgages, which explains accepted loan applications and simultaneously determines loan sizes and interest rates. It is confirmed that the lender exploits structural differences in the preferences to discriminate, as predicted by standard theories.
Publication Name: International Journal of Industrial Organization
Subject: Business, international
ISSN: 0167-7187
Year: 2004
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Differentiation and discrimination in a duopoly with two bundles
Article Abstract:
Equilibrium produced due to discrimination and differentiation effects of mixed tying and pure tying, using duopoly model, is presented.
Publication Name: International Journal of Industrial Organization
Subject: Business, international
ISSN: 0167-7187
Year: 2006
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