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Journal article

Optimal sales schemes for network goods

Abstract:

This paper considers a monopolist’s product-launch strategy in the presence of network effects, focusing on how to exploit these effects to the maximum possible extent. In our formal framework, the firm sets a price for its product and chooses a sales scheme, which effectively determines how consumers can learn from each other about the product’s popularity. Our results on the profitability of different schemes provide insights on a variety of managerial issues that are of practical relevance...

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Publication status:
Published
Peer review status:
Peer reviewed
Version:
Accepted Manuscript

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Publisher copy:
10.1287/mnsc.2017.2972

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Institution:
University of Oxford
Division:
Social Sciences Division
Department:
Economics
Oxford college:
Lincoln College
Vikander, N More by this author
Publisher:
INFORMS Publisher's website
Journal:
Management Science Journal website
Volume:
65
Issue:
2
Pages:
819-841
Publication date:
2018-06-08
Acceptance date:
2017-09-24
DOI:
EISSN:
1526-5501
ISSN:
0025-1909
Pubs id:
pubs:742617
URN:
uri:454adc8c-265a-4f8c-816e-47bc11aca6d5
UUID:
uuid:454adc8c-265a-4f8c-816e-47bc11aca6d5
Local pid:
pubs:742617

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