 Dynamic pricing models for ERP systems under network externalityAdnéne Hajji, Robert Pellerin, Pierre-Majorique Léger, Ali Gharbi and Gilbert Babin International Journal of Production Economics, 2012, vol. 135, issue 2, 708-715 Abstract: Enterprise Resource Planning (ERP) systems vendors face great challenges to enhance their market position and maximize their profits. Being able to simultaneously predict the diffusion of an ERP and to determine the right price to charge to a customer is a complex task. Earlier work has demonstrated evidence of network effect in the diffusion of ERP software in industries. In light of this evidence, we investigate in this paper the benefit of a dynamic pricing strategy for ERP systems vendors in a business network governed by a quantitative diffusion model. Based on a real scenario in the automotive industry, those quantitative models are integrated into a simulation-based optimization approach to tackle the problem. Our findings are promising and establish the foundation of a powerful decision support tool for ERP systems vendors. Keywords: Dynamic pricing; ERP diffusion models; Industrial networks; Simulation; Design of experiment (search for similar items in EconPapers) Downloads: (external link) Related works: Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text Persistent link: https://EconPapers.repec.org/RePEc:eee:proeco:v:135:y:2012:i:2:p:708-715 DOI: 10.1016/j.ijpe.2011.10.004 Access Statistics for this article International Journal of Production Economics is currently edited by Stefan Minner More articles in International Journal of Production Economics from Elsevier |
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