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A Utility-Based Model of Sales with Informative Advertising

Sandro Shelegia and Chris M. Wilson ()
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Chris M. Wilson: http://www.univie.ac.at/Wirtschaftswissenschaften

Vienna Economics Papers from University of Vienna, Department of Economics

Abstract: This paper presents a generalised framework to understand mixed-strategy sales behaviour with informative advertising. By introducing competition in the utility space into a clearinghouse sales model, we o er a highly tractable framework that can i) provide a novel welfare analysis of intra-personal price discrimination in sales markets, ii) characterise sales in a range of new contexts including complex market settings and situations where rms conduct sales with two-part tari s or non-price variables such as package size, and iii) synthesise past research and highlight its key forces and assumptions.

JEL-codes: L13 D43 M37 D83 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-com, nep-ind, nep-mic, nep-mkt and nep-upt
Date: 2014-09
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http://homepage.univie.ac.at/Papers.Econ/RePEc/vie/viennp/vie1406.pdf (application/pdf)

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Persistent link: https://EconPapers.repec.org/RePEc:vie:viennp:1406

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