Personalized Pricing When Consumers Can Purchase Multiple Items

We discuss the effect of personalized pricing on profits and welfare in a Hotelling model in which consumers can simultaneously purchase from both firms. As the additional gain from the second purchase increases, personalized pricing is more likely to harm (resp., benefit) consumers (resp., firms). If the additional gain is interme- diate, personalized pricing improves consumer welfare and firms' profits, contrasting with the standard result: personalized pricing benefits consumers but harms firms. When firms can choose one of the pricing policies: uniform or personalized, both choose uniform (resp., personalized) pricing under some parameters (resp., in any case); multiple equilibria can co-exist.

This book explores the factors that make digital disruption possible and the effects this has on existing business models. It takes a look at the industries that are most susceptible to disruption and highlights what executives can do to take advantage of disruption to re-invent their business model. It also examines the pivotal role that technology plays in creating new dynamics to business operations and forcing business model changes. Adoption of digital technology has caused process disruptions in a number of industries and led to new business models (e.g., Über, AirBnb) and new products. In addition to covering some of the more popular and well known examples, this book targets not so obvious disruptions in the education sector and in services and changing business models. Phantom Ex Machina: Digital Disruption’s Role in Business Model Transformation is divided into six parts. The book begins with an introduction to digital disruption and why it matters. The next part of the book focuses on business strategy which includes case studies on the impact of social media and how digital disruption changes pricing strategies and price models. For part three, the authors observe technology’s role in digital disruptions. Chapters cover how 3D printing is challenging existing business models and how the automotive industry is innovating with new perspectives. Part four covers higher education, recognizing digital disruption’s transformation in graduate management education. Part five centers upon the service industry with a look at virtual teams and the emergence of virtual think tanks. Finally the book concludes with a look to the future, embracing disruptions.

This report improves the evidence base on the role of Data Driven Innovation for promoting growth and well-being, and provide policy guidance on how to maximise the benefits of DDI and mitigate the associated economic and societal risks.

Digital technologies are driving the application of dynamic pricing. Today, this pricing strategy is used not only for perishable products such as flights or hotel rooms, but for almost any product or service category. With dynamic pricing, retailers frequently adjust their prices over time to respond to factors such as demand, their supply and that of competitors, or the time of sale. Additionally, dynamic pricing allows retailers to take advantage of a large share of consumers' willingness to pay while avoiding losses from unsold products. Ultimately, this can lead to an increase in revenue and profit. However, the application of dynamic pricing comes with great challenges. In addition to the technological implementation, companies have to take into account that dynamic pricing can cause complex and unintended behavioral consequences on the consumer side. The key objective of this dissertation is to provide a deeper understanding of the impact of dynamic pricing on consumer behavior. To this end, this dissertation presents insights from four perspectives. First, how reference prices as a critical component in purchase decisions are operationalized. Second, how customers search for products priced dynamically, differentiated by business and private customers, as well as by different devices used for the search. Third, whether and how dynamic pricing influences the impact of internal reference prices on purchase decisions. Finally, this dissertation demonstrates that consumers perceive price changes as personalized in different purchase contexts, leading to reduced perceptions of fairness and undesirable behavioral consequences.

ItÕs being heralded as a silent revolution, a state of the art global tracking device, and as significant of an invention as the Internet or even the computer itself. What is this device? ItÕs none other than RFID. But with all the hoopla aside, the question we need to be asking ourselves is this. ÒIs RFID manÕs greatest invention or Mark of the Beast?Ó Even though this inquiry is obviously important and seriously consequential, the irony is that hardly anyone, even Christians, have any idea what it is in the first place, let alone its Biblical ramifications. Therefore, this book, RFID ManÕs Greatest Invention or Mark of the Beast takes you on an exciting technological journey to equip you with the highly detailed facts concerning this last days planetary tracking device. Here you will have such startling insights revealed to you as: The Definition and History of RFID, The Tracking Abilities of RFID, The Data Mining of RFID, The Types & Sizes of RFID, The Dangers of RFID in the Retail Industry and Food Supply.

Introduction to Information Systems, 9th Edition delivers an essential resource for undergraduate business majors seeking ways to harness information technology systems to succeed in their current or future jobs. The book assists readers in developing a foundational understanding of information systems and technology and apply it to common business problems. This International Adaptation covers applications of the latest technologies with the addition of new cases from Europe, Middle East, Africa, Australia, and Asia-Pacific countries. It focuses on global business environment for students to understand the norms of using technology while operating on online platforms for exploring new avenues in different geographical locations. The book includes real business scenarios of how latest technologies such as Big Data, Cloud Computing, Blockchain, and IoT are perceived and adopted across countries. New cases highlight key technology issues faced by organizations such as designing and implementing IT security policies, dealing with ethical dilemma of securing customer data, moving IT infrastructure to cloud, and identifying how AI can be used to improve the efficiency of business operations.

We consider a duopoly model where firms can identify only a share of consumers, which is positively correlated with the consumer' preferences. Firms charge personalized prices to the consumers they can recognize and a uniform price to the rest of consumers. The firms' available information is given by the combination of two factors: the intensive margin, which determines the share of consumers the firms can recognize in each single location, and the extensive margin, which determines how many locations the firms can identify. Different market configurations emerge according to the size of these margins. We characterize the values of the intensive and extensive margins that maximize firms' profits, and we show that profits are non-monotonic. We also show that the composition, in addition to the size, of the available information - i.e., the mix of these margins - affects firms' profits significantly. Implications for regulatory policies concerning the protection of consumers' information are finally discussed.

Introduction to Business covers the scope and sequence of most introductory business courses. The book provides detailed explanations in the context of core themes such as customer satisfaction, ethics, entrepreneurship, global business, and managing change. Introduction to Business includes hundreds of current business examples from a range of industries and geographic locations, which feature a variety of individuals. The outcome is a balanced approach to the theory and application of business concepts, with attention to the knowledge and skills necessary for student success in this course and beyond. This is an adaptation of Introduction to Business by OpenStax. You can access the textbook as pdf for free at openstax.org. Minor editorial changes were made to ensure a better ebook reading experience. Textbook content produced by OpenStax is licensed under a Creative Commons Attribution 4.0 International License.

Since the first censuses were taken and crop yields recorded in ancient times, data collection and analysis have been essential to improving the functioning of society. Foundational work in calculus, probability theory, and statistics in the 17th and 18th centuries provided an array of new tools used by scientists to more precisely predict the movements of the sun and stars and determine population-wide rates of crime, marriage, and suicide. These tools often led to stunning advances. In the 1800s, Dr. John Snow used early modern data science to map cholera “clusters” in London. By tracing to a contaminated public well a disease that was widely thought to be caused by “miasmatic” air, Snow helped lay the foundation for the germ theory of disease.Gleaning insights from data to boost economic activity also took hold in American industry. Frederick Winslow Taylor's use of a stopwatch and a clipboard to analyze productivity at Midvale Steel Works in Pennsylvania increased output on the shop floor and fueled his belief that data science could revolutionize every aspect of life.2 In 1911, Taylor wrote The Principles of Scientific Management to answer President Theodore Roosevelt's call for increasing “national efficiency”: Today, data is more deeply woven into the fabric of our lives than ever before. We aspire to use data to solve problems, improve well-being, and generate economic prosperity. The collection, storage, and analysis of data is on an upward and seemingly unbounded trajectory, fueled by increases in processing power, the cratering costs of computation and storage, and the growing number of sensor technologies embedded in devices of all kinds. In 2011, some estimated the amount of information created and replicated would surpass 1.8 zettabytes. In 2013, estimates reached 4 zettabytes of data generated worldwide.