• Corpus ID: 239616207

A Two-stage Pricing Strategy Considering Learning Effects and Word-of-Mouth

@inproceedings{Li2021ATP,
  title={A Two-stage Pricing Strategy Considering Learning Effects and Word-of-Mouth},
  author={Yanrong Li and Lai Wei and Wei Jiang},
  year={2021}
}
This paper proposes a flexible two-stage pricing strategy for nondurable (such as electronics) products, whose selling price is marked-down at a flexible time point during the lifecycle. We consider the learning effect of manufacturers, which is reflected by the decrease of average cost with the accumulation of production. Moreover, word-of-mouth (WOM) of existing customers is used to analyze future demand, since many customers make the purchase decision according to WOM. We theoretically prove… 

References

SHOWING 1-10 OF 63 REFERENCES
Optimal strategies for general price-quality decision models of new products with learning production costs
Abstract The question of product quality permeates every level of business and is becoming crucial for the survival of modern manufacturing firms in automotive and high-tech industries. In this
Joint pricing and production decisions for new products with learning curve effects under upstream and downstream trade credits
TLDR
An inventory model is proposed to determine optimal lot-sizing and pricing strategies with both upstream and downstream trade credit, manufacturer's production cost which follows a learning curve effect, and production quantity influenced by both selling price and trade credit.
Optimal Pricing of Seasonal Products in the Presence of Forward-Looking Consumers
TLDR
It is found that the seller cannot avoid the adverse impact of strategic consumer behavior even under low levels of initial inventory, and while the seller expects customers to be more concerned about product availability at discount time, he cannot use high-price “betting” strategies as he would in the case of low inventory and myopic customers.
Dynamic Pricing in the Presence of Social Learning and Strategic Consumers
TLDR
This paper investigates how the presence of social learning affects the strategic interaction between a dynamic-pricing monopolist and a forward-looking consumer population, within a simple two-period model.
Two-period pricing and ordering policy for the dominant retailer in a two-echelon supply chain with demand uncertainty
Retailing channels are increasingly being dominated by 'power' retailers who are in a position to dictate prices and ordering schedules to manufacturers and suppliers. A dominant retailer, such as
Optimal pricing strategy under trade-in program in the presence of strategic consumers
Many innovating firms use trade-in programs to encourage consumers’ repeat purchasing. They can choose between dynamic pricing and preannounced pricing strategies to mitigate the impacts of
Word of mouth model of sales
In this paper, I develop a model of the dynamic pricing of a monopolist while information about its product is diffusing through word of mouth. Individuals who purchase the product engage in word of
Manufacturer's pricing strategy for supply chain with warranty period-dependent demand
This article presents a review of the issues associated with a manufacturer's pricing strategies in a two-echelon supply chain that comprises one manufacturer and two competing retailers, with
Optimal pricing for a short life‐cycle product when customer price‐sensitivity varies over time
Technology products often experience a life-cycle demand pattern that resembles a diffusion process, with weak demand in the beginning and the end of the life cycle and high demand intensity in
The single-period (news-vendor) problem: literature review and suggestions for future research
The single-period problem (SPP), also known as the newsboy or news-vendor problem, is to find the order quantity which maximizes the expected profit in a single period probabilistic demand framework.
...
1
2
3
4
5
...