The profit of a retail product not only comes from its own sales, but also comes from its influence on the sales of other products. How to promote the right products to the right customers becomes one of the key issues in marketing. In this paper, we propose a new formulation of promotion value by considering cross-selling effects within selected products and customers, which were largely ignor...

This article reviews globalization aspects of “business to consumer” (B2C) electronic commerce. According to Computerworld, “Globalization is the marketing and selling of a product outside a company’s home country. To successfully do that on the Internet, a company needs to localize – make its Web site linguistically, culturally, and in all other ways accessible to customers outside its home te...

This paper examines the effects of tariffs on price-setting duopolists selling a homogeneous product. The producers cannot segment geographically distinct mar­ kets. It provides a complete characterization of the equilibrium (mixed) strategies and analyzes the pattern of competition for different tariffs. If a country raises its tariff, the profits of both producers increase, although the prote...

Are new versions of products necessarily better? I analyze product innovation by a firm that engages in research and development designed to improve an existing product, the outcome of which is uncertain. If the firm adopts the innovation its modified product appears to consumers as “new and improved,” but consumers do not immediately know whether or how much the product is better. I find that ...

Optimal timing [1;2] has long been recognized as an important criterion for decision-making in the absense of uncertainty. Since the late Seventies, competition in the aviation industry in an effort to secure landing rights, nonscheduled flights and new gateways opens up a new chapter on the techniques of selling activities. Firms whose selling activities confront with unexpected difficulties m...

Fourteen vendors are currently selling depression care management products to US employers after randomized trials demonstrate improved work outcomes. The research team interviewed 10 (71.4%) of these vendors to compare their products to four key components of interventions demonstrated to improve work outcomes. Five of 10 depression products incorporate all four key components, three of which ...

We consider a seller who can propose any selling mechanism to a buyer. The seller’s reservation value and the buyer’s valuation can depend both on the buyer’s privatelyknown taste and on product characteristics privately-known to the seller. Product information is voluntarily and costlessly certifiable by the seller. We characterize all feasible allocations under any certifiability structure an...

We examine the dynamic pricing decision of a …rm facing random demand while selling a …xed stock of two di¤erentiated products over an in…nite horizon. Prices in each period depend on the available stock of both products (varieties). In addition to the standard tradeo¤ between a higher revenue and the probability of selling the product, a higher price for one product also a¤ects the probability...

A new type of replenishment policy is suggested in an entropy order quantity model for a perishable product possessing fuzzy holding cost and fuzzy disposal cost. This model represents an appropriate combination of two component demand with discounted selling price, particularly over a finite time horizon. Its main aim lies in the need for an entropic cost of the cycle time is a key feature of ...