Using data from a unique pricing experiment, we investigate Vickrey’s conjecture that responsive pricing can be used to smooth both predictable and unpredictable demand shocks. Our evidence shows that increasing the responsiveness of price to demand conditions reduces the magnitude of deviations in capacity utilization rates from a pre-determined target level. A 10 percent increase in price var...

We examine the pricing trends in the online toy markets by using panel data regression models with error components and serial correlation. Our results indicate that both online branch of multi-channel retailers (OBMCRS) and dotcoms charge similar prices on average, and that over time their prices move in tandem. Although the OBMCR retailers charge significantly different prices, the dotcoms do...

In this paper, I explore the circumstances under which innovation processes without secrecy or intellectual property protection are viable, and where free revealing of innovations is a profit-maximizing strategy. Motivated by an empirical study of embedded Linux, I develop a duopoly model of quality competition. Firms require two complementary technologies as inputs, but differ with respect to ...

This paper presents results from a field study on voluntary contributions for an information public good provided via the Internet (an electronic newsletter for authors). Whereas the standard private provision model predicts that individuals contribute less if other individuals contribute more, we find that readers are more likely to pay the more they expect others to give. This result is consi...

This paper develops a simple model of software piracy to analyze the short-run effects of piracy on software usage and the long-run effects on development incentives. We consider two types of costs associated with piracy: the reproduction cost that is constant across users and the degradation cost that is proportional to consumers’ valuation of the original product. We show that the effects of ...

OBJECTIVE The aim of this study was to calculate the incidence and prevalence of radiating low back pain, to explore the long-term clinical course of radiating low back pain including the influence of radiculopathy (in a subsample of the study population) and non-radiating low back pain thereon, and to describe general practitioners' (GPs') treatment strategies for radiating low back pain. DE...

Leadership is a paramount factor in enhancing employee innovation and creativity. This study aims to test the impact of paternalistic leadership (PL) on employees’ innovative work behavior (IWB) check mediating role Psychological Safety (PS). Using positivistic philosophy deductive approach, this has employed convenience sampling technique collect data through questionnaires from 317 employees ...

Microsoft has been dominating the market for PC operating systems (OS) for the last two decades. This paper analyzes the decision of …rms to standardize on the mainstream OS family and assesses whether upgrading to the latest version within the MS family is a substitute for using niche OS. We address the following questions: 1) How likely is a …rm to standardize on the Microsoft family? 2) How ...

This study examines the pricing behavior of online retailers (e-tailers) in Chinese e-commerce markets. Descriptive statistics indicate that prices have not converged in China’s e-commerce markets and that there is relatively more price variation in markets for cosmetics, compact discs, gifts and books. Fixed effects model estimates show that e-tailer’s characteristics are significant determina...

Online payments are a critical issue in electronic markets. This research investigates online payment choices using probit and nested logit model based on the survey data we collected from eBay users. We develop a theoretical framework to model payment choices between the trader partners based on risk, convenience and cost dimensions. Then, we analyze how product attributes, traders’ characteri...