EBINA TAKESHI
Department Undergraduate School , School of Commerce Position Professor |
|
Language | English |
Publication Date | 2012/03 |
Type | Academic Journal |
Peer Review | Peer reviewed |
Title | "An Economic Analysis of Add-on Discounts", Managerial and Decision Economics |
Contribution Type | Co-authored (other than first author) |
Journal | Managerial and Decision Economics |
Journal Type | Another Country |
Publisher | Wiley |
Volume, Issue, Page | 33(2),pp.99-107 |
Author and coauthor | Takanori Adachi and Takeshi Ebina |
Details | This paper provides an economic explanation for what determines whether a seller should offer add-on discounts (e.g., cable TV subscription packages). We construct a monopolistic model with two types of consumer heterogeneity: (i) those who always buy an add-on when they purchase a base good (`premium' consumers); and (ii) those who do not necessarily buy the add-on (`economy' consumers). It is shown that the greater the number of `premium' consumers, the less desirable add-on discounts are for a seller. |
URL for researchmap | https://researchmap.jp/ebinatakeshi2010/ |