The Economics of Buyer Uncertainty: Adva
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Fay, Scott; Xie, Jinhong
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Article
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2010
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INFORMS
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English
β 213 KB
Although advance selling and probabilistic selling differ in both motivation and implementation, we argue that they share a common characteristicβboth offer consumers a choice involving buyer uncertainty. We develop a formal model to examine the general economics of purchase options that involve buy