## Abstract In this study we demonstrate how a reference price may affect the degree of price rigidity/flexibility. For this, we construct a model of referenceβprice formation, which we use to analyze the effect of asymmetric reference price (cut βeffectsβ) on the profitability of price promotions.
The effects of reference prices on bidding behavior in interactive pricing mechanisms
β Scribed by Agnieszka Wolk; Martin Spann
- Publisher
- John Wiley and Sons
- Year
- 2008
- Tongue
- English
- Weight
- 173 KB
- Volume
- 22
- Category
- Article
- ISSN
- 1094-9968
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