Add to ORKGAbstract. Earlier work characterized pricing with switching costs as a dilemma between a short-term harvest-ing incentive to increase prices versus a long-term investing incentive to decrease prices. This paper shows that small switching costs may reduce firm profits and provide short-term incentives to lower rather than raise prices. We provide a simple expression which characterizes the impact of the introduction of switching costs on prices and profits for a general model. We then explore the impact of switching costs in a variety of specific examples which are special cases of our model. We emphasize the importance of a short term compensating effect on switching costs. When consumers switch in equilibrium, firms offset the costs of ...
Consumers often incur costs when switching from one product to another. Recently, there has been ren...
We survey recent work on competition in markets in which consumers have costs of switching between c...
Economists have long recognized that in free markets, incentives to innovate will be diluted unless ...
Switching costs arise when transactions, learning, or pecuniary costs are incurred by a user who cha...
In this article, I introduce a distinction between two kinds of consumer switching costs: "transacti...
Consumers often incur costs when switching from one product to another. Recently there has been rene...
Consumers often incur costs when switching from one product to another. Recently there has been rene...
In a competitive environment, switching costs have two eects. First, they increase the market power ...
In a competitive environment, switching costs have two eects. First, they increase the market power ...
This paper surveys recent work on competition in markets in which consumers face costs to switching ...
This paper surveys recent work on competition in markets in which consumers face costs to switching ...
Consumers often incur costs when switching from one product to another. Recently, there has been ren...
Consumers often incur costs when switching from one product to another. Recently, there has been ren...
Consumers often incur costs when switching from one product to another. Recently, there has been ren...
Switching costs and innovation are two major issues in economics. Prior research demonstrates the ef...
Consumers often incur costs when switching from one product to another. Recently, there has been ren...
We survey recent work on competition in markets in which consumers have costs of switching between c...
Economists have long recognized that in free markets, incentives to innovate will be diluted unless ...
Switching costs arise when transactions, learning, or pecuniary costs are incurred by a user who cha...
In this article, I introduce a distinction between two kinds of consumer switching costs: "transacti...
Consumers often incur costs when switching from one product to another. Recently there has been rene...
Consumers often incur costs when switching from one product to another. Recently there has been rene...
In a competitive environment, switching costs have two eects. First, they increase the market power ...
In a competitive environment, switching costs have two eects. First, they increase the market power ...
This paper surveys recent work on competition in markets in which consumers face costs to switching ...
This paper surveys recent work on competition in markets in which consumers face costs to switching ...
Consumers often incur costs when switching from one product to another. Recently, there has been ren...
Consumers often incur costs when switching from one product to another. Recently, there has been ren...
Consumers often incur costs when switching from one product to another. Recently, there has been ren...
Switching costs and innovation are two major issues in economics. Prior research demonstrates the ef...
Consumers often incur costs when switching from one product to another. Recently, there has been ren...
We survey recent work on competition in markets in which consumers have costs of switching between c...
Economists have long recognized that in free markets, incentives to innovate will be diluted unless ...