publication . Article . 2001

Electronic Tickets, Smart Cards, and Online Prepayments: When and How to Advance Sell

Name: Electronic Tickets, Smart Cards, and Online Prepayments: When and How to Advance Sell
Keywords: Pricing, Advance Selling, Advance Pricing, Tickets, State-Dependent Utility, Services Marketing, Dynamic Pricing

Jinhong Xie; Steven M. Shugan;

Open Access

Published: 01 Jan 2001 Journal: Marketing Science, volume 20, pages 219-243 (issn: 0732-2399, eissn: 1526-548X,

Publisher: Institute for Operations Research and the Management Sciences (INFORMS)

Summary

Abstract

Advance selling occurs when sellers allow buyers to purchase at a time preceding consumption (Shugan and Xie 2000). Electronic tickets, smart cards, online prepayments, and other technological advances make advance selling possible for many, if not all, service providers. These technologies lower the cost of making complex transactions at a greater distance from the seller's site. They also give sellers more control over advance selling by decreasing arbitrage. As technology enhances the capability to advance sell, more academic attention is vital. This paper strives to exploit these technologies by developing advance-selling strategies. Until recently, advance-...

doi: 10.1287/mksc.20.3.219.9765

Subjects

ACM Computing Classification System: TheoryofComputation_MISCELLANEOUSComputingMilieux_COMPUTERSANDSOCIETY

free text keywords: Pricing, Advance Selling, Advance Pricing, Tickets, State-Dependent Utility, Services Marketing, Dynamic Pricing, Dynamic pricing, Economics, Price discrimination, Microeconomics, Risk aversion, Profitability index, Spot contract, Economic surplus, Risk premium, Marginal cost

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