【主讲】Babu Nahata (University of Louisville)
【主题】Profitability of pay-what-you-like pricing
【时间】2011年3月22日 (周二) 15：30-17：00
【地点】上海财经大学经济学院楼801室
【语言】英文
【摘要】This paper considers a pricing strategy where consumers choose their own price including zero. Our analysis shows that in this pay-what-you-like pricing strategy in spite of the option to free-ride, all consumers do not free-ride. Even more surprising, we show that, under low marginal cost and for a low demand elasticity range, when consumers are willing to share their surplus with the seller, pay-what-you-like pricing can achieve higher profits for the seller when compared to uniform pricing. When price setting is costly and price discrimination is not feasible, the pay-what-you-like option can serve as an alternative method to practice a form of price discrimination that mimics first-degree, but without incurring the cost associated with screening consumer types.
