English, Article edition: Marketing an Upgrade for a Durable Good: How Does Information Limit Price Discrimination Opportunities? Begona Garcia-Marinoso

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Physical Description
  • article
Language
  • English

Edition details

Title
  • Marketing an Upgrade for a Durable Good: How Does Information Limit Price Discrimination Opportunities?
Author
  • Begona Garcia-Marinoso
Physical Description
  • article
Notes
  • This paper analyzes the different ways in which an innovator can market an upgrade for a basic system when the market for this system is mature and there are two different technological platforms: the innovator's and a rival's. Different compatibility choices result in different product lines and yield varying price discrimination opportunites. The paper studies what are the limits to the enforcement of these opportunities and concludes by showing what is the profit maximising product line choice when consumers are brand loyal. This choice depends on the initial market share of the innovator and on the enhancement of quality that the upgrade provides.
  • Compatibility, bundling, price discrimination, product differentiation
  • RePEc:ccp:journl:v:13:y:2001:p:377-392
Language
  • English
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