Implications of the internet for pricing across borders

4 important questions on Implications of the internet for pricing across borders

Reduction of asymmetric information between sellers and buyers (lock-in effects):

Customers are not always as price-sensitive. It seems that they are also prepared to pay more to use a reputable seller and will pay more if they have previously visited the seller's website.

What is the definition of duel-channel strategy:

Traditional retail (physical) stores and online channel at the same time

Mention the three options of implementing pricing strategies:

  1. Fixed price mechanism
  2. auction mechanism
  3. negotiated price mechanism
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Dynamic an time-based pricing:

Ability to offer special deals tailored specifically for individual customers on all types of products and services.

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