scholarly journals The Price Dispersion of Consumer Products

2021 ◽  
Vol 7 (4) ◽  
pp. p1
Author(s):  
Joachim Kaldasch ◽  
Antonios Koursovitis
Keyword(s):  
Dynamic Model ◽  
Empirical Data ◽  
Price Dispersion ◽  
Laplace Distribution ◽  
Quantitative Agreement ◽  
Conservation Equation ◽  
Consumer Products ◽  
Dirac Delta ◽  
Price Distribution ◽  
Free Parameters

Presented is an analytic dynamic model of the price dispersion of consumer products. The theory is based on the idea that sellers offer product units for a profit maximizing price, denoted pm. Product units not sold at pm are called excess units. Based on the conservation equation of offered units, it can be shown that the stationary price distribution of consumer products consists of a Dirac-delta peak at pm surrounded by a fat-tailed Laplace distribution from the excess units. A good quantitative agreement with empirical data can be obtained with a fit of the two free parameters of the theory.

How Price Dispersion Changes When Upgrades Are Introduced: Theory and Empirical Evidence from the Airline Industry

2019 ◽  
Vol 65 (8) ◽  
pp. 3835-3852 ◽  
Author(s):  
Yao Cui ◽  
A. Yeşim Orhun ◽  
Izak Duenyas
Keyword(s):  
Operations Management ◽  
Airline Industry ◽  
Price Dispersion ◽  
Consumer Welfare ◽  
Data Set ◽  
Differentiation Strategy ◽  
Valuation Effect ◽  
Price Distribution ◽  
The One ◽  
The Impact

This paper studies the effect of introducing a new vertical differentiation strategy, paying for an upgrade to a premium product after purchasing the base product, on the price dispersion of the base product arising from existing price discrimination strategies. In particular, we examine how a major U.S. airline’s price dispersion in the coach cabin changes after introducing the option to upgrade to a new type of premium economy seating within the coach cabin. We first provide a theoretical analysis that highlights two competing pressures that the new premium economy seating upgrades created on coach class prices. On the one hand, the airline benefits from lowering its prices because by allowing more customers to purchase in the first place, it increases the probability of selling upgrades (admission effect). On the other hand, for some customers, the value of flying with the airline increases because of the upgrade availability, therefore the airline may find it optimal to increase its prices (valuation effect). In the second part of the paper, we conduct an empirical investigation of the impact of upgrade introduction on coach class prices, based on a proprietary transaction-level data set from a major U.S. airline company. The empirical analysis tests the main predictions of our theoretical model and examines further nuances. The results show that the introduction of the premium economy seating upgrades is associated with an increase in the price dispersion and revenues in the coach class, the admission effect is stronger than the valuation effect on the low end of the price distribution, and the opposite is true on the high end of the price distribution. Finally, we discuss implications of our results for firm revenues and consumer welfare. This paper was accepted by Serguei Netessine, operations management.

scholarly journals Die metodiek en aanwendingsmoontlikhede van 'n markprysbepalingsmetode by onduursame verbruikersgoedere

1982 ◽  
Vol 13 (1) ◽  
pp. 28-37
Author(s):  
Chris P. Lerm
Keyword(s):  
Empirical Data ◽  
Return On Investment ◽  
Empirical Investigation ◽  
Market Price ◽  
Consumer Products ◽  
Need Satisfaction ◽  
New Method ◽  
Rate Of Return ◽  
Target Price

The methodology and applicability of a method to determine the market price of non-durable consumer products Proper pricing should be done in three phases. Firstly, the determination of the market price, namely that price which the consumers are prepared to pay for the amount of need-satisfaction they perceive from using the product. Secondly, the determination of the target price, namely that price which will give a satisfactory rate of return on investment for the firm. Thirdly, the determination of the final price, by achieving a match between the market price and the target price. The present methods to determine the market price were analysed and with this information a new method to determine the market price of non-durable consumer products was developed. The objectives of this article are to report on an empirical investigation undertaken to test the feasibility of this method and the seven steps to follow in using the method; and to outline the results obtained and conclusions which may be reached; the implications and use of the empirical data; and the method to determine the market price.

Dynamic Simulation and Test for the Valve Train Dynamics

2011 ◽  
Vol 117-119 ◽  
pp. 15-19 ◽  
Author(s):  
Cai Yun Guan ◽  
You Ming Chen ◽  
Wen Jie Qin
Keyword(s):  
Dynamic Model ◽  
Contact Stiffness ◽  
Quantitative Agreement ◽  
Measured Data ◽  
Valve Train ◽  
Parameter Determination ◽  
Cam Follower ◽  
Train Dynamics ◽  
Simulation Results

This paper presents the development of a dynamic model of the valve train of one engine. During the parameter determination of the model, finite element method is used to calculate the contact stiffness of the cam-follower . The simulation results of the model are compared with measured data of the valve train at same speed. Excellent quantitative agreement is found between the numerical and experimental results and the validity of the dynamic model can be verified.

scholarly journals A Thermodynamic Formulation of Home Prices in a Monocentric City

2020 ◽  
pp. 2050005
Author(s):  
Peter Tsung-Wen Yen ◽  
Mikhail Filippov ◽  
Siew Ann Cheong
Keyword(s):  
Housing Price ◽  
Central Business District ◽  
Transportation Cost ◽  
Quantitative Agreement ◽  
Equilibrium Theory ◽  
Economic Segregation ◽  
High Rise ◽  
Price Distribution ◽  
Business District ◽  
Distance Formula

In this work, we proposed a theoretical framework inspired by physical thermodynamics to explain the housing price distributions in monocentric cities. In the same spirit as the Alonso–Muth–Mills (AMM) model, we assume that the disposable income [Formula: see text] after renting a home a distance [Formula: see text] from the center of a city is determined by the wage [Formula: see text] generated at the point-like Central Business District (CBD), the rent [Formula: see text], and the transportation cost [Formula: see text]. Unlike in the AMM model, where the scaling exponents are phenomenological, we admitted only physically reasonable exponents for the scaling of various quantities with distance [Formula: see text] from the CBD. We then determine the equilibrium rent [Formula: see text] by requiring [Formula: see text], where we assumed for simplicity the utility function [Formula: see text] (representing the demand side) has diminishing return in [Formula: see text]. In the simplest model, the equilibrium rent is given by [Formula: see text], i.e., the scaling of [Formula: see text] with [Formula: see text] is entirely determined by [Formula: see text]. We then introduce additional home availability [Formula: see text] (representing the supply side) into the simple theory in the form of an entropic correction, [Formula: see text]. The equilibrium rent then becomes [Formula: see text]. This allows us to treat additional availability due to the two-dimensional nature of cities, as well as that due to high-rise buildings on equal footing. Finally, we compare the equilibrium theory against urban data in Singapore, London and Philadelphia. For Singapore, we find quantitative agreement between theory and data. For London, we find only qualitative agreement between theory and data because the transportation cost is zone based. For Philadelphia, the home price distribution is very different from Singapore and London, and shows clear signs of economic segregation, which is difficult to treat in our equilibrium theory.

scholarly journals Bouncing Cosmology in f G , T Gravity with Logarithmic Trace Term

2021 ◽  
Vol 2021 ◽  
pp. 1-12
Author(s):  
M. Farasat Shamir
Keyword(s):  
Equations Of State ◽  
Graphical Analysis ◽  
Conservation Equation ◽  
Energy Conditions ◽  
Accelerating Universe ◽  
Shift Function ◽  
Constraint Equations ◽  
Bouncing Cosmology ◽  
Strong Energy ◽  
Free Parameters

This study is devoted to explore bouncing cosmology in the context of f G , T theory of gravity. For this purpose, a Gauss–Bonnet cosmological model with logarithmic trace term is considered. In particular, the possibility of obtaining bouncing solutions by considering two equations of state parameters is investigated. A graphical analysis is provided for analyzing the obtained bouncing solutions. The energy conditions are discussed in detail. It is interesting to notice that null and strong energy conditions are violated near the neighborhood of bouncing points justifying the accelerating universe in the light of the recent observational data. The behavior of the scale factor, red shift function, deceleration parameter, and Hubble parameter is also debated. An important feature of the current study is the discussion of conservation equation in f G , T gravity. The possibility of some suitable constraint equations which recover the standard conservation equation is discussed, and all the free parameters are assumed accordingly. All the results in this study suggest that the proposed f G , T gravity model provides good bouncing solutions with the chosen EoS parameters.

Academic Freedom and the Standards of Behavior

2007 ◽  
pp. 80-93 ◽  
Author(s):  
Ya. Kouzminov ◽  
M. Yudkevich
Keyword(s):  
Academic Freedom ◽  
Dynamic Model ◽  
Future Development ◽  
Educational System ◽  
Empirical Data ◽  
University Management ◽  
Current State ◽  
The Future ◽  
The Relationship

The article analyzes the activity of university lecturer and researcher and the need for special mechanisms providing its efficiency. The authors consider academic freedom as a parameter of the university’s environment and discuss the convention regulating the relationship between lecturers and university management. The factors of the destruction of this convention are analyzed. The dynamic model of the lecturers’ behavior is proposed and two scenarios for the future development ("teaching ratchet" and "academic ratchet") as well as the factors of choice between them are discussed. The empirical data on the development and current state of the Russian educational system is also taken into account.

Empirical Analysis of Transformers in the Development of a Storyboarding Methodology

2009 ◽  
Author(s):  
Dennis Wang ◽  
Rachel Kuhr ◽  
Kristen Kaufman ◽  
Richard Crawford ◽  
Kristin L. Wood ◽  
...  
Keyword(s):  
Empirical Analysis ◽  
Empirical Data ◽  
Design Theory ◽  
Consumer Products ◽  
New Method ◽  
Data Set ◽  
Multiple Functions ◽  
The Creation ◽  
Change State

Transforming products, or more generally transformers, are devices that change state in order to facilitate new, or enhance an existing, functionality. Mechanical transformers relate to products that reconfigure and can be advantageous by providing multiple functions, while often conserving space. A basic example is a foldable chair that can be stowed when not in use, but provides ergonomic and structural seating when deployed. Utilizing transformation can also lead to novel designs that combine functions across domains, such as an amphibious vehicle that provides both terrestrial and aquatic transportation. In order to harness these assets of transformation, the Transformational Design Theory [1] was developed. This theory outlines a set of principles and facilitators that describe and embody transformation for the purpose of systematically assisting the design of transformers. To build on this theory, this paper analyzes a repository of popular transformer toys. Transformer toys are chosen for this study because of their richness in displaying a variety of kinematic aspects of transformation. Through this process, new definitions to describe transformation are garnered and a set of guidelines are developed to further aid designers. The empirical data set of transformer toys is rich in information and provides a basis for application to other fields, such as robotics and consumer products. These insights, in conjunction with the use of storyboarding, create a new method of designing transformers. This paper presents the method and concludes with a validation exercise in the creation of a new transformer toy.

On Importance of the Surface Charge Transport Equation in Numerical Simulation of Drop Deformation in a Direct Current Field

2018 ◽  
Vol 140 (12) ◽  
Author(s):  
Mohammadali Alidoost ◽  
Ahmad Reza Pishevar
Keyword(s):  
Dynamic Model ◽  
Transient Behavior ◽  
Conservation Equation ◽  
Uniform Electric Field ◽  
Drop Deformation ◽  
Physical Parameters ◽  
Effective Parameters ◽  
Charge Conservation ◽  
Dielectric Fluids ◽  
Drop Interface

In the present study, the deformation of a droplet is numerically modeled by considering the dynamic model for electric charge migration at the drop interface under the effect of a uniform electric field. The drop and its ambient are both considered behaving as leaky dielectric fluids. Solving the charge conservation equation at the interface, which is the most important part of this study, the effect of conduction and convection of charges on different deformation modes will be explored. In this work, the interface is followed by the level set method and the ghost fluid method (GFM) is used to model the jumps at the interface. Physical properties are also chosen in a way that solving the charge conservation equation becomes prominent. The small drop deformation is investigated qualitatively by changing various effective parameters. In cases, different patterns of charges and flows are observed indicating the importance of electric charges at the interface. It is also shown that the transient behavior of deformation parameter can be either a monotonic or a nonmonotonic approach toward the steady-state. Moreover, large drop deformations are studied in different ranges of capillary numbers. It will be shown that for the selected range of physical parameters, considering the dynamic model of electric charges strongly affects the oblate deformation. Nevertheless, for the prolate deformation, the results are approximately similar to those obtained from the static model.

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