search query: @indexterm TARIFFS / total: 286
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| Author: | Kolay, S. Shaffer, G. |
| Title: | Bundling and menus of two-part tariffs |
| Journal: | Journal of Industrial Economics
2003 : JUN, VOL. 51:2, p. 383-403 |
| Index terms: | Bundling Consumer behaviour Tariffs |
| Language: | eng |
| Abstract: | Inducing self-selection among different segments of consumers is an important issue in pricing. Some companies induce self-selection by offering a menu of two-part tariffs (e.g., different rate plans) and letting consumers select the tariff and quantity they prefer. Other companies induce self-selection by offering a menu of price-quantity bundles (e.g. different package sizes) and letting consumers select form among these bundles. It is shown that bundling is more profitable absent cost considerations. |
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