Tongqing Chen

Jul 31, 2024 | onlinelibrary.wiley.com | Tongqing Chen |William Cooper

1 INTRODUCTION A product displays network effects if it has the property that individual customers value it more when more other customers have purchased it. In this paper, we consider a dynamic pricing problem for a product that exhibits network effects. The pricing problem takes as input a model of demand for the product in question. The model has a fixed population of individual customers, each of whom may be interested in purchasing the product at most once.