NDLI: Advertising and pricing strategy in diffusion of network products

Content Provider	IEEE Xplore Digital Library
Author	Cai Dong-Song
Copyright Year	2008
Description	Author affiliation: Sch. of Manage., Jilin Univ., Changchun (Cai Dong-Song)
Abstract	This paper studies duopolistic strategies for informative advertising and pricing with network externalities. Advertising and pricing are important marketing determinants for successful diffusion of network products, which exhibit different characteristics in respect to compatibility. It is shown that both advertising densities and prices for compatible products are less than for incompatible ones in pure-strategy equilibrium. The stronger the network effect, the lower the advertising density of incompatible goods, and the weaker the advertising incentive. Prices of both compatible and incompatible products decrease with advertising density, but the equilibrium price of incompatible products is lower than that of compatible ones. In addition, Compatibility optimizes the social welfare and firms' revenue, but reduces consumer surplus. Incompatible firms would lower the level of advertising and charge higher price for profits.
Starting Page	1
Ending Page	5
File Size	126288
Page Count	5
File Format	PDF
ISBN	9781424421077
DOI	10.1109/WiCom.2008.2212
Language	English
Publisher	Institute of Electrical and Electronics Engineers, Inc. (IEEE)
Publisher Date	2008-10-12
Publisher Place	China
Access Restriction	Subscribed
Rights Holder	Institute of Electrical and Electronics Engineers, Inc. (IEEE)
Subject Keyword	Computer aided instruction Costs Pricing Standardization Computer industry Computer networks Hardware Telecommunications Computer network management Advertising
Content Type	Text
Resource Type	Article

Sl.	Authority	Responsibilities	Communication Details
1	Ministry of Education (GoI), Department of Higher Education	Sanctioning Authority	https://www.education.gov.in/ict-initiatives
2	Indian Institute of Technology Kharagpur	Host Institute of the Project: The host institute of the project is responsible for providing infrastructure support and hosting the project	https://www.iitkgp.ac.in
3	National Digital Library of India Office, Indian Institute of Technology Kharagpur	The administrative and infrastructural headquarters of the project	Dr. B. Sutradhar bsutra@ndl.gov.in
4	Project PI / Joint PI	Principal Investigator and Joint Principal Investigators of the project	Dr. B. Sutradhar bsutra@ndl.gov.in Prof. Saswat Chakrabarti will be added soon
5	Website/Portal (Helpdesk)	Queries regarding NDLI and its services	support@ndl.gov.in
6	Contents and Copyright Issues	Queries related to content curation and copyright issues	content@ndl.gov.in
7	National Digital Library of India Club (NDLI Club)	Queries related to NDLI Club formation, support, user awareness program, seminar/symposium, collaboration, social media, promotion, and outreach	clubsupport@ndl.gov.in
8	Digital Preservation Centre (DPC)	Assistance with digitizing and archiving copyright-free printed books	dpc@ndl.gov.in
9	IDR Setup or Support	Queries related to establishment and support of Institutional Digital Repository (IDR) and IDR workshops	idr@ndl.gov.in

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