Abstract
What’s the price of your product? In the past, one would probably assume that by your we mean the product you are selling. With the advent of massive information regarding prospective consumers, we are approaching an era in which your is more likely to stand for the product you are buying.
Firms want to maximize profits, and if they are constrained to charge a single price for every potential consumer, they might leave money on the table. However, if a customer reveals her willingness to pay (the key concept in this chapter), sellers may charge different prices to different people for the same goods or services.
Firms want to maximize profits, and if they are constrained to charge a single price for every potential consumer, they might leave money on the table. However, if a customer reveals her willingness to pay (the key concept in this chapter), sellers may charge different prices to different people for the same goods or services.
| Original language | English |
|---|---|
| Title of host publication | The Cambridge Handbook of Algorithmic Price Personalization and the Law |
| Editors | Fabrizio Esposito, Mateusz Grochowski |
| Publisher | European Psychiatric Association | Cambridge University Press |
| Pages | 50-64 |
| ISBN (Electronic) | 9781009367912 |
| ISBN (Print) | 9781009367899 |
| DOIs | |
| Publication status | Published - 27 Mar 2025 |