How Advance Sales Can Reduce Profits: When to Buy, When to Sell, and What Price to Charge
Published Online:10 May 2023https://doi.org/10.1287/msom.2023.1218
References
- Afeche A (2013) Incentive-compatible revenue management in queueing systems: Optimal strategic delay. Manufacturing Service Oper. Management 15(3):423–443.Google Scholar
- (2013) Pricing, replenishment, and timing of selling in a market with heterogeneous customers. Internat. J. Production Econom. 145:672–682.Crossref, Google Scholar
- (2019) Strategic inventories under limited commitment. RAND J. Econom. 50:695–729.Google Scholar
- (2008) Optimal pricing of seasonal products in the presence of forward-looking consumers. Manufacturing Service Oper. Management 10:339–359.Link, Google Scholar
- (1990) Optimal price skimming by a monopolist facing rational consumers. Management Sci. 36:555–567.Link, Google Scholar
- (2004) Some evidence on the importance of sticky prices. J. Political Econom. 112:947–985.Crossref, Google Scholar
- (2011) Pricing services subject to congestion: Charge per-use fees or sell subscriptions. Manufacturing Service Oper. Management 13:244–260.Link, Google Scholar
- (2009) Purchasing, pricing, and quick response in the presence of strategic consumers. Management Sci. 55:497–511.Link, Google Scholar
- (2019) Joint pricing and inventory management with strategic customers. Oper. Res. 67:1610–1627.Link, Google Scholar
- (2020) Synchronizing pricing and replenishment to serve forward-looking customers. Naval Res. Logist. 67:321–333.Crossref, Google Scholar
- (1996) On the Lambert W function. Adv. Comput. Math. 5:329–359.Crossref, Google Scholar
- (1995) Buying frenzies and seller-induced excess demand. RAND J. Econom. 26:331–342.Crossref, Google Scholar
- (2019) Uniform pricing in U.S. retail chains. Quart. J. Econom. 134:2011–2084.Crossref, Google Scholar
- (2012) The market for real estate presales: A theoretical approach. J. Real Estate Finance Econom. 45:30–48.Crossref, Google Scholar
- (2008) Designing optimal preannounced markdowns in the presence of rational customers with multiunit demands. Manufacturing Service Oper. Management 10:126–148.Link, Google Scholar
- (1984) Why do retailers deal? An inventory explanation. J. Bus. 57:519–530.Crossref, Google Scholar
- (2008) Strategic management of distressed inventory. Production Oper. Management 17:402–415.Crossref, Google Scholar
- (2006) Dynamic mechanism design for online commerce. Oper. Res. 54:291–310.Link, Google Scholar
- (1982) On the economics of subscriptions. Eur. Econom. Rev. 19:343–356.Crossref, Google Scholar
- (1986) A deterministic single-item inventory model with seller holding cost and buyer holding and shortage costs. Oper. Res. 34:613–618.Link, Google Scholar
- (1990) Optimal sales to users who hold inventory. Econom. Lett. 34:215–220.Crossref, Google Scholar
- (2020) Dynamic pricing for heterogeneous time-sensitive customers. Manufacturing Service Oper. Management 22:562–581.Link, Google Scholar
- Hassin R (2016) Rational Queueing (CRC Press, Boca Raton, FL).Google Scholar
- Huchzermeier A, Iver A, Freiheit J (2002) The supply chain impact of smart customers in a promotional environment. Manufacturing Service Oper. Management 4(3):171–240.Google Scholar
- (2017) Dynamic pricing in the presence of myopic and strategic consumers: Theory and experiment. Production Oper. Management 26:116–133.Crossref, Google Scholar
- (2013) Advance demand information, price discrimination, and preorder strategies. Manufacturing Service Oper. Management 15:57–71.Link, Google Scholar
- (2008) Strategic capacity rationing to induce early purchases. Management Sci. 54:1115–1131.Link, Google Scholar
- (1977) Inflation and costs of price adjustment. Rev. Econom. Stud. 44:287–303.Crossref, Google Scholar
- (2000) Advance pricing of services and other implications of separating purchase and consumption. J. Service Res. 2:227–239.Crossref, Google Scholar
- (2017) On the impact of uncertain cost reduction when selling to strategic customers. Management Sci. 63:843–860.Link, Google Scholar
- (2019) Welfare implications of inventory-driven dynamic pricing. Management Sci. 65:5741–5765.Link, Google Scholar
- (2007) Inter-temporal pricing with strategic customer behavior. Management Sci. 53:726–741.Link, Google Scholar
- (2010) Optimal pricing with speculators and strategic consumers. Management Sci. 56(1):25–40.Link, Google Scholar
- Su X, Zhang F (2009) On the value of commitment and availability guarantees when selling to strategic consumers. Management Sci. 55(5):713–726.Google Scholar
- (2015) Advance selling: Effects of interdependent consumer valuations and seller’s capacity. Management Sci. 61:2100–2117.Link, Google Scholar
- (2008) Managing clearance sales in the presence of strategic customers. Production Oper. Management 17:416–431.Crossref, Google Scholar
- (2019) Inventory decisions in the presence of strategic customers: Theory and behavioral evidence. Production Oper. Management 28:374–392.Crossref, Google Scholar

