Technical Note—Pricing Under the Nested Attraction Model with a Multistage Choice Structure

References

• Akçay Y, Natarajan HP, Xu SH (2010) Joint dynamic pricing of multiple perishable products under consumer choice. Management Sci. 56(8):1345–1361.Link, Google Scholar
• Arcidiacono P (2005) Affirmative action in higher education: How do admission and financial aid rules affect future earnings? Econometrica 73(5):1477–1524.Crossref, Google Scholar
• Aydin G, Porteus EL (2008) Joint inventory and pricing decisions for an assortment. Oper. Res. 56(5):1247–1255.Link, Google Scholar
• Aydin G, Ryan JK (2000) Product line selection and pricing under the multinomial logit choice model. Working paper, Stanford University, Stanford, CA.Google Scholar
• Davis J, Gallego G, Topaloglu H (2014) Assortment optimization under variants of the nested logit model. Oper. Res. 62(2):250–273.Link, Google Scholar
• Dong L, Kouvelis P, Tian Z (2009) Dynamic pricing and inventory control of substitute products. Manufacturing Service Oper. Management 11(2):317–339.Link, Google Scholar
• Federgruen A, Yang N (2009) Competition under generalized attraction models: Applications to quality competition under yield uncertainty. Management Sci. 55(12):2028–2043.Link, Google Scholar
• Gallego G, Wang R (2014) Multi-product price optimization and competition under the nested logit model with product-differentiated price sensitivities. Oper. Res. 62(2):450–461.Link, Google Scholar
• Gallego G, Huh WT, Kang W, Phillips R (2006) Price competition with the attraction demand model: Existence of unique equilibrium and its stability. Manufacturing Service Oper. Management 8(4):359–375.Link, Google Scholar
• Goldberg PK (1995) Product differentiation and oligopoly in international markets: The case of the U.S. automobile industry. Econometrica 63(4):891–951.Crossref, Google Scholar
• Hanson W, Martin K (1996) Optimizing multinomial logit profit functions. Management Sci. 42(7):992–1003.Link, Google Scholar
• Hausman J, Leonard G, Zona J (1994) Competitive analysis with differenciated products. Ann. Econom. Statist./Annales d’Économie et de Statistique 34:159–180.Google Scholar
• Hopp WJ, Xu X (2005) Product line selection and pricing with modularity in design. Manufacturing Service Oper. Management 7(3):172–187.Link, Google Scholar
• Kannan P, Wright GP (1991) Modeling and testing structured markets: A nested logit approach. Marketing Sci. 10(1):58–82.Link, Google Scholar
• Karnani A (1985) Strategic implications of market share attraction models. Management Sci. 31(5):536–547.Link, Google Scholar
• Kouvelis P, Xiao Y, Yang N (2013) PBM competition in pharmaceutical supply chain: Formulary design and drug pricing. Working paper, Washington University in St. Louis, St. Louis.Google Scholar
• Li H, Huh WT (2011) Pricing multiple products with the multinomial logit and nested logit models: Concavity and implications. Manufacturing Service Oper. Management 13(4):549–563.Link, Google Scholar
• Li G, Rusmevichientong P, Topaloglu H (2015) The d-level nested logit model: Assortment and price optimization problems. Oper. Res. 63(2):325–342.Link, Google Scholar
• Maddah B, Bish EK (2007) Joint pricing, assortment, and inventory decisions for a retailer’s product line. Naval Res. Logist. 54(3):315–330.Crossref, Google Scholar
• McFadden D (1978) Modelling the choice of residential location. Karlquist A, Lundqvist L, Snickars F, Weibull JW, eds. Spatial Interaction Theory and Planning Models (North-Holland, Amsterdam), 75–96.Google Scholar
• McFadden D (1986) The choice theory approach to market research. Marketing Sci. 5(4):275–297.Link, Google Scholar
• Monahan G (1987) Strategic implications of market share attraction models. Management Sci. 33(2):228–243.Link, Google Scholar
• Naert P, Bultez A (1973) Logically consistent market share models. J. Marketing Res. 10(3):334–340.Crossref, Google Scholar
• Naert P, Weverbergh M (1981) On the prediction power of market share attraction models. J. Marketing Res. 18(2):146–153.Crossref, Google Scholar
• Nicolau J, Más F (2008) Sequential choice behavior: Going on vacation and type of destination. Tourism Management 29(5):1023–1034.Crossref, Google Scholar
• Rayfield W, Rusmevichientong P, Topaloglu H (2015) Approximation methods for pricing problems under the nested logit model with price bounds. INFORMS J. Comput. 27(2):335–357.Link, Google Scholar
• Song J-S, Xue Z (2007) Demand management and inventory control for substitutable products. Working paper, Duke University, Durham, NC.Google Scholar
• Su X (2008) Bounded rationality in newsvendor models. Manufacturing Service Oper. Management 10(4):566–589.Link, Google Scholar
• Thurner P, Eymann A (2000) Policy-specific alienation and indifference in the calculus of voting: A simultaneous model of party choice and abstention. Public Choice 102(1/2):51–77.Crossref, Google Scholar