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Enterprise Network Externality Product Pricing Strategy

Posted on:2010-09-04Degree:MasterType:Thesis
Country:ChinaCandidate:C YuFull Text:PDF
GTID:2199360275483113Subject:Quantitative Economics
Abstract/Summary:PDF Full Text Request
As the productivity grew, the demand of the consumers increased too. To meet the needs of the consumers, the manufacturers increasingly enlarged their range of products and the type. They hasn't produced one kind of product and tried to produce the multi-product. Facing with the multi-product, they have to make the multi-product pricing strategies to adjust the new environment. So multi-product manufacturers should get rid of the old ways of pricing for only one kind product, and should use the method of multi-product pricing.The other way, with network externalities existing, as the consumption of the same kind of product or service increased, the value of the product increased .That means the consumers can get more extra utilities from the network. This basic character led to the different ways for pricing of the network externalities products.With the network externalities this thesis researched the multi-product pricing strategies for both monopolist and the duopoly. And this thesis researched the situations of multi-products in one-period sales and multi-product in two-period sales. In each situation, the thesis compared the monopolist and the duopoly to highlight the advantage of the united two-period pricing strategies. Through setting a two stage-game dynamic model with perfect information, the paper got the answers for a manufacture to price best.And this thesis have five chapters in total: the first chapter is introduction.It introduced the background, the value, the current of the problem and the methods to research before. The second chapter introduced the relative theories of the network externalities and the pricing methods that the network externalities manufacture used at the present. The third chapter researched the pricing strategies for a monopolist with network externalities and multi-product in two-period sales. The forth chapter researched the pricing strategies for a duopoly with network externalities and multi-product in two-period sales. The fifth chapter used the software to imitate the virtual situation in the economic society and got the price trend.
Keywords/Search Tags:network externality, multi-product, pricing strategy
PDF Full Text Request
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