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- W2991127404 abstract "Online platforms, such as Airbnb, hotels.com , Amazon, Uber and Lyft, can control and optimize many aspects of product search to improve the efficiency of marketplaces. Here we focus on a common model, called the discriminatory control model, where the platform chooses to display a subset of sellers who sell products at prices determined by the market and a buyer is interested in buying a single product from one of the sellers. Under the commonly-used model for single product selection by a buyer, called the multinomial logit model, and the Bertrand game model for competition among sellers, we show the following result: to maximize social welfare, the optimal strategy for the platform is to display all products; however, to maximize revenue, the optimal strategy is to only display a subset of the products whose qualities are above a certain threshold. This threshold depends on the quality of all products, and can be computed in linear time in the number of products." @default.
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- W2991127404 date "2019-01-01" @default.
- W2991127404 modified "2023-10-16" @default.
- W2991127404 title "Optimal Search Segmentation Mechanisms for Online Platform Markets" @default.
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- W2991127404 doi "https://doi.org/10.1007/978-3-030-35389-6_22" @default.
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