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- W3173688344 abstract "I study a model that looks at causes, characteristics and consequences of loyalty schemes in a market with consumers who suffer from self-control problems (Gul and Pesendorfer, 2001). While the literature has mostly focused on loyalty schemes as tools used by firms to compete (Caminal and Claici, 2007) or increase consumers' lifetime value (Caminal, 2012), I look at how a seller can use them to acquire information about consumers' preferences and gain the ability to price discriminate when she has no control over quantity. I show how the more precise is the information acquired, the more the equilibrium converges to first-best. Finally, I derive necessary and sufficient conditions for all consumers to optimally disclose their type. These coincide with the conditions for first best to be fully restored." @default.
- W3173688344 created "2021-07-05" @default.
- W3173688344 creator A5076140348 @default.
- W3173688344 date "2016-01-23" @default.
- W3173688344 modified "2023-09-27" @default.
- W3173688344 title "Price Discrimination in the Retailing Industry: Inducing Consumers to Reject the Loyalty Card" @default.
- W3173688344 hasPublicationYear "2016" @default.
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