Emergence of product differentiation from consumer heterogeneity and asymmetric information
Trading and Market Microstructure
2009-01-06 v2 Physics and Society
General Finance
Abstract
We introduce a fully probabilistic framework of consumer product choice based on quality assessment. It allows us to capture many aspects of marketing such as partial information asymmetry, quality differentiation, and product placement in a supermarket.
Keywords
Cite
@article{arxiv.0804.1229,
title = {Emergence of product differentiation from consumer heterogeneity and asymmetric information},
author = {Linyuan Lü and Matus Medo and Yi-Cheng Zhang and Damien Challet},
journal= {arXiv preprint arXiv:0804.1229},
year = {2009}
}
Comments
12 pages, 12 figures