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Pricing online: The case of consumer

Xiaolin Xing (Associate Professor, Department of Economics, National University of Singapore)
Fang‐Fang Tang (Associate Professor, Department of Marketing, Chinese University of Hong Kong)

International Journal of Commerce and Management

ISSN: 1056-9219

Article publication date: 30 November 2004

Abstract

In this study, we compare the pricing behavior between online branches of traditional retailers (OBTRs) and online‐only retailers (ORs). Focusing on branded electronics sold online, we find that no significant pricing differences between ORs and OBTRs, but ORs seem to price slightly higher than OBTRs both in terms of posted‐ and full‐prices online. This result seems unique in online retail markets, contrary to the observations in the online markets of books, CDs and DVDs. The evidence also shows that both types of online retailers do not change their prices frequently, but adjustment magnitudes are large.

Keywords

Citation

Xing, X. and Tang, F. (2004), "Pricing online: The case of consumer", International Journal of Commerce and Management, Vol. 14 No. 3/4, pp. 28-40. https://doi.org/10.1108/10569210480000182

Publisher

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Emerald Group Publishing Limited

Copyright © 2004, Emerald Group Publishing Limited