Achieving the Optimal Balance Between Investment in Quality and Investment in Self-Promotion for Information Products
研究了信息产品生产者面对消费者偏好变化时，如何平衡产品质量投资与广告推广投资，发现重复定位成本比率和重复销售系数决定四种策略情景，并指出产品复杂性和退货成本影响策略选择。
When producers of goods (or services) are confronted by a situation in which their offerings no longer perfectly match consumer preferences, they must determine the extent to which the advertised features of the product reflect the product's actual attributes. We find that the two important determinants of sellers' advertising strategy are the Repeg Cost Ratio, and the Repeat Sales Coefficient. The interplay of these two factors gives rise to four possible strategic scenarios. We show that sellers' strategy is clearly explainable in three out of these four scenarios. In the ambiguous fourth scenario, we show that sellers' strategy for information production goods will differ considerably from information consumption goods based on product complexity and cost of product return (borne by the buyer). Finally, we demonstrate that markets are often characterized by self-reinforcing limits on the extent of opportunistic advertising by sellers.