Dynamic Pricing With Recommendation and Consumer Feedback
研究长期卖家如何通过定价和推荐向短期消费者销售未知价值的新产品，发现最优机制包含价格折扣和不当推荐，且定价策略受消费者反馈性质影响。
ABSTRACT A long‐lived seller sells a new product of unknown value by offering prices and recommendations to short‐lived consumers in continuous time. The seller receives consumer feedback about the product at a rate that increases with the instantaneous sales volume. The optimal selling mechanism features episodes of price discounts, during which the seller discontinuously lowers the price and offers unwarranted recommendations to consumers. The optimal pricing strategy depends on the nature of consumer feedback and may involve early or late discounts, dynamic price backtracking, and below‐cost pricing.