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dc.contributor.authorHackl, Franzen_US
dc.contributor.authorKummer, Michael E.en_US
dc.contributor.authorWinter-Ebmer, Rudolfen_US
dc.date.accessioned2010-05-07en_US
dc.date.accessioned2010-05-31T14:41:43Z-
dc.date.available2010-05-31T14:41:43Z-
dc.date.issued2010en_US
dc.identifier.urihttp://hdl.handle.net/10419/32788-
dc.description.abstractBasu (2006) argues that the prevalence of 99 cent prices in shops can be explained with rational consumers who disregard the rightmost digits of the price. This bounded rational behaviour leads to a Bertrand equilibrium with positive markups. We use data from an Austrian price comparison site and find results highly compatible with Basu's theory. We can show that price points - in particular prices ending in 9 - are prevalent and have significant impact on consumer demand. Moreover, these price points are sticky; neither the price-setter itself wants to change them neither the rivals do underbid these prices, if they represent the cheapest price on the market.en_US
dc.language.isoengen_US
dc.publisherZentrum für Europäische Wirtschaftsforschung (ZEW) Mannheimen_US
dc.relation.ispartofseriesZEW Discussion Papers 10-022en_US
dc.subject.jelL11en_US
dc.subject.jelD41en_US
dc.subject.jelC41en_US
dc.subject.ddc330en_US
dc.subject.keywordCompetitive Behaviouren_US
dc.subject.keywordPricing Behaviouren_US
dc.subject.keywordE-Commerceen_US
dc.subject.keywordPricing in the Ninesen_US
dc.subject.keywordFocal Pricingen_US
dc.subject.stwPreiswettbewerben_US
dc.subject.stwBetriebliche Preispolitiken_US
dc.subject.stwKonsumentenverhaltenen_US
dc.subject.stwE-Businessen_US
dc.subject.stwÖsterreichen_US
dc.title99 cent: Price points in e-commerceen_US
dc.typeWorking Paperen_US
dc.identifier.ppn625712935en_US
dc.rightshttp://www.econstor.eu/dspace/Nutzungsbedingungen-
dc.identifier.repecRePEc:zbw:zewdip:10022-
Appears in Collections:Publikationen von Forscherinnen und Forschern des ZEW
ZEW Discussion Papers

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