JOURNAL ARTICLE

A Dynamic Analysis of a Monopolist's Perceived Quality with Product Innovation and Reference Price.

  • Published In: Asia-Pacific Journal of Operational Research, 2025, v. 42, n. 2. P. 1 1 of 3

  • Database: Business Source Ultimate 2 of 3

  • Authored By: Li, Shoude; Chenavaz, Régis Y. 3 of 3

Abstract

In this paper, we develop a dynamic analysis model to investigate a monopolist's perceived quality with product innovation and reference price effects, in which price and reference price are used both as a signal of quality, while product quality and advertising effort are used only as a signaling device. We show that (i) the stability of steady-state equilibrium depends on the admissible parameters; (ii) there is always a fixed proportional relationship between the efforts for product innovation and improving perceived quality; (iii) there is always a positive relationship between the price and product quality (or price and perceived quality; price and reference price). [ABSTRACT FROM AUTHOR]

Additional Information

  • Source:Asia-Pacific Journal of Operational Research. 2025/04, Vol. 42, Issue 2, p1
  • Document Type:Article
  • Subject Area:Business and Management
  • Publication Date:2025
  • ISSN:0217-5959
  • DOI:10.1142/S0217595925500071
  • Accession Number:184275103
  • Copyright Statement:Copyright of Asia-Pacific Journal of Operational Research is the property of World Scientific Publishing Company and its content may not be copied or emailed to multiple sites without the copyright holder's express written permission. Additionally, content may not be used with any artificial intelligence tools or machine learning technologies. However, users may print, download, or email articles for individual use. This abstract may be abridged. No warranty is given about the accuracy of the copy. Users should refer to the original published version of the material for the full abstract. (Copyright applies to all Abstracts.)

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