JOURNAL ARTICLE

Two‐stage pricing of products and services considering different competitive environments.

  • Published In: International Transactions in Operational Research, 2025, v. 32, n. 3. P. 1641 1 of 3

  • Database: Business Source Ultimate 2 of 3

  • Authored By: Qi, Wei; Li, Ziwei; Liu, Xuwang 3 of 3

Abstract

Designing a product line that considers value‐added services (VASs) is a strategic move for enterprises with diversified customer needs. Additionally, a dynamic pricing strategy that can respond to changes in the external environment is crucial for enterprises. This study investigates product and VAS price adjustments for enterprises in monopolistic and oligopolistic competitive environments, respectively, based on the multinomial logit model. A two‐stage pricing model is developed for products and services to obtain the optimal pricing strategy. The findings reveal that customers' strategic behaviors significantly impact on enterprises' pricing decisions. When adjusting prices, enterprises need to consider the strategic behaviors of customers to ensure the rationality of pricing. Furthermore, irrespective of the competitive environment faced by enterprises, there is a need to emphasize the importance of dynamic pricing. Making appropriate adjustments to prices in the second stage can, overall, enhance the profitability of the enterprise. [ABSTRACT FROM AUTHOR]

Additional Information

  • Source:International Transactions in Operational Research. 2025/05, Vol. 32, Issue 3, p1641
  • Document Type:Article
  • Subject Area:Politics and Government
  • Publication Date:2025
  • ISSN:0969-6016
  • DOI:10.1111/itor.13520
  • Accession Number:181517421
  • Copyright Statement:Copyright of International Transactions in Operational Research is the property of Wiley-Blackwell 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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