Strategic benefits of Internet referral services
ICEC '03 Proceedings of the 5th international conference on Electronic commerce
Managing electronic commerce retail transaction costs for customer value
Decision Support Systems
Search and Collusion in Electronic Markets
Management Science
Buyer Search Costs and Endogenous Product Design
Marketing Science
Online Consumer Search Depth: Theories and New Findings
Journal of Management Information Systems
Journal of Management Information Systems
Beyond the Hype of Frictionless Markets: Evidence of Heterogeneity in Price Rigidity on the Internet
Journal of Management Information Systems
Journal of Management Information Systems
International Journal of Electronic Commerce
International Journal of Electronic Commerce
Market Segmentation Within Consolidated E-Markets: A Generalized Combinatorial Auction Approach
Journal of Management Information Systems
International Journal of Electronic Commerce
Advance selling and internet intermediary: travel distribution strategies in the e-commerce age
Proceedings of the ninth international conference on Electronic commerce
A comparative analysis of online grocery pricing in Singapore
Electronic Commerce Research and Applications
The Road More Travelled: Web Traffic and Price Competition in Internet Retailing
Electronic Markets - 'eValues'
Journal of Theoretical and Applied Electronic Commerce Research
Manufacturers' Distribution Strategy in the Presence of the Electronic Channel
Journal of Management Information Systems
Journal of Management Information Systems
Consumer selection of E-commerce websites in a B2C environment: a discrete decision choice model
IEEE Transactions on Systems, Man, and Cybernetics, Part A: Systems and Humans
Electronic Commerce Research and Applications
Using Transaction Prices to Re-Examine Price Dispersion in Electronic Markets
Information Systems Research
No Free Lunch: Price Premium for Privacy Seal-Bearing Vendors
Journal of Management Information Systems
Oligopolistic Pricing with Online Search
Journal of Management Information Systems
Online and Offline Demand and Price Elasticities: Evidence from the Air Travel Industry
Information Systems Research
Tabulated decision aids and airfare pricing
Electronic Commerce Research and Applications
Pricing for shipping services of online retailers: Analytical and empirical approaches
Decision Support Systems
Comparison shopping agents and online price dispersion: a search cost based explanation
Journal of Theoretical and Applied Electronic Commerce Research
Research Note---Online Price Dispersion: A Game-Theoretic Perspective and Empirical Evidence
Information Systems Research
Oligopolistic Pricing with Online Search
Journal of Management Information Systems
Competitive Shopbots-Mediated Markets
ACM Transactions on Economics and Computation
Hi-index | 0.01 |
Previous research has examined whether price dispersion exists in theoretically highly efficient Internet markets. However, much of the previous work has been focused on industries with low cost and undifferentiated products. In this paper, we examine the presence of price dispersion and product differentiation using data on the airline ticket offerings of online travel agents (OTAs). We find that different OTAs offer tickets with substantially different prices and characteristics when given the same customer request. Some of this variation appears to be due to product differentiation different-OTAs specialize by systematically offering different trade-offs between ticket price and ticket quality (minimizing the number of connections, matching requested departure and return time). However, even after accounting for differences in ticket quality, ticket prices vary by as much as 18% across OTAs. In addition, OTAs return tickets that are strictly inferior to the ticket offered by another OTA for the same request between 2.2% and 28% of the time. Overall, this suggests the presence of both price dispersion and product differentiation in the online travel market.