Toy Game

內容大綱
Companies sometimes issue rebate coupons entitling the holder to a certain amount off the price of their products. This case explores the effects of rebate coupons on the game between two companies that operate in a market where there is very little underlying customer loyalty. Analysis indicates that all sellers gain, even if only one seller issues rebates. When all sellers issue rebates, all sellers gain more. The effect is seen to depend on the presence of an underlying rule of the marketplace ("one-price-to-all").
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