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Limiting Price Discrimination when Selling Products with Positive Network Externalities

Abstract

We study a setting dealing with these issues. Specifically, the item is offered in parallel to multiple clients at the same time and at the same price. This is called a round. We show that with O(log n) rounds, where n is the number of clients, a constant factor of the revenue with price discrimination can be achieved and that this is not possible with o(log n) rounds. Moreover we show that it is APX-hard to maximize the revenue and we give constant factor approximation algorithms for various further settings of limited price discrimination.

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Citation
Category
Paper in Conference Proceedings or in Workshop Proceedings (Full Paper in Proceedings)
Event Title
WINE 2014: The 10th Conference on Web and Internet Economics
Divisions
Theory and Applications of Algorithms
Subjects
Theoretische Informatik
Event Location
Bejing, China
Event Type
Conference
Event Dates
Dec. 14-17
Series Name
Lecture Notes in Computer Science
ISSN/ISBN
978-3-319-13128-3
Page Range
pp. 44-57
Date
December 2014
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