Title: The effects of comparison shopping behaviour on dynamic pricing strategy selection in an agent-enabled e-market
Authors: Bryan M. Hertweck, Terry R. Rakes, Loren Paul Rees
Addresses: Department of Information Systems, Earl N. Phillips School of Business, High Point University, High Point, NC 27262, USA. ' Department of Business Information Technology, Pamplin College of Business, Virginia Polytechnic Institute and State University, Blacksburg, VA 24061, USA. ' Department of Business Information Technology, Pamplin College of Business, Virginia Polytechnic Institute and State University, Blacksburg, VA 24061, USA
Abstract: E-buyers may use software agents, known as shopbots, to collect and display market data, make buying decisions, and execute sales transactions. E-sellers use pricebots to adjust prices based on market data and stored algorithms. We construct a simulator in which both buyers and sellers use agents. Specifically, we vary levels of comparison shopping, as represented by the extent of shopbot usage, and study the impact on the optimal selection of dynamic pricing strategies by sellers| pricebots. Results indicate that shopbot use and pricing strategy, their interaction, and the presence of a dominant seller significantly affect optimal pricing strategy.
Keywords: electronic business; electronic commerce; e-markets; intelligent agents; software agents; agent-based systems; multi-agent systems; MAS; shopping bots; dynamic pricing; pricing strategy; e-business; e-commerce; shopping behaviour; shopbots; pricebots.
International Journal of Electronic Business, 2009 Vol.7 No.2, pp.149 - 169
Published online: 12 Apr 2009 *Full-text access for editors Access for subscribers Purchase this article Comment on this article