Pricing is a well-studied area. Price discrimination based on time and exclusivity of ‘first editions’ and the like is possible, but highly dependent on the market. Why would anyone be able to sell an item with a given pricing scheme like 1/n? If their competitor is undercutting them on the first item, they’ll never get a chance to sell the latter ones. And besides there’s no reason such a scheme would be profit-maximizing.
Why would anyone be able to sell an item with a given pricing scheme like 1/n?
On downloaded, digital goods, this would be simple.
If their competitor is undercutting them on the first item, they’ll never get a chance to sell the latter ones.
And besides there’s no reason such a scheme would be profit-maximizing.
I don’t get what you’re getting at.
Pricing is a well-studied area. Price discrimination based on time and exclusivity of ‘first editions’ and the like is possible, but highly dependent on the market. Why would anyone be able to sell an item with a given pricing scheme like 1/n? If their competitor is undercutting them on the first item, they’ll never get a chance to sell the latter ones. And besides there’s no reason such a scheme would be profit-maximizing.
On downloaded, digital goods, this would be simple.
Please see the numerical example in this comment