Wine online : search costs and competition on price, quality, and distribution

96 Pages·2001·2.2 MB·English

by  Ariely, Dan

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Sloan Working Paper 4191-01
eBusiness@MIT Working Paper 117
October 2001
WINE ONLINE: SEARCH COSTS AND COMPETITION ON
PRICE, QUALITY, AND DISTRIBUTION
Dan Ariely, John G. Lynch
This paper is available through the Center for
eBusiness@MIT web site at the following URL:
http://ebusiness.mit.edu/research/papers.html
This paper also can be downloaded without charge from the
Social Science Research Network Electronic Paper Collection:
http://papers.ssm.com/abstract_id=290 27
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Ubraries
Publishing Information:
Ariely, Dan & Lynch, John.G., "Wine Online: Search Cost Affect Competition on Price,
Quahty, and Distribution. MarketingScience, 19(1) 83-103, 2000.

Wine Online: Search Costs and Competition on
Price, Quality, and Distribution
John G. Lynch, Jr., Fuqua School ofBusiness, Duke University
Dan Ariely, Sloan School ofManagement, Massachusetts Institute ofTechnology
In Press, Marketing Science, 2000, Volume 19(1)
This research was supported by a grant from the Marketing Science Institute. The authors are
grateful for comments on design issues from Joel Huber and on earlier drafts ofthe paper by the
reviewers and editors, Jim Bettman, Bill Boulding, Jonathan Levav, seminar participants at Cornell
University, Harvard University, Hong Kong University ofScience and Technology, University of
Michigan, University ofPermsylvania, Yale University, the INFORMS mini-conference on Marketing
Science and the Internet, and the Fuqua Marketing workshop. We also thank Lisa Abendroth, Dave
Arnold, Matt Bailey, and Chris Hollander for assistance in conducting the experiment, Craig Heftley
for providing wine descriptions and ratings, and Eric Johnson for suggesting the title ofthe paper.