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Reputation and Pricing on the e-Market: Evidence from a Major French Platform

Abstract

We use an exhaustive data set from one of France's largest e-commerce platforms, PriceMinister.com, to estimate a statistical causal effect of a seller's reputation (and size) on transaction prices for a large range of product categories (books, CDs, video games or DVDs), product conditions (used or new) and seller types (individual or professional sellers). We go beyond the results currently available by tackling the issue of seller unobserved heterogeneity and the dynamics of reputation (and size) in price equations. Our results show large-scale empirical evidence of a significant, positive and strong effect of seller reputation on prices.
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Dates and versions

hal-03460312 , version 1 (01-12-2021)

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Grégory Jolivet, Bruno Jullien, Fabien Postel-Vinay. Reputation and Pricing on the e-Market: Evidence from a Major French Platform. 2014. ⟨hal-03460312⟩
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