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Novelty-Bundling Markets

In: The Spatial Market Process

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  • Jason Potts

Abstract

An NBM is a market form in that it is made of institutions and business models. It arises in a particular context whereabundant noveltyissuing from the producer side meets substantialsearch costsandevaluation difficultieson the consumer side. In a NBM consumers don’t necessarily know what they are searching for. These difficulties on the demand side are specifically caused by the fact that novel goods, which are experience goods, often require new “rules for choice” as new suites of evaluative criteria.

Suggested Citation

  • Jason Potts, 2012. "Novelty-Bundling Markets," Advances in Austrian Economics, in: The Spatial Market Process, pages 291-312, Emerald Group Publishing Limited.
    • Handle: RePEc:eme:aaeczz:s1529-2134(2012)0000016014
    DOI: 10.1108/S1529-2134(2012)0000016014
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