IDEAS home Printed from https://ideas.repec.org/p/dar/wpaper/36556.html
   My bibliography  Save this paper

Cooperative Pricing in Digital Value Chains - The Case of Online Music

Author

Listed:
  • Buxmann, Peter
  • Strube, Jochen
  • Pohl, Gerrit

Abstract

In this paper we examine alternative pricing models for digital music from the perspective of the entire music value chain. By analyzing empirical data on the willingness to pay, we show that the turnover from music downloads could be increased by lower prices. However, such a low price strategy can only be realized if the actors of the value chain, i.e. artists, labels, collecting societies, service providers, and online shops act as cooperation partners. We develop a model to find profit-maximizing prices and show how to split up the resulting increasing revenues between the partners of the value chain to assure Pareto-efficient solutions.

Suggested Citation

  • Buxmann, Peter & Strube, Jochen & Pohl, Gerrit, 2007. "Cooperative Pricing in Digital Value Chains - The Case of Online Music," Publications of Darmstadt Technical University, Institute for Business Studies (BWL) 36556, Darmstadt Technical University, Department of Business Administration, Economics and Law, Institute for Business Studies (BWL).
    • Handle: RePEc:dar:wpaper:36556
    Note: for complete metadata visit http://tubiblio.ulb.tu-darmstadt.de/36556/
    as

    Download full text from publisher

    File URL: http://www.jecr.org/
    Download Restriction: no
    ---><---

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Matttia De' Grassi Di Pianura, 2012. "Subsidising network technology adoption the case of publishers and E-readers," Working Papers hal-00714447, HAL.
    2. Yinliang (Ricky) Tan & Janice E. Carrillo, 2017. "Strategic Analysis of the Agency Model for Digital Goods," Production and Operations Management, Production and Operations Management Society, vol. 26(4), pages 724-741, April.
    3. Jonathan Dörr & Thomas Wagner & Alexander Benlian & Thomas Hess, 2013. "Music as a Service as an Alternative to Music Piracy?," Business & Information Systems Engineering: The International Journal of WIRTSCHAFTSINFORMATIK, Springer;Gesellschaft für Informatik e.V. (GI), vol. 5(6), pages 383-396, December.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:dar:wpaper:36556. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Dekanatssekretariat (email available below). General contact details of provider: https://edirc.repec.org/data/ivthdde.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.