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So an innocuous, temporary price cut may set off a machine-against-machine price war that, if left unchecked, could quickly devastate a retailers bottom line. Other merchants saw the practical benefits of Macys and Wanamakers prix fixe policies. The first was the arrival of data.
Macyhad never believed in setting different prices for different people. That's 120 off and the lowest price we could find. To show me this, a Boomerang employee opened up the dashboard seen by the firms clients. A website midwest mailing supplies coupon code called m even tracks Amazon prices for specific products and alerts consumers when a price drops below a preset threshold. It may come as a surprise that, in buying a seasonal pie ingredient, you might be participating in a carefully designed social-science experiment. But demographics are actually a crude way of personalizing prices, the Brandeis economist Benjamin Shiller argued in a recent paper, First-Degree Price Discrimination Using Big Data. The price history for any given itemClassic Twister, for examplelooks almost exactly like a stock chart. But in the 1990s, the internet began to erode the terms of the long peace. Extended Play return policy. But of course in real life, Nagle admits, if you did that, it would take you all day to go to the grocery store.
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