Wharton-SMU Research Centre

In-House Seminar

Guest Speaker:

Jehoshua Eliashberg
Sebastian S. Kresge Professor of Marketing; Professor of Operations & Information Management
The Wharton School, University of Pennsylvania.

Date & Venue:
Date: 26 July 2006, Friday
Time: 4pm-5.30pm
Lee Kong Chian School of Business, Seminar Room 3.1, 50 Stamford Road, Singapore 178899
(Location Map)

Topic:
The Consumer's Rent vs. Buy Decision in the Rentailer

Abstract:
In this paper, we focus on the rentailer's business model, which requires modeling the consumer's decision to rent or buy a particular movie. Our analyses focus on a particular rentailer outlet, that both manages home video rentals and (new and used) purchases. Two models are developed and tested. We find that a real option-based model, which assumes diminishing value over watching and forward looking consumers who know when to stop watching, fits the data better. Our data also allow us to characterize consumers as ‘buyers' and ‘renters', and to demonstrate how the rentailer can customize prices.

Registration:
This is a free seminar. Admission is on first-come-first-served. Please register early to avoid disappointment.
To register, please click here

Enquiries:
Ms. Lim Lih Yeng
Email: lylim@smu.edu.sg, Tel: 6828-0197