Online Shopping Is Great, If You Like Fewer Choices
Monday, November 2, 2009 - 17:35
in Mathematics & Economics
Most people would probably say they love shopping online. With the prices of online stores being so much cheaper than traditional retailers, what's not to love? According to recently released research, the increasing lack of product choices found online may be a good candidate. A new study, published in Marketing Science, found that the traditional system of selling through retailers encourages longer – rather than shorter – product lines, which could dry up as manufacturers turn to direct sales online. The reason is pretty simple. As more manufacturers go online and cut out the middle men and accompanying price increases, they tend to lose their incentive to diversify their products. read more