Unformatted text preview: Π = 2(5 – 2 – 0.5) + (4.50 – 2) = 7.50 Conclusion Pure bundling is superior to individual prices. Mixed bundling is superior to pure bundling. The intuition is that it is inefficient to sell a bundle to C because C values the fries at less than the cost of the fries....
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- Winter '09
- Product bundling, mixed bundling, Bundling Example Burger, Pure Bundle PBundle, Conclusion Pure bundling, Mixed Bundle PBundle