{"status":"ok","message-type":"work","message-version":"1.0.0","message":{"indexed":{"date-parts":[[2025,9,19]],"date-time":"2025-09-19T11:52:39Z","timestamp":1758282759565,"version":"3.44.0"},"reference-count":62,"publisher":"Institute for Operations Research and the Management Sciences (INFORMS)","issue":"9","content-domain":{"domain":[],"crossmark-restriction":false},"short-container-title":["Management Science"],"published-print":{"date-parts":[[2025,9]]},"abstract":"<jats:p> Product drops occur when a retailer releases a limited-edition product line on a specific date for a short period of time. Due to limited inventory of the product and the short sales horizon, a resale market emerges where products may resell at higher prices once the firm stocks out. The firm faces a central tradeoff: pricing too high may lead to a longer stockout time and future markdowns; pricing too low may lead to transfer of profits to resellers. Any firm in this position may ask, \u201cHow do resellers impact my profit?\u201d To answer this question, we build a dynamic structural model that captures customer decisions to consume or strategically resell, as well as the firm\u2019s intertemporal pricing decision in the presence of resellers. We estimate our model using a unique data set from a retailer of baby clothing with weekly product drops, where customers engage in a resale marketplace through Facebook groups. We find resale data collection and analysis is valuable to incorporate into pricing as firm profit increases by 8.8%, and reseller presence reduces firm profit by 5.8% even if resale data are used in pricing. These impacts are magnified by resale market growth, demonstrating that managers need to take action as resale markets gain wider adoption. <\/jats:p><jats:p> This paper was accepted by Victor Mart\u00ednez-de-Alb\u00e9niz, operations management. <\/jats:p><jats:p> Supplemental Material: The online appendix and data files are available at https:\/\/doi.org\/10.1287\/mnsc.2022.04152 . <\/jats:p>","DOI":"10.1287\/mnsc.2022.04152","type":"journal-article","created":{"date-parts":[[2024,12,6]],"date-time":"2024-12-06T08:07:06Z","timestamp":1733472426000},"page":"7263-7285","source":"Crossref","is-referenced-by-count":0,"title":["Intertemporal Pricing with Resellers: An Empirical Study of Product Drops"],"prefix":"10.1287","volume":"71","author":[{"ORCID":"https:\/\/orcid.org\/0009-0001-6425-8639","authenticated-orcid":false,"given":"Dayton","family":"Steele","sequence":"first","affiliation":[{"name":"Carlson School of Management, University of Minnesota, Minneapolis, Minnesota 55455"}]},{"ORCID":"https:\/\/orcid.org\/0000-0002-4571-730X","authenticated-orcid":false,"given":"Seyed Morteza","family":"Emadi","sequence":"additional","affiliation":[{"name":"Kenan Flagler Business School, University of North Carolina at Chapel Hill, Chapel Hill, North Carolina 27599"}]},{"ORCID":"https:\/\/orcid.org\/0000-0003-2076-2072","authenticated-orcid":false,"given":"Saravanan","family":"Kesavan","sequence":"additional","affiliation":[{"name":"Kenan Flagler Business School, University of North Carolina at Chapel Hill, Chapel Hill, North Carolina 27599; and BITS School of Management, Mumbai 421301, India"}]}],"member":"109","reference":[{"key":"B1","doi-asserted-by":"publisher","DOI":"10.1111\/1467-937X.00088"},{"key":"B2","doi-asserted-by":"publisher","DOI":"10.1016\/j.jeconom.2009.09.007"},{"key":"B3","doi-asserted-by":"publisher","DOI":"10.1287\/mnsc.2013.1730"},{"key":"B5","doi-asserted-by":"publisher","DOI":"10.1287\/mnsc.2022.4588"},{"key":"B6","doi-asserted-by":"publisher","DOI":"10.1111\/j.1468-0262.2007.00796.x"},{"key":"B7","doi-asserted-by":"publisher","DOI":"10.1111\/j.1467-937X.2004.00297.x"},{"key":"B8","doi-asserted-by":"publisher","DOI":"10.2307\/2171802"},{"key":"B9","doi-asserted-by":"publisher","DOI":"10.1287\/opre.2021.2175"},{"issue":"2","key":"B10","first-page":"453","volume":"67","author":"Bray RL","year":"2019","journal-title":"Oper. 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