Application service program (ASP) price elasticities for Korean home Trading System

Abstract

Although the price elasticities for off-line industry are well documented in academic field, the report of price elasticities for on-line to a given brand or industry in practice have been relatively rare. The researcher aims to try to full this gap by applying a price response function to Home Trading System's on-line transaction data for the first time in Korean securities market. The different price elasticities among seven brands were found from -0.819 to -1.811. These results suggested that marketers should understand the price elasticity of their own HTS, before making a price decision. ? 2009 Springer-Verlag Berlin Heidelberg.