Using 3 resources that my professor provided to write a memo about the current s

Using 3 resources that my professor provided to write a memo about the current state of price personalization on the internet.
[Resources:]
 a 2018 report by the OECD about “Personalised Pricing in the Digital Era,” which contains a brief
survey of the empirical evidence on personalized pricing (Section 2.4)
 an empirical research study by Hannak, Soeller, Lazer, Mislove and Wilson (2014) and the associated
project website at https://personalization.ccs.neu.edu/Projects/PriceDiscrimination/
 a 2015 report by the White House Council of Economic Advisor on “Big Data and Differential Pricing”
[Questions need to be addressed in the memo]:
1. What different forms can online personalization (not just in prices, but more broadly) take? What are
the differences between personalized pricing, price steering, and A/B price testing? Which of these
practices can be used to achieve discrimination across buyers with different willingness to pay, and
how?
2. Why is it challenging to accurately detect personalization empirically? How does the study by Hannak
et al. (2014) try to overcome these challenges?
3. Provide a brief summary of the available evidence on personalized pricing and price steering by online
sellers. Based on the evidence to date, would you say that online price personalization and steering
are widespread?
4. What are the main potential benefits for an online seller from price personalization/steering, and
what are the main risks and obstacles?
5. Do you think online price personalization will become more or less widespread in the future (think of
technological developments, (self-)regulatory responses to consumer privacy concerns,…)?

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