Notation

Definition

The type of retailer (1: high quality retailer; 2: represents low quality retailer)

The type of signal

Advance purchase in pre-sale period

Wait in pre-sale period

The cost of product

The credibility of e-commerce platform

Consumer’s valuation of product

The quantity of consumers in pre-sale period

The quantity of consumers in normal sale period

Pre-sale price

The normal sale price of high quality product

The normal sale price of low quality product

The effect coefficient of negative review

The ratio of high quality and low quality