id author title date pages extension mime words sentences flesch summary cache txt cord-254272-w7yvp703 Sun, Miao The impact of online reviews in the presence of customer returns 2020-09-19 .txt text/plain 10137 536 63 To fill this gap, we develop a duopoly model to study how online reviews impact customers' purchases and returns, and how online sellers facing competition can make optimal price and returns policy decisions in the presence of online reviews. In order to analyze the impact of online reviews in a competitive market with customer returns, we build a three-stage game theoretic model, in which two competing online retailers sell a product at different quality levels. In contrast to these empirical studies, we develop a game theoretical model for two online retailers who sell quality-differentiated products, to examine the impact of online reviews on the sellers' pricing and returns policy decisions in a competitive market. Since the lower net salvage value may suggest a higher cost in handling customer returns, the Seller who offers an MBG may lose the advantage in competition to gain market share if the reviews are not favorable enough; with the impact on price, it is obvious that Seller is less likely to benefit from online reviews with an MBG ( z cc z ss ). ./cache/cord-254272-w7yvp703.txt ./txt/cord-254272-w7yvp703.txt