Optimal Decisions of Online Video Industrial Chain under Consumer Satiation
Considering consumer satiation under both single-homing and multi-homing online video industrial chain structures,the interactive decisions of the content provider,advertiser and video platform on the content price are examined,advertising placement and subscription fee.The impacts of consumer satiation on the play-ers'optimal decisions and equilibrium welfares are highlighted.The results show that with higher consumer satiation:the content provider is more inclined to adopt an advertising-exclusion content price;the equilibrium decisions and profits of all players are reduced;the homing structures yield less differences in content price,advertising volume,subscription volume,content provider profit,advertiser profit and consumer surplus,but the incumbent platform's profit under multi-homing is more likely to be higher under that under single-homing.Moreover,ignoring consumer satiation will lead to decreases in subscription volume,consumer surplus,advertiser profit and platform profits,but the profit of content provider may increase.
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