What Factors Might Explain the Wide Price Dispersion on the Internet

question 34

Essay

What factors might explain the wide price dispersion on the internet? In your opinion, which of these factors has the biggest effect on the spread between online prices?

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Definitions:

Drawer

The person or entity that writes or issues a check or draft instructing a bank to pay a specified sum of money from their account.

Financial Institution

An organization that provides financial services such as banking, investments, insurance, and loans to businesses and consumers.

Bills Of Exchange

Written orders for the payment of a specified sum of money to a designated person, either on demand or at a set time.

Legislation

Laws that have been enacted by a legislature or other governing body.