The Effect of Price on E-Commerce Platforms: Statistical Evaluation of Amazon's Pricing Strategy

Xinguo Luo

2024

Abstract

This present study is meant to explain whether Amazon’s pricing strategies, like providing discounts or not, have some benefits for product sales and consumer ratings (i.e., customers’ satisfaction with the products). The original dataset was downloaded from the Kaggle platform, and it contains sales records of about 1.4 million products during September 2023. However, in order to fit this present study better, a simplified dataset with 166,481 samples was filtered from the 1.4 million samples of the original dataset according to the average monthly consumption of Americans. The method of this study was simple linear regression, which can be used to understand the association between two variables. Then, two linear models were generated with Excel. After all, the results showed that the p-values are statistically significant for both discounts and sales and discount and customer ratings. In more detail, discounted products have better sales than regular goods, and they have better customer evaluation.

Paper Citation

in Harvard Style

Luo X. (2024). The Effect of Price on E-Commerce Platforms: Statistical Evaluation of Amazon's Pricing Strategy. In Proceedings of the 1st International Conference on Engineering Management, Information Technology and Intelligence - Volume 1: EMITI; ISBN 978-989-758-713-9, SciTePress, pages 239-242. DOI: 10.5220/0012925300004508

in Bibtex Style

@conference{emiti24,
author={Xinguo Luo},
title={The Effect of Price on E-Commerce Platforms: Statistical Evaluation of Amazon's Pricing Strategy},
booktitle={Proceedings of the 1st International Conference on Engineering Management, Information Technology and Intelligence - Volume 1: EMITI},
year={2024},
pages={239-242},
publisher={SciTePress},
organization={INSTICC},
doi={10.5220/0012925300004508},
isbn={978-989-758-713-9},
}

in EndNote Style

TY - CONF

JO - Proceedings of the 1st International Conference on Engineering Management, Information Technology and Intelligence - Volume 1: EMITI
TI - The Effect of Price on E-Commerce Platforms: Statistical Evaluation of Amazon's Pricing Strategy
SN - 978-989-758-713-9
AU - Luo X.
PY - 2024
SP - 239
EP - 242
DO - 10.5220/0012925300004508
PB - SciTePress