Research on the bundling pricing strategy for knowledge product

This paper analyzes the economic characteristics of knowledge product, then prove that to some extent, knowledge product would be more suitable for the usage of bundling strategy than the common products, because knowledge products own unique cost structure, the low marginal cost would permit to add one or more other knowledge product to the given one with a little more cost. The complementary characteristics and monopoly characteristics would also make the usage of bundling pricing strategy more feasible. Further this paper analyzes the concrete bundling pricing strategy of pure bundling and mixed bundling, and introduces the usage of these strategies complying with the practical examples. Besides, the effect of bundling pricing strategy was made. As to the knowledge product, bundling pricing strategy would be favor for the promotion of product competitive ability. As to the manufacturer of knowledge product, bundling pricing strategy would be favor for more selling, gaining more consumer surplus and declining cost. As to consumer of knowledge product, bundling pricing strategy would be favor for lowing consumer's searching cost, but sometimes more expense might be given.