We study the costs and benefits of selling data to a competitor. Although selling all consumers' data may decrease total firm profits, there exist other selling mechanisms -- in which only some consumers' data is sold -- that render both firms better off. We identify the profit-maximizing mechanism, and show that the benefit to firms comes at a cost to consumers. We then construct Pareto-improving mechanisms, in which each consumers' welfare, as well as both firms' profits, increase. Finally, we show that consumer opt-in can serve as an instrument to induce firms to choose a Pareto-improving mechanism over a profit-maximizing one.
翻译:我们研究了向竞争对手出售数据的成本和好处。尽管出售所有消费者的数据可能会降低公司总利润,但还有其他销售机制 -- -- 只有部分消费者的数据被出售 -- -- 使两家公司都得到更好的回报。我们确定了利润最大化机制,并表明公司受益的代价是消费者。然后我们建造了“改善”机制,每个消费者的福利以及两家公司的利润都会增加。最后,我们证明消费者选择加入可以作为一种工具,促使公司选择“改善”机制,而不是“利润最大化机制”。