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SZUCM Hosts Forum: Price Transparency Harms Consumer Welfare

November 17, 2025 Published


On the morning of November 14, 2025, the 14th 2025 Young Scientist Forum of Shenzhen University (SMU) School of Management was held in Room A205, Mingli Building. Hosted by Associate Dean Prof. Chen Xingyu, the forum invited Prof. Li Xi from The University of Hong Kong (HKU) to deliver a keynote speech, attracting over 80 teachers and students online and offline.

Prof. Li, a distinguished scholar in marketing and digital innovation with publications in top international journals, focused on "Consumer Welfare Dilemma Under Historical Price Transparency". He challenged the common belief that price transparency benefits consumers, revealing that functions like historical price inquiry (offered by HKTV Mall, Amazon, etc.) actually drive up product prices.

Prof. Li explained that without price history, sellers lower initial prices to gain positive reviews; with transparent prices, this incentive vanishes, leading to higher pricing. A two-period model verified that firms’ expected profits rise from 13/6 to 7/3, while consumer surplus drops to 0—findings supported by HKTV Mall and Amazon data.


In the Q&A session, Prof. Li suggested consumers view "historical low-price" tools rationally, and platforms optimize price alerts to mitigate risks. Prof. Celine Chen,college  vice dean concluded the forum, noting the speech provided new perspectives for platform governance and enterprise pricing in the digital economy.

The forum, bridging frontier scholars and students, strengthens interdisciplinary exchanges and supports the school’s academic development.


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