Enroll now, pay later: optimal pricing and nudge efforts for massive-online-open-courses providers

Massive online open courses (MOOCs) are emerging as a disruptive innovation in the e-learning industry. Despite its rapid growth, MOOCs are challenged on its financial sustainability. In this paper, we focus on freemium, the predominant business model of MOOCs, and observe the emerging practice of nudging the learners toward completion. In the analytical model, the MOOC provider maximizes its profit by setting the price of the verified track and...