Excessive entry in a bilateral oligopoly

In a supplementary note to Ghosh and Morita ("Social desirability of free entry: a bilateral oligopoly analysis," 2007, IJIO), an example has been used to show that the condition for insufficient entry holds under the right-to-manage model of a vertically related industry. Using a linear demand curve, this note makes it clear that excessive entry rather than insufficient entry is quite common under a right-to-manage model, and shows that excessive entry occurs if the cost of entry is not very high.