Arbatskaya, Maria; Konishi, Hideo - In: International Journal of Industrial Organization 30 (2012) 1, pp. 89-101
This paper compares the equilibrium outcomes in search markets with and without referrals. Although it seems clear that … consumers would benefit from referrals, it is not at all clear whether firms would unilaterally provide information about … horizontally differentiated product market with sequential consumer search, we show that valuable referrals can arise in the …