choose their quality level before engaging a price competition. We first show that the indirect effect of the quota on the … domestic government reduces the price competition and enables both firms to upgrade to the highest possible quality level for …

conformity is present but not too strong, both firms remain in business but price com- petition is fiercer and results in lower … serves the entire market and sets a price which has the nature of a limit price. When conformity is strong enough, different … the other extreme, when vanity is at work, price competition is relaxed. …

-discriminatory case, each producer offers second-degree price discriminates the consumer according to the unknown information. We show … phenomenon of endogenous preferences arises since a firm's offer to the consumer depends on the information unknown by the rival … alternative pricing policies: in the partially-discriminatory case, producers make use of the known information only; in the fully …

developed by Hotelling. Firms choose capacities in the first stage and then compete in price. We show that capacity … precommitment softens price competition drastically. In almost all subgame perfect equilibrium, firms behave as if they were an … integrated monopoly i.e., choose capacities which exactly cover the market, so that there is no room for price competition at all …

We consider the effects of export restraints on price competition in the Hotelling model of hor- izontal product …