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This paper shows the strategic aspects of international outsourcing in a duopolistic market. Due to different costs of …. Therefore, the resulting market constellation depends on the fixed costs and the difference between marginal costs. We show that … characterized by different strategies, this constellations for given costs is pareto superior to a constellation with equal …
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This paper considers a market in which only the incumbent's quality is publicly known. The entrant's quality is observed by the incumbent and some fraction of informed consumers. This leads to price signalling rivalry between the duopolists, because the incumbent gains and the entrant loses when...
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