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We consider an oligopolistic market where firms compete in price and quality and where consumers are heterogeneous in knowledge: some consumers know both the prices and quality of the products offered, some know only the prices and some know neither. We show that two types of signalling...
Persistent link: https://www.econbiz.de/10011376636
increase with the intensity of competition. We develop a new measure of competition for which we use the proximity (in … departure time) of a given flight to its competitors to infer the intensity of competition and estimate the impact of … competition on advance purchase discounts (APDs) and the dynamic pricing of airlines by exploiting plausibly exogenous changes in …
Persistent link: https://www.econbiz.de/10012251366
When products are sold in advance, i.e. prior to consumption, consumers trade off an early, uninformed purchase at a low price against a late, informed purchase at a high price. This paper considers the effect of market structure on the prevalence of advance selling. We show that in an...
Persistent link: https://www.econbiz.de/10011446893
between the old andthe new technology and on whether firms compete in prices. Without price competition, a partiallock …-in occurs if (and only if) the quality difference is small. In the presence of price competition,lock-in in the traditional …
Persistent link: https://www.econbiz.de/10011304401
Persistent link: https://www.econbiz.de/10003609432
Firms signal high quality through high prices even if the market structure is highly competitive and price competition …
Persistent link: https://www.econbiz.de/10011372971
Persistent link: https://www.econbiz.de/10009724348
One of the reasons why regulators are hesitant about permitting price competition in healthcare markets is that it may … admissions to Dutch hospitals, we find no evidence that increased exposure to price competition reduces quality measured by …
Persistent link: https://www.econbiz.de/10011823733
We analyze a market where firms compete in a conventional and an electronicretail channel. Consumers easily compare prices online, but some incur purchaseuncertainties on the online channel. We investigate the market shares of the two retailchannels and the prices that are charged. We find that...
Persistent link: https://www.econbiz.de/10011326968
We extend the models in ("Competition in two-sided markets" of Armstrong (2006, Rand Journal of Economics) by adding …
Persistent link: https://www.econbiz.de/10011295713