This paper examines the effect of price matching guarantees (PMGs) on market outcomes in a sequential search model. PMGs are simultaneously chosen with prices and some consumers (shoppers) know the firms’ decisions before buying, while others (non-shoppers) enter a shop before observing the...

With the experience of the sequence of UMTS auctions held worldwide in mind, we consider a situation where firms participate in license auctions to compete in an aftermarket. It is known that when a monopoly right is auctioned, auctions select the bidder that is least risk-averse. This firm will...