Showing 1 - 10 of 265
The present paper provides a descriptive analysis of the second-degree price discrimination problem on a monopolistic two-sided market. By imposing a simple two-sided framework with two distinct types of agents on one of its market sides, it will be shown that under incomplete information, the...
Persistent link: https://www.econbiz.de/10011260128
all platforms or a “pure” monopoly with just one platform. Literature has not generally discussed, which benchmark is the …
Persistent link: https://www.econbiz.de/10009372469
We analyze the optimal location choice of a monopolistic firm that operates two platforms on a two-sided market. We show that the optimal platform locations are equivalent to the one-sided benchmark if both sides are either restricted to single- or multi-homing. In the mixed case (one side...
Persistent link: https://www.econbiz.de/10011113925
When it speaks of Schumpeterian hypothesis we refer to the close relationship that exists between the degree of innovation and market structure. The entrepreneur represented by Schumpeter's is strongly creative and innovative to condition to be able to get e/o to maintain a market power, and...
Persistent link: https://www.econbiz.de/10009370827
We analyse the roles of social network topology and size on the monopoly pricing of network goods in a market, where … against, and dominates, the size effect in monopoly pricing by reducing the monopoly's capacity to extract consumer surplus …. Under asymmetric information about consumer types, the monopoly prefers symmetric network topologies, but the social optimum …
Persistent link: https://www.econbiz.de/10005622010
Advertising is commonly regarded as a strategic tool to increase demand and steal business from competitors. The present work studies the competitive effects of advertising in a two-period game with incomplete information about the opponent's cost structure. Bagwell and Ramey (1988) showed that...
Persistent link: https://www.econbiz.de/10009372583
We propose both a monopoly and a duopoly model of a two-sided market. Both settings are fully comparable, as we impose … sizes. We determine the duopoly equilibrium and the monopoly optimum in terms of the parameters and obtain solutions with … economically plausible parameter sets for which duopoly equilibrium prices exceed optimal monopoly prices and one with no …
Persistent link: https://www.econbiz.de/10008543016
We study general discrete-types multidimensional screening without any noticeable restrictions on valuations, using instead epsilon-relaxation of the incentive-compatibility constraints. Any active (becoming equality) constraint can be perceived as "envy" arc from one type to another, so the set...
Persistent link: https://www.econbiz.de/10008923043
This paper reformulates and simplifies a recent model by Heidhues and Koszegi (2005), which in turn is based on a behavioral model due to Koszegi and Rabin (2006). The model analyzes optimal pricing when consumers are loss averse in the sense that an unexpected price hike lowers their...
Persistent link: https://www.econbiz.de/10008562610
Consider a firm advertising in a job matching agency with the aim of employing the most qualified workers. Its chances of success would be higher for a smaller number of competitor firms advertising in the same job matching agency, i.e. careerbuilder.com. How would the resulting competitive...
Persistent link: https://www.econbiz.de/10005789304