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A mixed duopoly setting is examined where a private non-profit firm (NPO) competes with a private profit-maximizer. The NPO's stakeholders select a contract for their managers. A novel NPO objective function is utilized which takes into account all the likely returns to the NPO's stakeholders...
Persistent link: https://www.econbiz.de/10005209331
We consider an economy where firms operate in an imperfectly competitive industry and mutually affect each others' investment opportunities. Each firm is assumed to face a mutually exclusive choice of investing in either a short- or a long-term project. For example, firm i's commitment to a...
Persistent link: https://www.econbiz.de/10005443227
Conventional duopoly models typically assume agents possess specific conjectures concerning other agents' behavior. In this paper equilibrium conjectures are endogenous and are a result of a joint factor market and product market equilibrium. Factor markets affect product markets since potential...
Persistent link: https://www.econbiz.de/10005694771
Utilizing a two-period durable-goods framework, we show that in uncommitted sales markets a firm may earn higher profits as it increases its level of corporate social responsibility (CSR). We find that this occurs even though CSR has no direct impact other than increasing the durable-goods...
Persistent link: https://www.econbiz.de/10008684700
We analyze a stylized distribution channel (bilateral monopoly) model where an upstream manufacturer sells output to a downstream retailer. In a two‐stage linear demand game setting, we show that a two‐part contract, consisting of a wholesale price and corporate social responsibility (CSR)...
Persistent link: https://www.econbiz.de/10011085255