Showing 1 - 10 of 3,068
This paper explores how social interactions among consumers shape markets. In a two-country model, consumers meet and exchange information about the quality of the goods. As information spreads, the demands evolve, affecting the prices and quantities manufactured by profit-maximizing firms. We...
Persistent link: https://www.econbiz.de/10012487598
In many cases consumers cannot observe firms' investment in quality or safety, but have only beliefs on the average quality of the industry. In addition, the outcome of the collective investment game of the firms may be stochastic since firms cannot control perfectly the technology or external...
Persistent link: https://www.econbiz.de/10009757457
In this paper, we tackle the dilemma of pruning versus proliferation in a vertically differentiated oligopoly under the assumption that some firms collude and control both the range of variants for sale and their corresponding prices, likewise a multiproduct firm. We analyse whether pruning...
Persistent link: https://www.econbiz.de/10011451580
In this paper we extend the model of vertical product differentiation to also consider information disparities about the extent of quality differences. Equilibrium prices turn out to depend not only on the share of informed consumers but also on uninformed consumers beliefs about quality...
Persistent link: https://www.econbiz.de/10011600092
Advertisements provide consumers with knowledge about private products, whereas political information is required to provide voters with knowledge of public issues. Modern information technologies and globalisation are increasing the exposure of individuals to information. Goods advertising is...
Persistent link: https://www.econbiz.de/10003894042
competition online - an area that up to then seemed to have worked being left to the market. Though the extension of public …-media effects. -- media economics ; two-sided markets ; competition ; public service broadcasting ; public service media …
Persistent link: https://www.econbiz.de/10008697057
predominantly substitutional advertising markets. The paper substantiates this argument by applying the economic theory of … future. -- media economics ; advertising; competition ; complementation ; substitution ; online …
Persistent link: https://www.econbiz.de/10009388219
The paper analyzes the effects of more intense competition on firms' incentives to invest in process innovations. We … carry out experiments for two-stage games, where R&D investment choices are followed by product market competition. As … predicted by theory, an increase in the number of firms from two to four reduces investments. However, a positive effect is …
Persistent link: https://www.econbiz.de/10003387554
ignorance if telephone numbers no longer identify networks. As a result, while fostering competition for mobile customers, MNP … competition …
Persistent link: https://www.econbiz.de/10001744786
We examine the economic analysis of the relationship between innovation and product market competition. First, we give … idea that innovation rises and then eventually falls as the intensity of competition increases. Thirdly, we look at recent … applications and development of the framework in the areas of competition policy, international trade and structural Industrial …
Persistent link: https://www.econbiz.de/10012799785