Liberalization of the European automobile distribution system in 2002 limits the ability of manufacturers to impose vertical restraints, leading to a substantial restructuring of the industry and increasing the competitive pressure among dealers. We estimate an equilibrium model of profit...

Mainstream logic supports the idea that platforms bring large benefits to firms, especially smaller ones, by opening up access to a broader set of consumers and making firms' products easier to find. However, this argument mostly applies to transaction platforms that match consumer preferences...

We analyze a simple game of technology adoption with network effects and multiple new technologies. Potential adopters can adopt early, late, or not at all. We show that one of the reasons for the failure of new technologies can be the presence of multiple incompatible variants of that...