We study interaction effects between intra-firm conflicts and interfirm competition on a duopolistic market with seller firms employing one or more agents and implementing tournament incentives. We show that inter-firm competition leads to higher incentive intensity, higher efforts and output...

We study price competition in heterogeneous markets where price decisions are delegated to agents. Principals implement a revenue sharing scheme to which agents react by commonly charging a sales price. The results of our model exemplify the importance of both intrafirm- and interfirm...

We study interfirm competition on a product market where effort decisions are delegated to the firms' workers. Intrafirm organization is captured by a principal-multiagent framework where firm owners implement alternative compensation schemes for the workers. We show that the value of delegation...

This paper analyzes vertical cross-shareholding, that is, the mutual holding of a minority of shares between vertically related firms. First, we explore the issue in a game-theoretic model and show that cross-shareholding is sufficient to obtain efficient outcomes. We then test the model's...

We present a model of price leadership on homogeneous product markets where the price leader is selected endogenously. The price leader sets and guarantees a sales price to which followers adjust according to their individual supply functions. The price leader clears the market by serving the...

According to business surveys of the Gaidar Institute1 carried out in May, the situation in the Russian industry changed for the better. Forecasts of changes in demand, output and employment demonstrate positive dynamics. The stocks of finished products are successfully controlled by...

The initial estimates of August by industrial enterprises received by means of business surveys carried out by the Gaidar Institute1 showed improvement of the situation in industry. Actual changes in demand retained the previous dynamics; as a result, the achieved volumes of sales were rated...

According to the outputs of the Gaidar Institute’s surveys1, in September a lack of principal (the more so, crisis) changes in the actual dynamics of the demand, output, prices and employment takes place in industry together with growth in optimism of forecasts. In the 4th quarter, enterprises...

The data of the Gaidar Institute’s surveys1 of industrial enterprises received in February presented a controversial pattern of the state of things in the industry: explicit growth in sales and output along with high redundancy of stocks of fi nished goods and a defi nite drop in optimism of...

According to the surveys of the Gaidar Institute1, in August the situation in Russian industry sooner improved than got worse. Slowdown of a drop in the demand permitted enterprises to avoid cuts in output, introduce positive adjustments in production plans and reduce the rate at which workers...