We introduce a generalized theoretical approach to study imitation andsubject it to rigorous experimental testing. In our theoretical analysiswe …nd that the different predictions of previous imitation models aredue to different informational assumptions, not to different behavioralrules. It is...

On a heterogeneous experimental oligopoly market, sellers choose a price,specify a set-valued prior-free conjecture about the others' behavior, andform their own profit-aspiration for each element of their conjecture. Weformally define the concepts of satisficing and prior-free optimality...

Recently, new game theoretic approaches have been suggested that address the emergence of inter-firm collaborative agreements (strategic alliances) that are situated between standard market transactions of unrelated companies and their integration by means of mergers and acquisitions. This...

This article tests the modell of Brander and lewis under ertrand and Cournot competition.

This paper reviews the Hotelling literature of product differentiation. The purpose of this work is to examine the impact of the market structure on price competitionand equilibrium differentiation. The existence of a general ’principle of differentiation’ is rejected. In contrast,...

In many markets firms set posted prices which are potentially negotiable. We analyze theoptimal marketing mix of pricing and bargaining when price takers buy at posted prices butbargainers attempt to negotiate discounts. The optimal bargaining strategy involves the firmsoffering bargainers...

This paper examines the implications of “prominence” in search markets. We modelprominence by supposing that the prominent firm will be sampled first by all consumers.If there are no systematic quality differences among firms, we find that the prominentfirm will charge a lower price than its...