Firms signal high quality through high prices even if the market structure is highly competitive and price competition … is severe. In a symmetric Bertrand oligopoly where products may differ only in their quality, production cost is … increasing in quality and the quality of each firm’s product is private information (not known to consumers or to other firms …

We consider an oligopolistic market where firms compete in price and quality and where consumers are heterogeneous in … knowledge: some consumers know both the prices and quality of the products offered, some know only the prices and some know …-inefficiency of the price/quality offers. But, better price/quality combinations are signalled with lower prices in one type and with …

as quality simultaneously. In conclusion, our results show that equilibrium solutions of RPM and APM are distinct. We …

We embed signaling in the classical Cournot model in which several firms sell a homogeneous good. The quality is known … to all the firms, but only to some buyers. The quantity-setting firms can manipulate the price to signal quality. Because … quantity decision. We characterize the unique signaling Cournot equilibrium in which the price signals quality to the …

There is growing evidence that low-quality customer service prevails in the mobile telecommunications industry. In this … low-quality service levels are part of an equilibrium strategy for the firms. We also find that the inefficiency is due to …

conformity. In equilibrium, both quality and cost leaders choose higher advertising intensities and charge higher prices than …This paper analyzes persuasive advertising and pricing in oligopoly if firms sell differentiated products and consumers … that the demand-enhancing effect of persuasive advertising varies across consumers and increases in the average degree of …

conformity. In equilibrium, both quality and cost leaders choose higher advertising intensities and charge higher prices than … asymmetries between firms. -- advertising ; social attitude ; consumption externality ; quality …This paper analyzes persuasive advertising and pricing in oligopoly if firms sell differentiated products and consumers …