This paper examines the competition of nonprofit sickness funds in the market for supplementary health insurance. We investigate product quality strategies when quality is costly and the sickness funds are competing for customers. As long as the sickness funds choose the qualities for...

Using a vertical differentiation model, we investigate the product quality strategies of two competing firms maximizing market shares. The firms are facing variable costs of quality improvement and choose their prices under the constraint of nonnegative profits. We show that in equilibrium there...

This article, considering relative performance vs. market share delegation in a vertically related market, shows how the order of firms' move and the type of delegation contract would affect the input-pricing decision of the upstream monopolist and examines which delegation contract is a...