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We provide a new rationale for bi-sourcing, which refers to the situation where a final goods producer buys an input from an outside supplier and also produces it in-house. We also show the effects of the product market competition and the implications of different and common outside input...
Persistent link: https://www.econbiz.de/10010573077
We provide a theoretical justification for bi-sourcing, which refers to the situation where a final goods producer buys an input from an outside supplier and also produces it in-house. Bi-sourcing occurs if the marginal cost of producing the input in-house is higher than the marginal cost of...
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We study the strategic interaction between a new good producer and a remanufacturer who use advertising campaigns to compete for a dominant share of the market for a certain good. Each firm chooses one of three possible strategies for running its advertising campaign. The two rival firms care...
Persistent link: https://www.econbiz.de/10012930136
We analyze the hitherto unstudied duopolistic interaction between a new good producer and a remanufacturer who compete for a dominant share of the market for a particular product. Each firm i spends d_i ≥ 0 on product development to sway consumers and this expenditure increases the likelihood...
Persistent link: https://www.econbiz.de/10012989063
We analyze the hitherto unstudied duopolistic interaction between a new good producer and a remanufacturer who compete for a dominant share of the market for a particular product. Each firm i spends d_i ≥ 0 on product development to sway consumers and this expenditure increases the likelihood...
Persistent link: https://www.econbiz.de/10012989862