We investigate why a firm might purposefully hire a chief executive officer (CEO) who under- or over-estimates the degree of substitutability between competing products. This counterintuitive result arises in imperfect competition because CEO bias can affect rival behavior and the intensity of...

The oligopolistic market used in Fouraker and Siegel's experiments is as simple as it can be, the purpose comparing the results of two treatments is clearly stated, while the problems confronted and the solutions applied are not different from today's. It is instructive to note how in a matter...