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We study how buyer power affects producers' incentives to share information with retailers. Adopting the Bayesian persuasion framework, we show that full information disclosure is optimal only when buyer power is sufficiently low. Using the presence of retail price recommendations as the proxy...
Persistent link: https://www.econbiz.de/10012852743
In this paper, we empirically study the effect of entry on product repositioning, differentiation, and variety. Using a rich panel data set on theaters' weekly screening schedules, we provide evidence that the degree of differentiation between theaters in a local market rises after entry of new...
Persistent link: https://www.econbiz.de/10012934008