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Firm growth is an essential feature of market economies, shaping together macroeconomic performance and the evolution of industry structures. As a potential indicator of organizational "fitness" within a competitive environment, firm growth is also a central concern to both the practice and...
Persistent link: https://www.econbiz.de/10012007050
first-mover bank activity in order to understand the market effect of the foreign expansion of U.S. banks. Specifically, I … shares of deposits from 1992-2005. Overall, I find that first-mover banks in a foreign city gain a statistically significant … advantage over banks that locate in the same city afterwards. The U.S. banking industry has experienced several changes since …
Persistent link: https://www.econbiz.de/10013070496
New and old products differ in two respects: quality and newness. Whereas a higher quality of a new product always benefits consumers, the newness itself benefits some consumers, but not others, and for some, it is even a disadvantage. We capture these features in a Hotelling model of...
Persistent link: https://www.econbiz.de/10010356183
Investors, operators, policymakers and other stakeholders need to contemplate the likely market structure for ultrabroadband (UBB) in various markets so that they can make effective investment, operational and policy decisions. There will not be a single, universal UBB market structure. Rather,...
Persistent link: https://www.econbiz.de/10014209267
Social influence is an important driver of consumption behavior, but its effect on firm competition and pricing is understudied. While social influence may create an incentive for firms to reduce initial prices to attract a larger customer base, it can also result in firms charging higher prices...
Persistent link: https://www.econbiz.de/10014348719
We analyze the link between entry and Ramp;D spending distribution. We consider a monopolistic competitive market with free entry in which firms can invest in cost-cutting Ramp;D by paying a fixed cost first. For an intermediate level of fixed cost, there is a unique equilibrium in which the...
Persistent link: https://www.econbiz.de/10012720651
New and old products differ in two respects: quality and newness. Whereas a higher quality of a new product always benefits consumers, the newness itself benefits some consumers, but not others, and for some, it is even a disadvantage. We capture these features in a Hotelling model of Over-...
Persistent link: https://www.econbiz.de/10010489886
-2013. During those years, the industry experienced both sharp price declines and significant expansions of manufacturing …
Persistent link: https://www.econbiz.de/10011406774
One hot topic is whether Google has violated the antitrust laws. Another important topic is how behavioral economics can enrich antitrust policy. This Essay examines two implications of behavioral economics on antitrust monopolization law. The Essay first discusses trial-and-error learning as an...
Persistent link: https://www.econbiz.de/10014175581
In high-tech industries, one important method of diffusion is through employee mobility: many of the entering firms are started by employees from incumbent firms using some of their former employers' technological know-how. This paper explores the effect of incorporating this mechanism in a...
Persistent link: https://www.econbiz.de/10014215795