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This paper considers horizontal merging decision under price and quality competition and examines whether two competing firms should merge and which merging strategy (i.e., centralized or decentralized merger) is optimal. Although horizontal mergers are prevalent in practice and have been...
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We investigate a differentiated mixed duopoly in which private and public firms can choose to strategically set prices … or quantities when unions are present. For the case of a unionised mixed duopoly, there exists a dominant strategy only …
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differentiated duopoly where firms compete à la Cournot with fixed costs of quality improvement. We show that, if the weight of the …
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classical market theory) is no longer guaranteed; hence, we investigate the nature of non-price competition and how markets … might evolve in its presence. We develop a quality competition model based on matching theory. Equilibria of the quality … predictions of the model. In particular, price controls induce non-price competition between agents both in theory and in the …
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We investigate mergers in markets where quality differences between products are central and firms may reposition their product lines by adding or removing products of different qualities following a merger. Such mergers are materially different from those studied in the existing literature....
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