This paper analyzes how the use of endogenous direct advertising affects the functioning of a horizontally-differentiated market. We formulate a two-stage game of pricing and informative advertising in which two firms, first, compete with mass advertising and, later, build a database using their...

Without doubt from an economic point of view, the stock markets of the principal countries are more and more related among them. Though this affirmation has more clearly arisen as a truth from the October 1987 crash, initially one of the most surprising things was the strange similarity among...