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generation product entry decision of the Defender, as well as the pricing decisions of both firms, are analyzed. Analytical … results are derived by developing a 3-period pricing game, and studying closed-loop policies for a Nash equilibrium. These …. Some empirical support for our analytical results is also provided by pricing data and information on the timing of …
Persistent link: https://www.econbiz.de/10014619477
The entry of a new product (attacker) into a competitive market is likely to provoke responses from some or all of the … differentiation in a market with endogenous sequential entry. Bell J. Econom. 11(1, Spring) 237--260.) we assume that N products each … enter sequentially with perfect foresight on subsequent entry. Then, based on new technology, an unanticipated attacker …
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take the outcomes of the subsequent post-entry (Cournot) competition into account in making their entry decisions. We … structure and price-sensitive linear deterministic demand. The entry stage is modeled as a simultaneous game, where the players … always an equilibrium structure in pure strategies in the entry game. Finally, we examine the effects of vertical integration …
Persistent link: https://www.econbiz.de/10009204324
We extend Bresnahan and Reiss’s (1991) model of local oligopoly to allow firm entry and exit over time. In our … framework, entrants have to incur sunk costs in order to enter a market. After becoming incumbents, they disregard these entry …’s framework generates unreasonable variation in firms’ competitive conduct over time. This variation disappears when entry costs …
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This paper investigates the strategic pricing of consumer durable products which can be acquired through either … profits needs to be incorporated in strategic decisions such as pricing. Using a dual diffusion model which parsimoniously … monopoly. The results indicate that (a) in absence of any protection, skimming pricing strategies are generally optimal, and (b …
Persistent link: https://www.econbiz.de/10009208995