Heyes, Anthony; Kapur, Sandeep - Birkbeck, Department of Economics, Mathematics & Statistics - 2012
strategic interaction between firms that choose quality levels and anger-prone customers who pick their supplier based on their … expectations of suppliers' quality. Strategic interaction can allow for multiple equilibria including some in which no firm invests … in high quality. Allowing customers to voice their anger on peer-review fora can eliminate low-quality equilibria, and …