In a spatial model with quantity setting firms, we analyze the possibility of cooperation in a long term relationship, where firms compete in location. It is found that endogeneizing the location decisions makes collusion more difficult.

This paper presents a simple model of regulated/deregulated shopping hours and bundling in markets where consumers have preference in shopping time. We show that, for a range of parameters, the market will change from a duopoly with an independent pricing regime when shopping hours are...