Ishibashi, Ikuo; Matsushima, Noriaki - Graduate School of Business Administration, Kobe University - 2006
This paper provides an example that incumbent firms might allow potential entrants to enter a market. The market consists of two sub-markets: a high-end market and a low-end market. (i) If low-quality products are of no value to consumers in the high-end market, (ii) consumers in the low-end...