Monopolization through acquisitions in a differentiated product industry

This article analyzes the incentive to merge in a context of price competition with horizontal product differentiation. In contrast to the results obtained by Kamien and Zang (1990), we show that merged equilibria can appear in this game. Moreover monopolization of the industry occurs with a high number of firms.

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Year of publication:	2005-11
Authors:	Dargaud, Emilie
Institutions:	Groupe d'Analyse et de Théorie Économique Lyon St-Étienne (GATE Lyon St-Étienne), Faculté de Sciences Économiques et de Gestion
Subject:	Mergers \| Oligopoly \| Cooperative game

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Extent:	application/pdf
Series:	Working Papers.
Type of publication:	Book / Working Paper
Language:	English
Notes:	Number 0507 18 pages
Classification:	L10 - Market Structure, Firm Strategy, and Market Performance. General ; L11 - Production, Pricing, and Market Structure Size; Size Distribution of Firms ; L20 - Firm Objectives, Organization, and Behavior. General
Source:	RePEc - Research Papers in Economics

Persistent link: https://www.econbiz.de/10004970464